PT Krakatau Steel (Persero) Tbk will form a subholding consisting of its subsidiaries engaged in energy supply, industrial water supply, ports and industrial estates, namely PT Krakatau Daya Listrik (PT KDL), PT Krakatau Tirta Industri (PT KTI ), PT Krakatau Bandar Samudera (PT KBS), and PT Krakatau Industrial Estate Cilegon (PT KIEC).

President Director of Krakatau Steel Silmy Karim said the Krakatau Steel Infrastructure Subholding Facility would optimize the subsidiaries' performance and developing the investment portfolio of Krakatau Steel.

This sub-holding establishment's benefits are to provide integrated solutions for business partners and customers of each company that are members of the Krakatau Steel Subholding Sarana Infrastruktur.

"Each company from this sub holding already has existing customers, both domestic and multinational companies such as Semen Indonesia, Holcim, Pupuk Indonesia, Posco, Nippon Steel, PT Timah, Asahimas, Lotte Chemical, Chandra Asri, Indofood, Charoen Pokphand, JAPFA, Astra. International, Indonesia Power, and many others," he said in Jakarta, Tuesday (6/4).

According to him, the formation of this sub-holding is in the context of the continuation of the transformation of Krakatau Steel and the Group to encourage the management of the Krakatau Steel subsidiaries to be more optimal, to develop faster, and to be efficient so that in the end it will provide a better return to shareholders.

"The four subsidiaries that will join the Krakatau Steel Infrastructure Subholding Facility have performed very well, and we are preparing this sub holding to take the floor on the stock exchange," said Silmy.

The four subsidiaries' performance that will join the Krakatau Steel Infrastructure Subholding Sarana recorded sales of Rp2.4 trillion with a net profit of Rp420 billion in 2020.

"The Krakatau Steel Subholding Infrastructure Facility has received support from the Ministry of BUMN because this company is one of the BUMN portfolios offered to the Indonesia Investment Authority (INA). We are currently in the process of forming this sub-holding, targeted by the end of May 2021, "said Silmy.