21st May 2015 10:29
LONDON (Alliance News) - Asia Resource Minerals PLC on Thursday noted the announcement on Wednesday that NR Holdings Ltd and SUEK PLC have withdrawn their bid for the company and said it remains in talks with Asia Coal Energy Ventures Ltd on the cash offer it has made.
On Wednesday, NR Holdings, the vehicle controlled by financier Nat Rothschild, and SUEK, the holding company for Russian coal producer OJSC Siberian Coal Energy Co, said they will not proceed with a takeover bid to rival the proposed 41 pence per share bid made by Asia Coal Energy Ventures.
Rothschild's NR Holdings said it is still "fully committed" to his offer to underwrite a USD100 million open offer of shares as part of a broader recapitalisation for Asia Resource Minerals, which has a critical need for finance as pressure on thermal coal prices has hurt its ability to repay USD450 million of notes due in July and a further USD500 million in March 2017.
London-listed Asia Resource Minerals indirectly owns 84.7% of PT Berau, which indirectly owns 90% of Berau Coal, a thermal coal producer in Indonesia. The company is trying to regain control of Berau Coal, where Amir Sambodo has remained in position despite having resigned in March as chief executive of Asia Resource Minerals and as president director of the two subsidiaries.
NR Holdings said that the offer for Asia Resource Minerals made by Asia Coal Energy Ventures, which is managed by hedge fund Argyle Street Management Ltd, is "highly conditional".
Shares in Asia Resource Minerals were down 7.0% to 37.08 pence on Thursday.
By Sam Unsted; [email protected]; @SamUAtAlliance
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