Param Mitra Coal Resources Secures US$7.5M Investment From Tembusu Partners
Param Mitra Coal Resources Pte Ltd (“PMCR”), which owns two operating coal mines in Indonesia, has secured from Singapore private equity investor, Tembusu Partners Pte Ltd (“Tembusu”), an investment of US$7.5 million out of the US$20 million investment underwritten in January 2014 by The Islamic Bank of Asia (“IB Asia”).
With a proven track record of investing in growth companies across Asia, Tembusu seeks to complement IB Asia to extend its expertise and network to accelerate PMCR’s business growth. PMCR is the eighth investment made under Tembusu’s Growth Fund II.
PMCR’s Kalimantan mines have a resource base of approximately 500 million metric tonnes (“MT”) (JORC-certified) and plans to ramp up production to approximately 5 million MT per year within the next three years in preparation for an eventual IPO.
Singapore-registered PMCR, backed and managed by the Sindhu family – which owns leading India-based coal, logistics and power player Sainik-Aryan Group – has invested over US$50 million to date to develop the Indonesian coal assets and infrastructure and expand production.
Leveraging on the fast-growing energy requirements across Asia and the management’s rich experience in the coal mining, logistics and power generation business, PMRC has secured offtake arrangements with Indonesian and Indian clients.
Mr. Dev Sindhu, Chief Executive Officer of PMCR, said, “The backing of IB Asia and Tembusu – two reputable Singapore institutions – validates PMCR’s business strategy amidst rising interest in the Indonesian coal sector. We endeavour to develop PMCR as an integrated player in the coal mining sector, focusing on developing a complete solution for all services, from pit to port, under one umbrella. Our integrated service model and direct linkages with end-users ensure the viability and sustainability of its business which will in turn create and enhance value for all stakeholders.”
Mr. Harish Parameswar, Managing Director of IB Asia, said, “As a merchant bank focused on private equity and investment banking, IB Asia is working with key business partners to bridge opportunities in the India-Singapore-Indonesia growth triangle.”
Mr. Andy Lim, Founder and Chairman of Tembusu, said, “As a pan-Asian fund backing fast growing entrepreneurial companies, Tembusu looks forward to partnering IB Asia and the management team in building PMCR as a leading integrated platform connecting Indonesia’s vast coal resource base and India’s fast growing energy needs, with a view to IPO in an attractive Asian listing location such as Singapore.”