Merger Plan Between Indosat And Tri Could Be Canceled Because It Is Still An MoU

JAKARTA - Operations Director of PT Indosat Tbk. Vikram Sinha said that his party could not confirm whether the merger agreement with PT Hutchison 3 Indonesia would actually take place this year or not.

According to him, a memorandum of understanding (MoU) is non-binding and could be adjusted in the future. Vikram said that his party is now only focused on improving services for Indosat users in Indonesia.

"Our focus is to continue to grow in accordance with the targets that have been set," he said in a virtual press conference, Tuesday, January 12.

Meanwhile, one of the important things that the company with the ISAT stock code does is to finalize the 5G-based telecommunication infrastructure.

"We are working hard to prepare everything related to the 5G network," he said.

For information, currently Indosat utilizes a frequency spectrum of 47.5 MHz. From the channels it owns, Indosat is deemed unable to provide 5G services independently.

Regarding the issue of the merger with Tri, Indosat explained that the Memorandum of Understanding (MoU) is not legally binding. The MoU itself is valid until April 30, 2021.