6 days ago
Astra to acquire Mega Manunggal Property
Logistics expansion: Heavy traffic on a street during the morning rush hour in Manunggal Property is an Indonesia-based company focusing on real estate and storage, as well as operating warehouses. — Bloomberg
JAKARTA: Publicly listed conglomerate PT Astra International (ASII), through its subsidiary PT Saka Industrial Arjaya (SIA), is set to acquire an 83.67% stake in warehouse company PT Mega Manunggal Property (MMLP).
SIA plans to purchase MMLP shares from PT Suwarna Arta Mandiri, which holds the largest stake at 49.2%; Bridge Leed Ltd, which owns 17.51%; and several minority shareholders.
MMLP corporate secretary Jeremy Muliawan said the acquisition process had reached the stage of a conditional share purchase agreement (CSPA) on Monday.
'Completion of the transaction based on CSPA is subject to fulfilment of all conditions precedent in the CSPA.
'If the transaction based on CSPA is completed, such completion will result in the transfer of control over the company to the purchaser,' Jeremy stated in the company's information disclosure released on Tuesday.
Following the transaction, SIA, as the new controlling shareholder, will conduct a mandatory tender offer in accordance with provisions set out in Financial Services Authority Regulation No. 9/2018 on the acquisition of public companies and prevailing capital market regulations.
Astra International corporate secretary Gita Tiffani Boer also wrote in an information disclosure on Tuesday that the purpose of the transaction was to support SIA's business development and investment.
Mega Manunggal Property is an Indonesia-based company focusing on real estate and storage, as well as operating warehouses.
It currently manages or owns 13 warehouses across Greater Jakarta and East Java. Launched on the Indonesia Stock Exchange in 2015, its market capitalisation now stands at 3.96 trillion rupiah, which would give Astra's acquisition of 83.67% of the shares a value of approximately 3.31 trillion rupiah.
During Tuesday's second trading session, MMLP shares were down 2.56% at 570 rupiah a piece.
However, the stock is up about 15% since the beginning of this year.
Meanwhile, ASII's shares have declined almost 5% since the beginning of the year.
During the second trading session on Tuesday, they were changing hands at 4,710 rupiah per share, down 1.05%.
The company previously reported a decline in net profit for the first quarter of financial year 2025, citing poor economic conditions, a weak automotive industry and the downward trend in coal prices.
The company booked a net profit of 6.93 trillion rupiah in the first three months of 2025, down from 7.46 trillion rupiah noted in the same period last year.
Astra president director Djony Bunarto Tjondro stated that the impact from the drop in performance in the automotive sector was partly offset by a solid performance in other segments, which 'reflected the resilience of Astra's diversified portfolio'.
'We will continue to monitor macroeconomic developments while maintaining financial and operational discipline across the group.
'Supported by a strong balance sheet, the group's diversified portfolio is well-positioned to seize long-term growth opportunities,' he wrote in the company's first quarter report.
Astra, one of Indonesia's largest diversified conglomerates, has business arms in various sectors, including the automotive industry, financial services, mining, energy, infrastructure and logistics, and information and technology, as well as property. — The Jakarta Post/ANN
