Agencia Comercial Spirits Ltd Announces Entry into Construction, Network Infrastructure and Maintenance Agreements for Indonesia AI Computing Deployment

Agencia Comercial Spirits Ltd (NASDAQ: AGCC) (“Agencia” or the “Company”), a Taiwan-based importer and distributor of whisky products, today announced that its subsidiaries have entered into agreements covering data center construction, network infrastructure procurement and technical support and maintenance services in connection with the Company’s planned expansion into AI computing infrastructure in Indonesia.

A subsidiary of the Company has entered into a binding letter of award with an independent contractor for the general construction works of the planned data center in West Java, Indonesia. The works principally comprise the civil, structural, architectural and other non-mechanical and electrical construction components of the facility.

The accepted contract amount is within the range of approximately US$40 million to US$50 million, inclusive of applicable Indonesian value-added tax, and the works are contemplated to be implemented in phases.

Separately, a subsidiary of the Company has entered into an equipment procurement contract with an independent supplier for the purchase of network infrastructure equipment and related components. The contract has an aggregate value of approximately US$10.1 million.

The same subsidiary has also entered into a five-year on-site technical service and equipment maintenance agreement with an independent service provider in relation to certain computing equipment. The arrangement covers on-site technical support, routine inspections, incident response, coordination of manufacturer warranty resources and subsequent third-party equipment maintenance services.

The fixed on-site personnel service fees amount to approximately US$1.0 million over the five-year service period, with additional maintenance fees for the fourth and fifth years to be determined based on the actual number of devices maintained.

These agreements are intended to support different elements of the Company’s planned AI computing infrastructure deployment in Indonesia, including physical data center construction, network infrastructure, technical support and equipment maintenance.

They form part of the Company’s strategic initiative to expand into AI computing infrastructure and cloud-based computing services while continuing to operate its existing whisky import and distribution business.

The agreements are infrastructure construction, procurement and service arrangements and are not customer revenue contracts.

They do not, by themselves, guarantee that the relevant data center facilities will be completed, that the equipment will be delivered or successfully deployed, that the contemplated computing capacity will become operational or be fully utilized, that customers will use the Company’s planned AI computing services, or that the Company will generate revenue, profitability or positive cash flow from the projects.

“These agreements advance several of the principal workstreams required for our planned AI computing infrastructure deployment in Indonesia, including construction, network infrastructure and ongoing technical support,” said Mr. TSAI Yi-Yang, CEO of Agencia.

Management believes that the Company’s planned infrastructure deployment, if successfully implemented, may provide an opportunity to participate in demand for AI computing capacity in Southeast Asia.

However, the Company’s AI computing infrastructure strategy remains subjec