Vale Denies Divestment Price Worth IDR 3,000 Per Share Sheet

Illustration. (Photo: Doc. Antara)

JAKARTA - PT Vale Indonesia (INCO) denied the statement by the Minister of Energy and Mineral Resources, Arifin Tasrif, who said the divestment price was IDR 3,000 per share to the BUMN holding company, MIND ID.

Vale's Corporate Secretary, Filia Alanda, in an information disclosure to the Indonesia Stock Exchange (IDX) said Vale Indonesia and Vale Canada Limited (VCL), MIND ID, and Sumitomo Metal Mining Co., Ltd (SMM) have signed a divestment master agreement. The agreement stipulates that VCL and SMM will proportionally transfer their share ownership in the company by 14 percent to MIND ID and transactions are expected to be completed as soon as possible.

Filia said Vale had carried out a stock valuation using a method based on regulations and had submitted the data needed by the government to evaluate the divestment share price.

"Until now, there has been no agreement signed by the Company and the Company's shareholders regarding the divestment share price," said Filia, quoted on Wednesday, February 21.

Filia added that regarding the information on shareholders who will divest along with the number of shares to be sold, the sale of shares will be carried out by VCL and SMM.

For the purpose of calculating the number of shares to be divested, assuming all transactions are carried out through secondary sales, the pro-aligned divestment by VCL and SMM over 14 percent (total) of PT Vale's shares to MIND ID represents 1,391,087,420 shares.

FIlia said Vale was committed to supporting the completion of the divestment process as soon as possible.

"Currently, the Company's operational activities are still running normally and there is no impact on the divestment process on the Company's operational and financial performance," concluded Filia.

Previously, the Minister of Energy and Mineral Resources (ESDM) Arifin Tasrif gave a leak regarding the investment price agreement for PT Vale Indonesia (INCO) to the BUMN mining holding company, MIND ID.

Arifin said the price agreed by both parties was in the range of IDR 3,000 per share or below Vale's current market price.

"Below that the market price, the head is still three (above Rp. 3,000) but the head is beating," Arifin told the media when met at the Office of the Directorate General of Oil and Gas of the Ministry of Energy and Mineral Resources, Friday, February 16.