Thursday, 12 Rabiul Awwal 1442 / 29 October 2020

Thursday, 12 Rabiul Awwal 1442 / 29 October 2020

Government to sell Merpati to private buyer

Rabu 11 Nov 2015 08:00 WIB

Rep: C09/ Red: Julkifli Marbun

Merpati Airlines.

Merpati Airlines.

Foto: Republika/Aditya Pradana Putra EXIF Data :

REPUBLIKA.CO.ID, JAKARTA -- The government would soon be offering a state-owned airline, Merpati Airline, to private parties. Merpati privatization was done to revive the airline, because Merpati is still considered to have a good name to investors.

Deputy for Restructuring and Business Development of Ministry of State Owned Enterprises (SOEs), Aloysius K Rio, was optimistic there will be many private parties who are interested in taking over Merpati Airline.

The offer to investors, Aloy explained, would be conducted in the first quarter of 2016. The investor was a new investor who has never entered into the SOEs privatization.

"Investors are ready to bring Merpati back to life," Aloy said, in Jakarta, Tuesday (10/11).

Aloy added, the first step to do before offering to the private party was to complete the entire corporate debt over unpaid salaries. Because Merpati has no assets, the Government would pay the salaries of employees from the state capital funds.

Rights of employees that would be covered by the state capital funds were Rp 1.4 trillion. Aloy said the government would no longer provide capital injections for the operation of Merpati Airline after be taken over by private party.

"We do not want another equity injection and equity swaps," Aloy said.

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