New Links controls majority stake in Medco

New Links Energy Resources Limited (New Links) has become a majority shareholder in publicly listed PT Medco Energi International Tbk (Medco) following the latter's debt restructuring program early this year, Bisnis Indonesia reported on Tuesday.

Medco's coporate secretary Medco Sugiharto said in Jakarta on Monday that New Links --a joint venture of several companies including CSBF, CSBF's 19 subsidiaries, Asian Loan Recovery Limited (ALRI), Meta Epsi Duta, a company owned by the Arifin Panigoro family -- has a 67 percent stake in Medco Energi.

He said that Medco Corporation, which previously controlled the ownership in the company, saw is stake in Medco energi to decline to 18 percent after the debt restructuring while the remaining 15 percent of the shares were owned by the investing public.

The major change in the company's ownership was approved during the extra ordinary shareholders meeting late in January. The shareholders also approved the appointment of three representatives of New Links to seat in the board of commissioners in Medco Energi.

Sugiharto said that about 86 percent of Medco Energi's debts or equivalent to US$623 million had been restructured under several schemes including a debt rescheduling and debt-equity swap. The remaining $100 million debts comprising of $60 million owed to the Indonesian Bank Restructuring Agency (IBRA) and $40 million to other financial institutions are being restructured, he said. (*)