Indonesia Government, Rajawali agree on voting rights for Gresik sale

Indonesia Government, Rajawali agree on voting rights for Gresik sale
Published: 17 July 2006

The government and the Rajawali Group finally reached an agreement on voting rights, paving the way to closing the share sales deal that will make Rajawali a 24.9 per cent shareholder of state cement maker PT Semen Gresik. 
 
Talks earlier were deadlocked over voting rights with the government as a 51 per cent shareholder wanting to maintain the principle of one share one vote while Rajawali wants to make decisions based on deliberation. 
 
Rajawali is expected to sign the final deal with Cemex, which has agreed to sell its 24.9 per cent stake in Semen Gresik to the Rajawali Group. 
 
The deal was delayed as the government did not immediately give its approval, which is required under the contract. The government wanted the stake to be sold to a consortium of state companies.