Indosat Ooredoo Hutchison (IOH) expanded its broadband business with the acquisition of rival MNC Play, as the company bets on broadband being a growth accelerator from 2024.
MNC Play trades as Indosat HiFi and has 300,000 fixed home broadband and entertainment customers, and 100 million mobile and FTTH subscribers. IOH detailed that it also acquired MNC Play’s Internet Protocol Television Services (IPTV).
Vikram Sinha, President Director and CEO of Indosat Ooredoo Hutchison (pictured), said: “This transforms the scale of our fibre-to-the-home business, and we expect it to have a positive impact on EBITDA from 2024.
“Home broadband will become an increasingly important contributor to Indosat’s growth in the future and we have fortified our position in this important market. The growth of our FTTH business will also help to further our larger purpose, to connect and empower the people of Indonesia and accelerate the nation’s digital transformation.”
As part of the same deal, MNC Play fibre optic assets were acquired by Lightstorm-owned Asianet, which will manage all aspects of the fibre network.
Analysts company, Globe Data, predicted fixed broadband subscribers could grow at a CAGR of 10.6% between 2022 and 2027.