Want To Know The Update On Pertamina Geothermal Energy's IPO And ASDP? This Is Erick Thohir's Explanation

JAKARTA - SOE Minister Erick Thohir explained that a number of SOEs are planned to conduct an Initial Public Offering (IPO) and rights issue next year.

SOE Minister Erick Thohir plans to conduct an IPO for Pertamina Geothermal Energy and PT ASDP Indonesia Ferry in 2022.

"For Pertamina Geothermal Energy, as an alternative, we are also part of the green electric, ecolifestyle for electricity. We will go public there," said Erick Thohir in a Working Meeting with Commission VI DPR RI in Jakarta, quoted from Antara, Thursday December 2nd.

According to Erick, this is part of a plan from the 15 GW program that PLN must transform from fossil energy to green or environmentally friendly energy. That, he said, had been carried out at Pertamina Geothermal Energy. As for ASDP, the Ministry of SOEs will propose to go public.

"However, if we look at the condition of ASDP ships that are old and this is certainly dangerous for passengers if we rely on this kind of transportation. Public safety is the key, therefore we must also start looking for alternative funding considering that it is impossible to rely on PMN continuously," he said. SOE Minister Erick Thohir. For this reason, he continued, public funding was sought.

In addition, Erick Thohir also outlined plans for the rights issue of several SOEs, including Semen Indonesia Group, Bank BTN, Bank BNI, Krakatau Steel, and Kimia Farma.

He explained that the Semen Indonesia Group rights issue was part of a consolidation effort, in which one state-owned cement company was left behind, namely Semen Baturaja, which eventually became independent, but did not become the Semen Indonesia Group ecosystem. In fact, he said, SOEs must also compete with national and foreign private cement companies.

"It is impossible for the Ministry of BUMN to allow the condition of Semen Baturaja to continue to decline, so that if it is consolidated, Semen Baturaja will strengthen the cement footprint in the South Sumatra region. Thus, products from Semen Padang no longer need to enter and can be diverted for export needs abroad, considering many countries are trying to import cement from other countries. This is the goal for Semen Baturaja to be merged by the Ministry of SOEs into the Semen Indonesia Group," he said.

Regarding BTN's rights issue, he said that in order to strengthen housing development infrastructure, as demand is quite large, BTN has difficulty rolling out cheap and long-term funds.

Meanwhile, the BNI rights issue, the Minister of State-Owned Enterprises said to strengthen BNI as an international bank in order to encourage national exports and MSMEs, as well as the Indonesian diaspora abroad, which became the foundation for future national economic growth.

The right issue for Krakatau Steel, according to him, is part of the restructuring of the steel SOEs that have been agreed upon and the issue of Kimia Farma's rights issue to strengthen retail and distribution related to health security.