XL calls off planned tower sale

12 Feb 2009

Indonesian publicly listed telco Excelcomindo Pratama (XL) has called off its planned sale of 7,000 telecoms towers and will instead use a rights issue to raise funds, The Jakarta Post reports. In a filing to the Indonesia Stock Exchange (IDX) yesterday XL said it had decided to abandon the sell off due to the ‘unsatisfactory’ bids put forward by interested parties. It is understood the bids offered fell short of the target of USD90,737-USD115,408 per tower set by the company. Commenting on the decision, XL Corporate Secretary Ike Andriani said: ‘The cancellation decision was taken after the offered prices did not reach the expected levels because it’s hard for potential investors to obtain financing under the current circumstances.’

Indonesia, XL Axiata