Telkomsel and Mitratel Roll Out Another Corporate Action by Transferring the Ownership of 4.000 Telecommunication Towers
Telkomsel and Mitratel reach another agreement on transferring the ownership of telco towers, marked by the signing of Sale and Purchase Agreement (SPA) by both companies for 4.000 telecommunication towers.
The agreement is expected to be able to continue the momentum for Telkomsel and Mitratel following their commitments to strengthen their asset management and business units that could drive companies’ performances to be more ideal, productive, and efficient.
This corporate action reaffirms Telkomsel’s commitment to maximize its infrastructure and accelerate company’s structure to be more ideal for more customer-centric products and services in the digital ecosystem.
For Mitratel, this corporate action would strengthen its position as the leading tower provider in Indonesia.
Jakarta, 2 September 2021 – Telkomsel and PT Dayamitra Telekomunikasi “Mitratel” continue their commitment to strengthen the transformation of their business portfolio by transferring the additional 4.000 units of telecommunication towers from Telkomsel to Mitratel. The agreement marked by the signing of Sale and Purchase Agreement (SPA) between PT Telekomunikasi Selular (Telkomsel) and PT Dayamitra Telekomunikasi (Mitratel) on August 31st, 2021, which complete corporate action to 6.050 units of telecommunication towers since 2020.
Telkomsel CEO, Hendri Mulya Syam, explains, “Telkomsel continues to show its consistency in transforming their company portfolio in digital business through a number of measurable and targeted strategic steps. The continuation of the corporate action done by both companies by transferring ownership of telecommunication towers to Mitratel further shows Telkomsel’s seriousness to focus more on strengthening the existence and the penetration of innovation in deploying digital services. Therefore, it will allow Telkomsel to have more resources that can be utilized to open up more opportunities and possibilities while strengthening the ecosystem of digital lifestyle among the Indonesian people to be more inclusive.”
Telkom Director of Strategic Portfolio, Budi Setyawan Wijaya says, ”This corporate action is an initiative from Telkom to reorganize our portfolio for optimum value creation of both companies, TelkomGroup, and its stakeholders. For Telkomsel, this reflects the consistency and seriousness in supporting the portfolio transformation across digital business. Meanwhile for Mitratel, the action would strengthen the portfolio of telecommunication towers belong to TelkomGroup and make Mitratel’s steps become steadier as the leading independent tower player in Indonesia that support diverse needs for TelkomGroup and other tenants. Therefore, Mitratel is ready to optimize its value creation further through bigger corporate action.
Mitratel CEO, Theodorus Ardi Hartoko, adds, “Mitratel is committed to always explore new potentials that could strengthen the foundation of the company, this corporate action certainly could strengthen Mitratel’s position as a business consolidator in the telecommunication tower business in the market. The transaction also confirms Mitratel as the leading tower provider in Indonesia and would open more opportunities for potential tenants to utilize Mitratel services especially in the era of 5G in Indonesia that has big opportunity for telecommunication tower business. The transfer of these towers’ ownership will also create equal opportunities and services for all operators to expand and improve their services for customers. This certainly will result in positive contribution to the national digital acceleration”.
By transferring these towers to Mitratel, today Mitratel owns more than 28.000 telecommunication towers across Indonesia including urban, sub urban, and rural areas. Mitratel also welcomes further transactions with any party as long as the transaction would benefit both parties and bring value creation for stakeholders.
This partnership is also expected could continue the momentum for both companies as they strengthen the asset management and business units that could drive increase business performance to be more ideal, productive, effective, and efficient. Eventually, Telkomsel and Mitratel will continue to strengthen their added values across their product and service innovations.
“As a leading digital telco company in Indonesia, Telkomsel always hope for continuity in corporate action related to the ownership transfer of its telecommunication towers that could result in added values as the company maximizes its infrastructure and accelerate the strengthen of company’s structure to more ideal, especially for long-term sustainability in delivering product and service innovations based on a more customer-centric digital ecosystem,” Hendri concluded.
Mitratel Strengthen as the Largest Telecommunication Tower Company in Indonesia After Telkom Transfers 798 Towers
Jakarta, August 2, 2021 – PT. Telkom Indonesia (Persero) Tbk continues to strengthen the business of providing telecommunications towers through its subsidiary, PT Dayamitra Telekomunikasi (Mitratel), by investing in assets (inbreng) 798 telecommunications towers.
This was marked by the signing of the Inbreng & Head of Agreement Deed between Telkom and Mitratel, which was carried out in a hybrid manner with strict health protocols.
Physically present at the event, Telkom’s Strategic Portfolio Director Budi Setyawan Wijaya and Mitratel President Director Theodorus Ardi Hartoko.
Meanwhile, through video conference, Telkom’s Director of Wholesale & International Service, Bogi Witjaksono, and Telkom’s Director of Network & IT Solution, Herlan Wijanarko, were present.
Telkom’s Strategic Portfolio Director, Budi Setyawan Wijaya said that the transfer of telecommunication tower assets (inbreng) by Telkom to Mitratel is part of the TelkomGroup portfolio arrangement and is Telkom’s commitment to make Mitratel a vehicle as well as a strong player and dominate the tower industry.
“The telecommunication tower industry is a very prospective industry in the midst of the potential development of Indonesia’s digital economy, plus the entry of fifth generation technology. With this step, TelkomGroup believes that Mitratel is able to strengthen its position as the leader of national telecommunications tower industry and provide high value for the company and stakeholders.”
Apart as an effort to reorganize the portfolio, the step to transfer Telkom’s towers to Mitratel is also one of the business strategies to increase capabilities in terms of the telecommunications infrastructure aspect.
The transferred towers have collocation potential and tenancy ratios above the industry average with a solid structure and coverage throughout Indonesia. The Inbreng is a strong capital for Mitratel’s tower business going forward.
“The telecommunication tower business is a very promising business, considering that until now telecommunication operators will continue to expand in improving network quality and expanding their service range, so we believe the telecommunication tower business will still record positive performance,” added Budi.
The President Director of Mitratel, Theodorus Ardi Hartoko, expressed Mitratel’s commitment in supporting the restructuring of the TelkomGroup portfolio with this corporate action.
Going forward, Mitratel is committed to properly managing the tower’s assets and business in order to provide the best value for shareholders.
After the asset transfer transaction of 798 towers, Mitratel owns more than 24,000 telecommunication towers. This is one of the steps taken by TelkomGroup through Mitratel to support the realization of value creation in order to establish itself as the number one player in the Indonesian telecommunications tower industry.
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