- July 26, 2021
- Posted by: Stratford Team
- Category: Business
By Yifan Wang
PCCW Ltd. has agreed to sell its data center business for $750 million, in a bid to focus on its main telecom business.
The Hong Kong-based telecom services provider plans to sell its data-center operations to a New York-listed infrastructure REIT DigitalBridge Group Inc., it said Monday.
PCCW expects the deal to result in gains of at least $180 million and allow it to streamline its core telecom service businesses. With the disposal PCCW can also avoid the heavy investments typical of most data-center operations, which would enable it to preserve capital and resources for other businesses, it said.
The company operates data center businesses in Hong Kong and Malaysia through two units, Powerbase HK and DC Malaysia. The firm plans to integrate the subsidiaries into a single entity for the disposal.
PCCW said it plans to use proceeds from the sale for potential investments in financial services, share buyback…