Published October 8, 2008

Maybank offered BII stake at discount

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(KUALA LUMPUR) Malaysia's Maybank has been offered another 15 per cent stake in Bank Internasional Indonesia (BII) at a discount to its original offer price that will cut the total price by more than RM200 million (S$83.6 million).

The Edge Financial Daily reported yesterday that Maybank will save another RM205.5 million if it gets approval from Indonesian authorities to acquire a 15 per cent stake in BII held by a group of US hedge funds at 433 rupiah per share.

Maybank was not immediately available for comment.

'Sources said the hedge funds had offered to sell their shares to the Malaysian lender at a discount similar to that given by Temasek Holding's Fullerton Financial Holdings,' the newspaper said.

Maybank completed the acquisition of a 55.6 per cent stake in BII last week from Fullerton Financial Holdings, a unit of Singapore's Temasek , and South Korea's Kookmin Bank , after the two cut their asking price by RM758.9 million.

This made the final price of the stake RM4.26 billion, though analysts said that the deal remained expensive despite the cut in the price to the equivalent of 433 rupiah per share compared with 510 rupiah per share under the previous deal.

Maybank still has to tender for the outstanding BII shares at 510 rupiah per share. -- Reuters