TLKM - Considers divestment of fintech arm

Telekomunikasi Indonesia (TLKM) is reported to consider putting its financial technology affiliated company, Finnet Indonesia on sale. The company is directly owned by its subsidiary, Telkom Metra. Meanwhile, The company's estimated value is around USD100 - USD150 mn. (Source : Bisnis Indonesia) Comments : While the company remains mum on the rumors as the possible transaction is still uncertain, it may be possible for the company to sell some of its stakes to invite other partners in order to jack up future growth. However, given Finnet's smaller valuation compared to TLKM, it will not be caterized as material transaction, should it be materialized.