JAKARTA. PT Indosat Tbk (ISAT), or Indosat Ooredoo Hutchison (IOH), plans to add new business activities to support its data centre business. Based on the analysis of its net present value (NPV), this additional business calls for extra IDR 313.8 billion of fresh funds.

The plan had been revealed by the management of ISAT in the information disclosure in Indonesia Stock Exchange (IDX). The additional businesses include electrical affairs, construction, as well digital technology device and office tools rental. They are projected to support the core business of ISAT, which is data centre.

The management said to have conducted a feasibility study for the case in which said novel business activities do not require any initial cash. “The feasibility analysis can only be carried out using the NPV parameter. The amount of NPV obtained from the Additional of New Business Activities is IDR 313.8 billion,” the management said in the official statement today (3/4).

Furthermore, based on the study, evaluation, and financial analysis, as well as other projections given that the predetermined assumptions have been met, it can be concluded that the addition of these novel business activities are feasible to be implemented.

Based on the financial projections analysis, this recent business activities addition will increase ISAT’s revenue by 0.12% of ISAT’s revenue in 2022, or 1.08% in total during the projection period (2023-2027). With these considerations on hand, the management then wishes for the shareholders to be able to grant approval for these new business activities during the next general shareholders meeting. (AM/ZH)