Princeton Digital Group sold five legacy data centers in Indonesia, formerly XL Axiata facilities, to Sinar Mas subsidiary SM+.
Princeton Digital Group (PDG), an Asia-Pacific data center firm, has sold a number of its Indonesian data centers to the digital infrastructure division of local conglomerate Sinar Mas.
PT SMPlus Digital Investama (SM+) and PDG this week announced that they have signed a definitive agreement under which PDG will sell its enterprise data center business in Indonesia.
The deal includes five operational data center facilities located across Greater Jakarta, Bandung, Surabaya, and Pekanbaru. PDG retains several hyperscale facilities and projects around Greater Jakarta.
Terms of the deal were not disclosed.
After closing, SM+ will operate 31 sites across 25 markets in Indonesia.
"This acquisition marks an important milestone in our journey to build Indonesia's leading home-grown digital infrastructure platform," said Herson Suindah, president director and group CEO of SM+ Holdings. "By adding five facilities across Greater Jakarta, Bandung, Surabaya and Pekanbaru, we are expanding our nationwide footprint and strengthening our ability to serve customers as we continue supporting Indonesia's digital economy."
Jakarta-based SM+ is a digital infrastructure and services platform founded in 2023 and backed by Sinar Mas, one of Indonesia's largest conglomerates. Sinar Mas has business interests in paper, agribusiness, financial services, real estate development, communications, technology, energy, infrastructure, and healthcare.
SM+ Data Centers, the company's data center division, currently owns and operates 25 data centers across Indonesia, amounting to almost 40MW of operational and under-development capacity. Its live "Edge" locations total around 10MW, and the firm has another larger-scale facility in development in Jakarta.
PDG was founded in 2017 and has data centers in operation or development across China, Singapore, India, South Korea, Malaysia, and Japan. The company says its portfolio totals 1.8GW.
PDG acquired the Indonesian facilities when it entered the market in 2019. It bought a 70 percent stake in the data center portfolio of Indonesian telecommunications operator XL Axiata (now XLSmart), giving it five data centers in Pekanbaru, Cibitung, Surabaya, Bintaro, and Bandung.
Varoon Raghavan, co-founder and COO of Princeton Digital Group, said: "Indonesia is a key market for PDG since entering the market in 2019. We acquired these enterprise-grade sites as part of our 'enter-and-expand' strategy of market entry and have since developed a hyperscale data center portfolio of ~400MW in the country. Our focus will continue to be to build on that hyperscaler portfolio, which includes the JC2, JC3, and JC4 campuses, with further expansion underway, and to enhance our leadership position in Indonesia."
PDG's remaining hyperscale facilities are all located around Greater Jakarta. JC2, near Cibitung, offers 22MW. The in-development JC3 in Cikarang will offer 120MW, and the planned JC4 will offer 240MW. The firm has also previously had plans for a site in Batam.
Private equity firm Warburg Pincus is PDG's largest shareholder. The company is also backed by the Ontario Teachers' Pension Plan, the UAE's Mubadala, and Stonepeak.