Research from SooChow CSSD Capital Markets (Asia), SCCM Asia Research

SCCM Asia Research

Headquartered in Singapore, SooChow CSSD Capital Markets (Asia) is an investment bank focusing on emerging growth companies across Asia, providing a full suite of investment banking services, including corporate finance, mergers and acquisitions advisory, equity capital markets, institutional equities sales and trading and equities research.

Research from SooChow CSSD Capital Markets (Asia)

Equity Bottom-Up

Solusi Sinergi Digital Tbk PT / Equity Bottom-Up

<h2>Corporate updates on IJE’s fiber optics network</h2><h3>What’s new:</h3><ul><li>WIFI IJ recently announced 2 corporate updates related to the ongoing deployment of its fiber optics network. These are namely:</li></ul><p>                 i.          Signing of MOU with Lintasarta and Trans Hybrid Communication (THC) for                                     dark fiber utilization, and</p><p>                ii.          Engagement of PT Prasetia Dwidharma and PT Sarida Utama for the                                                   deployment of the network outside the Greater Jakarta region</p><ul><li>The MOUs with Indosat’s Lintasarta and THC is expected to pave the way for both entities to lease dark fiber from WIFI IJ. Based on our discussions with management, there has been indicative demand for 6 cores or c.4.2% of total network capacity</li><li>Management shared that the key deliverables from Prasetia and Sarida are the completion of the FO network outside of the Greater Jakarta region by the end of 2021</li><li>Separately, local media reported that WIFI’s FO subsidiary, IJE had secured an investment credit facility from BBNI IJ to the tune of IDR256.6bn. Details on the facility have not yet been released, but previous discussions with management point to a 5-year tenure with an interest rate of about 9-10% per annum.</li></ul>

Corporate updates on IJE’s fiber optics networkWhat’s new:WIFI IJ recently announced 2 corporate updates related to the ongoing deployment of its fiber optics network. These are namely:                 i.          Signing of MOU with Lintasarta and Trans Hybrid Communication (THC) for                                     dark fiber utilization, and                ii.          Engagement of PT Prasetia Dwidharma and PT Sarida Utama for the                                                   deployment of the network outside the Greater Jakarta regionThe MOUs with Indosat’s Lintasarta and THC is expected to pave the way for both entities to lease dark fiber from WIFI IJ. Based on our discussions with management, there has been indicative demand for 6 cores or c.4.2% of total network capacityManagement shared that the key deliverables from Prasetia and Sarida are the completion of the FO network outside of the Greater Jakarta region by the end of 2021Separately, local media reported that WIFI’s FO subsidiary, IJE had secured an investment credit facility from BBNI IJ to the tune of IDR256.6bn. Details on the facility have not yet been released, but previous discussions with management point to a 5-year tenure with an interest rate of about 9-10% per annum.

Wifi IJ: Corporate Updates on Fiber Optics Network