JAKARTA (TheInsiderStories) – Global private equity firm, CVC Capital Partners through Asia Link Dewa Pte., Ltd., and PT First Media Tbk (IDX: KBLV) to sell 63.45 percent of the cable TV provider, PT Link Net Tbk (IDX: LINK) shares, said the company on Monday. Both companies potentially to raise funds more than Rp4 trillion (US$270.70 million).
According to the management, currently there are four investors in the due diligence process, two from Malaysia and two Japanese companies. One of the companies is rumored PT XL Axiata Tbk (IDX: EXCL), the unit of Malaysia’ Axiata Bhd.
Previously, other pay TV operator, PT MNC Vision Networks Tbk (IDX: IPTV) has cancelled the acquisition of Link Net due to price mismatches. Based on the company data, shareholders of Link Net are Asia Link Dewa 35.55 percent, First Media 27.90 percent, UBS AGLDN Branch-UBS AG London 6.41 percent, and public 26.24 percent. The remaining, 3.90 percent recorded as treasury stocks.
The Lippo Group is one of the most successful business groups in the country founded by Mochtar Riady. Lippo’s business network starts from property, retail, to media. CVC is a global investment company with 24 offices in the United States, Europe and Asia, with one of its bases in Luxembourg.
CVC first took a stake in LinkNet in 2011 with worth of US$275 million for shares and bonds issued by its parent company. The provider intends to continue its network expansion and has set aside Rp2 trillion ($133.33 million) in capital expenditure for 2020 to extend its operational footprint in Yogyakarta, Cirebon, Cikampek, Purwakarta, Tegal, Madiun and Kediri.
Apart from the operator, the investment company also invests in several other issuers on the Indonesian Stock Exchange, namely PT Soho Global Health Tbk (IDX: SOHO), PT Siloam International Hospitals Tbk (IDX: SILO), PT Garudafood Putra Putri Jaya Tbk (IDX: GOOD). PT MAP Active Adiperkasa Tbk (IDX: MAPA), and PT Softex Indonesia.
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