Blumont says scraps proposed investment in Cokal

Singapore’s Blumont Group said on Friday it had dropped a proposed takeover of Australian-listed coal explorer Cokal, hours after saying it had agreed terms on a proposed takeover of a foreign-listed coal firm.

The Singapore bourse halted trading in Blumont on Friday morning after its shares fell 56% following the announcement of its proposed investment. Trading in two other Singapore-listed companies was also halted.

Late on Friday, Blumont said "the company and Cokal had agreed not to proceed with the proposed transaction for the time being."

Blumont had not named Cokal on Friday morning, but said the takeover would be for about $146 million. Cokal, a company Blumont had previously invested in, went on a trading halt on Friday.