Andrey Wijaya, Mutiara Nita - RHB Sekuritas
♦ Semen Indonesia (SMGR) management is waiting OJK decision on tender offer of the remaining Holcim Indonesia (SMCB IJ, NR) stakes which owned by public.
♦ Estimated tender offer price is IDR2,097 per share, around 6% higher than yesterday closing price.
♦ The above tender offer price is slightly lower than our estimates (IDR2,150), driven by stronger IDR. At the time of the divestment announcement, USD/IDR was at around IDR14,500/USD, but at closed transaction it was around at IDR13,970/USD. The divestment is based on USD.
♦ Maintain BUY on SMGR with DCF-based IDR14,500 TP ( 18% upside), implies to 29x-25x FY19-20F P/Es. We see SMGR acquisition on SMCB to create positive synergise in the long term.
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