Bumi Resources (BUMI), controlled by Bakrie Group, claimed in its public expose presentation material available to investors that domestic market absorbed 49% of its coal sales volume in the first half of 2014. How true? Is this a tax evasion scheme?
Read MoreYears ago, coal producers hate the so-called Domestic Market Obligation (DMO). Downfall of global coal prices and oversupply in the seaborne market, however, force them to revisit domestic market. According to our research, domestic sales of companies listed on Indonesia Stock Exchange (IDX) grew 15% in the first half of 2014.
Read MoreOn July 23, 2013, one year before the election, Gerindra Party leader Martin Hutabarat, loudly criticized national police for letting Islamic Defenders Front (FPI) wagging violent actions. “If police was decisive enough, there will be no organization committing violence like FPI,” Martin said. On Friday, October 3rd, 2014, however, M Taufik, chairman of Gerindra Party Jakarta Chapter, defended FPI for the physical conflict with police officers during a rally to oppose Basuki Tjahaja Purnama (Ahok) as governor of Jakarta.
Read MoreMitrabahtera Segarasejati (MBSS) has just secured a significant coal transportation contract from one of subsidiaries of Bumi Resources (BUMI) recently. But, the downfall of coal prices contributed to weak valuation of MBSS, which is now traded with PE multiple 6 on the annualized first half 2014 earnings. We interviewed MBSS CEO Rico Rustombi about future plans of the Company.
Read MoreSo, Blue Bird has set IPO price range of Rp7200-9300. That means the Company expects a valuation between Rp19.13 trillion and Rp24.7 trillion after the IPO or about seven to nine times market value of Express Transindo Utama (TAXI). That much?
Read MoreBumi Resources (BUMI), the largest coal producer in Indonesia, has only issued 15.85 billion new shares, less than half of the total shares offered. Only small group of existing shareholders exercised their rights to subscribe 11.4 million new shares.
Read MoreLast night, President Susilo Bambang Yudhoyono (SBY) issued two government regulations in lieu of law (Perppu) to revert the indirect election of governors, regents, and mayors by local councillors to direct election of regional leaders by the people. The two Perppus are Perppu No. 1/2014 to cancel Regional Election Law No. 22/2014 and Perppu No. 2/2014 to amend the Regional Administration Law No. 23/2014.
Read MoreMedia reported this morning that PT Link Net Tbk (LINK), controlled by Lippo Group, plans to launch private placement for 50-60% shares before end of this year. At the current price, LINK Net already has market capitalization bigger than property giant Lippo Karawaci (LPKR).
Read MoreThe ridiculousness continues at Senayan. Yesterday afternoon, several members of the United Development Party (PPP) faction at the House of Representatives (DPR) spoke to the media about their deal with the Red-and-White opposition, which entails 3 chairmanship and 6 vice chairmanship positions at the House’s commissions and the Speakership of the People’s Consultative Assembly in exchange for endorsing the Red-and-White DPR leadership package that did not include a PPP politician as one of the four deputy speakers of the DPR.
Read MoreThe Chief of the Corruption Eradication Commission (KPK) Abraham Samad has made a very interesting comment upon Setya Novanto’s appointment as the Speaker of the House of Representatives (DPR). Abraham said he regretted the new Speaker’s appointment for the 59-year-old politician has been repeatedly examined in one too many graft cases. Abraham firmly stated that being the Speaker of the House will not free Novanto from the KPK’s investigation as no one is above the law.
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