PLDT finalizing sale of 49% of data center business

Philippines' largest telco PLDT Inc. is about to close its ongoing sale of about 49% of its data center business to a foreign buyer.

At the sidelines of the company's annual stockholders meeting in Taguig City on Tuesday, PLDT chairman Manuel Pangilinan said, "We're talking to the final bidder at this stage."

"We've agreed on the valuation with them. There are a few issues and there are still several open points to be negotiated and agreed upon," Pangilinan said.

The PLDT chairman said the sale of the telco's data center business could generate more than $1 billion for the company, which would be used to cut debt and fund capital requirements.

"Hopefully in the next few weeks, we should be able to finalize and convert those discussions into a binding term sheet. By July, we should have a binding term sheet with this particular investor," Pangilinan said.

He added that PLDT intends to retain at least 51% of its data center business.

While the PLDT chairman declined to identify the buyer, it was reported earlier that the telco is in talks with Japan's NTT for the sale of a portion of the company's data center business.

PLDT currently operates 10 data centers, spread across Metro Manila, Cebu, Laguna, Davao, and Zambales. — VDV, GMA Integrated News