Indonesia: Kino Indonesia, XL Axiata, Indika Energy and more

• Kino Indonesia (KINO IJ) continues to look like a lesser known consumer proxy despite its interesting portfolio of leading brands in beverages, personal care, food, and pharmacy. 
• The company is already seeing a strong rebound in the sales of beverages and personal care products, as mobility resumes in Indonesia. 
• Higher packaging, distribution, and input costs are putting some pressure on margins but this is being offset through selective price increases. The recent pull-back in share price provides an opportunity.

• The completion of the acquisition of a 66% stake in Link Net by Axiata Group and XL Axiata is a significant positive for the latter on its convergence journey.
• The deal will bring significant synergies for both parties but it gives XL Axiata (EXCL IJ) access to a nationwide fibre backbone, which will be invaluable for 5G longer-term.
• XL Axiata (EXCL IJ) will now be able to offer a truly bundled service including the best quality high-speed broadband and pay-TV through First Media. Valuations are attractive.

Lucror Analytics Weekly Wraps provide an overview of all Morning Views comments and reports published by our analyst team in the past week, and also showcase a list of the most-read reports.

In this Insight:

1. Fosun International
2. Country Garden Holdings Co
3. Logan Property Holdings
4. China Jinmao Holdings
5. Lifestyle International Holdings

and more…