MAP Aktif Acquires Malaysian Business for Rp 2.5 Trillion, Here's the Impact on Shares

PT MAP Aktif Adiperkasa Tbk (MAPA) is expanding its business through a global acquisition. MAPA, via its subsidiary Athletica International Holdings Pte. Ltd. (AIH), has officially signed an agreement to acquire all shares of Sports Direct Malaysia Sdn. Bhd. (SDM) for Rp 2.5 trillion. Corporate Secretary Ardhiantie Sadina stated that this corporate action is part of the company’s business expansion strategy, particularly to broaden the operations of Sports Direct and USC stores outside Indonesia. The acquisition of SDM aligns with MAPA’s business plan to open and operate stores under the Sports Direct and USC trademarks, which will ultimately support the company’s revenue growth. In this transaction, AIH will acquire 1 million shares, representing 100% ownership of SDM, from Frasers Group. The acquisition value is set at US$148.91 million, equivalent to approximately Rp 2.5 trillion. MAPA will also provide a corporate guarantee to ensure the fulfilment of AIH’s obligations to FGT as stipulated in the share purchase agreement. SDM is a company that operates the Sports Direct and USC retail networks in Malaysia. Analyst Azis assessed that MAPA’s prospects remain positive, supported by this business expansion, although the outlook is still overshadowed by weakening purchasing power. He recommended a trading buy for MAPA shares with a target price of Rp 665 per share.