REAL Aims for Recurring Revenue from Device and Telco Businesses

REAL, the Indonesian listed group, has expanded its asset monetisation strategy by engaging Madinah Group Indonesia (MFlash) to develop a device and telecommunications solutions business anchored on REAL’s property assets. The collaboration opens opportunities to leverage REAL’s property holdings as locations to develop an ecosystem for device and telco solutions, with an initial implementation of launching a technology retail store named ‘Real MFlash’ planned to be located at Pejaten Office Park, South Jakarta. Chief Executive Officer Aulia Firdaus said the collaboration is aimed at optimising property assets while creating new sources of recurring income from an integrated technology and telecommunications ecosystem. ‘This collaboration is a strategic step for the company to maximise the utilisation of property assets while creating potential recurring revenue from an ecosystem of new business integrated with the technology and telecommunications sector,’ Aulia said in a written statement on Wednesday (4/3). According to Aulia, through this cooperation Repower and Madinah Group Indonesia will explore business activities in the field of devices and telco solutions by leveraging the company’s property assets. ‘One of the initial implementations of the collaboration is the development of a technology retail store that will become part of the technology retail network within the Madinah Group Indonesia ecosystem,’ he added. The move forms part of Repower’s strategy to develop a property business model that not only focuses on district development but also on asset optimisation to generate sustainable income. Additionally, the company has announced that it has fulfilled the administrative fines previously imposed by the Financial Services Authority (OJK). ‘That settlement constitutes part of the company’s commitment to enhance compliance with regulations and strengthen the implementation of Good Corporate Governance principles,’ said Aulia. With this step, Repower believes asset-based business development could open new growth opportunities amid dynamics in the property industry.