Indonesia's XL Axiata, Smartfren to merge, with $6.3 bln enterprise value, say sources

By Yantoultra Ngui SINGAPORE, Dec 11 (Reuters) - Indonesian telcos XL Axiata EXCL.JK , Smartfren Telecom FREN.JK and a unit of Smartfren are expected to announce a merger as early as Wednesday, two sources with direct knowledge of the matter said. The merged entity is expected to have an enterprise value of over 100 trillion rupiah ($6.31 billion) and annual revenue of more than 45 trillion rupiah, the sources added. XL's owners Axiata Group Bhd AXIA.KL and Smartfren's parent Sinar Mas Group will be the joint controlling shareholders with equal interest and influence over the merged entity, which is expected to be named XLSmart, the sources said. Representatives of the companies could not be reached immediately for comment on Wednesday. ($1 = 15,860.0000 rupiah) (Reporting by Yantoultra Ngui; Editing by Muralikumar Anantharaman) (([email protected];))