EXCL – Acquire Linknet's residential business to boost fixed broadband presence

EXCL – Acquire Linknet's residential business to boost fixed broadband presence XL Axiata (EXCL) will acquire the residential business unit or B2C business of Link Net (LINK) or Linknet for IDR1.87 tn. The transaction will see EXCL acquire all rights and interests in ServeCo which operates Linknet's B2C business, including ISP, IPTV and PayTV businesses as well as cloud storage, gaming and smart home customer services. EXCL and LINK have also signed a master services agreement under which LINK will agree to install, integrate and lease its FTTH network to EXCL. The company explained that the reason for the acquisition of LINK's B2C business is because FBB and FMC service market has a very large business opportunity. In addition to the growing demand for services, EXCL revealed that the penetration rate of FBB in Indonesia is still very low. This penetration rate is lower than the penetration rate in some Southeast Asian countries. (Source : Bisnis Indonesia)