maybank-wins-auction-for-stake-in-indonesias-bii

Maybank wins auction for stake in Indonesia's BII

Maybank pays $1.1 billion for Temasek's stake in Bank Internasional Indonesia.

Rupert Walker

March 27, 2008

Temasek, the Singapore investment company, sold its holding in Bank Internasional Indonesia BII on March 26 for $1.1 billion to Maybank, MalaysiaÆs biggest financial services group. The move was taken in order to comply with the central bankÆs 2006 ôsingle-presenceö rule that prohibits foreign investors owning more than one Indonesian bank.

A Temasek subsidiary, Fullerton Financial Holdings, sold its 75% interest in Sorak Financial Holdings with the balance held by KoreaÆs Kookmin Bank which owned 56% of the shares in BII to government-owned Maybank at a rich 4.6 times 2007 price-to-book value. Maybank said it would also launch an offer for the remaining 44% of IndonesiaÆs sixth largest lender for about $1.2 billion.

Temasek was...

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