Mandiri Transfers 99% of MMI Shares to Danantara, Value Exceeds Rp1 Trillion

PT Bank Mandiri (Persero) Tbk. (BMRI) has undertaken a strategic step by transferring nearly all of its shareholding in its subsidiary, PT Mandiri Manajemen Investasi (MMI), in a jumbo-value affiliated transaction amounting to around Rp1 trillion. According to the disclosure of information, the transfer of shares in the investment management company was conducted by PT Mandiri Sekuritas along with the Bank Mandiri Employee Consumer Cooperative to PT Danantara Asset Management (DAM). The transaction value reached approximately Rp1.02 trillion for the transfer of 1,499 shares, equivalent to 99.93% of MMI’s total shares. Although the value is considered substantial, this transaction is not categorised as material. This is because its value is only equivalent to 0.32% of Bank Mandiri’s total equity, thus not exceeding the threshold set by the regulator. Structurally, this transaction is classified as an affiliated transaction because all involved parties are within the same ecosystem and controlled, either directly or indirectly, by the Republic of Indonesia. Therefore, this action more accurately reflects an internal restructuring step rather than a divestment to an external party. This step is also in line with the broader strategy of consolidating assets under Danantara’s auspices as the operational holding for state-owned enterprises. From a valuation perspective, this transaction has undergone independent appraisal using two main approaches, namely the market approach and the income approach through the discounted cash flow (DCF) method. The results of the appraisal indicate that the agreed transaction value falls within the fair category. Management has also affirmed that this transaction does not involve any conflicts of interest and has followed procedures in accordance with applicable provisions, thereby maintaining principles of good corporate governance. With this transfer, DAM will become the full shareholder of MMI, strengthening its position in managing state-owned enterprise investment portfolios.