Russian telco Rostelecom is reportedly planning to spin out and float its data center unit later this year.

Interfax reports Rostelecom CEO Mikhail Oseevsky told reporters it is planning to hold an IPO for one of its subsidiaries in 2024.

Rostelecom HQ
Rostelecom may float its data center unit this year – Google Maps

"We have plans to conduct an IPO for one of the companies this year," Oseevsky told reporters on the sidelines of the Digital Transformation Forum as part of Russian Business Week.

Oseevsky said that there are plans to sell a small stake: "We just want to test investor appetite," he said.

While he didn’t outline which business, Reuters reports it is the company’s data center unit that is set to go public.

The company declined to confirm or deny the report.

Rostelecom operates data centers in Moscow, Novosibirsk, St. Petersburg, Udomlya, Yekaterinburg, Murmansk City, and Chita. The company also has plans for another 55MW hyperscale data center in Moscow.

Rostelecom merged its Rostelecom-DPC and DataLine units to form a new service company, DPC Technology Center, in 2021.