JAKARTA (TheInsiderStories) - Securities house, PT Trimegah Sekuritas Indonesia Tbk (IDX: TRIM) bought 7.60 percent shares tower provider, PT Centratama Telekomunikasi Indonesia Tbk (IDX: CENT) through a repurchase agreement transaction, the issuer announced on Monday (03/15). The transaction have a total valued of Rp398.14 billion (US$27.65 million).
President director of the brokerage firm, Stephanus Turangan, said the transaction took place on March 4 and March 10, 2021, for debt repayment. Beside Trimegah, the other shareholders of Centratama are Clover Universal Enterprise Ltd., (41.8 percent), UOB Kay Hian Pte. Ltd., (21.19 percent), Zico Allshores Trust Pte. Ltd., (17.12 percent), and public (12.27 percent).
Clover, a subsidiary of Northstar Advisors Pte. Ltd., is reported to divest its stake at the telco provider to other American-based company, Digital Colony, with estimating values of $150 million. The company is the largest digital infrastructure investment firm in the world and headquartered in Florida.
Last month, the provider announced to seek funds up to Rp5.3 trillion by releasing 34 billion new shares through a limited public offering scheme, to strengthen the capital structure in order to develop telecommunication tower service business activities. The corporate action will be diluted the existing shares to a maximum of 52 percent if the investors not use their rights.
Centratama and the subsidiaries also has received syndicated loan facility of Rp5.7 trillion from PT Bank Mandiri Tbk (IDX: BMRI), PT Bank Negara Indonesia Tbk (IDX: BBNI), and PT Bank Permata Tbk (IDX: BNLI) to refinances the existing debt. The signing of this agreement takes place on Feb. 24, 2021.
As of September 2020, the company has a total debt of Rp5.58 trillion with a total short-term loans of Rp4.79 trillion. While, total equity of Centratama recorded Rp2.51 trillion. In the same period, the revenues 32.84 percent, from Rp602.81 billion to Rp800.75 billion and posted a net loss of Rp83.18 billion from previous year booked a net profit of Rp12.53 billion.
Last year, PT Centratama Menara Indonesia, a subsidiary of the tower operator, won the acquisition tender for 1,054 towers belonging to PT XL Axiata Tbk (IDX: EXCL). For this acquisition, the unit received financial support from DBS Bank Ltd., and ING Bank N.V. who also acted as financial advisors. It said, the acquired towers have the potential to contribute an additional annual revenue of approximately Rp215 billion for the company.
The management of Centratama believed that the wireless telecommunications industry will continue to grow in line with technological developments and the need for cellular service capacity. In the same year, the issuer has allocated a capital expenditure of Rp2.7 trillion in order to achieve a tenancy growth target of up to 60 percent.
The tech firm has been listed on Indonesia Stock Exchange on Nov. 1, 2001 at the development board.
US$1: Rp14,400
Written by Editorial Staff, Email: theinsiderstories@gmail.com
