DBS to Buy Temasek Stake in Bank Danamon for $7.2 Billion

DBS Group Holdings Ltd. offered to buy PT Bank Danamon Indonesia for about $7.2 billion, the biggest takeover by a Southeast Asian lender, to tap a market growing at the fastest pace since before the 1997 Asian crisis.

DBS, controlled by Singapore’s state-run Temasek Holdings Pte, said it will pay its parent company 45.2 trillion rupiah ($4.9 billion) in new shares for its 67 percent stake and buy the remaining stock from other shareholders for 21.2 trillion rupiah in cash. Temasek will increase its stake in DBS to 40.4 percent from 29.5 percent, the lender said.