PT Timah Considers Share Buyback Amid Governance Reforms

JAKARTA — PT Timah (Persero) Tbk is considering a share buyback as one of its corporate strategies while seeking to strengthen its business fundamentals and improve governance across Indonesia’s tin sector.

PT Timah Corporate Secretary Ruddy Nursalam said the plan remained at an early review stage. Before making a decision, the company is considering its financial position, operational needs, capital adequacy and business development plans.

“Any strategic option needs to take account of operational requirements, business development plans, the company’s overall financial condition and the applicable laws and regulations,” Ruddy said in an official statement on Friday (23 October).

He said every corporate decision must align with business priorities and national interests, and adhere to the prudence principle.

PT Timah has not set the amount of funds, target purchase price or timing for the buyback. The company is continuing to monitor business conditions and developments in the capital market before deciding on its next steps.

While the review is under way, the company is focused on strengthening its business fundamentals through improvements to and enforcement of good corporate governance, production optimisation, market expansion and financial efficiency.

The company’s performance is also affected by movements in global tin prices, the balance of supply and demand, and developments in the mining industry. Strengthening operations and financial management therefore form part of its strategy for responding to changing industry conditions.

PT Timah said any corporate strategy alternatives would be considered with transparency and accountability as guiding principles. It also said it would inform shareholders, the public and other stakeholders of further developments or decisions on the buyback in accordance with capital-market disclosure rules.