Ooredoo Group and CK Hutchison Holdings Limited on Tuesday announced the completion of the proposed merger of their respective telecommunications businesses in Indonesia – PT Indosat Tbk (“Indosat Ooredoo”) and PT Hutchison 3 Indonesia (“H3I”) – after receiving all required shareholder and regulatory approvals.
The newly merged company will do business as PT Indosat Ooredoo Hutchison Tbk.
The completed merger combines two highly complementary businesses to create a new digital telecoms and internet company in Indonesia.with an estimated annual revenue of approximately USD3 billion.
Indosat Ooredoo Hutchison has the scale, financial strength and capabilities to accelerate Indonesia’s transformation into a digital society. The merger realizes significant operational synergies that will deliver cost efficiencies and facilitate deeper innovation and network enhancements, including the rollout of 5G in Indonesia.
Vikram Sinha, Chief Operating Officer (COO) of Indosat Ooredoo since 2019, will lead Indosat Ooredoo Hutchison as its new Chief Executive Officer (CEO).
Nicky Lee has been appointed as Chief Financial Officer (CFO) of Indosat Ooredoo Hutchison. Ahmad Abdulaziz Al Neama and Eyas Assaf have joined Ooredoo Group.
Indosat Ooredoo Hutchison will be jointly controlled by Ooredoo Group and CK Hutchison with a 65.6 percent shareholding. It will remain listed on the Indonesian Stock Exchange under the ticker ORDS, with the Government of Indonesia retaining a 9.6 percent shareholding, PT Tiga Telekomunikasi Indonesia holding a 10.8 percent shareholding, and other public shareholders holding approximately 14.0 percent.
