LINK-05/Oct/2020 14:22:55

[ASRILL]

$LINK LINK & EXCL...

Market talk on possible LINK¡¯s acquisition by EXCL

There is a market talk circulating on potential acquisition of LINK by EXCL.

It is reported that EXCL is currently in due diligence process to acquire LINK. The transaction price is reported at a range of Rp4,500-5,500/share.

Comment:
To note, LINK¡¯s shareholders are actively looking to divest their ownership. After previously failed to close a deal with IPTV, it is possible for LINK to seek a new buyer.

With EXCL, we learn from the management team that it is looking to expand its FTTH business by mean of organic and inorganic method.

On the pricing, it is still at discount on previous placement completed in 2014 where KBLV sold 16% of its stake. At that time, the share is valued at Rp5,972/share.