JAKARTA (Yosefardi) – PT Media Nusantara Citra Tbk (MNCN) has ended discussions with VIVA Group on the acquisition of ANTV.
Group CEO and President Hary Tanoesoedibjo said both sides remain far apart on valuation. “In current uncertain markets, our priority is to be conservative and stay disciplined financially, ” he said.
“We see better ways to enhance shareholders value through shares buyback and will wait for the right moment for acquisitions.”
At 3.32 pm Jakarta time MNCN dropped 5.93% to Rp2,775 per share. The stock gained since February to June, peaked at Rp3,600, alongwith the rumor of acquisition over ANTV.
But it then dropped to below Rp2,500 while MNC revealed it intends to acquire 100% stake in ANTV. MNCN then regained to almost Rp3,400 before falling back to almost Rp2,400 late last month.
While VIVA fell 2.42% this afternoon trade, falling 76% from its peak year to date.
MNC had been rumored to acquire ANTV since February this year, alongwith Emtek Group and CT Corporation. In mid June, 2014, Hary said MNC intends to acquire 100% stake in television operator PT Cakrawala Andalas Televisi, operator of ANTV.
Hary declined to disclose the price of acquisition over ANTV, but one source told Bisnis Indonesia that the divestment of ANTV by Visi Media is valued for US$500 million.
Then on July 2013, VIVA said it intends to offer shares of its 2 units, PT Cakrawala Andalas Televisi and PT Lativi Mediakarya, through the initial public offering (IPO).
Erick Thohir, president director of Visi Media, said the IPO is an option while the company also plans divestment of units to strategic investors.
Media earlier reported that Harry Tanoesoedibyo, owner of MNC Group, had offered to buy ANTV at price of Rp6 trillion. Tycoon Chairul Tanjung, owner of CT Corp, also is interested to acquire ANTV. (yohanneso@yosefardi.biz)