Indosat told to acquire Pakistani telecom firm
Indosat told to acquire Pakistani telecom firm
JAKARTA (JP): Minister of Tourism, Post and Telecommunications Joop Ave has told the state-owned international telecommunications company, PT Indosat, to talk with the visiting Pakistani delegation about buying a telecoms firm in Pakistan.
Joop told reporters after receiving a delegation led by Asif Ali Zardari, the husband of Pakistani Prime Minister Benazir Bhutto, that Pakistan was offering its international telecommunications firms for sale.
Bhutto arrived here yesterday for a three-day state visit to promote bilateral cooperation in trade, investment and agriculture. The Pakistani premier was accompanied by her husband, five ministers and 80 business leaders.
"One of the 21 members of the Pakistani delegation was a telecoms minister who said that there are four international telecommunications gateways in his country that are available for sale. I'm interested," Joop said.
Soon after the delegation left his office, Minister Joop ordered one of his staff to contact Indosat's president, Tjahjono Soerjodibroto, to suggest a meeting about the offer today.
No further details were available.
Indosat, which was floated on the New York and Jakarta stock exchanges in October 1994, is currently exploring new overseas businesses. Indosat has acquired a number of shares in Astel, a cellular telephone operator in Japan. Through its subsidiary PT Sisindosat, Indosat has also bought equity in Global Link Inc., an American firm offering assorted telecoms services.
Joop said yesterday that last year Indosat started work on telephone networks in Cambodia after winning a $15 million contract to refurbish the country's telephone system.
Indosat earned net profits of Rp 459.4 billion in 1995, 59 percent higher than in 1994. Most of it came from international telephone traffic.
The company has allocated about Rp 560 billion to establish international telecommunication facilities and participate in domestic telephone networks and other businesses to support its core business.
Joop also said yesterday that he had spent about 80 percent of his one-hour meeting with Zardari discussing cooperation possibilities in the tourism industry.
"I declined a request from the delegation to free Pakistanis visiting Indonesia from visas. I said only a few Pakistanis visit Indonesia each year," Joop said.
He said the delegation also invited Indonesian investors to participate in the development of Pakistan's tourism industry. (icn)