The Ministry Of SOEs Will Reshuffle The Board Of Directors Of Vale Indonesia

Special Staff to the Minister of State-Owned Enterprises (BUMN) Arya Sinulingga. (Photo: Mery Handayani/VOI)

JAKARTA - Special Staff to the Minister of SOEs Arya Sinulingga revealed that negotiations related to the divestment of the share price of PT Vale Indonesia Tbk (INCO) had reached good agreements.

One of them, BUMN has the right to place directors and commissioners.

For your information, Vale Indonesia's management will be overhauled after MIND ID annexed 14 percent OF INCO's shares.

"Because of SOEs, the government has the largest majority, so he has the rights of which directors, which directors, then which commissioners, which commissioners," he said when met at the Ministry of SOEs, Monday, February 19.

"With itself, if the share ownership is different, then it will definitely be more, because yesterday it was only how much percent, right. Now it's up to the majority, so surely he has certain rights from the consequences," he continued.

Even so, Arya said that the Ministry of SOEs has not yet pocketed the names who will be included in the board of commissioners and directors of PT Vale Indonesia Tbk.

"If the ownership of shares is different, he must have certain rights. There are no candidates yet," he said.

Regarding Vale's share divestment price agreed, Arya admitted that he could not reveal it.

Because, we have to wait for the official announcement and the signing of both parties.

It is known that the release of Vale Indonesia's shares is a burden that must be fulfilled for the extension of the contract which will expire on December 28, 2025. Where, at least 51 percent of the shares are controlled by the Indonesian side.

The composition of Vale Indonesia's shares is 43.79 percent led by Vale Canada Limited who is also a controller.

Then, 15.03 is held by Sumitomo Metal Mining. Then, 20 percent is held by the public by being registered on the Indonesia Stock Exchange (IDX).

Meanwhile MIND ID owns 20 percent of Vale Indonesia's shares which have been controlled since 2020.

So with the divestment of continued shares of 14 percent, the Indonesian side even owns 54 percent of Vale Indonesia's shares.

In detail, 34 percent of the shares owned by MIND ID and 20 percent of the shares on the IDX.