AADI Divests 47.99% Stake in Kestrel, Transaction Value Reaches USD2.4 Billion

PT Adaro Andalan Indonesia Tbk (AADI) has announced the signing of a share purchase agreement (SPA) through its subsidiary, Adaro Capital Limited (ACL), regarding the planned divestment of its ownership in Kestrel Coal Group Pty Ltd.

According to a letter to the Financial Services Authority (OJK) dated 14 April 2026, the issuer under the control of PT Adaro Strategic Investments stated that ACL, along with other selling parties, will divest shares in Kestrel to the buyer as part of the agreed transaction plan.

ACL will sell all of its shares in Kestrel, amounting to 720,385,220 shares or equivalent to 47.99 percent, with the transaction also including warrants held by ACL. The transaction value consists of two main components. First, an upfront cash consideration of USD1.85 billion, to be paid upon completion of the transaction, in accordance with the terms of the SPA.

The second component is a contingent cash consideration with a maximum value of USD550 million, to be paid in stages over five years and dependent on the performance of certain reference coal prices. Management stated that the purpose of this transaction is to support the implementation of the company’s future business and investment strategy.

Management added that the non-affiliated transaction will not cause any material adverse impact on operational activities, legal condition, financial position, or business continuity. The completion of the transaction is still awaiting the fulfilment of several preliminary conditions as stipulated in the agreement.