Southeast Asia's biggest bank, DBS Group Holdings Ltd., agreed to extend the last day for buying controlling stakes in the PT Bank Danamon Indonesia. This bank is from Temasek Holdings PTE and is being done regardless of disputes on its regulations.
According to a statement released today by DBS, the agreement with Temasek's Fullerton Financial Holdings PTE was extended until August 1. The deal will lapse until further extensions are made.
Former central bank governor of Indonesia, Darmin Nasution, also added that DBS will be granted a 40% stake share of Danamon. This will be in accordance with the ownership for bank regulations. The takeover bid made April of last year totaled to a hefty US$6.8 billion. On the other hand, a marginal stake would reject the DBS management control. Indonesia is known to be among the top 20 biggest economies when it comes to loans. The country's regulator is also said to be influencing such transactions to be at par with Singapore's access for its banks.
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