Telkom Indonesia is mulling the sale of shares in its data centre unit with a potential deal possibly being done in H2, reported Reuters.
The operator group is choosing a financial advisor for the deal and working out how many shares to sell, said Telkom Senior Vice President of Corporate Communication and Investor Relations, Ahmad Reza.
Sources speaking to Reuters said the sale of a minority stake is expected to start in March and the value of Telkom’s data centre business is over US$1 billion. Telkom Indonesia did not comment on the timescale, stake size or valuation.
Telkom has 28 data centres and of this total three are overseas, according to its 2022 annual report. Telkom outlined its rivals in the data centre business in its report as: DCI Indonesia, Princeton DG and NTT Communication.
Gaining an external investor is a strategy that Telkom could employ to expand its data centre unit locally and globally.
"As the internet penetration worldwide is growing rapidly, the data centre business is becoming a hot asset to invest in, including in Indonesia," Reza said.
