KUALA LUMPUR: Mitsui & Co Ltd has invested US$58 million in Axiata Digital & Analytics Sdn Bhd (ADA), valuing the data company at US$550 million.
Axiata Group Bhd said ADA is set to broaden its digital reach and reinforce its commitment to advancing digital and data transformation in the region.
ADA chief executive officer Srinivas Gattamneni said Mitsui's endorsement highlights the company's extraordinary growth story.
"We are excited about the prospect of deepening our collaboration with Mitsui to empower their partners with cutting-edge data, AI, and technology solutions.
"This partnership represents a significant step forward as we enter our next phase of growth, and we believe it will be an invaluable contributor to our journey," said Gattamneni.
The deal was facilitated through ADA's holding company, Axiata Digital Services Sdn Bhd (ADS).
Following the investment, Mitsui's stake in ADS will increase from 3.29 per cent 20 per cent, resulting in an effective 12.69 per cent stake in ADA.
Axiata group chief executive officer Vivek Sood said Mitsui has a strong and proven track record of bolstering innovative businesses in the fields of artificial intelligence (AI), data analytics and digital transformation.
"We are confident that broadening our strategic partnership will further enhance ADA's expertise in AI and data analytics with Mitsui's substantial business capabilities derived from a global portfolio.
"Consequently, this will enable Axiata to seize additional opportunities in the digital business realm while sharpening our focus on our core pillars, thereby enabling sustainable growth across our geographic footprint," he said.
Mitsui senior executive managing officer and representative director Tori Matsui said the company's IT and communication business unit has been executing a customer relationship management strategy to develop digital marketing business clusters that contribute to its consumer-centric businesses.
Additional investment in ADS will strengthen this strategy in Asia, he added.