PT Computrade Technology International, a subsidiary of PT Anabatic Technologies Tbk (IDX:ATIC) will sell 73 percent share ownership in Eguine Global to IBM Global Service Pte for USD 13.02 million.

This is stated in the agreement to sell 100 percent of Eguine Global's shares to IBM for a total value of USD 21.3 million.

Of the total price, a value of USD 3 million or the equivalent of IDR 45,078 billion will be held in advance by IBM for 18 months from the transaction completion date.

After 18 months from the date of transaction completion, IBM will pay the holdback amount to the seller plus interest of 3.88 percent per year.

Quoting the information technology issuer's official statement which was uploaded on the Indonesia Stock Exchange (BEI) page, Monday (27/11/2023)  that this plan is to trim the company's structure in line with the growth strategy supported by cloud and digital solutions, especially in hardware and pay off debt.

Clearly, the subsidiary will reap funds worth IDR 195.65 billion from the sale of 73 percent of Eguine Global's shares.

After holding these funds, Computrade Technology International will pay off its debt to Bank Permata amounting to IDR 118.1 billion.

The company will also receive IDR 50 billion from the sale as cash dividends. The company will use the funds to develop business activities in the field of trade and services including electronic trading.

The remainder, amounting to IDR 27,557,631,092, is a retention (holdback amount) to Bank Permata as Creditor of Computrade Technology International for debt repayment after the retention payment is obtained from Bank Permata.

However, the plan to sell the subsidiary business to an unaffiliated party must obtain approval from investors at the Extraordinary General Meeting of Shareholders (EGMS) on December 14 2023.

If it gets the green light, the plan will continue with the signing of the sale and purchase deed on December 18 2023