Malaysian telecommunications provider Time Dotcom Bhd. is looking at strategic options for its data centres business, according to a Bloomberg report.
The company is working with financial advisers on a strategic review for Aims Data Centre that may lead to a stake sale, people familiar with the matter said, asking not to be identified because the matter is private. It is learnt that Time could raise about $500 – $600 million in a deal.
Listed on the Malaysian stock exchange since 2001, the company may keep a minority interest in the data centres, sources in the know said. Considerations are at an early stage and the company could still decide against selling any part of the business, they said.
Potential bidders could include industry players and infrastructure funds, are learnt to have expressed preliminary interest in the stake, people familiar with the matter said.
A representative for Time didn’t immediately respond to requests for comment from Bloomberg.
Time offers fixed-line voice and broadband services to consumers and businesses, as well as enterprise solutions in areas such as cloud and security. Beyond Malaysia, it has stakes in providers in Vietnam and Thailand, according to its latest annual report. Backed by Malaysia’s sovereign wealth fund Khazanah Nasional Bhd., Time’s shares have dropped about 7% this year, valuing the firm at about $1.8 billion.
Some of the telecom companies have been facing stress recently and have resorted to selling off some of their daat centre assets.
