Danamon Announces Intention to Integrate Its Operations with MUFG's Branch Office in Indonesia
PT Bank Danamon Indonesia Tbk (“Danamon”, IDX: BDMN), a consolidated subsidiary of MUFG Bank, Ltd., today announced the signing of a memorandum of understanding (MoU) with MUFG Bank, Ltd. to explore the potential integration of Danamon and MUFG Bank, Ltd., Jakarta Branch (“MUFG Indonesia”). If realised, the integration will optimally combine the strengths, expertise, and global and national networks of both entities to become one of the leading global financial institutions in Indonesia, providing financial solutions with broader customer reach, delivering added value to all stakeholders, and contributing to the growth of the financial services industry and Indonesia’s economy.
At this stage, Danamon and MUFG Indonesia have agreed to commence preparatory work with the aim of signing a binding agreement in the next phase.
The proposed structure for this integration will be outlined in an Integration Plan, which will then be submitted to the relevant authorities, announced to the public, and presented for approval by shareholders in accordance with applicable laws and regulations. The integration remains subject to approval from the relevant authorities and Danamon’s shareholders. We anticipate that the integration will be effective within 2027.
Until the integration process is completed, there will be no changes to the operational activities of Danamon or MUFG Indonesia:
Customers of Danamon and MUFG Indonesia can continue to transact and use financial products and services as usual, with no changes to products and services, operating hours, or existing branch networks.
All contractual relationships between Danamon or MUFG Indonesia and business partners, including vendors, contractors, outsourcing companies, and other parties, remain valid and will be executed as usual.
Danamon, a private general bank established in 1956, has been a consolidated subsidiary of MUFG Bank, Ltd. since 2019. Danamon has consolidated total assets of Rp275.7 trillion (as of 31 December 2025), supported by a network across Indonesia that includes conventional banking, a sharia business unit, and financing through its subsidiary, PT Adira Dinamika Multi Finance Tbk (“Adira Finance”). Danamon has strengths in serving diverse customer segments, including corporate customers, small and medium enterprises, and retail customers. MUFG Indonesia, the branch office of MUFG Bank, Ltd. operating in Indonesia since 1968, has total assets of Rp207.0 trillion (as of 31 December 2025). Currently, MUFG Indonesia serves large corporate customers, including Indonesian, Japanese, and multinational companies operating in Indonesia. If the integration becomes effective, the resulting integrated bank will remain a consolidated subsidiary of MUFG Bank, Ltd.
The intention to carry out this integration is also in line with the Financial Services Authority’s (“OJK”) agenda to consolidate general banks.
Danamon and MUFG Indonesia are committed to ensuring that all material information related to the integration will be communicated in a timely manner through each party’s official communication channels.