Indonesia Market Summaries 3 September 2013

• PT Astra Agro Lestari Tbk (AALI, Rp20.550 BUY TP: Rp21.200 ) and Kuala Lumpur Kepong form a joint venture to market AALI downstream products abroad. Both have set up a company engaged in crude palm oil refined products (downstream products), and market their products abroad. (Company Release)
• Management of PT Media Nusantara Citra Tbk (MNCN, Rp2.825 ) said they have terminated the discussions with VIVA group regarding the proposed acquisition of ANTV. MNC said that the company's valuation and market situation into uncertainty become the reasons for cancellation of the acquisition.
  Furthermore, they said that there is a better way to increase shareholder value is doing a buyback. The Company also will wait for a more opportune moment to make acquisitions. Previously rumored, that MNC group interested in buying shares of VIVA group. (Inilah.com)
• Based on data from the Central Statistics Agency (Badan Pusat Statistik / BPS), the soybean imports in this year (January to July) stood at 1.1 million tons, worth U.S. $ 670 million equivalen to Rp 6,7 trillion.
  Details, soybean imports in July amounted to 227 thousand tons or U.S. $ 140 million. That number is higher than June which amounted to 175 thousand tons or U.S. $ 105 million. So also with Mei that recorded 184 thousand tons or U.S. $ 113 million. (DetikFinance)
• Bank Indonesia (BI) will accelerate the launch of the implementation of the rules of banking services without offices alias branchless banking, because of banking supervision will move into the hands of the Financial Services Authority (Otoritas Jasa Keuangan / OJK) began early in 2014.
  Initially, branchless banking rules will glide after branchless banking test pilot project ends in November 2013. However, the central bank will promote the launch of a regulation in September or no later than October 2013. (Kontan.co.id)
• Significant Expense of PT Unilever Indonesia Tbk (UNVR, Rp30.550 Rp30.650 NEUTRAL TP) imposed by the related parties by June 2013 rose 48.14% compared with the same period last year to Rp 689,946 billion.
  The increase is due to the cost of services fueled by UBGS which skyrocketed while the royalty burden down. Meanwhile, the burden of royalties owned by Dutch giant retail is down 29.18% from Rp 360,412 to Rp 255,234 billion. (Bisnis.com)

Indonesia Market Summaries 3 September 2013