TheJakartaPost

Please Update your browser

Your browser is out of date, and may not be compatible with our website. A list of the most popular web browsers can be found below.
Just click on the icons to get to the download page.

Jakarta Post

XL-Axis officially merge

  • The Jakarta Post

    The Jakarta Post

Jakarta   /   Wed, April 9, 2014   /  08:18 am

Indonesia'€™s third-largest telecommunication firm PT XL Axiata has officially merged with PT Axis Telekom Indonesia, which provides Axis phone cards, in a US$865 million deal.

'€œConsolidation in the telecommunication industry has become a necessity to ensure a healthy and sustainable telecommunication industry,'€ XL Axiata president director Hasnul Suhaimi said in a press statement as reported by Kontan on Tuesday following the final signing of legal documents required for this deal.

Hasnul said the merger would create a telecommunication giant that would serve 65 million customers across Indonesia.

XL Axiata funded the acquisition of Axis'€™ stake using $500 million from parent company Malaysia'€™s Axiata Group Berhad, while the remaining $365 million will come from bank loans and tower sales.

XL previously secured approval from the Communications and Information Ministry, the Coordinating Investment Board (BKPM), the Indonesia Stock Exchange (IDX), the Financial Services Authority (OJK), shareholders and lastly the Business Competition Supervisory Commission (KPPU), to realize this corporate action.

 

Your premium period will expire in 0 day(s)

close x
Subscribe to get unlimited access Get 50% off now