Owners Agree Lower Sale Price for Bank Permata

The two partners will lower the purchase price of the Indonesian bank to 1.63 times Permata’s shareholders’ equity as at March, from 1.77 times the equity.

Standard Chartered and partner Astra International have agreed to sell their stake combined 89.1 percent stake in Bank Permata to Bangkok Bank at a reduced price if the sale closes before the end of June, Standard Chartered said on Monday.

This would bring the total amount payable to each stakeholder to 17 trillion Indonesian rupiah ($1.13 billion), based on 1.63 times book value as at December 31, 2019.

In December, Standard Chartered said it was selling its 44.56 percent stake in the Jakarta-based lender for $1.3 billion, which would be used to fund some of its restructuring over the next three years. Bangkok Bank also acquired a stake of the same size from Astra, a 50.1-per cent subsidiary of Singapore-listed Jardine Cycle & Carriage.

Permata operates about 330 branches across 62 cities in Indonesia, where it is the country’s 12th-largest lender by assets.

Bangkok Bank said the acquisition would help it diversify and grow away from its maturing home market. Indonesia is also one of Asia’s fastest-growing economies and has favourable demographics at a time of growing economic integration in Southeast Asia, it said.