BEIJING, August 11, 2011 /PRNewswire-Asia-FirstCall/ -- Linktone Ltd. (NASDAQ: LTON), a provider of media and entertainment content and services in key strategic markets in Asia, today announced that it has sold its remaining US$10 million in principal amount of notes issued by Aerospace Satellite Corporation Holding B.V. ("Aerospace Satellite"), realizing a gain of approximately 9% over the original purchase price of the notes. The proceeds from that transaction including the accrued interest (at an interest rate of 12.75% per annum) were used to fund the purchase of 117.9 million shares of common stock of PT Global Mediacom Tbk ("Global Mediacom") through open market transactions on the Indonesia Stock Exchange at an average price of IDR 800 (approximately US$0.095 based on the exchange rate at the time of the purchase).

Linktone is a broad media and entertainment content and service provider in key geographies across Asia, and is committed to executing its strategy to grow its portfolio of products and expand its reach across a larger audience. As part of Linktone's initiatives to improve asset efficiency, these transactions are in line with the company's cash management objectives to maximize the utilization of cash and short-term investments, to eventually benefit the Company with sufficient resources to support expansion opportunities. The Company also plans to use an additional $6.6 million of its cash to purchase Global Mediacom's common stock. Including the planned purchases and the purchases made to-date, Linktone expects to hold approximately 2.2% of Global Mediacom's common stock.

Both Aerospace Satellite and Global Mediacom are affiliates of PT Media Nusantara Citra Tbk ("MNC Group"), the majority shareholder of Linktone. Mr. Hary Tanoesoedibjo, Linktone's Executive Chairman and Chief Executive Officer, also serves as CEO of MNC Group. The sale of Aerospace Satellite Notes and purchase of Global Mediacom shares were approved by Linktone's Board of Directors, including the Company's independent director.

Mr. Tanoesoedibjo stated, "Given our strong balance sheet and robust cash position, with over $97.4 million in cash, cash equivalents and short-term investments as of March 31, 2011, we are looking to prudently manage our capital as we continue strengthening our operations and executing on our growth strategy."

Source:en.21cbh