Deputy SOE Minister Kartiko Wirjoatmodjo (central) with Telkom President Commissioner Rhenald Kasali (far right) and Telkom President Director Ririek Adriansyah (far left ) witnessed the signing of Sale and Purchase Agreement phase 1 to transfer the ownership of 1,911 out of 6,050 Telkomsel towers to Mitratel. Mitratel President Director Theodorus Ardi Hartoko (second from left) and Telkomsel President Director Setyanto Hantoro (second from right) signed the agreement in Jakarta, Tuesday (20/10). 

Mitratel President Director Theodorus Ardi Hartoko (second from left) and Telkomsel President Director Setyanto Hantoro (second from right) showed the signed Sale and Purchase Agreement phase 1 to transfer the ownership of 1,911 out of 6,050 Telkomsel towers to Mitratel in Jakarta, Tuesday (20/10), witnessed by Deputy SOE Minister Kartiko Wirjoatmodjo (central) with Telkom President Commissioner Rhenald Kasali (far right) and Telkom President Director Ririek Adriansyah (far left).

Telkomsel President Director Setyanto Hantoro (second from right) handed over a miniature of a telecommunications tower to Mitratel President Director Theodorus Ardi Hartoko (second from left) to mark the transfer of ownership phase 1 of 1,911 put of 6,050 Telkomsel telecomunication towers to Mitratel, witnessed by Deputy SOE Minister Kartiko Wirjoatmodjo (central) with Telkom President Commissioner Rhenald Kasali (far right) and Telkom President Director Ririek Adriansyah (far left) in Jakarta, Tuesday (20/10).

Jakarta, 20 October 2020 – The State-Owned Enterprise (SOE) Ministry welcomes and appreciates PT Telkom Indonesia (Persero) Tbk (Telkom) for taking a strategic move to arrange its infrastructure portfolio in the tower business by signing a Sale and Purchase Agreement (SPA) between Telkom's subsidiaries, to transfer ownership of 1,911 telecommunication towers from PT Telekomunikasi Seluler (Telkomsel) To PT Dayamitra Telekomunikasi (Mitratel). The SPA signing was held on Tuesday (20/10) at Telkomsel Smart Office, Jakarta by Mitratel President Director Theodorus Ardi Hartoko and Telkomsel President Director Setyanto Hantoro, with Deputy SOE Minister Kartiko Wirjoatmodjo, Telkom President Commissioner Rhenald Kasali, Telkom President Director Ririek Adriansyah, as well as the directors of Telkom, Telkomsel and Mitratel witnessing the event. This SPA signing marks the completion of the first phase of the plan to transfer 6,050 telecommunication towers owned by Telkomsel to Mitratel.

"This a major step to restructure TelkomGroup portfolio in a bid to unlock its value, in accordance to the SOE Ministry focus to restructure and realign the SOEs to their respective core businesses, so that they have a good value creation and can build their competitiveness," Deputy SOE Minister Kartiko Wirjoatmodjo said. 

Kartiko Wirjoatmodjo said that Telkom, being one of Indonesia’s and SOE Ministry’s strategic assets, needs to have sustainable value creation. There are at least five aspects that TelkomGroup needs to implement, including technology leadership in each component, a business model with sustainable profitability, customer experience in B2C (Business-to-Consumer) and B2B (Business-to-Business), an effective corporate structure, and value creation. This will support Telkom's long-term plan to become a leading digital telco and to have a better market cap. As for Mitratel, they are expected to be able to manage assets with the best standards so that they can increase the tenancy ratio and become the leading tower company.

Telkom President Director Ririek Adriansyah, said the tower ownership transfer is one of TelkomGroup's moves in arranging its infrastructure to accelerate the company's transformation into a digital telco company. TelkomGroup continues to build its capacity to become the leading digital telecommunications company in Indonesia and in the region by strengthening its digital ecosystem through internal consolidation, synergy between state-owned enterprises, innovation and being open to opportunities for mutually beneficial strategic cooperation with various global partners.
“Telkom is committed to quickly transform its business from being a leading player in digital connectivity services to a digital telco company by accelerating its digital services and digital platform potential. This will make Telkom to survive and grow despite other digital companies’ foray and remains in line with the changing lifestyle of its users,” Ririek said.

The transfer of ownership of 6,050 Telkomsel telecommunication towers to Mitratel will be carried out in stages with a completion target is set at the end of the first quarter of 2021. With this transaction, effective from the meeting of all obligations based on the agreement and the signing of the deed of transfer between the two parties, Mitratel, a subsidiary of Telkom engaged in the provision of telecommunications infrastructure, now owns telecommunications towers located in various regions and serves all cellular operators in Indonesia with more than 22,000 telecommunication towers across the country and serve all cellular operators in Indonesia.