Tata Power signs option deal to sell 5 pc in Indonesian coal miner
Sunday, 6 July 2014
MUMBAI, July 5 (Reuters): India's Tata Power Company Ltd said on Friday it has signed an option deal to sell a 5 per cent stake in coal miner PT Kaltim Prima Coal (KPC) to a unit of Indonesian conglomerate Bakrie Group to reduce debt and improve cash flow.
Tata Power said the 5 per cent stake in the Indonesian coal miner is valued at about $250 million, adding that if the option is exercised it would still hold a 25 per cent stake in PT Kaltim Prima Coal.
Tata Power, part of India's salt-to-steel Tata conglomerate, also signed an option deal to sell its entire 30 per cent stake in power infrastructure companies related to KPC to the Bakrie Group, the company said in a statement late Friday.