08.09.2014 - Sovereign wealth fund CIC at risk with Bumi investment
Sovereign wealth fund China Investment Corp (CIC) risks sinking deeper into the quagmire of its investment in Bumi Resources, Indonesia's biggest coal miner, which is beset by financial woes and allegations of environmental damage. Bumi is Indonesia's largest thermal coal producer and one of the top three largest thermal coal exporters by tonnage globally. In September 2009, CIC lent US$1.9 billion to Bumi, a risky move since Bumi has incurred a lot of debt over the past decade. Bumi defaulted by missing a principal payment on US$375 million of convertible bonds on August 12, according to Moody's...............................................Full Article: Source
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