Danamon Gains OJK Approval to Become Holding Company for MUFG Financial Conglomerate in Indonesia
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JAKARTA, investortrust.id — PT Bank Danamon Indonesia Tbk, or BDMN, a key subsidiary of Japan’s Mitsubishi UFJ Financial Group (MUFG), has received approval from Indonesia’s Financial Services Authority (OJK) to act as the operational holding company of MUFG’s financial conglomerate in the country.
The decision, announced on Thursday, July 10, 2025, designates Danamon as the Perusahaan Induk Konglomerasi Keuangan (PIKK) or operational financial holding company of MUFG’s Indonesian entities, in line with Financial Services Authority Regulation No. 30 of 2024 (POJK 30/2024).
Under the regulation, a PIKK must oversee and consolidate the activities of its financial group. As such, Danamon will now be responsible for managing and integrating MUFG’s banking and financing operations in Indonesia to ensure unified governance and compliance.
President Director of Danamon Daisuke Ejima expressed appreciation for the OJK's endorsement, calling the move a milestone for MUFG’s presence in Indonesia. “Through our new role as the PIKK, Danamon will enhance collaboration within the MUFG Group to better serve customers through comprehensive financial solutions,” Ejima said in a statement.
He added that the move aligns with MUFG’s broader strategy to reinforce its operational integration across global markets and reflects Danamon’s commitment to uphold strong governance and regulatory compliance in its leadership role.
Strengthening the Group through Integration
MUFG Bank, which controls Danamon as its majority shareholder, selected Danamon for this strategic role to promote tighter integration and centralized risk management across its Indonesian financial group. The initiative is also consistent with Danamon’s corporate vision to grow as part of a unified financial services group.
Ejima noted that MUFG’s local structure now ranks among the largest financial conglomerates in Indonesia, and the regulatory approval will further enhance its group-wide risk oversight and governance.
The MUFG financial group in Indonesia includes:
- PT Bank Danamon Indonesia Tbk (BDMN) – commercial bank and operational holding company
- PT Adira Dinamika Multi Finance Tbk (ADMF) – multi-finance subsidiary
- PT Home Credit Indonesia – consumer finance company
- PT Mandala Multi Finance Tbk (MFIN) – multi-finance company
Adira-Mandala Merger to Take Effect in October
As part of its consolidation plan, MUFG also announced a merger between Adira Finance and Mandala Finance. Shareholders of both firms approved the deal during their respective extraordinary general meetings on June 30, 2025, with Adira Finance set to absorb Mandala Finance as the surviving entity.
The merger, which has received all necessary regulatory approvals, is expected to take effect on Wednesday, Oct. 1, 2025. This move will streamline MUFG’s multi-finance operations in Indonesia and create a more robust platform to serve retail and commercial customers.