Adhi Karya expands into transportation business

JAKARTA. State-owned construction firm PT Adhi Karya is expanding its business into the transportation sector by establishing a joint venture called PT Angkasa Pura Adhilenka with three other state-owned firms: airport operator PT Angkasa Pura II, electronics maker PT LEN and train manufacturer PT INKA.

“We are going to start the business this year to help transport airline passengers from one terminal to another at Soekarno-Hatta International Airport [in Banten],” Adhi Karya corporate secretary Ki Syahgolang said as quoted by kompas.com on Monday.

He said that the four firms had prepared Rp 1 trillion (US$79.84 million) as their start-up capital to develop the automated people-mover system at the country’s main gateway.

He added that Adhi Karya held a 21 percent share in the joint venture, while Angkasa Pura was the biggest shareholder with a 70 percent stake. PT LEN holds 5 percent of the total shares of PT Angkasa Pura Adhilenka, and the remaining four percent is held by PT INKA.

The automated people-mover system will connect Terminals I, II and III. The project is expected be completed by 2018.