Bumi sees stock plummet in first day of trading after suspension
Indonesia-focused coal miner Bumi plc (LON:BUMI) saw its shares plummet Monday in London, the first day of trade after a three-month suspension triggered by the firm’s failure to publish its 2012 audited full-year results.
Bumi was initially halted in London in April amid allegations of financial impropriety at its Indonesian subsidiary. A month later, the coal miner reported $201 million in missing funds at Berau Coal Energy (BRAU).
The share closed at £2.37, almost 9% lower than its price when trading was suspended on April 22.
“[…]Bumi has taken considerable steps to enhance its internal systems and controls in relation to Bumi's 84.7% subsidiary, Berau Coal Energy,” the group said in a statement.
“A detailed and rigorous process was undertaken to enhance Bumi's control procedures, which included a third party review. This process is now complete and after consultation with the FCA, the board now believes that it is appropriate to restore trading.”
The news comes after Bumi’s announcement last Thursday that it has agreed to sell its 29.2% interest in Bumi Resources to the Bakrie Group for $501 million in cash.
Also last week the company's founder, Nat Rothschild, said he was pleased to see CFO Scott Merrillees finally leaving the company.
Rothschild claims that nearly $1 billion of company funds went missing during Merrillees' tenure.