Indonesian Court Hands Down Second Ruling in Favor of International Lenders Advised by Kirkland in Relation to the PKPU Reorganization Process of Visi Media Group

On August 20, the Central Jakarta Commercial Court in Indonesia handed down another ruling in favor of international lenders advised by Kirkland & Ellis, where the Court has affirmed their right to vote their US$560 million claims in the PKPU reorganization process of the Visi Media Group.

The Court has now twice ruled against the decision by the PKPU administrators to disenfranchise the voting rights of the international private credit lenders.

This is a marked change from past cases in Indonesia where other international lenders and bondholders have seen their voting rights being disenfranchised in PKPU reorganization processes through similar tactics and arguments by insolvent Indonesian debtors.

A Kirkland team led by restructuring partners Wei-Yang Lim and Anthony Wijaya advised the international lenders in the PKPU reorganization process, with assistance from associate Zhao Wang Teo.