JAKARTA. PT Smartfren Telecom Tbk (FREN), a wireless telecommunication service provider under Sinarmas Group, will divert unoptimized assets (idle) to PT SMPlus Sentra Data Persada.

The assets on sale include properties and infrastructures owned by FREN. It includes the supporting devices required for operational activities of its data centres.

The management of FREN confirmed that the transaction value of this asset divestment reaches IDR 544.21 billion. The sale and purchase binding agreement was signed by the company and SMPLus on December 19.

This asset divestiture is expected to improve efficiency in operational costs and routine maintenance costs of those assets. FREN also mentioned that this transaction will generate more income to fund business activities of FREN and Smartel.

It is worth mentioning that this asset divestment is categorised as affiliate transaction, as SMPlus, FREN, and Smartel are all under Sinarmas Group. (KR/ZH)