After Bankruptcy, Garuda Targets Investors From Singapore To Qatar And Hopes Its Shares Can Be Traded Again

Deputy Minister of SOEs II Kartika Wirjoatmodjo. (Photo: Doc. Antara)

JAKARTA - PT Garuda Indonesia (Persero) Tbk (GIAA) has been confirmed to be free from bankruptcy. The government and Garuda Indonesia immediately approached investors.

This step is an effort to restore the health of the state-owned airline. One of the investors targeted is foreign airline business players who are hub players, such as Singapore, Dubai and Qatar.

Deputy Minister of BUMN II Kartika Wirjoatmodjo said that there are two types of investors being targeted to enter Garuda Indonesia. Among them are investors who come from business actors and financial investors.

Tiko as Kartika is familiar with, explained that for business investors, his party is targeting hub players in the aviation industry who do not concentrate on the domestic aviation business.

"This has tremendous potential because as we know there are many airline players, these are hub players. Like Singapore, Dubai, Qatar, these are hub players, they don't have a domestic market. We hope this will be a good combination if there are hub players. who can become investors," he said in a virtual press conference, Tuesday, June 28.

Tiko admitted that he had a specific target as to what kind of investors he would attract. Tiko is also optimistic that these investors will be interested in joining Garuda Indonesia.

Moreover, continued Tiko, Indonesia has a strong domestic passenger. In fact, Indonesia is included in the ranks of countries that have large domestic traffic such as China and the United States.

"We have contacted several. Guess who the international airline business is willing to work with. We believe that with Indonesian passengers who are extraordinary, we can see that Indonesia is one of the countries in the world with large domestic traffic," he said.

As for the type of financial investor, Tiko said, his party believes that after the financial restructuring process is carried out and operational improvements are made, Garuda Indonesia's business will recover so that it can boost EBITDA and better valuation.

From these improvements, Tiko believes that Garuda Indonesia shares which are currently suspended by the Indonesia Stock Exchange (IDX) will be reopened. By doing so, it is hoped that there will be financial investors who enter Garuda Indonesia.

"We hope that financial investors will also see the potential for Garuda's shares after PKPU can return to a healthy value again," he said.