PT Indosat Tbk. (Indosat Ooredoo), a leading Indonesian digital telecommunications company, has agreed the sale of 3,100 of its mobile communications towers.
The sales and purchase agreement (SPA) was signed with PT Dayamitra Telekomunikasi (Mitratel) and PT Professional Telekomunikasi Indonesia (Protelindo).
PT Dayamitra Telekomunikasi (Mitratel) is a subsidiary of PT Telkom Indonesia (Persero) Tbk, which is engaged in providing telecommunications infrastructure. Protelindo is the largest independent telecommunications tower company in Indonesia, operating more than 18,200 telecommunications towers.
Mitratel will have 2,100 towers and Protelindo will have 1,000 towers. The total transaction is worth about $451 million. Indosat Ooredoo will lease the towers for 10 years from each buyer.
Payment of the transaction will be made entirely in cash upon completion of the transaction. Completion of each transaction will be carried out before the end of this year, depending on the general closing requirements of the transaction and the approval of shareholders at the company's Extraordinary General Meeting of Shareholders in late November.
