Fitch: Indika Energy unchanged

Fitch Ratings said that PT Indika Energy Tbk's long-term foreign- and local-currency issuer default ratings of B+ and its B+ senior unsecured ratings will not be immediately affected by news that the company plans to acquire a 51% stake in PT Mitrabahtera Segara Sejati.

Indika has yet to disclose much information on this transaction, including the potential acquisition price, Fitch said.

But Fitch said that Indika's current ratings have some reasonable level of headroom to accommodate cash flow accretive investments.

Indika had a cash balance, including marketable investments, of Rp 3.9 trillion at the end of September, the agency said. And the proposed acquisition is in line with Indika's strategy of further integrating across the value chain relating to coal in Indonesia, Fitch added.

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