JAKARTA (Yosefardi) – The Business Competition Supervisory Commission (KPPU) has approved the merger of PT XL Axiata Tbk (EXCL) and PT Axis Telekom Indonesia.
“We had received approval letter (from KPPU) in March 6, 2014,” said Murni Nurdini in a statement today (March 10).
EXCL had acquired 95% Axis shares for a cash consideration of US$100, but EXCL will procure the repayment of Axis’ debts of around US$865 million.
Currently, there are some 11 telecommunication operators but only Trikomsel and XL Axiata posted a profit.
Heru Sutadi, executive director of ICT Institute, said Indonesia market would be only proper for maximum 5 operators, then the merger or consolidation is an important tools.