JAKARTA – PT Dayamitra Telekomunikasi Tbk (MTEL) or Mitratel and Indosat Oredoo Hutchison (IOH) signed another conditional sales agreement (CSPA). Meanwhile, the transaction between Mitratel and IOH is projected to be completed in the first quarter of 2023.
President Director, Mitratel, Theodorus Ardi Hartoko said that this collaboration could strengthen and solidify MTEL’s position as the largest independent and trusted owner of telecommunications towers in Southeast Asia.
Teddy, as he is familiarly known, appreciates the company’s collaboration with IOH. “This collaboration strengthens Mitratel as the largest telecommunications tower owner in Southeast Asia. The addition of 997 telecommunications towers strengthens the telecommunications ecosystem and accelerates Mitratel’s tower colocation growth opportunities and supports Mitratel’s series of efforts to develop its business to become an end-to-end Digital Infrastructure Company. “And no less important is that the acquisition is also confirmation that Mitratel is an independent tower provider company and is highly trusted by mobile operators in Indonesia,” said Teddy in Jakarta, Saturday (2/18/2023).
The agreement is believed to provide benefits for sustainable business growth for Mitratel and IOH. “Mitratel strives to be a company oriented towards Leading Sustainable Growth. “The CSPA agreement with IOH continues the inorganic growth in previous years,” said Teddy.
In 2022, for example, Mitratel will acquire 6,088 units of telecommunications towers and 6,012 km of optical fiber. This acquisition is Mitratel’s effort to strengthen its position as the main consolidator of telecommunications infrastructure (towers and fiber) in Indonesia.
In line with the tower acquisition, MTEL is also carrying out a program to increase the tenancy ratio by providing high capacity connectivity by deploying fiber optic and satellite services, as well as providing power (power-to-power) which will provide full support to telecommunications operators.
In the future, Mitratel’s revenue growth is believed to grow above the industry average with this corporate action coupled with an increase in the tenancy ratio. The company also believes that the level of profitability, namely the EBITDA margin, will increase along with the growth opportunities for tower colocation.
On a consolidated basis, Mitratel in the first nine months of 2022 scored an EBITDA margin of 78.5% or higher than the previous year of 75.7%. Even the EBITDA margin from the telecommunications tower rental segment was recorded at 85.2%.
Teddy further continued that this acquisition was a good opportunity to acquire hundreds of telecommunications tower assets with specifications and strategic locations in a fairly short time span which could not be achieved with organic development.
“Mitratel’s focus is moving to improve fundamentals through asset monetization. “Mitratel as a Tower Provider will continue to aggressively monetize its assets so as to open up opportunities for business growth in the future,” added Teddy.
