State-owned mining firm PT Indonesia Asahan Aluminium (Inalum) has received US$5.2 billion loan offer from 11 local and foreign banks to fund acquisition over stake in PT Freeport Indonesia, to 51%. Inalum’s President Director Budi Gunadi Sadikin said Inalum will not take all the loan offer as the company only needs US$3.85 billion to increase the share to 51% from current 9.36%. In addition, Inalum already has US$1.5 billion from the internal cash.
As much as US$3.5 billion is used to buy 40% of Rio Tinto‘s participation interest in Freeport Indonesia and another US$350 million to take the remaining share to achieve majority shareholder. Several banks that are offer loans are Standard Chartered, HSBC, CIMB Niaga, BNI, BRI, and MUFG. Meanwhile, the Association of State-Owned Banks is ready to disburse US$1.5 billion loans for Inalum to acquire Freeport Indonesia stake.