15th Jan 2014 18:26
LONDON (Alliance News) - Asia Resource Minerals PLC Wednesday said it has been granted an extension in order to complete its separation from Bakrie Group.
In a statement issued after the market close, Asia Resource Minerals said the Bakrie Group increased the extension by two days to January 17, 2014.
The extension has been granted so that Asia Resource Minerals has enough time to "understand and consider" the reason for the delay.
Asia Resource Minerals said it would "engage" with the Bakrie Group in order to determine whether a longer extension is necessary.
It said a further update would be made in due course.
Earlier Wednesday, the company had said it had been informed by the Bakrie Group that was not able to complete the separation by the previously agreed date.
The company, which was founded by Nat Rothschild, was previously called Bumi PLC. However, In December shareholders approved the separation of the company after a long power struggle, and it changed its name to Asia Resource Minerals.
Under the deal, Asia Resource Minerals retained control over Berau, an Indonesian thermal coal producer which is expected to produce 23 million tonnes of coal in 2013, while the influential Bakrie family will hold the Bakrie Group and BT Bumi Resources Tbk.
Additionally, Asia Resource Minerals continues to be in conflict with former Director Rosan Roeslani over cash and assets he may owe the company. Roeslani, who is connected to the Bakrie group, raised a number of issues earlier in the month related to a previously signed agreement over the repayment of USD173 million worth of funds to Bumi, stating that any outstanding liability to transfer cash or assets has been extinguished.
Shares in Asia Resources Minerals Wednesday closed at 235 pence, down 2.5 pence, or 1.1%.
By Hana Stewart-Smith; [email protected]; @hanassallnews
Update by Sam Agini; [email protected]; @samuelagini
Copyright © 2014 Alliance News Limited. All Rights Reserved.
Related Shares:
ARMS.L