Indonesian ISP LinkNet aims to add a further 250,000 home passed by its network in 2020, on top of the estimated figure of 2.45 million reported by end-2019 and a confirmed 2.20 million at end-2018. Further, LinkNet president Marlo Budiman says that with demand for over-the-top (OTT) streaming services continuing to rise, the company expects to see strong customer growth ‘in new cities’ and is forecasting ‘double digit revenue growth’ and ‘net profit to grow in the middle single digit’ range. The ISP is currently active in Greater Jakarta, Surabaya and surrounding areas, Bandung and surrounding areas, Malang, Bali, Medan and Batam, and is looking to expand its range of services to other cities in Indonesia. It booked Q3 2019 revenue of IDR2.76 trillion (USD197.98 million), down from IDR2.79 trillion in the corresponding year-earlier period.
As previously reported by TeleGeography’s CommsUpdate, in November 2019 Indonesian media giant MNC Vision struck a deal to acquire CVC Capital’s stake in broadband and cable TV provider LinkNet. In a regulatory filing, MNC Vision confirmed the signing of a ‘term sheet’ to purchase a majority stake in LinkNet from CVC Capital’s local subsidiary Asia Link Dewa and Lippo Group-controlled First Media. The report also notes that in a separate filing, First Media has said it expects the transaction to be completed by all parties ‘within six months’. No financial details were disclosed but the success of this corporate action will depend on the results of due diligence agreed by the parties, fulfillment of prerequisite conditions, government or regulatory approval, signing of a definitive agreement and financing obtained to complete this transaction.