Completion of the separation will involve the disposal of the company’s 29.2% interest in Indonesian coal miner Bumi Resources for $US501 million ($A560 million), a 116% premium to the market value of the interest.

It will also mean the company’s separation from the influential Bakrie Group and deliver Bumi plc majority ownership in the fifth largest coal producer in Indonesia.

Rothschild has entered into a relationship agreement with Bumi that gives him the right to nominate an independent director for the Bumi board.

He still holds a stake of more than 15% in the company.

The suitability of any director Rothschild nominates will be evaluated by Bumi’s nomination committee with particular reference to the UK Corporate Governance Code.

He has confirmed he and his affiliates will favour the relevant resolutions covering the separation that will be put to shareholders today.

Bumi chief executive Nick von Schirnding said he was pleased founder shareholder Rothschild was supporting the separation.

“This agreement will help us to deliver a value-accretive transaction that is in the best interests of all shareholders,” he said.

Rothschild said his first priority was to protect the interest of Bumi plc’s independent shareholders.

“With that in mind, the best way I can currently influence the company is to nominate a director to what will be an independent board dedicated to realising value,” he said.

The Bumi story has had many twists from the time Bumi plc discovered financial irregularities in its Indonesian operations.