Indonesian group Bakrie has until Friday to resolve a covenant breach on a $437 million loan following a drop in the price of its London-listed coal miner Bumi Plc last week, sources familiar with the loan said on Monday. The breach was the latest in a series of debt problems for Bakrie Group, one of Indonesia’s largest conglomerates and which avoided a debt crisis last year by selling a stake in Bumi Plc to an Indonesian investor for $1 billion. Credit Suisse sent a notice on behalf of lenders to the borrower following the covenant breach, after Bumi Plc shares – pledged as collateral against the borrowing – slid 3.8 percent over the course of last week, according to the sources, who declined to be identified because the matter was not public.
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