Indonesian conglomerate Astra International has formed a joint venture company with global digital infrastructure firm Equinix. Meanwhile, Singapore sovereign wealth fund GIC has extended its partnership with global technology firm Pagaya.
Astra to hold 25% in digital infra firm
Astra International and Equinix have built a joint venture (JV) company to develop digital infrastructure in Indonesia, according to an announcement on Tuesday.
Equinix will hold a 75% stake, while Astra will own the rest 25% in the company which will help Indonesian firms develop their digital capability and use new technologies, including hybrid multi cloud, 5G, internet of things (IOT), and artificial intelligence.
As a first step, the JV will set up a data centre at the International Business Exchange (IBX) in central Jakarta, called JK1, which will be operational in the second half of 2024.
JK1 will include sustainability concepts in its design using innovative technology such as cooling arrays. Equinix is the first data centre firm with a 100% renewable energy usage and net zero emission target by 2030.
It has more than 245 data centres in 71 business centres across 32 countries, providing digital infrastructure to more than 10,000 business players worldwide. In the Asia-Pacific, Equinix has 51 data centres in Australia, China, Hong Kong, India, Japan, Korea, and Singapore.
GIC extends Pagaya partnership by 3 years
GIC has extended its funding partnership with Pagaya Technologies for three more years on top of its original 5-year term. The terms of the agreement remain the same.
Additionally, GIC has increased its PGY Class A ordinary shares to around 9% of Pagaya’s outstanding Class A shares.
GIC is one of Pagaya’s top shareholders and has supported the Nasdaq-listed firm’s ability to deliver a comprehensive, one-stop solution for institutional investors to invest at scale in consumer credit and real estate assets originated by more than 25 financial institutions.
Pagaya is at the forefront of leveraging AI and advanced analytics. Both GIC and Pagaya believe that building smarter financial infrastructure leads to better, more inclusive asset selection. At a time when liquidity is scarce, AI ensures the delivery of high-quality investments at scale.
“GIC is pleased to continue investing in Pagaya as the company expands its financial products through the use of AI technology. With its innovative business model and differentiated performance in challenging market conditions, we believe that Pagaya is well-positioned to create long-term value for investors,” said Tzu Mi Liew, Chief Investment Officer of Fixed Income and Multi Asset at GIC in the statement.