Temasek unit drops plan to buy Medco

Everitt Investment Pte., a company linked to Singapore conglomerate Temasek Holding Limited has decided not to proceed with plan to acquire 44.9 percent shares of New Links Energy Resources Limited owned by Thailand PTTEP Offshore Investment Company Limited and Cumin Limited.

Everitt lawyer Melli Darsa in a report to Indonesian Security Exchange Commission said that negotiation with PTTEP and Cumin was dropped for undisclosed reasons.

New Links has 85.51 percent shares in JSX-listed oil, gas firm PT.Medco Energi International Tbk.

PTTEP and Cumins have previously selected Everitt, as the preferred bidder to acquire a combined of 44.9 percent shares in New Links, while the remaining 15 percent of shares owned by PTTEPO was offered to Encore Limited. Encore, which is controlled by Medco founder shareholder Panigoro family, has 40.1 percent shares in New Links.

Encore has already stated its intention to exercise pre-emptive right to buy the remaining shares of New Links from PTTEP and Cumin. Panogoro family is reportedly in the process of raising US$350 million to finance the acquisition. (alex)