Danantara Strengthens Consolidation with State-Owned Enterprises in the Second Half of 2025

Jakarta – The Daya Anagata Nusantara Investment Management Agency (BPI Danantara) is solidifying its strategic steps by strengthening consolidation with several State-Owned Enterprises (SOEs) in the second half of 2025. This consolidation is part of a large-scale restructuring program targeting nine strategic SOE sectors to strengthen the foundation of the national economy and promote efficiency and professionalism in state asset management.

Dony Oskaria, Chief Operating Officer of Danantara Indonesia and President Director of PT Danantara Asset Management (Persero), stated that his company has prepared three main program clusters: restructuring, consolidation, and portfolio development. All three will be implemented through a streamlining approach and cross-business consolidation.

“We are grouping our work programs based on the principle of efficiency and targeting nine business sectors: construction, fertilizer, hospitals, hotels, sugar, oil downstreaming, insurance, asset management, and industrial estates,” said Dony.

As part of this program, Danantara will prioritize supporting governance, including strengthening human capital, finance, risk management, and legal aspects. One of the most prominent steps is the continuation of the previously delayed merger plan for several state-owned construction companies. According to Dony, this merger scheme is currently under serious review and will be implemented in the second half of 2025.

“The scheme will certainly be multifaceted, one of which will definitely involve a merger. So, we are currently reviewing the reduction in the number of state-owned construction companies,” said Dony.

According to him, the strategic step of merging several state-owned construction companies is once again a focus for BPI Danantara. The postponed merger of state-owned construction companies will now resume in the second half of 2025, as part of efforts to improve the financial structure and optimize the role of state-owned enterprises in the infrastructure sector.

“The merger of state-owned construction companies aims to form a more efficient entity focused on its core business as a contractor,” he explained.

According to BPI Danantara’s President Director, Eddy Abdurrahman, his company is currently in the final stages of finalizing the restructuring scheme and design that will form the basis for the merger. This plan isn’t just on paper; it’s being seriously worked on to realize it in the near future.

“We are currently preparing the restructuring and merger design, including the formation of a strategic holding company. The BUMN Karya merger plan is still underway and will continue in the second semester of this year,” said Eddy.

“In developing this merger design, we are not only considering the company’s perspective, but also considering its impact on ongoing projects, the workforce, and partners providing goods and services,” Eddy explained.

He added that in the near future, his office will continue to coordinate with the Ministry of State-Owned Enterprises, the Ministry of Finance, and other stakeholders to ensure the plan can be implemented comprehensively and in a structured manner.

“The BUMN Karya merger is believed to be a significant step in strengthening the national construction sector and reducing the country’s fiscal burden in the long term,” he added.

Previously, Minister of State-Owned Enterprises, Erick Thohir, also proposed the formation of an infrastructure holding company as a solution to the less than optimal performance of BUMN Karya.

“Collaboration through business consolidation is key to accelerating national infrastructure development with better financial support and risk management,” he emphasized.

With the planned continuation of the BUMN Karya merger, hopes have resurfaced that the national construction sector can emerge stronger. If everything goes smoothly, this step will mark a new chapter in the transformation of Indonesian SOEs into a more competitive and sustainable era.

BPI Danantara is also exploring several options to ensure that this integration goes beyond mere administrative mergers, but rather becomes a momentum for comprehensive financial restructuring. This is crucial so that the final outcome of the merger is not simply a collection of scattered problems, but rather a truly fundamentally stronger entity.