{
    "success": true,
    "data": {
        "id": 1653124,
        "msgid": "state-owned-construction-companies-merger-targeted-for-completion-by-end-of-this-year-1775173843",
        "date": "2026-04-03 06:14:52",
        "title": "State-Owned Construction Companies' Merger Targeted for Completion by End of This Year",
        "author": "",
        "source": "TEMPO_ID_BISNIS",
        "tags": "",
        "topic": "Business",
        "summary": "The Indonesian government is advancing the merger of seven state-owned construction firms, known as BUMN Karya, with completion targeted for the end of 2026 following financial restructuring expected by mid-year. PT Hutama Karya, leading the process, has established a Project Management Office to synchronise human resources, operations, and systems among the entities, addressing ongoing financial challenges in some companies. Initiated in 2024 under Minister Erick Thohir, this consolidation aims to strengthen the construction sector through improved financial health and integration into core areas like building, infrastructure, and engineering procurement.",
        "content": "<p>PT Hutama Karya (Persero) has revealed updates on the merger process\nof BUMN Karya state-owned enterprises. Acting Executive Vice President\nand Corporate Secretary of Hutama Karya, Hamdani, stated that the\ntransition to the BUMN Karya holding is targeted for completion by the\nend of this year.<\/p>\n<p>Hamdani explained that the merger process awaits the completion of\nfinancial restructuring for the BUMN Karya entities. \u201cIn terms of\ntimeline, we can expect this restructuring to be finished around\nmid-year, so integration will begin from mid-year and is hoped to be\ncompleted by year-end,\u201d he said during a media briefing in Jakarta on\nThursday, 2 April 2026.<\/p>\n<p>Currently, Hamdani noted, a Project Management Office has been\nestablished to support the merger process. Through this PMO, Hutama\nKarya and the prospective holding entities are synchronising various\naspects, from human resources and operations to company systems.<\/p>\n<p>Nevertheless, Hamdani mentioned that some BUMN Karya entities still\nhave poor financial conditions. \u201cThus, the government\u2019s programme is to\nfirst improve these two, restructure them first; once their financial\nreports or books have improved, they will be integrated with us,\u201d he\nsaid.<\/p>\n<p>Head of the State-Owned Enterprises Regulatory Agency, Dony Oskaria,\npreviously stated that the restructuring of BUMN Karya is nearly final.\nThe process will then enter the consolidation phase for the three main\ncores: construction in building, infrastructure, and engineering\nprocurement and construction (EPC).<\/p>\n<p>Dony explained that restructuring will start with fundamental company\nimprovements, particularly through financial report enhancements. \u201cThey\n(BUMN Karya) are currently undergoing restructuring, which is almost\nfinal. We have also made improvements to the gaps in their books. Then,\nrestructuring of their debts. After this, they will enter the\nconsolidation phase,\u201d Dony said in a statement in Jakarta on Tuesday, 17\nMarch 2026.<\/p>\n<p>The BUMN Karya merger plan has been underway since 2024 under\nMinister of State-Owned Enterprises Erick Thohir. Erick stated that\nseven BUMN companies will be merged: PT Adhi Karya, PT Wijaya Karya\n(Persero) Tbk, PT Hutama Karya (Persero), PT PP (Persero) Tbk, PT\nWaskita Karya (Persero) Tbk, PT Brantas Abipraya (Persero), and PT\nNindya Karya (Persero).<\/p>",
        "url": "https:\/\/jawawa.id\/newsitem\/state-owned-construction-companies-merger-targeted-for-completion-by-end-of-this-year-1775173843",
        "image": ""
    },
    "sponsor": "Okusi Associates",
    "sponsor_url": "https:\/\/okusiassociates.com"
}