Subscribe Search

Search form

Logo of Phnom Penh Post newspaper Phnom Penh Post - Indonesian telco 'planning acquistion in Kingdom'

Indonesian telco 'planning acquistion in Kingdom'

Indonesian telco 'planning acquistion in Kingdom'

INDONESIA’S largest telephone company plans to acquire a telecommunications company in Cambodia, according to its commissioner Tanri Abeng, Bisnis Indonesia newspaper reported yesterday.

The Cambodian company in question was not identified by Abeng, but according to sector insiders a number of domestic telecommunications companies are said to be actively seeking buyers.

Officials from PT Telekomunikasi Indonesia – also known as Telkom – had previously announced the firm’s intention to expand to other regional markets.

“Telkom is looking for acquisition opportunities in Southeast Asia, including mobile phone providers as our market is starting to mature,” Chief Executive Officer Rinaldi Firmansyah said in September, according to Reuters.

“We need a new market but we will not go to Africa. It’s too far. But in Asia we’re open any acquisition possibilities.”

Company officials could not be reached for comment yesterday.

The firm closed up 0.63 percent in Jakarta trading yesterday, finishing at 8,500 rupiahs (US$0.894).

Several mobile service providers have recently been identified as possible acquisition.

Star-Cell – which claimed to be Cambodia’s seventh of nine mobile providers at the end of the third quarter – has received offers from rival providers Smart Mobile and qb, Alan Sinfield, qb CEO, has said.

Star-Cell has been widely viewed as on the market in recent months.  Its Sweden-based owner TeliaSonera AB announced it had “written down” its value by more than US$100 million late last month, claiming “no goodwill” in a market it said was characterised by fierce competition and high churn rates.

Cambodia’s largest mobile provider Mobitel had also been in negotiations with France Telecom, an official from the French embassy in Phnom Penh said in October. The firm had refinanced through a $591-million loan from the Bank of China earlier this month, with a portion of the credit to be used expanding its service. Prime Minister Hun Sen witnessed the refinancing deal in Phnom Penh, along with Wu Bangguo, chairman of the Standing Committee of the National People’s Congress of the People’s Republic of China.

The deal will enable The Royal Group to refinance a $421 million loan used to buy out a majority stake in Mobitel from Luxembourg-based Millicom last year. The Royal Group CFO Mark Hanna said the group was still “reviewing options“ when asked if the deal meant Mobitel was for sale.


  • Kak Channthy, Cambodian Space Project frontwoman, killed in crash at 38 [Updated]

    Updated 5:05pm, Tuesday, March 20, 2018 Kak Channthy, frontwoman of popular The Cambodian Space Project, was killed Tuesday morning in a traffic accident in Phnom Penh. She was 38. Channthy, the internationally recognised singer-songwriter also known as “Srey Thy”, was reportedly travelling in a tuk-tuk on the city's

  • Australians protest Asean summit visit by PM Hun Sen

    Hundreds of protesters gathered in Sydney’s Hyde Park on Friday to protest against Cambodian strongman Hun Sen, who claimed to have been gifted millions of dollars by the Australian government ahead of a special Asean summit this weekend. An estimated 300 protesters, the majority of

  • Australian police investigating death threat against Kem Ley's widow

    Updated: 10:17am, Friday March 23, 2018 Australian authorities on Thursday confirmed they have launched an investigation into a crudely written death threat sent tothe family of slain political analyst Kem Ley and Victoria state MP Hong Lim. The typed letter, reported to Victoria police last week, is

  • Phnom Penh smothered in smelly, dangerous haze as landfill fire continues burning

    A putrid haze that has bedeviled Phnom Penh since Monday night will likely continue as a landfill in Dangkao district continued to burn on Friday, creating health risks for the capital's residents. Workers at the Dangkao landfill on site on Friday attributed the fire, which