ADRO - Plan to reduce 3 subsidiaries’ capital

Adaro Energy Indonesia (ADRO) will reduce the capital of three subsidiaries worth IDR43.30 bn. The capital will be reassigned to Adaro International (Singapore) Pte Ltd (AIS), another subsidiary in the coal marketing segment. The three subsidiaries of ADRO are Maruwai Coal (MC), Lahai Coal (LC), dan Juloi Coal (JC). ADRO reportedly controls 83.90% of each of those companies. Specifically, the management listed that MC will have IDR13.69 bn of its capital cut off, while LC and JC will get IDR21.90 bn and IDR7.69 bn cut, respectively. Furthermore, the management said that this capital decrease is intended to simplify and synchronise Adaro Group’s business lines to reach maximum efficiency, strength, and flexibility. (Source : IDN Financials)