PT Bank Danamon Indonesia Tbk announced the signing of a memorandum of understanding (MoU) with MUFG Bank, Ltd. to explore the potential integration of its operations with MUFG Indonesia (11/05).

The proposed integration is intended to combine the strengths, expertise, and domestic-to-global networks of both institutions. If implemented, it is expected to form one of the leading global financial institutions in Indonesia, offering broader financial solutions and delivering added value to stakeholders.

At this stage, both parties have agreed to begin preparatory work. The objective is to proceed toward a binding agreement in the next phase of the process.

Integration Plan and Regulatory Process

The integration structure will be outlined in an Integration Plan that will be submitted to relevant authorities and announced to the public.

The plan will also be submitted for shareholder approval in accordance with applicable regulations. The process remains subject to approval from regulators and shareholders of Danamon.

The companies estimate that the integration could become effective within 2027.

No Changes to Current Operations During Transition

Until the integration process is completed, there will be no changes to the operational activities of Danamon or MUFG Indonesia.

Customers will continue to access banking services, products, and branch networks as usual. There will be no changes to products, services, operating hours, or existing service channels.

All contractual relationships with business partners, including vendors, contractors, and outsourcing companies, will remain in effect and will continue as agreed.

Financial Position of Danamon and MUFG Indonesia

PT Bank Danamon Indonesia Tbk recorded consolidated assets of IDR 275.7 trillion as of 31 December 2025. The bank operates through a national network that includes conventional banking, a sharia business unit, and financing through its subsidiary Adira Finance.

Established in 1956, Danamon serves corporate clients, small and medium enterprises, and retail customers.

Meanwhile, MUFG Indonesia recorded total assets of IDR 207.0 trillion as of 31 December 2025. The branch has operated in Indonesia since 1968 and serves large corporate clients, including Indonesian, Japanese, and multinational companies operating in the country.

If completed, the integrated bank will remain a consolidated subsidiary of MUFG Bank, Ltd..

PHOTO: BANK DANAMON

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