Publicly listed coal miner PT Indika Energy, through its subsidiary PT Indika Inti Corporindo, has completed the US$517 million acquisition of coal producer PT Kideco Jaya Agung.
With the acquisition of a 45 percent stake from South Korean resource and energy company Samtan Co. Ltd and PT Muji Inti Utama, Indika now controls 91 percent of the company. Samtan holds the remaining 9 percent of Kideco.
Indika president director Arsjad Rasjid said Kideco had made an immense contribution to Indika’s business and the deal would help Indika grow and strengthen its position in the energy industry.Read also: Indika Energy issues $265 million worth of global bonds
“With the entry of Kideco as our new consolidated subsidiary, we will put more efforts into optimizing strategic value and synergy within the group,” he said in a press statement on Friday.
In the third quarter of this year, Indika’s revenue rose by 22 percent year-on-year to $694.7 million thanks to increased activities of its subsidiaries and higher coal prices. Meanwhile, it posted a $81.4 million profit in the July-September period, reversing a $20.6 million loss in the same period last year. (srs/lnd)