The rising price of commodities, impacting the financial performance of the mining sector, fueled a surge in Bakrie Group stocks at the beginning of 2017. Furthermore, the successful debt restructuring of Bumi Resources Tbk and its inclusion in the LQ45 stock index boosted other Bakrie Group stocks.
Bumi Resources Mineral (BMRS) stock soared 99.06 percent between December 30, 2016, and January 27, 2017, reaching Rp 134 per share. This was the highest increase among other Bakrie Group stocks. BUMI stock followed, rising 81.99 percent to Rp 278 per share. However, not all Bakrie Group stocks rose. Two stocks, Bakrie & Brothers and Bakrie Telecom, remained at their lowest price of Rp 50 per share.
In its 2016 year-end public exposure, Bumi Resources reported that it was in the process of restructuring its debt with creditors following the approval of a debt payment postponement (PKPU) of Rp 135.78 trillion. This involved converting debt into equity. BUMI will issue 29.1 billion new shares at a price of Rp 926.16 per share, raising approximately Rp 26.9 trillion.