diff --git a/lib/ace/mode/folding/lua.js b/lib/ace/mode/folding/lua.js
index 369eed9e..2aa7d562 100644
--- a/lib/ace/mode/folding/lua.js
+++ b/lib/ace/mode/folding/lua.js
@@ -53,6 +53,8 @@ oop.inherits(FoldMode, BaseFoldMode);
 
         if (isStart && !isEnd) {
             var match = line.match(this.foldingStartMarker);
+            if (match[1] == "then" && /\belseif\b/.test(line))
+                return;
             if (match[1]) {
                 if (session.getTokenAt(row, match.index + 1).type === "keyword")
                     return "start";
@@ -113,16 +115,10 @@ oop.inherits(FoldMode, BaseFoldMode);
             "do": 1,
             "then": 1,
             "elseif": -1,
-            "else": 0,
             "end": -1,
             "repeat": 1,
             "until": -1,
         };
-        var voidKeywords = {
-            "elseif": 1,
-            "if": 1,
-            "for": 1
-        };
 
         var token = stream.getCurrentToken();
         if (!token || token.type != "keyword")
@@ -130,15 +126,7 @@ oop.inherits(FoldMode, BaseFoldMode);
 
         var val = token.value;
         var stack = [val];
-        var dir;
-        if (voidKeywords[val]) {
-            stack = [];
-            dir = 1;
-        } else if (val === "else") {
-            dir = 1;
-        } else {
-            dir = indentKeywords[val];
-        }
+        var dir = indentKeywords[val];
 
         if (!dir)
             return;
@@ -156,7 +144,7 @@ oop.inherits(FoldMode, BaseFoldMode);
                 stack.unshift(token.value);
             } else if (level <= 0) {
                 stack.shift();
-                if (!stack.length)
+                if (!stack.length && token.value != "elseif")
                     break;
                 if (level === 0)
                     stack.unshift(token.value);