TOWR – To acquire 90.11% of IBST's shares

TOWR – To acquire 90.11% of IBST's shares Sarana Menara Nusantara (TOWR) will acquire 90.11% of Inti Bangun Sejahtera (IBST)'s shares through its subsidiary, iForte Solusi Infotek. The acquisition will be carried out through a tender process held by Bakti Taruna Sejati and Profesional Telekomunikasi Indonesia (Protelindo). After being selected as the winner of the auction, Protelindo will appoint iForte as the buyer in the acquisition plan. The final acquisition value and the time of completion of the takeover plan are still being discussed. The purpose of the acquisition is to develop the business and expand the business network in order to strengthen iForte Group's business position in the telecommunications digital infrastructure sector. (Source: Kontan) Comment : We view the acquisition of IBST as a positive step for TOWR. It will allow the company to expand its reach and customer base more quickly compared to a B2S strategy. However, the profitability of the acquisition will depend on the price paid. The company needs to carefully consider the financial implications before finalizing the deal.