KONTAN.CO.ID - JAKARTA. Japanese banking giant, MUFG, Ltd has prepared funds worth IDR 1.69 trillion to buy the remaining share ownership of PT Mandala Finance Tbk (MFIN) owned by the public. This step was carried out through a mandatory tender offer as a continuation of the acquisition process for the finance company last year.

As is known, currently public ownership of MFIN shares is 513,961,400 shares. The tender offer price for MFIN shares has been determined at IDR 3,297 per share.

"MUFG states that it has sufficient funds and is able to carry out its obligations to make full payments to shareholders offered in connection with the mandatory tender offer," wrote MUFG's information disclosure, Monday (22/7).

The mandatory tender offer implementation period will last for 30 days after the information disclosure. This means that the period will end on August 21 2024 at 15.00 West Indonesia Time.

MUFG stated that the aim of purchasing these shares was to take advantage of MFIN's strengths, both in its products and presence, to further strengthen and expand MUFG's automotive financing business in Indonesia together with PT Adira Dinamika Multifinance Tbk (ADMF).

After this mandatory tender offer is completed, MUFG plans to continue implementing the matters contained in the operational development plan that MFIN has submitted to the OJK.

Meanwhile, if public shareholders exercise their right to participate in this mandatory tender, then MFIN will likely become a closed company. Where, MUFG will hold the most MFIN shares with 90% ownership.

"The new controller has no concrete plans to apply for a change in target company status (MFIN) from a public company to a closed company," wrote the disclosure.