22nd Jul 2013 07:00
22 July 2013
For Immediate Release
Bumi plc ("Bumi" or the "Company")
Restoration of trading
On 22 April 2013, Bumi announced that, after consultation with the Financial Conduct Authority (the "FCA"), it had requested that trading in its voting ordinary shares on the London Stock Exchange's main market for listed securities be temporarily suspended as the Company was not expected to publish its audited full year results before the end of April 2013, being the latest time permissible under the UK's Disclosure and Transparency Rules.
Following discussions with the Financial Conduct Authority, the Company is pleased to announce that trading in its voting ordinary shares will be restored today. The Company published its audited full year results on 31 May 2013 and the Board of Bumi (the "Board") has taken considerable steps to enhance its internal systems and controls in relation to Bumi's 84.7% subsidiary, Berau Coal Energy Tbk. A detailed and rigorous process was undertaken to enhance Bumi's control procedures, which included a third party review. This process is now complete and after consultation with the FCA, the Board now believes that it is appropriate to restore trading.
As announced on 18 July 2013, the Company has entered into a sale and purchase agreement with Long Haul Holdings Ltd., a Bakrie-controlled entity, for the sale of the Company's 29.2% interest in PT Bumi Resources Tbk ("PT Bumi") to the Bakrie Group for US$501 million in cash. As announced on 5 November 2012, as the Company was unable to exert significant influence over PT Bumi it determined that it was no longer appropriate for the Company to account for its shareholding in PT Bumi as an associate. Accordingly, with effect from 30 September 2012, the Company's investment in PT Bumi has been accounted for as an available for sale investment in accordance with IAS 39. As a result of this determination, the Company's investment in PT Bumi, comprising 6,061,699,637 ordinary shares (the "PT Bumi Shares") is valued in the Company's financial statements using the underlying share price of PT Bumi which is quoted on the Indonesia Stock Exchange in Indonesian Rupiahs. As at 31 December 2012, the value of this interest in Bumi's accounts was US$372m and the current market value of this interest is US$319m. As PT Bumi is listed on the Indonesian Stock Exchange it is subject to various reporting obligations and if PT Bumi fails to fully comply with those reporting obligations or the information that it publicly discloses does not include all information necessary to enable the Company and other PT Bumi shareholders to make an informed assessment of the PT Bumi group's prospects, results of operations and financial condition, there is a risk that the Company and other PT Bumi shareholders will be unaware of operating or other issues and liabilities at the PT Bumi group. Accordingly, there is a risk that any such failure by PT Bumi might result in there being a false market in the PT Bumi ordinary shares which, in turn, might mean that the actual value of the PT Bumi Shares would differ from the value attributed by the Company to the PT Bumi Shares in its accounts.
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For enquiries, please contact:
Bumi plc
Jayesh Pankhania
+44 (0) 20 7201 7500
RLM Finsbury
Ed Simpkins / Charles O'Brien
+44 (0) 20 7251 3801
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