Benakat to Close Deal on Acquisition Astrindo Jakarta Globe , Wed 11-21.2012

Indonesian energy company Benakat Petroleum Energy is on course to complete its acquisition of Astrindo Mahakarya Indonesia
Benakat put the value of the acquisition at $600 million.

The company set September as the deadline but did not meet it because the acquisition was plagued by a series of administrative and legal problems.

"There are so many owners at Astrindo, and that posed legal problems for us," said Firlie Hanggodi, a Benakat director. "Now we are in the final stage and hope to close the deal at the end of the year."

Benakat agreed in December 2011 to buy control of Astrindo.

Astrindo provides coal-mining infrastructure and mining services, including transportation and port management, at its sites on Kalimantan and Sumatra, two islands that contain the bulk of the country's 5 billion-plus tons of coal reserves.

Firlie said that once the acquisition is complete, Astrindo will be included in the company's consolidated financial earnings.

Benakat bought the company from Indokreasi Nuansa Sejahtera. It hired Danatama Makmur to help with the deal.

Firlie said that Benakat will use internal funds coupled with bank loans for the purchase. The company is seeking loans from local and international banks but did not disclose the names of the lenders.
Steffen Fang, director of Danatama, said that Astrindo has good quality assets, making the acquisition a sensible move.

Benakat posted a net income of Rp 20.1 billion ($2.1 million) in the first nine months of this year from Rp 4.1 billion in the same period last year.

Revenue rose to Rp 273 billion in the first three quarters from Rp 253 billion in the same period last year.

By : Listri Valsa
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