Obtained KPPU Approval, XL is A Step Closer towards Acquisition Completion - 1 views

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  #1 lilyr0cha76 on 19 Jun 14

   

  Jakarta, 10 March 2014 - PT XL Axiata Tbk (XL) conveys its appreciation and gratitude to the Business Competition Supervisory Commission (KPPU)'s approval to XL and AXIS merger and acquisition plan. The Commission has issued an opinion which stated that the acquisition of AXIS by XL will not result in a possible monopolistic practice and unfair business competition. The KPPU's supportive opinion has brought XL in getting a step closer to finalize the acquisition process.
  
  Previously, XL has received approval from the Ministry of Communications and Information Technology and from XL's shareholders through Extraordinary General Meeting of Shareholders some time ago. The Merger Statement of XL and AXIS has obtained the Effective Statement from the Financial Services Authority (OJK) as well as no objection from the Indonesian Stock Exchange. In addition, both XL and AXIS have obtained the approval from the Investment Coordinating Board (BKPM) for the acquisition plan.
  
  President Director of XL Hasnul Suhaimi said, "We are grateful for the KPPU's support to the merger and acquisition plan. It is a crucial milestone for consolidation of the national telecommunications industry. By obtaining the approval from KPPU, we have complied with all the regulatory requirements in the Conditional Sale and Purchase Agreement (CSPA). XL - AXIS merger will provide substantial benefits for customers, as well as creating a healthier ecosystem in the telecommunications industry."
  
  As part of the main objectives of the merger as well as to express our commitment to the Commission, following the merger of the two entities, XL will remain committed to serve as maverick operator, a pro-community operator, which provides relatively affordable services to the Indonesian telecommunications consumers. This will allow customers to have the best value of money, not only in terms of affordability, but also in terms of quality and services experiences, as well as expanded product availability throughout Indonesia.
  
  Hasnul also explained that XL will be in regular contact with the KPPU throughout the merger process to ensure compliancy with the prevailing rules and regulations, while ensuring that customers will absolutely enjoy significant benefits from the merger.
  
  Hasnul further added that the XL - AXIS merger will not trigger a monopoly practice. The total post-merger subscribers of XL - AXIS will reach more than 65 million, which represents approximately 21% of the market share. The figure is still far below the market share of other operators in Indonesia. In addition, customer's leniency to move from one operator to another is opening a door to a healthy and open competition that will drive each operator to continue to create and innovate in order to improve their products and services as well as to meet customer expectations.
  
  Consolidation will leads to healthier national telecommunications industry ecosystems with sustainable growth, which will strengthen operators' ability to provide better quality of service for all public telecommunications service users with growing needs each year.
  
  Acquisitions and mergers of XL - AXIS will be very beneficial for the industry, government and customers as it will drive larger subscribers' base and also bigger on-net community. Other than that, the merger will also improve the service quality and provide better and wider network coverage with higher capacity as well as wider product and customer service in the market.

   

  <div class="cArrow"> </div><div class="cContentInner">Jakarta, 10 March 2014 - <a rel="nofollow" href="http://www.xl.co.id/corporate/en/home">PT XL Axiata Tbk (XL)</a> conveys its appreciation and gratitude to the Business Competition Supervisory Commission (KPPU)'s approval to XL and AXIS merger and acquisition plan. The Commission has issued an opinion which stated that the acquisition of AXIS by XL will not result in a possible monopolistic practice and unfair business competition. The KPPU's supportive opinion has brought XL in getting a step closer to finalize the acquisition process. <br /> <br /> Previously, XL has received approval from the Ministry of Communications and Information Technology and from XL's shareholders through Extraordinary General Meeting of Shareholders some time ago. The Merger Statement of XL and AXIS has obtained the Effective Statement from the Financial Services Authority (OJK) as well as no objection from the Indonesian Stock Exchange. In addition, both XL and AXIS have obtained the approval from the Investment Coordinating Board (BKPM) for the acquisition plan. <br /> <br /> President Director of XL Hasnul Suhaimi said, "We are grateful for the KPPU's support to the merger and acquisition plan. It is a crucial milestone for consolidation of the national telecommunications industry. By obtaining the approval from KPPU, we have complied with all the regulatory requirements in the Conditional Sale and Purchase Agreement (CSPA). XL - AXIS merger will provide substantial benefits for customers, as well as creating a healthier ecosystem in the telecommunications industry." <br /> <br /> As part of the main objectives of the merger as well as to express our commitment to the Commission, following the merger of the two entities, XL will remain committed to serve as maverick operator, a pro-community operator, which provides relatively affordable services to the Indonesian telecommunications consumers. This will allow customers to have the best value of money, not only in terms of affordability, but also in terms of quality and services experiences, as well as expanded product availability throughout Indonesia. <br /> <br /> Hasnul also explained that XL will be in regular contact with the KPPU throughout the merger process to ensure compliancy with the prevailing rules and regulations, while ensuring that customers will absolutely enjoy significant benefits from the merger. <br /> <br /> Hasnul further added that the XL - AXIS merger will not trigger a monopoly practice. The total post-merger subscribers of XL - AXIS will reach more than 65 million, which represents approximately 21% of the market share. The figure is still far below the market share of other operators in Indonesia. In addition, customer's leniency to move from one operator to another is opening a door to a healthy and open competition that will drive each operator to continue to create and innovate in order to improve their products and services as well as to meet customer expectations. <br /> <br /> Consolidation will leads to healthier national telecommunications industry ecosystems with sustainable growth, which will strengthen operators' ability to provide better quality of service for all public telecommunications service users with growing needs each year. <br /> <br /> Acquisitions and mergers of XL - AXIS will be very beneficial for the industry, government and customers as it will drive larger subscribers' base and also bigger on-net community. Other than that, the merger will also improve the service quality and provide better and wider network coverage with higher capacity as well as wider product and customer service in the market.</div>

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