Telkom to Reduce Subsidiary Portfolio from 60 to 14 Entities
PT Telkom Indonesia (Persero) Tbk plans to undertake a significant simplification of its subsidiary structure by reducing the number of entities from approximately 60 subsidiary companies to 14. Arthur Angelo Syailendra, Telkom’s Chief Financial and Risk Management Officer, stated that this initiative is being pursued through various corporate actions as part of the company’s broader transformation programme.
“From approximately 60 subsidiary entities currently in place, our intention is to reduce this number to around 14. In essence, approximately 50 entities will undergo corporate actions,” said Syailendra, known as Lolo, during a video conference at a media briefing in Jakarta, confirmed on Thursday, 12 March 2026.
According to him, from the approximately 50 entities to be restructured, Telkom has identified several corporate action options. Firstly, certain entities will be divested or sold off. Secondly, some companies will be closed as they are no longer active or lack operational activities.
“This is because these entities are outdated or no longer operational, so we will close them,” he said.
Additionally, several subsidiaries will be transferred or merged to strengthen the company’s business focus.
Telkom is also evaluating its minority shareholdings in certain companies that are deemed not to provide significant added value to the organisation.
“Minority investments in these companies may not have particularly significant value for us,” he noted.
The streamlining initiative is part of the company’s transformation agenda aimed at reinforcing focus on core business operations and enhancing asset management.
Telkom is also restructuring its business portfolio to create substantially greater added value whilst improving corporate governance standards.
Holistically, Telkom is implementing four pillars of transformation towards its medium-term transformation agenda for 2030 (TLKM 30). One of the main pillars is streamlining, which involves restructuring the Telkom Group’s operations.
This streamlining is being implemented by consolidating overlapping business units, divesting operations not directly related to Telkom’s core business, and refocusing on Telkom’s principal operations. This will enable the group structure to become more efficient, avoid having too many subsidiaries, and maintain focus on core business activities.
In line with this approach, Telkom is strengthening its role as a strategic holding company. Meanwhile, business operations will be managed by operating company entities that serve as the primary drivers across each business line.
The four main pillars of Telkom Group going forward, which serve as the company’s growth engines, are B2C Business, B2B IT Services, Digital Infrastructure, and International Business.