Tencent, Patimas in equity partnership for Malaysia data center

The Chinese Internet giant will tie up with Malaysia's Patimas Computers for a data center in the country. Tencent is reportedly also buying a 15 percent stake in its partner.

Chinese Internet giant Tencent will team up with local ICT solutions firm Patimas Computers for an equity partnership in a data center in Malaysia.

datacentercloud

The two will sign the deal on Wednesday, according to a statement by the Tencent, in a report on Monday by Bernama news agency.

Tencent is also eyeing a 15 percent stake in the loss-making Patimas Computers, which provides ICT business infrastructure and cloud services , noted The Next Web (TNW) in a separate report on Monday.

Citing Astro AWANI news channel, TNW pointed out the deal could help pave the way for Tencent to promote its WeChat chat app and other Internet services. Tencent had also bought a 5 percent stake earlier this year through its investment vehicle, noted the report.

Patimas has been struggling financially and was subject to an investigative audit that showed irregularities, accoring to TNW. For the financial year ended March 2012, Patimas booked an audited net loss of RM86.5 million (US$27.8 million)--about four times its unaudited net loss.

Newsletters

You have been successfully signed up. To sign up for more newsletters or to manage your account, visit the Newsletter Subscription Center.
Subscription failed.
See All
See All