Asia Resource Minerals, the Indonesian coal miner formerly known as Bumi, yesterday said its new chief executive Amir Sambodo would also be heading up its flagship operational asset, Berau Coal Energy.
It is thought that the FTSE 250-listed firm hoped the appointment – agreed at Berau’s annual shareholder meeting yesterday – would stave off speculation of a takeover by its largest shareholder, Samin Tan, who is rumoured to be pushing for a full boardroom shake-up.
The firm also made a number of other management changes at its Berau unit.
The company reiterated its full-year production guidance of 26m tonnes and said first-quarter output costs had fallen by four per cent to $38 (£22) per tonne.
Asia Resource Minerals underwent a separation earlier this year, after a high-profile spat between its co-founders, financier Nat Rothschild, and Indonesia’s Bakrie family, which resulted in allegations of financial irregularities.
It replaced its chief executive Nick von Schirnding last month, after he lost support from major shareholders.
More changes were made last Friday, when Chris Walton and Nick Salmon – both experienced City figures – were voted off the board at Asia Resource Minerals’ annual meeting.
Meanwhile, shareholders of Bumi Resources, the part of the company owned by the Bakries after the separation, yesterday approved a $680m rights issue to reduce its debt.
Asia Resource Minerals’ shares closed 54.5 per cent lower, after trading ex-dividend on a special dividend of 115p.