KUALA LUMPUR: Axiata Group Bhd and its Indonesian unit XL Axiata are proposing to acquire a 66.03% stake in PT Link Net Tbk for RM2.55bil.
In a joint statement yesterday, Axiata and XL Axiata said they had signed a conditional share purchase agreement to acquire PT Link Net from Asia Link Dewa Pte Ltd (ALD) and PT First Media Tbk (FM).
The acquisition is set to reinforce Axiata’s strategic move into the underpenetrated fixed-broadband segment and fuels its expansion plans in Indonesia.
“This translates to a value of about RM3.86bil for a 100% equity interest in Link Net,” the companies said.
Under the terms of the agreement, Axiata Investments (Indonesia) Sdn Bhd (an indirect wholly-owned subsidiary of Axiata) and XL Axiata will acquire a a 46.03% and 20% stake, respectively, from the combined equity interest of 66.03% in Link Net, which is held by ALD and FM.
“AII will then be obligated to undertake a mandatory tender offer to acquire the remaining 33.97% Link Net shares pursuant to regulatory requirements in Indonesia.”