Indosat Tender Offer should be Proportional
Qatar Telecom tender offer on 8% Indosat shares which own by public will be carry out proportionally to comply with maximum limit of foreign ownership which is 49%.
Chairman of Capital Market Supervisory Agency and Financial Institutions: Ahmad Fuad Rahmany (07/07) said if information and communication minister gave 49% share limit for foreign ownership, so Qtel mandatory only 49% and will be limited to have 8% tender offer.
M Noor Rachman Chief Bureau for company financial assesment in sector service said tender offer should be proporsional and in line with the limitation.
The limitation not follow the stock exchange new rules which released in June 30, 2008 but follow the presidential decree on foreign ownership limitation rules which is the level more higher then Bapepam-LK rules.
Based on Bapepam-LK rule, tender offer is mandatory for public company shares take over or 50% share acquisition or get control of power, directly or indirectly on management and policy of subject company.
But, Qtel tender offer limitation finally limited by presidential decree on foreign ownership limitation rules.
Foreign ownership limitation in fixed telecommunication network maximum 49% and foreign ownership limitation for cellular network maximum 65%.
Related with the limitation, Communication and information Minister Mohammad Nuh had decide Qtel ownership limitation in Indosat only 49% and Minister Nuh said government not gave any privilege (grandfather clause) to Qtel.
Nuh further mention that government objectives to impose ownership limitation to Qtel as a strategy to give a space for domestic telecommunication industry growth.
Qtel cannot receive Grandfather clause because Indosat shares take over done after the release of negative investment list.
Grandfather clause is an exception which could make old rules still imposed for some situation or for some cases which had exist when new rules will be implement to all situation in the future.
Grandfather clause only imposed for some cases such as PT Excelcomindo Pratama Tbk, PT Hutchison CP Telecom Indonesia, PT Natrindo Telepon Seluler, which is 70%-90% of shares owned by foreign investor before the publish of investment negative list in 2007.
