Indonesia's Bakrie family has agreed in principle to pay financial compensation via its investment vehicle Long Haul Holding Ltd to coal miner PT Borneo Lumbung Energi for a $1 billion investment in Bumi Plc , Borneo's CEO said on Thursday.
Indonesian tycoon Samin Tan, via his coking coal miner Borneo, pulled the Bakrie Group from the brink of default when he invested $1 billion in London-listed miner Bumi Plc in January, only to see the value of the investment crumble.
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After months of tensions between leading shareholders of Bumi Plc, the Bakrie Group earlier this month surprised the Bumi board by proposing a $1.38 billion deal to swap shares and buy-back coal assets that could dismantle the company they created with financier Nat Rothschild.
(Reporting by Janeman Latul; Editing by Neil Chatterjee)