PT INDOSAT TBK

PT INDOSAT TBK

Previous company name
PT INDONESIAN SATELLITE CORPORATION TBK
Name change date
1/31/2005
Company Overview
PT Indosat Tbk is a telecommunications service provider that offers full fledged, integrated network and services in information and communication solutions. The company was established as PT Indonesian Satellite Corporation Tbk (Indosat) in 1967 as a foreign investment company to provide international telecommunications services in Indonesia. Its head office is located in Jakarta, Indonesia. The company is listed on the Jakarta Stock Exchange, the Surabaya Stock Exchange and the New York Stock Exchange.
Indosat is the second largest cellular operator in Indonesia through its three brands: Matrix, Mentari and IM-3. It provides switched and non-switched international telecommunications services, including international direct dialing telephony (international long distance service), international data network communications, international leased lines and international television transmission services.
The company is a member of the CDMA Development Group (CDG), an international consortium of companies who have joined together to lead the adoption and evolution of 3G CDMA (code division multiple access, a mobile digital radio technology) wireless systems around the world.
The company aims to provide and develop innovative and quality products, services, and solutions, which offer the best value to its customers.
Indosat is majority owned by Indonesia Communications Limited, a holding company of a group that offers information and communications services in the Asia-Pacific, the Americas, and Europe.
Business Summary
The company’s principal business is to provide international switched telecommunications services.
Description and history
Perusahaan Perseroan (Persero) PT Indonesian Satelite Corporation (Indosat) is the primary provider of international telecommunications services in Indonesia. The company’s principal business is to provide international switched telecommunications services, including telephone, telex, telegram, packet switced data networks, store and forward facsimile services, and Inmarsat services for mobile communications.

The company also provides a variety of non-switced international telecommunication services, such as low-and high-speed leased lines, video conferencing, telecast services, and other services that typically involve the transmission of data or video rather than voice traffic. Switced services require routing through the domestic telephone system, while non-switched service customers are connected directly to Indosat.

Indosat was established in 1967 as an indirect wholly-owned subsidiary of International Telephone and Telegraph Corporation (ITT), and was selected by the Indonesian Government to build, transfer, and operate for a period of 20 years and Intelsat earth station in Indonesia to access Intelsat’s Indian Ocean Region (IOR) satelites.

Intelsat is a worldwide consortium for global international satelite communication organisations that owns and operates a number of telecommunications satelites. Indosat began commercial operations in September 1969. In 1979 Indosat completed a second Intelsat earth station, which provided access to Intelsat’s Pacific Ocean Region (POR) satelites. Due to restrictions on foreign ownership of telecommunications facilities, Indosat built the Intelsat earth station and transferred them to the Indonesian.

By 1980, Indosat began operating its first submarine cable link: The Indonesia – Singapore (I-S) submarine cable. Indosat’s ownership interest in the I-S cable was transferred to Perusahaan Umum Telekomunikasi (Perumtel), a public service organisation and the predecessor of the current provider of domestic Indonesian telecommunications services, PT (Persero) Telekomunikasi Indonesia Tbk (Telkom), upon completion and leased back.

Indosat also provides mobile communications to ships at sea, aircraft in flight, and land users through Inmarsat, an international mobile satelite communications consortium that owns and operates a number of telecommunications and distress satelite.

Indosat has been the Indonesian representative for Intelsat since 1985 and for Inmarsat since 1986. As the Indonesian representative for Intelsat and Inmarsat, the Company authorises all use of Intelsat and Inmarsat satelite systems by Indonesian customers and international telecommunication providers, including competitiors of the Company.

In 1980, ITT sold Indosat to the Indonesian Government for a price of approximately US$43.8 million. After the transfer, Indosat became a persero, or state-owned limited lability corporation, and the sole provider of international telecommunications in Indonesia. At the time, the Indonesian Government transferred its ownership in Indosat’s facilities to Indosat.

In 1982, in order to effectively separate the domestic and international telecommunications networks, all of Perumtel’s ownership in international submarine cables and its international operators and gateaway in Jakarta were transferred to Indosat, and Indosat transferred certain assets related to the domestic telecommunications system to Perumtel.

From 1984 to 1992, Indosat provided tracking, telematry, command, and monitoring (TTC&M) services to all of Intelsat’s IOR and POR satelites, and acted as a Time Division Multiple Access (TDMA) reference and monitor station for Intelsat’s IOR satelites.

In 1993, the Company introduced International Direct Dialling (IDD), which remains to this day as Indosat’s most important service. Indosat expanded its operations by opening s second gateaway in Medan in 1985, a third gateway in Batam in December 1992, and a fourth gateway in Surabaya in 1995. These gateways route international traffic to end from Indonesia using satelite, submarine cable and microwave links.

From the time the company commerced commercial operations in 1969, it has managed the rapid introduction of new telecommunications technologies and greatly expanded the scope of its services in Indonesia. The business of the Company has grown rapidly in recent years reflecting both the overall economic growth of Indonesia and the increased emphasis placed by the Indonesian Government on improving the national telecommunications network.

In addition, the Company has made significant enhancement to the efficiency of its network, in particular through opening additional gateways and investing in digital switching and transmision equipment. Since 1989, all of the Company’s switching equipment has been digital.

In October 1994 the Company completed an initial global public offering of shares comprising 103,550,000 series B share which were sold to the public of Indonesia by the company, and 25,887,500 American Depositary Share (ADSs) representing 258,875,000 Series B share, which were sold to non-Indonesian persons outside of Indonesia by the Indonesian Government. The ADSs began trading on the New York Stock Exchange on 18 October 1994. The Series B share began trading on the Jakarta Stock Exchange and the Surabaya Stock Exchange on 19 October 1994.

This company has listed on the London Stock Exchange (LSE) on the 20 October 1995.

Based on a resolution at the Company’s Annual General Stockholders? Meeting held on December 27, 2002 which was covered by notarial deed No. 6 dated January 8, 2003 of Rini Yulianti, S.H. (as a substitute notary of Poerbaningsih Adi Warsito, S.H.), the stockholders approved to change the status of the Company to become a Foreign Capital Investment Company under Law No. 1 of 1967 of the Republic of Indonesia as amended by Law No. 11 of 1970. The stockholders also resolved to amend the Company’s articles of association concerning, among others, the change in the name of the Company from Perusahaan Perseroan (Persero) PT Indonesian Satellite Corporation Tbk to PT Indonesian Satellite Corporation Tbk.

27 Dec 2004 – Company changed its name to PT Indosat Tbk.

Established as PT Indonesian Satellite Corporation Tbk (Indosat) as a foreign investment company to provide international telecommunications services in Indonesia

Business Line
Offers full fledged, integrated network and services in information and communication solutions
Subsidiary
APLIKANUSA LINTASARTA PT
Advisor
PURWANTONO, SARWOKO & SANDJAJA
IPO date
10/19/1994
US SIC Code
4899
Company Address
JL MEDAN MERDEKA BARAT
NO. 21
City province or state postal code
10110, JAKARTA
Phone: +62 21 386 9614
Fax: +62 21 380 4045
Country address: INDONESIA
Website url: www.indosat.com