Indonesian regulator grants Maybank extension to cut BII stake

Bapepam gave the Malaysian bank until June 1 to divest BII stake which it bought for pricey $2bln.

Indonesian market regulator Bapepam has extended the deadline for Malaysia’s Maybank to sell down its stake in Pt Bank Internasional Indonesia to June 1 next year.

Maybank, Malaysia’s largest lender, said it could request for a further extension middle of next year if the sell down results in a potential loss of 10 per cent of BII’s original acquisition value.

The Malaysian bank paid over US$2 billion to take over the Indonesian lender, a move that analysts had criticised as being too pricey, according to a report in Business Times.