Indonesia’s biggest coal producer PT Bumi Resources sold debt worth US$1.9 billion to China Investment Corp (CIC) in the second commodities deal the sovereign wealth fund has entered into in as many days, Bloomberg reported. Bumi will pay a coupon of 12% to CIC and settle the full debt within six years, the company said in a statement. Dileep Srivastava, Bumi’s head of investor relations, said part of the funds raised will be used to service about US$1.6 billion of debt and boost investments. This may include increasing the company’s investment in China. CIC agreed to buy a 15% stake in Noble Group, a Hong Kong-based commodities trader, for US$850 million on September 22.
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