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Garuda Indonesia advisor says in talks with Lufthansa on strategic investment

17-Feb-2006

JAKARTA (XFNews) - PT Danareksa Sekuritas, an advisor to national flag carrier PT Garuda Indonesia, said it is still in talks with Germany's Deutsche Lufthansa AG in connection with the search for a strategic investor for Garuda.

"We're still in talks, as per shareholders' request, to seek a strategic investor," Danareksa president Lin Che Wei told reporters.

"We just returned from Germany to meet Lufthansa and we have given them a proposal with several options," he said.

He did not say when the meeting took place and what the outcome was.
State Minister for State Enterprises Sugiharto earlier said the government may sell a stake in Garuda this year as part of efforts to settle its massive debt.

As of end-2005, Garuda's owed a total of 794.6 mln usd, mostly to European export agencies, Bisnis Indonesia today reported.

Earlier this month, Garuda vice president Alex Maneklaren said the airline hopes to complete its debt restructuring in June.

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