Indonesia’s Bakrie family received a default notice from creditors on a US$437 million loan after a drop in the shares of London-listed mining company Bumi Plc (BUMI Plc) that guarantee the facility, the Financial Times reported.
Lenders led by Credit Suisse Group AG (CSGN) probably won’t demand repayment even if the family fails to increase collateral, the FT reported, citing people familiar with the deal.
The Bakries and Bumi Chairman Samin Tan together own 47.6% of Bumi, and the family’s financial woes contributed to the company’s 60% share fall over the past year, the newspaper said. The shares were also hurt by the ousting last year of Bumi’s co-chairman, Nathaniel Rothschild, the FT said.
Disclosure: No position at the stock mentioned above.
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