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Indonesia's Sinarmas says targets coal miner to support power business
[JAKARTA] Indonesia's Sinarmas Group hopes the potential acquisition of London-listed coal miner Asia Resource Minerals Plc (ARMS) can support its own power business, the group's managing director told Reuters on Wednesday.
Asia Coal Ventures, a vehicle being funded by Sinarmas, said on Tuesday it was considering making a possible cash offer for ARMS, the parent of Indonesian-listed PT Berau Coal Energy Tbk .
The potential offer of 41 pence per share represents a premium of 173 per cent to ARMS' last traded price. Berau shares jumped as much as 5 per cent on Wednesday, outperforming the Jakarta benchmark index, which was down 0.3 per cent. "Our aim to acquire ARMS is to synergise it with our business, be it power plant or its supply," Sinarmas Group Managing Director Gandi Sulistyo said.