President Director of PT Dayamitra Telekomunikasi Tbk. (MTEL) or Mitratel Theodorus Ardi Hartoko in Mitratel's online public presentation, Friday (22/4 - 2022).
Bisnis.com, JAKARTA – PT Dayamitra Telekomunikasi Tbk. (MTEL) or Mitratel last month acquired 6,000 towers belonging to PT Telekomunikasi Selular (Telkomsel). Analysts assess that this acquisition will have a positive impact on MTEL’s performance. Mandiri Sekuritas Capital Market Analyst Henry Tedja said that this acquisition would have a positive impact on the company’s performance, considering that the tower has a strategic location and value. Apart from that, continued Henry, this acquisition was also faster than the initial target planned, thereby enabling the company to carry out faster cross-selling of these towers to other telecommunications companies such as Indosat Ooredoo Hutchison, XL Axiata, and Smartfren.
“This will certainly improve Mitratel’s revenue and EBITDA growth outlook in the next 2 years,” said Henry, Wednesday (7/9/2022).
Until the end of 2022, Henry projects that Mitratel will have the opportunity to record revenue and EBITDA growth of 11-13 percent annually (YoY). He believes that the acquisition of Telkomsel’s tower will have a more positive impact on Mitratel’s business in 2023 than in 2022, considering that this acquisition only occurred in the 111/2022 quarter.
Henry sees the impact that the new tower rental will only have in a few months this year. Apart from that, consolidation in the telecommunications industry will also affect tower demand this year. On the other hand, the rapid growth in demand for fiber in the tower industry will certainly have a positive impact on Mitratel’s business.
“We see that there is room for the market to revise MTEL’s revenue and EBITDA targets for 2023 with the acquisition of these 6,000 towers,” he said. Henry said that his party still recommends buying Mitratel shares, with a target price of IDR 950 per share.
For your information, in early August 2022, Mitratel announced that it had signed a Sales & Purchase Agreement (SPA) for the takeover of 6,000 Telkomsel towers. The number of towers transacted far exceeds Mitratel’s inorganic action plan stated in the prospectus.
A total of 6,000 towers acquired by Mitratel from Telkomsel are in strategic locations spread throughout Indonesia, to support the acceleration of additional collocation potential and development of tower related business.
Mitratel has also prepared telecommunications infrastructure, including towers, fiber optic and power to tower spread throughout Indonesia, especially outside Java. It is believed that this will make it easier for telecommunications operators and non-operators to utilize the most complete and integrated solutions that Mitratel has.
