08 November 2022

Telkom Indonesia is considering a sale of a minority stake of its data centre unit.

The company has held initial talks with prospective investors and could seek a valuation of more than $1 billion for the operation.

President director Ririek Adriansyah told Bloomberg that Telkom hasn’t decided whether it will introduce investors to, or hold an IPO for, the data centre operation, adding that the business could be valued at about 25 times EBITDA.

“We will see how our data center consolidation and development progresses,” said Adriansyah. “We will also need to look at the macro conditions before deciding on the right scenario.”

The majority-state-owned telco operates 18 neuCentrIX data center facilities in 13 cities across Indonesia. Last year the company opened a new data centre in Ulin, Banjarmasin, and announced plans for a new $100 million data centre in Batam in the Nongsa Digital Park.