OTHERS ANCOM BERHAD - AWARD OF MRT JAKARTA PHASE 1 STATIONS ADVERTISING CONCESSION
|Description||ANCOM BERHAD - AWARD OF MRT JAKARTA PHASE 1 STATIONS ADVERTISING CONCESSION|
The announcement made on 12 May 2017 refers.
Ancom Berhad ("Ancom" or the "Company") wishes to announce that the Company, on 11 October 2017, through PT. Avabanindo Perkasa ("PTAP"), was selected as the advertising service concession holder in the provision of advertising services (beauty contest) in the operational area of Mass Rapid Transit in Jakarta ("MRT Jakarta") Phase 1 stations.
On 12 May 2017, the Company announced that Puncak Berlian Sdn. Bhd. ("PBSB"), an indirect wholly-owned subsidiary of the Company through Redberry Sdn. Bhd., had on 11 May 2017 in Jakarta entered into a Preliminary Agreement with PT. Alternatif Media Group, PT. Avabanindo Perkasa (PTAP) (both of Indonesia) and VGI Global Media Public Company Limited (of Thailand) to establish an operational cooperation consortium ("Consortium") in order to secure the tender of consulting services and the provision of advertising media with MRT Jakarta ("Project").
PBSB holds a substantial stake in the Consortium that won this award.
MRT JAKARTA PHASE 1 ADVERTISING CONCESSION
The MRT Jakarta is an infrastructure project that aims to relieve great traffic congestion in Indonesia's capital city. Currently, the North-South line of the MRT Jakarta is being constructed, while an East-West line is being studied. The main owner of the MRT Jakarta is the local Jakarta government.
The Consortium through PTAP had on 20 June 2017 submitted a tender for the Project.
On 11 October 2017, PT Mass Rapid Transit Jakarta (PT MRT Jakarta) has announced that PTAP was selected as the advertising service company (concession holder) in the provision of advertising services (beauty contest) in the operational area of MRT Jarkata Phase 1 stations ("Advertising Concession").
The MRT Jakarta Adverting Concession is with an exclusive media advertising rights of 20 years. The MRT Jakarta Phase 1 starts from Bundaran HI to Lebak Bulus, having a total of 13 stations (6 underground and 7 elevated stations) and 16 trains (6 car trains) that connect the key populated areas to the central business district of Jakarta. It is expected that the MRT Jakarta Phase 1 would commence its commercial operation in March 2019.
The winning of the bid by the Consortium is of commercial benefits for the Media Division of Ancom Berhad, i.e. Redberry Group, to further expand its media business into the South-East Asia Region.
The bid is expected to have significant future earnings to the Media Division of Ancom.
This announcement is dated 11 October 2017.