Medco Energi merges two subsidiaries

PT Medco Energi Internasional Tbk has completed the merger of its two subsidiaries PT Apexindo Pratama and PT Medco Antareja into a single business entity.

Medco?s corporate secretary Sugiharto said in Jakarta on Friday that Apexindo would act as a surviving company while the other company Medco Antareja would be dissolved.

As the consequence of the merger process, all activities, liabilities and assets of Medco Antareja would be transferred to Apexindo, Sugiharto said. "It means that Medco Antareja will be dissolved under a liquidation process," he added.

The merger has been approved by shareholders of the two subsidiaries. Medco Energy owns 96 percent in Medco Antaredja and another 85 percent in Apexindo.

According to Sugiharto the merger is part of Medco Energi?s plan to divest the two subsidiaries through an initial public offering this year, most probably through the Sydney Stock Exchange.

He said that based on an initial valuation, the value of two subsidiaries? assets reached Rp 1 trillion. (*)