Shares in Indonesian telecoms operator XL Axiata (formerly PT Excelcomindo Pratama) fell 1.41% to IDR3,500 (USD0.38) on the local bourse in the wake of an announcement by the company’s majority shareholder that it plans to sell 20% of the firm through a share placement.

Axiata, the international arm of Telkom Malaysia, owns 86.5% of XL Axiata, while Emirates Telecommunications (Etisalat), owns a further 13.3% stake, and 0.2% is in free float.

Upon completion of the transaction Axiata’s equity interest will fall to 66.5%, but publicly traded shares will constitute 20.2% of the company it said, theoretically making the group ‘more accessible’ to institutional investors. Credit Suisse is quoted as saying the placement could generate as much as USD51.3 million.