Ascott lifts stake in RI firm

Ascott lifts stake in RI firm

SINGAPORE (Dow Jones): Singapore's The Ascott Ltd. said Wednesday it will increase its stake in Indonesian joint venture PT Bumi Perkasa Andhika to 85 percent from 28.5 percent for a total US$5.2 million cash.

Ascott's unit Javana Pte. Ltd. will acquire a 37.5 percent stake in PT Bumi Perkasa from PT Menara Duta, and another 19 percent from Asean Strategic Capital Ltd. Both Menara Duta and Asean Strategic are also partners in the joint venture.

On completion of the deal, Javana will extend a loan of US$35 million to Bumi Perkasa to help it refinance its existing loans.

Javana will fund the loan with bank borrowings, Ascott said.