Resources Prima Group's subsidiary enters bankruptcy

A SUBSIDIARY of Catalist-listed Indonesian coal miner Resources Prima Group, PT Rinjani Kartanegara (Rinjani), entered bankruptcy on Monday after most of its creditors rejected its composition plan following a meeting with them.

Jakarta's Commercial Court has appointed two curators to administer the bankruptcy estate and a supervisory judge to supervise the bankruptcy process. As of Monday, Rinjani's board of directors will have no authority to administer or represent the company.

Rinjani's entering into bankruptcy is expected to have a material impact on the consolidated net tangible assets per share and consolidated earnings per share of the group for the financial year ending Dec 31, 2017, Resources Prima Group said on Monday.

Trading in the group's counter has been suspended since June.