Targeted For Completion In December 2023, How Is The Development Of The Citilink-Pelita Air Merger?

JAKARTA - Citilink airline merger with Pelita Air is targeted to be completed in December 2023. Currently, there are three options related to the meger of the state-owned airline that is developing and will be discussed with shareholders, namely the Ministry of SOEs.

President Director of Garuda Indonesia, Irfan Setiaputra, said that there has been no significant development until now regarding the plan to merge Citilink airline with Pelita Air.

Even so, Irfan said there are three options that are currently developing. Irfan said, the options will still be discussed with SOE Minister Erick Thohir and SOE Deputy Minister Kartika Wirjoatmodjo.

"There has been no progress yet. The option is still three. We should have further discussions with the Minister and Deputy Minister (from the United States) later," he said when met at the DPR Building, Parliament Complex, Jakarta, written Thursday, November 16.

For your information, several options that have developed regarding the integration of state-owned airlines include diverting Pelita Air's regular flight license to Citilink; separating regular flights and Pelita Air charters; or diverting Citilink and Pelita Air under the auspices of the Aviation and Tourism BUMN Holding or InJourney.

Irfan admitted that he continued to communicate with PT Pertamina (Persero) as the parent company of Pelita Air. He said the results of the communication would be discussed during a discussion with the Ministry of SOEs.

"Our team and the Pertamina team continue to work on their data and later we just need to convey it to the gentlemen at the Ministry to choose the best option for the state for the government," he said.

Irfan also hopes that the Citilink and Pelita Air merger process can be completed in December 2023 or next month. Irfan believes that there is convenience in the merger process because the two companies are state companies.

"How will we see the merger later. We hope December is over. It must be fast like that, right, fellow SOEs can be fast, right," he explained.

Previously, Deputy Minister of BUMN Kartika Wirjoatmodjo revealed that the process of merging the state-owned airline, Citilink and Pelita Air, was still waiting for Garuda Indonesia's condition to be healthy first. Especially financially.

Tiko, Kartika's nickname, also said that all options related to the Citilink merger with Pelita Air, which is currently still in the process of being discussed and continuing to develop.

"There are two options, right. Pelita Air option goes in in a ticket to Citilink or Pelita to InJourney, it's still being studied," said Tiko.

"So there is no decision from me to go to InJourney or to Citilink. But, it depends on Garuda's ability to restructure. We will review until the end of the year whether Garuda is healthy by the end of this year," he continued.