Medco says Apexindo?s divestment may be delayed until next year

Indonesian stock exchange-listed energy firm PT Medco Energi International is most likely to delay its plan to sell all the company?s shares in drilling firm PT Apexindo Pratama Duta until next year.

Earlier, Medco planned that the Apexindo?s divestment is expected to be completed in November this year.

?It is good if the process can be completed before the year end, but it may be delayed up to next year,? said President Director of Medco Hilmi Panigoro in Jakarta on Thursday.

Hilmi said that a bidder winning the tender has not been decided because negotiation between Medco and prospective buyers remains intensive.

Medco has named Credit Suisse as an advisor to help it sell its stake.

At present, Medco has 51.38 percent stake in Apexindo which provides drilling services both in Indonesia and overseas. The remainders are held by Asian Opportunities Fund I Segregated (15.85 percent), and by CIMB-GK Securities Pte Ltd (15.85 percent), and the investing public (16.74 percent). (*)