PLDT is Again Considering The Sale of a Share in The ePLDT/Vitro Data Center Company

PLDT is apparently considering selling a portion of its data center operations. Bloomberg reports, citing sources familiar with the situation, that the telecommunications company is once again considering the sale of a "substantial minority share" in its data center holdings. The company is engaging with financial advisors as it considers bringing an investor into its data center enterprise; a transaction may value the business at between $700 and $800 million. They warned that discussions are early and the corporation might decide against a transaction.

Mitch Locsin, PLDT's first vice president and director of enterprise, told Bloomberg that the company is not exploring a share sale "now." PLDT had earlier contemplated selling its data centers in 2021, pricing the firm at around $500 million, but the plan was subsequently put on hold. Per the publication's sources, bringing in a partner would assist the company in raising funds and expanding its operations. PLDT's ePLDT/Vitro data center unit maintains at least 6,133 racks across ten data centers at present.

The company revealed ambitions to increase its portfolio by 3,000 racks last year. The company stated earlier this month that it was expanding its Makati 2 and Paranaque facilities by adding 1,820 more racks ready for operation by March of this year and an additional 14MW. In March last year, PLDT broke ground on its eleventh data center, a 100MW facility in Santa Rosa, just outside Manila. The initial 14MW phase is scheduled to go active at the beginning of 2024. The telecommunications company, which recently revealed a cost overrun of up to $2.37 billion, is reportedly considering selling its tower infrastructure.