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 Jardine C&C Buys Indonesian Gold Mining Firm

Jardine C&C Buys Indonesian Gold Mining Firm

Singapore-based Jardine Cycle & Carriage (JC&C), an investment holding company with a focus on the dynamic economies of Indonesia and Vietnam, on Monday said that two of its indirect subsidiaries have entered into an agreement to buy Indonesian gold mining company Arafura Surya Alam (ASA) for $540 million.

JC&C’s subsidiary Danusa Tambang Nusantara (DTN) will purchase 99.99 per cent of ASA’s total issued share capital from J Resources Nusantara (JRN), while Energia Prima Nusantara (EPN) will buy the remaining one share in ASA and one share of Mulia Bumi Persada (MBP) from Jimmy Budiarto, a seasoned business leader and investor with over two decades of experience in Indonesia’s mining sector.

The MBP share represents about 0.2% of its total issued share capital, with the remaining 99.8% is held by ASA. The two companies will now be indirect subsidiaries of the Jardine C&C group, JC&C said.

Both DTN and EPN are wholly owned subsidiaries of construction machinery and mining company United Tractors, which is listed on the Indonesia Stock Exchange (IDX). That company is a 59.5% subsidiary of Astra International, also listed on the IDX, and a subsidiary of JC&C, which said that the proposed acquisition aims to expand United Tractors’ business in the mineral sector.

Terms and Conditions

Completion of the deal is subject to and conditional upon the conditions stipulated in the conditional sale and purchase agreements, including obtaining the approval of the creditors of JRN and ASA, obtaining relevant regulatory approvals, and obtaining the approval of the shareholders of J Resources in a general meeting.

DTN, EPN, JRN and Mr. Jimmy Budiarto have agreed to use reasonable efforts to fulfil the condition precedents with the final date of Completion to be no later than on 23 December 2025, or such other time as agreed, JC&C said in a bourse filing with Singapore Exchange (SGX) this morning.

ASA has been a non-operating company with non-meaningful financial information, said the bourse filing. It is intended to be a gold mining company and holds a mining business for the 4,000 hectares Doup mining block in the province of North Sulawesi, Indonesia.

Doup Block consists of Benteng, Panang and associated satellite deposits that have a combined Joint Ore Reserves Committee (JORC) compliant proven and probable ore reserves of 1.6 million ounces of gold deposit contained within a measured, indicated and inferred mineral resource of 3.1 million ounces of gold. Its sole asset is the licence for the block, which is a brownfield site to be developed by United Tractors.

Global Business Magazine

Global Business Magazine

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