WIKA CEO Reveals Plan for Merger of 7 State-Owned Construction Firms, Realisation by End of 2026

JAKARTA - Plans to merge seven State-Owned Enterprises (SOEs) in the construction sector into three entities are targeted for realisation by the end of 2026. The President Director of PT Wijaya Karya Tbk (WIKA), Agung Budi Waskito (BW), revealed that this process remains part of the major agenda to rehabilitate SOEs in the construction sector. “The construction SOEs, originally numbering seven, will become three, which we hope can be implemented by the end of 2026,” Agung stated following a media visit to the HBR II Toll Road in Jakarta on Monday (6/4/2026). He explained that this step follows directives from Danantara, which prioritises fundamental improvements to SOEs in the construction sector throughout 2025 to 2026. “The first is rehabilitation, including any financial restructuring if needed. The second is making reporting more transparent and better than before,” he said. According to him, these rehabilitation efforts are the priority before the merger is carried out. Once the companies’ conditions are deemed healthier, the merger process will then be executed as planned by the end of 2026. In addition, WIKA is undertaking various internal preparations, including restructuring through financial instruments. The company is currently organising investments in the banking sector as well as bonds and sukuk instruments. Agung mentioned that this process is targeted for completion in the first half of 2026. “Hopefully by the end of the first semester, around June, this can be finalised, so we can return to the government’s plans and rehabilitation in 2027,” he said. Through these steps, WIKA hopes to support the restructuring agenda for construction SOEs while strengthening the company’s position in facing the merger plan targeted for completion by the end of 2026.