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Temasek, GIC Said to Invest in Matahari Ahead of Share Sale

Temasek Holdings Pte, Singapore’s state investment fund, is among 15 investors that are buying almost one-third of a CVC Capital Partners Ltd.-led offering of PT Matahari Department Store shares, said a person with knowledge of the matter.

Temasek’s Fullerton Fund Management Co. and funds managed by Government of Singapore Investment Corp., Blackrock Inc. (BLK) and Goldman Sachs Group Inc. will be so-called cornerstone investors in the $1.36 billion sale, the person said, asking not to be identified as the information is private. Together, the funds have agreed to buy about 32 percent of the offering, or about $435 million of stock, the person said.

CVC and Indonesia’s Lippo Group (226) control 98 percent of Matahari through an entity called Asia Color Co. GIC is also an investor in Asia Color, the person said. The investors are selling a 40 percent stake in the department store operator after setting a price range of 10,000 rupiah ($1.03) to 11,250 rupiah per share for the sale, three people with knowledge of the matter said last week.

Spokesmen for GIC and Fullerton declined to comment on the investments. Reuters reported on the cornerstone investors earlier today, without citing anyone. CVC and its partners are meeting investors starting today and a final price for the offering will be set on March 21, according to the person.

Cornerstone investors typically receive guaranteed allocation in a stock offering in return for agreeing not to sell the shares for a certain period of time.

To contact the reporter on this story: Jonathan Browning in Hong Kong at jbrowning9@bloomberg.net

To contact the editor responsible for this story: Philip Lagerkranser at lagerkranser@bloomberg.net

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