Indonesian telco Indosat Tbk is seeking about US$ 2 billion loan to buy advanced chips for its AI data centers, Bloomberg reports quoting sources familiar with the matter.
Citigroup Inc. has been hired to arrange the loan and is currently exploring the interest of other banks in taking part in the loan syndication, it added.
Indosat derives 84 per cent of its revenue from mobile connectivity, and is diversifying away from its traditonal revenue stream, according to Bloomberg Intelligence.
In 2024, Indosat and Nvidia unveiled plans to establish a US$ 200 million artificial intelligence hub in Central Java, as reported by w.media. Asia’s unrelenting demand for AI has resulted in many digital infrastructure players seeking additional funding.
Indosat did not respond to requests for comment, while Citigroup declined to comment.