Holman Fenwick & Willan represented PT Bumi Resources Tbk (Bumi) on its acquisition of PT Kaltim Prima Coal, (KPC) one of Indonesia’s largest coal mining companies and one of the biggest coal exporters in the world. Bumi purchased all of the shares of KPC from Rio Tinto Plc and BP Plc for US$500 million.
The acquisition was financed with a total of US$ 404.5 million loans from international lenders with the balance of the acquisition price being arranged by Bumi. Key lenders were Singapore’s United Overseas Bank and Credit Suisse First Boston which provided a combined US$ 318 million. Australia’s Macquarie Bank Ltd provided US$ 46.5 million and Leighton Financial International approximately US$ 40 million.
Alistair Duffield, (Partner, Singapore office) led the Holman Fenwick & Willan team. Alistair Mackie also a Singapore based Partner, worked with Alistair Duffield on commercial agreements related to the financing. They were supported by Fred Murchardt, (London based senior assistant). Other members of the team were Samantha Roberts, Andrew Fysh and Sidra Ariff. Diana France and Nick Hutton (both London based Partners) led the team which closed the sale and purchase documentation in Sydney in July.
This transaction is the largest acquisition in Indonesian for a number of years. Alistair Duffield said “This deal demonstrates the increased level confidence of international finance parties and investors in Indonesia, and in Indonesian companies”
Other international law firms included:
For BP Plc – Linklaters, Michael Sullivan and Nora Kao, London
For Rio Tinto Plc – Mallesons, James Fahey
For the Lenders – Allen & Overy, Ken Aboud and Hooman Sabeti, Singapore
For Macquarie Bank – Cadwalader, Wickersham & Taft LLP, Richard Marshall
For Leighton Financial – Freehills, John Dick