Irvin Avriano A.
Pertamina finalized 21,9% Medco stake acquisition
JOHANNESBURG: PT Pertamina finalized the agreement to acquire 27.9% stake of Panigoro family's corporation, PT Medco Energi Internasional Tbk indirectly.
Based on Pertamina's press release this evening, the pinciples of agreement was made by the state owned enterprise (SOE) with the owner of 50,7% stake of Medco, Encore Energy Pte Ltd (EEPL).
The transaction occur between Pertamina and EEPL owner, Encore International Ltd (Eil). Eil is a company incorporated in British Virgin Island and have some stake in EEPL.
EEPL is a company formed in Singapore and owns stakes in Medco Energi, while Medco Energi is a company that has been listed in the Indonesia Stock Exchange (IDX/PT Bursa Efek Indonesia) and engaged in energy sector, both in Indonesia and abroad.
Both parties have agreed to continue the evaluation to the exclusivity period level, regarding to the process the EEPL stock transaction owned by Eil. The company also assure thet the transaction won't make other portion of shareholders diluted or affected by the deal.
The parties recognize that the transaction does not need a tender offer action to other shareholders. Exclusive period itself will expire on November 30th, 2010.
This transaction believed will strengthened the company's business development strategy through a synergy between Pertamina and Medco Energi. Synergies between the biggest and best oil and gas company's in Indonesia is belived to be happen in a near time.
It will became the basis for uniting the two companies technical capabilities, financial, business, management and resources of each to maximize benefits for all shareholders concerned mainly the availability of energy for all Indonesian people.
During 1st semester of 2010, Pertamina booked a net profit of IDR8.7 trillion, an increase of 20.83% if compared to de with IDR7.2 trillion in the same period of last year.
Medco whose shares coded MEDC had recorded net profit rose by 26.2% from US$9.57 million in 1st half of 2009 to US$12.08 million in 1st half 2010. Company revenue also increased by 27.67% from US$311.02 million in the 1st semester of 2009 to US$397.09 million in the 1st semester 2010.
Medco share price close strengthened 7.3% to IDR3,675 level this afternoon and establish its market capitalization amounted to IDR12.25 trillion.