JAKARTA. PT Indika Energy Tbk (INDY), one of the coal-mining giants in Indonesia, has divested its portion in PT Multi Tambangjaya Utama (MUTU) for a total transaction worth USD 281 million.

Adi Pramono, Corporate Secretary of MUTU, confirmed that the divestiture was carried out through PT Indika Indonesia Resources (IIR) and Indika Capital Investment Pte. Ltd. (ICI). Meanwhile, the buying party is revealed to be PT Petrindo Jaya Kreasi Tbk (CUAN).

According to IDNFinancials data, CUAN is a coal mining company, also recently publicly listed on Indonesia Stock Exchange (IDX) on March 8, 2023.

"After the transaction plan is carried out, MUTU is no longer listed as a subsidiary of the company and no longer consolidated under the company's financial report," Pramono explained in the information disclosure.

Furthermore, Pramono also reassured that this divestment of MUTU is in line with the company's business diversification strategy. "In addition, it is to ensure our focus on the conduct of sustainable business practices," he added. (KR/ZH)