Danantara targets Danareksa to manage assets worth up to Rp185 trillion
Jakarta (ANTARA) - The State-Owned Enterprises Regulatory Agency (BP BUMN) and Danantara have officially begun the restructuring of PT Danareksa (Persero) to become an asset management entity targeted to manage Rp185 trillion in assets.
“It (Danareksa) will no longer be a holding company. But it will merge into one strong company and become the second-largest asset management firm. For context, the current managed funds of MI Himbara reach Rp185 trillion,” said the Head of BP BUMN and COO of Danantara, Dony Oskaria, in an official statement received in Jakarta on Thursday.
The restructuring of Danareksa is marked by the spin-off of various subsidiaries that are not aligned with the core business of asset management.
Key points in this transformation include spin-offs and cross-sector consolidation.
Business units such as industrial zones, construction (works), clearing houses, and financial services, which have previously been under Danareksa, will be released and consolidated into their respective sectoral holdings in line with their core competencies.
“So, Danareksa will become an asset management firm. Returning to its roots. So, from the merger of the four, there are four state-owned asset management firms, which will become Danareksa,” said Dony.
He emphasised that the process of releasing Danareksa’s subsidiaries is scheduled to be fully completed by mid-next month. The official announcement regarding the results of this consolidation is targeted for 10 May.
With the shift in business model from a multi-sector holding to a focused asset management company, the Government hopes that Danareksa can operate more efficiently, strongly, and capable of optimising the value of state assets more professionally.
Post-consolidation, Danareksa is predicted to manage very significant funds. This is because the Investment Managers (MI) of the State-Owned Banks Association (Himbara) will be consolidated into one under the Danareksa umbrella.
With the integration of MI Himbara, the total managed funds are projected to reach Rp185 trillion. This transformation is expected to elevate Danareksa’s position as the second-largest asset management company in Indonesia.
With the shift in business model from a multi-sector holding to a focused asset management company, the Government hopes that Danareksa can operate more focused, efficiently, strongly, and capable of optimising the value of state assets more professionally.