PT PP (Persero) Tbk ("the Company"), one of the leading construction and investment companies in Indonesia held an Extraordinary General Meeting of Shareholders ("Extraordinary GMS") in 2019 on Wednesday (30/01) at the Jakarta Head Office. The Extraordinary GMS was held in the framework of establishing the Housing Sector and Regional Development BUMN Holding. In the Extraordinary GMS, the Shareholders of the Company agreed to Amend the Articles of Association of the Company by eliminating the status of "Persero" to "Non Persero". This abolition is part of the establishment of state-owned holding under the control of Perusahaan Umum Pembangunan Perumahan Nasional ("Perum Perumnas").
The company will join and synergize with a number of other BUMNs in the BUMN Housing and Regional Development Holding, namely PT Wijaya Karya Tbk ("WIKA"), PT Amarta Karya, PT Bina Karya and PT Indah Karya. As many as 51% of Government-Owned Series B Shares are transferred to state capital participation in Perum Perumnas's share capital, while Series A Shares remain owned by the Government.
"The BUMN Housing Sector and Area Development Holding will strengthen the position of the Company in order to create added value and optimize business development that will have a large impact on the Community, Government, and BUMN holding members," said Lukman Hidayat, Director of the Company. With the establishment of a holding it will increase funding capacity, increase capital expenditure, increase revenue, increase cost efficiency, increase profits and equity.
The synergy of the BUMNs in the housing sector will increase business capabilities between business lines so that they are more efficient and create sound financial conditions, while increasing the opportunity for landbanks to develop housing projects, housing and regional development sector targets. . Meanwhile, the holding provides many benefits for the community, among others in meeting the needs of the national shelter with various financing patterns to improve the quality of life for the people of Indonesia. Basically, the main objective of the establishment of the holding of the BUMN Housing and Development Area is to synergize a number of advantages so that large, strong and efficient BUMNs are formed that have strong competitiveness in the face of the dominance of national and foreign private sector private companies.