Bumi shareholders will vote Tuesday on the proposed separation of the Indonesian coal miner from the Bakrie Group.
Nathaniel Rothschild, a major shareholder who co-founded the group with the Bakries, on Friday said he would back the deal.
Rothschild, who owns more than a 15% stake, left the board last year in the wake of disagreements over corporate governance and rifts over how to separate Bumi from Indonesia's powerful Bakrie family.
Under the proposed deal the Bakrie Group would sell its 24% stake in the miner to Bumi Chairman Samin Tan and then buy back Bumi's 29% stake in Bumi Resources, Indonesia's largest coal miner, for $501m.
Rothschild had initially slated the plan, asking how the company will recover $173m in cash that disappeared at PT Berau Coal Energy, one of its subsidiaries in Indonesia.
However, his support on Friday was one of the strongest signs yet that the separation will go forward.
Bumi was formed in 2011 after the Bakrie family folded its coal assets into an investment firm created by financier Nathaniel Rothschild. However, company infighting over corporate governance and financial irregularities saw the venture fall apart.
In other company news on Tuesday, Dixons Retail will report its first half results. Investec expects strong figures, driven by market consolidation benefits and continued business restructuring.
"Going forward, we believe Dixons is capable of delivering double digit growth by reinforcing its leadership positions further," the broker said.
"This will come from self-help, developing its supplier relations, investing in price and expanding its service proposition as points of differentiation. We expect the profit upgrade cycle to continue and re-initiate with a buy. TP 60p."
Economists divided in their CPI forecasts
Meanwhile, and as far as the economic calendar is concerned, consumer price data will be forthcoming in the UK, Eurozone and Stateside. Britain´s CPI figures may reveal that inflation slowed to a 2% year-on-year clip (consensus: 2.0%) for the first time in four years, Investec economist Philip Shaw pointed out.
Economists at Barclays Research see CPI headed in the other direction, towards a 2.3% year-on-year pace versus the 2.2% print seen in October. A slowdown in price increases back towards the Bank´s target is only expected come quarter four of next year.
The German ZEW Institute´s December economic sentiment index is due out, as are statistics on US housing later in the afternoon.
A two day meeting of the US Federal Open Market Committee (FOMC) - the central bank´s rate setting organ - will kick off tomorrow, which may put a damper on traders´ antics ahead of Wednesday´s policy announcement.
Tuesday December 17th
INTERIM DIVIDEND PAYMENT DATE
INTERNATIONAL ECONOMIC ANNOUNCEMENTS
Balance of Payments (US) (13:30)
Consumer Price Index (EU) (10:00)
Consumer Price Index (US) (13:30)
Current Account (US) (13:30)
Harmonised Index of Consumer Prices (EU) (10:00)
New Car Registrations (EU) (10:00)
Wholesale Price Index (GER) (07:00)
ZEW Survey (EU) (10:00)
ZEW Survey (GER) (10:00)
Bumi, Henderson Diversified Income Ltd.
Circle Oil, OAO Severstal GDR (Reg S)
DotDigital Group, Edinburgh Dragon Trust, Physiomics, Strategic Natural Resources, Tanfield Group
National Express Group
UK ECONOMIC ANNOUNCEMENTS
Consumer Price Index (09:30)
Producer Price Index (09:30)
Retail Price Index (09:30)