Etisalat is planning to sell the majority of its stake in Indonesia’s XL Axiata.
“Etisalat has initiated a process to sell-down its stake in PT XL Axiata tbk on the market,” Etisalat said in a statement.
Etisalat, which invested $440 million in the Indonesian operator almost five years ago, aims to raise up to $502 million by selling most of its stake in the unit, according to Reuters.
The decision to sell the stake came after XL Axiata’s share price increased by almost 50% in 2012, compared with an 8.7% rise in Indonesia's benchmark share index, the report added.
Etisalat had been widely expected to exit the Indonesian market because it had failed to expand its partnership with XL Axiata's major shareholder, Axiata Group of Malaysia, according to Reuters.
Speaking at a conference in Dubai earlier in the year, Ahmed Julfar, group CEO, Etisalat, said that the company would “revisit” its international markets and would consider divesting some assets.