Garuda Indonesia Ready to Take Over 51% of Sriwijaya Air’s Shares

PT Garuda Indonesia (Persero) Tbk plans to take over 51% of Sriwijaya Air’s shares. At present, both work together in operational matters.

Garuda Indonesia President Director I Gusti Ngurah Askhara or commonly called Ari Askhara said that the acquisition had indeed become the company’s option.

“In the agreement, there is indeed an option to buy a minimum of 51%, so we are now in the process of valuing assets, then we negotiate what value will be agreed upon,” he said on the sidelines of the BUMN coordination meeting at the JCC Jakarta on Thursday (28 / 2/2019).

He said, the acquisition would be executed a maximum of 5 years. The company will see the development of Sriwijaya Air.

“Within a maximum of 5 years we will exercise, we see the development if for example the conditions are good, how can we ask Sriwijaya to return the debt and the future prospects are good, we will exercise,” he explained.

Regarding the cost, Ari has not been able to explain. He also said, currently appointing the Public Appraisal Services Office (KJPP) to conduct an assessment.

“Not yet, we are reviewing, we are appointing an independent KJPP to assess them, it is in the process,” he said.

“We see, if the prospects are good, we will exercise an attractive valuation,” he concluded (zlf / zlf)

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