Garuda Indonesia Targets Completion of Citilink Indonesia and Pelita Air Merger by End of Year

JAKARTA, KOMPAS.com – PT Garuda Indonesia (Persero) Tbk targets the merger process of Citilink Indonesia and Pelita Air to be completed by the end of this year.

Garuda Indonesia President Director Irfaniaputra said that the Citilink and Pelita Air merger process was quite complicated.

The reason is, in this merger process it is not just about combining two companies, but also has to discuss other things such as from the legal side to human resources.

“We hope that (December 2023) will be finished, because if it takes too long it will be complicated. Hopefully, we hope that it will be finished in December,” he said when met at ICE BSD, Tangerang, Friday (27/10/2023).

Also read: BUMN Airline Merger Update, Deputy Minister Tiko: Pelita Aircraft and License Moved to Citilink

He revealed that up to now all parties from Garuda Indonesia as the parent company of Citilink together with Pelita Air and the Ministry of State-Owned Enterprises (BUMN) continue to hold discussions regarding this merger.

In this discussion process, several new options may still open up, so at this time he cannot confirm the merger scenario between Citilink and Pelita Air.

“We want to look for the best and full support from Mr. Erick (Minister of BUMN) and Mr. Tiko (Deputy Minister of BUMN) on hand later,” he said.

Previously, BUMN Minister Erick Thohir said that the government would only carry out a merger of Citilink and Pelita Air. Meanwhile, Garuda Indonesia will remain in its current position as a premium airline.

Also read: Erick Thohir: Garuda Indonesia Remains Premium, Citilink and Pelita Air Merger

“Later, Garuda will remain at premium, then Citilink and Pelita will merge,” said Erick when met at the DPR RI Building, Jakarta, Thursday (31/8/2023).

Thus, he said, in the future there will only be two airlines with different target markets, namely full service carriers and low cost carriers (LCC).

He revealed that this corporate action is targeted to be implemented this year, or at least early next year.

Erick said that what is certain is that his party is pushing for the merger of these state-owned airlines to be carried out as soon as possible.

“Depending on each person’s bookkeeping, we’ll see what it looks like, it needs to be a process, if possible this year then this year, if not, maybe early next year,” he said.

Also read: Pelita Air Wants to Merge with Garuda Indonesia and Citilink, Pertamina: We Follow the Government

Get selected news updates and breaking news every day from Kompas.com. Let’s join the Telegram Group “Kompas.com News Update”, by clicking the link https://t.me/kompascomupdate, then join. You must install the Telegram application first on your cellphone.

2023-10-27 12:10:00
#Garuda #Indonesia #Boss #Targets #Merger #Process #Citilink #Pelita #Air #Completed #December #Kompas.com