Bumi Resources seeks debt relief as US$4bil burden gets heavy

SINGAPORE: A new restructuring plan from PT Bumi Resources failed to stop Asia's most-indebted coal miner's bonds sinking to a record low Tuesday.

The proposal seeks to convert US$1.5bil of loans and bonds into a 32.5% equity stake in the Jakarta-based company, according to a stock exchange filing late on Monday. It will also require sovereign wealth fund China Investment Corp and China Development Bank to swap US$780mil of debt with shares in Bumi and unlisted units. Some US$410mil of convertible notes will turn into stock after five years, under the plan.