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Wednesday, 09 December 09
INDONESIA'S RECAPITAL TO PAY $1.48 BLN FOR BERAU


Recapital Advisors, an Indonesian investment firm, will pay $1.48 billion in cash and notes to buy coal miner PT Berau Coal, $300 million of which is coming from rival miner Bumi Resources, a source familiar with the deal said on Wednesday. Two sources, who declined to be identified because the deal is not public, said Credit Suisse is arranging a $600 million loan to help finance a deal for Indonesia's fourth-largest coal producer.

A spokesman for Bumi, Indonesia's largest coal producer and controlled by the politically connected Bakrie Group, told Reuters on Wednesday that the firm had "possible intent" to take part in the Berau acquisition, but declined to comment further.

Recapital was not immediately available to comment, while Berau declined to comment.

Recapital said last month it signed the Berau deal on Nov. 27 and the transaction would be completed in a month. It did not give a value for the deal.
Source: Reuters



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