Qatar’s telecoms company Ooredoo and CK Hutchison Holdings Ltd has completed the $6 billion merger of their Indonesian telecom businesses after securing all shareholder and regulatory approvals.

The newly merged company, named PT Indosat Ooredoo Hutchison Tbk, is effective from today, 4 January 2022, the companies said in a joint statement on the Abu Dhabi Securities Exchange, where Ooredoo's shares trade. 

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 percent.

Indosat Ooredoo Hutchison has thus become the country's second biggest telecoms company after state-owned Telkomsel.

Hong Kong's CK Hutchison and Qatar's Ooredoo agreed in September 2021 to merge their Indonesian telecom units in a $6 billion deal.

(Reporting by Brinda Darasha; editing by Seban Scaria) 

Disclaimer: This article is provided for informational purposes only. The content does not provide tax, legal or investment advice or opinion regarding the suitability, value or profitability of any particular security, portfolio or investment strategy. Read our full disclaimer policy here.

© ZAWYA 2022