PT Indofood Sukses Makmur Tbk (INDF) has purchased 49% of all shares of PT Indofood Fritolay Makmur (IFL) owned by Fritolay Netherlands Holding BV (Fritolay) with a transaction value of Rp494 billion.

"Funds for the purchase of IFL shares will be obtained from the company's internal cash," said INDF Corporate Secretary Gideon A. Putro in the IDX disclosure on Wednesday (17/2).

Thus, the company's share ownership in IFL increased from 55% to 99.99% of the total shares issued by IFL.

In connection with this transaction, IFL will terminate the license agreement with PepsiCo after IFL has completed all the preparations for the production and sale of those owned by PepsiCo, which must be completed within six months.

Fritolay, PepsiCo, or other affiliated parties may not produce, package, sell, market, or distribute any snack products in Indonesia that compete with IFL products for three years from the end of the transition period.