Back Again, Vale's Stock Divestment Agreement Will Be Signed Next Week

Deputy Minister of State-Owned Enterprises (BUMN) Kartika Wirjoatmodjo. (Mery Handayani/VOI)

JAKARTA - The share price divestment agreement of PT Vale Indonesia Tbk (INCO) will be signed Monday, February 26, 2024.

It is known that the signing which agreed on the price of 14 percent of Vale Indonesia's shares has been withdrawn several times. Finally, the government plans to sign this week.

This was revealed by the Deputy Minister of State-Owned Enterprises (Wamen BUMN) Kartika Wirjoatmodjo.

He also apologized for the signing of the resignation.

"Sorry, it's a bit late, I promise this week, it turns out to be back to Monday afternoon (next week)," he said after attending the National Press Day (HPN) celebration at Bentar Hall Temple, Putri Duyung Ancol, North Jakarta, February 19.

Tiko, Kartika Wirjoatmodjo's nickname, said that basically the price of Vale Indonesia's share divestment has been agreed upon by shareholders.

However, unfortunately, Tiko was reluctant to reveal the agreed value.

"It's finished (price discussion). But if it's a price, I don't want to disclose it, because this is a public information material, I'll wait for Monday afternoon," he said.

Previously, the Special Staff of the Minister of State-Owned Enterprises (BUMN) Arya Sinulingga said that one of the agreements in the divestment of Vale Indonesia's shares, namely the Ministry of SOEs through MIND ID, has the right to place certain directors and commissioners.

Furthermore, Arya said that this right was obtained in line with MIND ID's position as the majority shareholder of Vale Indonesia.

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

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.

For your information, 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 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 that have been controlled since 2020. So with further divestment of 14 percent, Indonesia 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.