Bakries propose divorce from Bumi

 
City A.M. Reporter
Indonesia’s influential Bakrie family have asked to cancel their shareholding in miner Bumi, offering to take back the Indonesian assets they brought in less than two years ago.

In a statement this morning, Bumi, founded by Nat Rothschild, said that the Bakrie group proposed cancelling their 23.8 per cent shareholding in the London-listed miner. In return, the Bakries want a 10.3 per cent stake in PT Bumi Resources out of a stake of 29 per cent held by the London miner.

The Bakries would then buy back the remaining 18.9 per cent stake in PT Bumi in cash before Christmas.

The Bakries have also made a conditional proposal to buy out Bumi’s 84.7 per cent stake in PT Berau Coal Energy, an Indonesian coal mining firm, within the next six months.

Bumi said in a statement it was considering the proposals. There were no details on financing arrangements.

The offer comes before the Bumi board is due to meet in Singapore later today.

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