Indonesia Targets November 2026 Completion for Merger of Four State Construction Firms
Danantara aims to consolidate Adhi Karya, PP, Nindya Karya, and Brantas Abipraya into two entities by 30 November 2026, with pre-merger divestments underway at Adhi Karya.
Danantara, in its capacity overseeing Indonesia's state-owned enterprises, is targeting completion of the merger of four state construction companies — Adhi Karya, PP, Nindya Karya, and Brantas Abipraya — into two entities by the end of November 2026. The target was conveyed by Dony Oskaria, Chief Operating Officer of Danantara and head of BP BUMN, and reported by ANTARA. The consolidation schedule was agreed at the Investor Daily Summit on 8 October 2026.
As part of the pre-merger process, Adhi Karya is divesting cross-shareholdings in joint venture companies valued at approximately Rp1.76 trillion to state financing institution SMI, with an extraordinary general meeting of shareholders scheduled for 13 November 2026. Waskita Karya and Wijaya Karya are not included in the mergers, as authorities consider both companies to require fundamental restructuring, with WIKA carrying debt of around Rp34 trillion.
Following completion, the merged entities are expected to carry out divestments of non-core assets as part of debt reduction efforts. The final merger target date is 30 November 2026.