Axiata Said to Mull Buying Stake in CVC-Backed Internet Provider
(Bloomberg) -- Malaysian wireless carrier Axiata Group Bhd. is considering acquiring a stake in PT Link Net, the Indonesian internet provider backed by CVC Capital Partners, according to people with knowledge of the matter.
Axiata's listed Indonesian unit PT XL Axiata has started talks with major shareholders of Link Net about a potential deal, the people said, asking not to be identified because the process is private. XL Axiata is working with an adviser as it explores the purchase of about a 40 percent stake, said one of the people.
A stake that size would be worth about $356 million based on Thursday's closing price. CVC Capital Partners owns 33 percent of Link Net while PT First Media, an arm of the billionaire Riady family's Lippo Group conglomerate, holds 26 percent, data compiled by Bloomberg show.
Link Net has attracted investor interest as recently as May, when First Media sold a $75 million stake in the Jakarta-based firm in a share placement. The company's two biggest shareholders sold about 30 percent of Link Net in 2014 through a $454 million offering, the Bloomberg-compiled data show.
A year later, CVC and First Media considered divesting a majority holding, people familiar with the matter said at the time, although a deal never came to fruition.
There's no certainty the discussions will lead to a transaction, and other buyers for the stake could emerge, the people said. Representatives for XL Axiata and Lippo didn't respond to requests for comment, while representatives for Link Net and CVC declined to comment.
Link Net, founded in in 1996, provides services to more than 2 million homes in Indonesia, Southeast Asia's biggest economy, its website shows.
--With assistance from Fathiya Dahrul.
To contact the reporters on this story: Elffie Chew in Kuala Lumpur at echew16@bloomberg.net;Yudith Ho in Kuala Lumpur at yho35@bloomberg.net;Joyce Koh in Singapore at jkoh38@bloomberg.net
To contact the editors responsible for this story: Ben Scent at bscent@bloomberg.net, ;Linus Chua at lchua@bloomberg.net, Timothy Sifert
©2018 Bloomberg L.P.
-
A New Samvat Wishlist: Inclusive Prosperity And Human Development
India has strengthened its economic foundations through infrastructure, digital access and enterprise. Its next growth chapter must deepen productivity, create better livelihoods and widen participation in prosperity.
-
Love, Sex Aur Dhokha: The Audacious Plot To Spy On Jensen Huang
A Taipei dinner, a Singapore chip buyer and a suspected Chinese asset: inside the alleged spy operation that got close to NVIDIA's Jensen Huang.
-
Ten Things I Learnt This Samvat
Patience can be a trap. Cheap stocks can stay cheap. Leverage can wipe you out. What did Samvat 2082 teach us? Niraj Shah writes on 10 lessons from the year gone by.
-
Talking Points This Week: Tech Nerves, FII Buying, And A Faraway Banking Shock
The global markets are not shining this Diwali. The exception in the large markets is, India.
-
Midterm Rally Lasted A Day. The Hard Reality Of A Divided US May Last Two Years | Opinion
Between a contested AI boom, a debt ceiling that arrives in 2027 and a president with every incentive to act alone, the next two years may prove more volatile than the first day's rally suggests.
-
Blue Wave Will Derail the AI Trade but Won't Dismantle the AI Era | Unhedged Position
The Democrats' sweep of the US Congress will see politics collide with economic forces both over the long and short term.
-
It's Time To Take The GST Council's Bet On Trust Global
Payment records can prove India's services exports, and clear, proportionate rules can bring foreign digital sellers into the tax net.
-
Opinion | India at 38: From Innovation Overperformer to Innovation Powerhouse
India now has 453 VC-backed deep science startups, 18 of them late-stage, after 117 percent growth since 2020. Laurus Labs, at USD 9.3 billion, is the most valuable deep science company in any middle-income economy outside China.
-
Navigating Energy Crossroads: S Jaishankar's Call For Diversified Supply Chains At G20 Ministerial Meeting
As geopolitical fault lines continue to test maritime trade routes and commodity flows, Jaishankar's message remains pertinent: true economic resilience requires open markets, protected transit lines, and a genuine commitment to multilateral cooperation rather than coercion.
