Temasek quits plan to buy Medco stake

Temasek quits plan to buy Medco stake

JAKARTA: Everitt Investments Pte, a unit of Singapore's state investment company Temasek Holdings Pte, scrapped talks to buy a stake in Indonesia's biggest publicly traded oil company, PT Medco Energi Internasional.

Negotiations "were halted for an indefinite period," Melli Darsa, Everitt's lawyer, said in a letter to the Indonesian Capital Market Supervisory Agency that was filed by Medco Energi in a statement to the Jakarta Stock Exchange.

"Everitt is of the opinion that the transaction can't be continued."

The Temasek unit said on Oct. 14 it was selected as the preferred bidder to buy a 38.4 percent stake in Medco.

The Panigoro family, which founded Medco, said last month it will exercise a right to match an offer from Temasek to buy a stake in the Indonesian oil company. -- Bloomberg