JAKARTA--London-listed coal company Bumi PLC (BUMI.LN) has
proposed the company's separation from Indonesia's influential
Bakrie family after months of wait, setting a shareholder vote for
Dec. 4.
The company said in a press release dated Thursday that
shareholders would vote to sell a 29.2% stake in one of Indonesia's
largest coal companies, the Bakries' flagship entity PT Bumi
Resources (BUMI.JK), for $501 million, thus ending a relationship
with the Bakries that went sour over issues of corporate
governance.
The company also said it is initiating arbitration proceedings
against Rosan Roeslani, former director of Bumi PLC's PT Berau Coal
(BRAU.JK), for missing a deadline in September to make an initial
payment of $30 million in money he owes the company. Mr. Roeslani
earlier this year agreed to repay Bumi $173 million in cash and
assets for money that disappeared during his time at the
Indonesian-listed subsidiary.
Mr. Roeslani declined to comment when contacted Friday.
Under the terms of the separation, an entity controlled by Samin
Tan, Bumi PLC's outgoing chairman, would pay $223 million to
acquire the Bakries' remaining minority stake in Bumi PLC, leaving
Mr. Tan in control of almost half of the London company.
write to Ben Otto at ben.otto@wsj.com
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