L&M to buy RI's IT firm

L&M to buy RI's IT firm

SINGAPORE (Dow Jones): Singapore's L&M Group Investments Ltd. is diversifying into the information technology sector by buying into an Internet service provider in Indonesia, the company said late Thursday.

L&M Group, an investment holding company, said in a statement it has signed a memorandum of understanding to buy the option to acquire a 51 percent stake in PT Starkomindo Duta Info Cemerlang, an ISP in Indonesia.

L&M is buying 80 percent of the option from Majorcore Enterprises Pte. Ltd., a Singapore-based company. A formal agreement will be finalized within the next five working days.

L&M also said it has signed a memorandum of understanding with PT Griya Nusantara Pratama of Indonesia to jointly develop a 10- hectare site in Jakarta into a high-tech park.

The company has also set up a committee to coordinate and develop IT-related businesses, including ISP, e-commerce, portal and multi-media development, for the company.