---
title: Indonesia's Telkomsel offloads 4,000 towers to Mitratel - Developing Telecoms
description: Indonesian wireless network provider Telkomsel closed another tower sale with Dayamitra Telekomunikasi (Mitratel), selling 4,000 units for IDR6.2 trillion ($434.8 million) and agreeing on a ten-year leaseback.
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date: 2021-09-07T05:23:07Z
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Indonesian wireless network provider Telkomsel closed another tower sale with Dayamitra Telekomunikasi (Mitratel), selling 4,000 units for IDR6.2 trillion ($434.8 million) and agreeing on a ten-year leaseback.

The deal increases Mitratel’s tower holdings to 28,000 sites across Indonesia. It is 100% owned by Telkom Indonesia, which also holds 65% of Telkomsel, with Singaporean telecoms company Singtel holding the remaining 35% stake.

The transaction is part of Telkomsel's strategy to maximize its infrastructure and accelerate its strategy as a customer-centric service provider in the digital ecosystem.

In a statement, Telkom Indonesia director of strategic portfolio Budi Setyawan Wijaya explained the sale is an initiative to reorganise its portfolio for “optimum value creation of both companies”.

Telkomsel sold 6,050 towers to Mitratel for $950 million in 2020.

Telkomsel chief executive Hendri Mulya Syam said: "Telkomsel continues to show its consistency in transforming its company portfolio in digital business through several measurable and targeted strategic steps. The continuation of the corporate action by both companies by transferring ownership of telecommunication towers to Mitratel further shows Telkomsel's seriousness about focusing more on strengthening the existence and the penetration of innovation in deploying digital services."

Mitratel's chief executive, Theodorus Ardi Hartoko said that the move will 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 will open more opportunities for potential tenants to utilise Mitratel services, especially in the era of 5G in Indonesia, which has big opportunities for the telecommunication tower business."

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