(Adds Bumi comment, updates share price)
By Fransiska Nangoy and Eveline Danubrata
JAKARTA, Aug 11 (Reuters) - Indonesia’s biggest coal miner PT Bumi Resources Tbk said on Monday that it intends to pay the 9.25 percent interest on its $375 million debt by Tuesday while seeking to extend the payment of the principal of the convertible bonds to April 2018.
The company controlled by the Bakrie family said on Friday that it will hold a meeting on Aug. 22 with its bondholders to seek their agreement on the proposed change in terms.
Bumi previously said it has until Aug. 12 to reach a new agreement with its bondholders. Payment for the bonds was originally due on Aug. 5.
On top of asking bondholders for an extension in the principal payment at the Aug. 22 meeting, Bumi will also propose backing the bonds with collateral, Bumi Director Dileep Srivastava said in an email.
“We expect a favourable vote on Aug. 22,” he said.
Bumi shares shed 5.7 percent on Monday on concerns about the company’s ability to pay its debt. The stock fell to 182 rupiah, the lowest since July 25, underperforming the Jakarta stock exchange which gained 1.2 percent.
“The market is still sensitive about Bumi and the group’s debt that is maturing in the coming months, especially amid such a soft coal market,” said a trader with a Jakarta-based brokerage.
Moody’s Investors Service said last week that Bumi faces substantial near-term maturities of more than $1 billion over the next 12 months and does not have the internal capacity to fund them. (Editing by Ryan Woo)