JAKARTA, Feb 19 (Reuters) - Indonesia's leading auto maker PT Astra International said it plans to sign a memorandum of understanding with Japan's Toyota Motor Corp on Thursday involve manufacturing unit PT Toyota Astra Motor.
Astra, 34.31 percent owned by Singapore's Cycle & Carriage , declined to give other details.
But Astra has been in negotiations to sell to Toyota the manufacturing unit that produces Toyota models in Indonesia as part of efforts to reduce its debts and concentrate on the distribution business.
Analysts estimated such a deal would be worth $150-200 million.
"We will have a press conference tomorrow. Astra will sign an MOU with Toyota Motor Corp," Astra's spokesman Aminuddin told Reuters.
Last year the company said a sale, if it materialised, would leave Astra with a five to 10 percent stake in TAM from the current 51 percent.
Analysts said under the deal Astra is likely to control the distribution business while Toyota will have the manufacturing business.
In early trade, Astra's shares were down 1.02 percent at 2,425 rupiah ($0.27). ($1=8,873 rupiah)