Harita Said to Plan Singapore IPO of Nickel Mining Division

Jan. 6 -- PT Harita Jayaraya hired Citigroup Inc. (C) and DBS Group Holdings Ltd. (DBS) to manage an initial public offering of its nickel mining unit in Singapore, said two people with knowledge of the matter.

The division of Jakarta-based Harita, which has operations from palm oil to mining, may raise at least $250 million in the second half of this year, said one person, declining to be identified as the information is private. China International Capital Corp. was also hired as a bookrunner for the offering, the people said. The IPO’s size may change, they said.

Harita’s unit would be the fifth mining company to sell new shares on Singapore’s stock exchange, according to data from the bourse. The exchange last year loosened revenue requirements for mineral, oil and gas companies seeking to trade on its Catalist board for small enterprises.

Harita’s holdings include Bumitama Gunajaya Agro Group, which runs palm oil plantations, and a stake in Jakarta-listed Tirta Mahakam Resources Tbk (TIRT), a maker of wood flooring. A phone call to Harita’s offices yesterday went unanswered.