JAKARTA (TheInsiderStories) – The coal miner owned by Sinarmas Group, PT Golden Energy Mines Tbk (IDX: GEMS), emphasized that it would not change its business strategy in the middle of pandemic. The management is still focused to achieve this year’ coal production target of 27.2 million tons (MT) of coal.
The targets below the 2019′ realization which reached 30.8 MT of coal. In the first quarter of 2020, this issuer has produced 8.4 MT of coal, inline with the adjustment of the national coal production target which is set around 550 MT of coal in this year. While, the sales up by 17.66 percent to US$ 16.65 million and net profit rose by 54.61 percent to $33.15 million.
At the shareholders meeting on Wednesday, Golden Energy shared a dividend with total amount $53 million or around Rp132.6 a share. In addition, the shareholders also approved the miner to carry out additional capital through limited public offering scheme up to 588.23 million shares or equivalent to 10 percent of enlarged and paid-up capital to meet the free float rule at the end of semester 1 of 2021.
The company’ shares are still on suspension since Jan. 30, 2018, caused not fulfill their obligation. Referring to the average price of Golden Energy‘ shares in this week, at the level of Rp2,550 a share, the proceeds from the rights issue could reached Rp1.5 trillion.
According to Indonesian Stock Exchange policy, public listed firm must have a public ownerships at least 7.5 percent or around 50 million shares. Because does not meet the rules, the authority has suspended the company’ shares.
Golden Energy has received a warning from the IDX and is threatened with delisting because the number of shares of the company circulating in the public is less than the regulation. The exchange authority gave the company a deadline of Oct. 31, 2020 to increase its ownership in the market.
“After the rights issue, the company’ shareholders who do not exercise their rights to preempt the shares, the percentage of total share ownership will be diluted by a maximum of 9 percent,” the company said in its official statement.
Golden Energy is engaged in the business of trading sector of mining products and services. On March 13, 1997 the company was established under the name of PT Bumi Kencana Eka Sakti, which was later changed to Golden Energy Mines on Nov. 16, 2010.
On Nov. 12, 2011, the miner became a public company and was listed on the main board of IDX. Through the Initial Public Offering (IPO), the unit of Sinar Mas was able to collect funds amounting to Rp2.21 trillion.
In that IPO, GMR Coal Resources, which is a subsidiary of the GMR Group, a leading infrastructure business group in India, became the company’s strategic investor by having 30 percent shares of the total issued and paid-up capital by the company.
On April 20, 2015, a power producer, PT Dian Swastatika Sentosa Tbk (IDX: DSSA) has transferred 66,9998 percent of its share to Golden Energy and Resources Limited, a domiciled company in Singapore. The company is engaged in exploration, mining, and marketing of coal and owns forestry concession rights in South Kalimantan.
At present, the majority of the company owned by Resources Limited 66.99 percent, GMR Coal Resources Pte. Ltd., 30 percent, and public 3.01 percent.
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