Astra International Secures Shareholder Approval for IDR 8 Trillion Buyback

PT Astra International Tbk (ASII) has officially secured shareholder approval to conduct a share buyback programme with a maximum value of IDR 8 trillion. The approval was granted during the company’s Extraordinary General Meeting of Shareholders (RUPSLB) held on Friday (17/7/2026). The buyback will be carried out in accordance with Financial Services Authority (POJK) No. 29/2023 regulations. Shareholders also granted the Board of Directors the authority to execute all necessary actions related to the buyback, including determining the repurchase price. The programme is scheduled to run for 12 months and will be funded entirely from internal cash reserves, not from borrowings or public offering proceeds. The company is limited to repurchasing no more than 10% of its issued and paid-up capital, while ensuring the public free float remains at least 15%. Additionally, the meeting approved the transfer of a portion of shares from the third buyback period, which ran from 16 March to 15 June 2026, for the Management Share Ownership Program (MSOP). The number of shares transferred will not exceed 100 million. The Nomination and Remuneration Committee is authorised to set the exercise price and payment obligations for management. This buyback initiative comes as ASII’s share price remains under pressure, trading at IDR 5,150, reflecting a 23% decline year-to-date. The company’s consolidated net profit for the first quarter of 2026 fell 16% year-on-year to IDR 5.85 trillion, primarily due to weaker contributions from the heavy equipment, mining, construction, and energy division. Astra’s management stated the buyback is part of its commitment to enhancing long-term shareholder value and maintaining capital allocation discipline, while noting that market conditions are expected to remain challenging amid global geopolitical tensions.