Monday, August 28, 2006

Bumi-Energi, another promises

Bisnis Indonesia quoted Ari S. Hudaya, president director of PT Bumi Resources Tbk, saying it will pursue the buyback of 10% listed shares despite the collapse of US$3.2 billion divestment of subsidiaries.

Hudaya said the company is in talks with some investors for the next round of divestment process. The difference, this time Bumi would only divest minority shares at the coal subsidiaries. The company is also in talks with banks to finance the shares buyback.
Some newspapers also quoted directors of PT Energi Mega Persada Tbk saying the planned merger with Bumi would be implemented despite calls from stock market authority to review the plan following the collapse of Bumi-Borneo deal. Energi also announced the US$154 million funding from Credit Suisse to finance its oil and gas projects.
The market seems to react negatively to these promises. Lucky that suspension on Bumi shares trading is still in place. Look at Energi (ENRG) which dropped 8.7% to Rp520 on Monday's trading. The target price for merger was Rp870.

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Anonymous Anonymous said...

If you said Blame it on the Rain, this time what Bumi said is Another Day In Paradise....
Like minority share holders, they wont get any divident payments or share buyback until in paradise,,,
Still uncertain...and if i am an analyst,,,i will recommend "AVOID Companies affiliated with "B" forever...or another day in paradise....

August 28, 2006 9:53 AM  
Anonymous Anonymous said...

....and meanwhile, all of the KPC and Bengalong staff and contractors are left in the "mud" high and dry....some/most will not make it though this allready too long a waiting game to know where they all stand.

August 28, 2006 1:45 PM  
Anonymous Anonymous said...

Funny thing!!
Just been trying to enter the Bumi Resource website and seems like it wasn't working well....

August 28, 2006 3:17 PM  

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