Indonesia’s antimonopoly commission has approved a planned merger by XL Axiata and Axis Telekom Indonesia, the latest of such approvals after other regulators made gave their go-ahead.
“XL Axiata has secured approval from KPPU on March 6,” Murni Nurdini, XL’s corporate secretary said, referring to the antimonopoly commission by its Indonesian name in a statement on Monday.
The KPPU has reason to be wary of monopolies in the industry, after finding six telecommunications companies guilty of collusion to fix SMS prices in 2008, dishing out fines worth $10 million.
The approval should help boost confidence among XL Axiata’s management that the merger may be concluded by the end of this month.
The approval is the latest after it obtained approval from the Ministry of Communications and Information Technology in February last month.
The Financial Services Authority (OJK) has also okayed the merger plan. The OJK supervises listed companies, including XL Axiata. Shareholders have also given their nod to the plan.