PT Garuda Indonesia (Persero) Tbk President Director Irfan Setiaputra said that the merger between Citilink and Pelita Air is expected to be completed by October 2024. The merger process is being accelerated by various parties to be completed before the end of President Joko Widodo's second term.
He also mentioned that discussions on the merger of state-owned enterprises (BUMN) are still ongoing, although there is no official decision from the Ministry of BUMN. On the other hand, this merger process is proceeding simultaneously with the merger between Garuda Indonesia and PT Aviasi Pariwisata Indonesia (InJourney).
The government plans to integrate Pelita, a scheduled passenger unit, with Citilink, a low-cost subsidiary of Garuda Indonesia. Pelita, which is part of PT Pertamina, a state-owned oil and gas company in Indonesia, is mostly owned by the government. Garuda Indonesia, the parent company of Citilink, is also mostly owned by the government. InJourney, on the other hand, is a government-owned holding company focused on the domestic aviation and tourism sectors.
Notably, it's the continuation of the merger process that brought Angkasa Pura I and II together.
Going forward, PT Garuda Indonesia Tbk (Persero), PT Citilink Indonesia and PT Pelita Air Service (PAS) will be merged as an airline sub-holding company under the umbrella of PT Aviasi Pariwisata Indonesia (InJourney).
At this stage, Irfan explained that he could not provide further details on the merger process as the decision rests entirely with the Ministry of BUMN as the majority shareholder of the company. He can only confirm that intensive discussions regarding the merger will take place after Lebaran or Idulfitri 2024, with the hope that an official decision will be made in October.
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