Pertamina Gets Nod to Acquire Perusahaan Gas Negara

Indonesian government has allowed Pertamina to acquire gas distributor Perusahaan Gas Negara (PGN), reports Antara News Agency.

Chief Commissioner of Pertamina Sugiharto said that acquisition of state-owned gas distribution would help the sustainability of the company, added Antara.

The decision was taken during a meeting which was attended by State-Enterprise Deputy Minister Dwiyanti Tjahjaningsih, Pertamina President Director Karen Agustiawan and Chief Commissioner of Pertamina Sugiharto.

According to Antara, M Yasin, a member of Pertaminas board of commissioners, said the acquisition process should take eight months, including three and half months execution process.

Pertamina is planning to merge its subsidiary, Pertagas and PGN. The merged entity would be a subsidiary of Pertamina.

The share composition of the merger would be 30-38% for Pertamina, 36-40% for the government and 26-30% for the public, Antara reported.

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