Indonesian billionaire Garibaldi Thohir's Adaro Energy plans to raise up to $291 million through the IPO of its coal mining unit as the company aims to reduce exposure to fossil fuels.

Coal miner PT Adaro Andalan Indonesia is planning an initial share sale that may raise as much as 4.59 trillion rupiah ($291 million), part of a move by its parent company to shift away from fossil fuels.

Indonesia's Adaro Energy, the world's sixth-largest coal miner, will spin off its unit PT Adaro Andalan (AAI) in an initial public offer worth up to 4.594 trillion rupiah ($291.6 million), the company said on Tuesday.

Coal miner PT Adaro Andalan Indonesia may raise as much as 4.59 trillion rupiah ($291 million) from an initial share sale, part of a move by its parent company to shift away from fossil fuels.