Good news for Sir Richard Gozney (KCMG, CVO, KStJ), who will be joining the board of Bumi after Thursday’s shareholder vote.
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From the pen of Nat Rothschild…
Click to enlarge for the full letter to Samin Tan: Read more
The Indonesian investors in coal miner Bumi have said UK financier Nat Rothschild can stay on the company’s board, but only if he steps down as co-chairman and stops being a “disruptive influence” over his calls for a shake-up at PT Bumi Resources, a Bumi affiliate, reports the FT. The investors, the Bakrie family and their partner Samin Tan, announced on Tuesday that they had withdrawn their demand for an extraordinary general meeting to remove Mr Rothschild and other directors from the Bumi board. They say they will now pursue their proposed changes at a board meeting scheduled for March 26.
The Indonesian shareholders in coal miner Bumi are open to a compromise that would see financier Nat Rothschild stand down as co-chairman of the company but remain on its board, the FT says, citing people familiar with the matter. Publicly, however, the shareholders – the businessman Samin Tan and the Bakrie family – are insisting on pushing through their proposal to drop Mr Rothschild and will launch a charm offensive next week to persuade others to back them. Chris Fong, a spokesman for the Bakrie family, justified the move against Mr Rothschild by describing him as the “financial engineer” who listed Bumi in London but was no longer needed as co-chairman. “We value him for bringing us to London, introducing us to the market, but we realise we need to be here and we can’t leave that to Nat,” Mr Fong said in an interview.
We can’t let this Bumi RNS go unnoticed:
The Company announces that the Directors have received a notice from Borneo Bumi Energi & Metal Pte. Ltd, being the holder of not less than 5 percent of the paid-up voting share capital of the Company, requiring them, pursuant to section 303 of the Companies Act 2006, to convene a general meeting of the Company to consider and if thought fit to pass ordinary resolutions to: Read more
Nat Rothschild has criticised the management and corporate governance at PT Bumi Resources, the Jakarta affiliate of London-listed Bumi plc, calling for a “radical cleaning up” of the Indonesian coal company he is trying to transform into a top-tier global miner. The letter, seen by the FT, has raised tensions between the aristocratic billionaire and his Indonesian co-investors, the Bakrie family, who are Bumi’s largest shareholders. Mr Rothschild, who owns 11 per cent of Bumi, which in turn owns 29 per cent of PT Bumi Resources, said his relations with the Bakrie family was good. The Bakries did not sign the letter, which was addressed to Ari Hudaya, a long-time Bakrie family lieutenant who is chief executive of both PT Bumi Resources and Bumi. A spokesman for the Bakrie family said the letter had taken them by surprise.
So, the billionaire Bakrie Brothers have sorted one of their debt issues.
They have struck a deal to sell half of their stake in Nat Rothschild’s cash shell curiosity, Bumi Plc, to an Indonesian businessman. Read more
Indonesia’s Bakrie Group is selling a 23.8 per cent stake in London-listed Bumi, its joint venture with financier Nathaniel Rothschild, to coal miner Borneo Lumbung Energi, Reuters reports, citing a draft statement. The sale of about half of Bakrie’s stake in Bumi, for $1bn, values the Bumi shares at about £10.91 each, which Borneo says is a 6 per cent premium to the last 6-month volume-weighted average price, and would be payable in cash. The deal with Borneo, which is backed by Indonesian investor Samin Tan, would help Bakrie pay off the bulk of an $1.345bn loan and extricate itself from a debt crunch that has weighed on the share price of the world’s largest thermal coal exporter Bumi Resources. The draft statement read: “(Borneo) has signed a sale and purchase agreement, conditional upon shareholder, regulatory and other approvals, to acquire an effective economic interest of approximately 23.8 percent in Bumi Plc,” Reuters says.
Another twist in what was already an incredibly complex plot at Bumi Plc.
Nat Roschild’s shell company turned Indonesia coal play has abandoned an earlier deal with a company controlled by the Bakrie family. Read more
Is there any more Bumi Resources can do to make itself uninvestable to the average UK institutional investor?
It seems there is, albeit indirectly. Read more