PT Taspen Life will acquires 70 percent shares of PT Asuransi Jiwasraya Putra for Rp2.6 trillion (US$183.09 million), said the CEO today - Photo: Special

JAKARTA (TheInsiderStories) – State insurance firm, PT Taspen Life will acquires 70 percent shares of PT Asuransi Jiwasraya Putra for Rp2.6 trillion (US$183.09 million), said the CEO today. The other shares bought by state lender, PT Bank Tabungan Negara Tbk (IDX: BBTN).

The CEO of the parent company, PT Asuransi Jiwasraya, Hexana Tri Sasongko revealed, the agreement is still waiting for the finalization of the conditional share purchase agreement. While, CEO of Taspen, Antonius Steve Kosasih said, after the acquisition, Jiwasraya Putra has become big company causes to managed a home program for the apparatus.

“There are millions of houses. So we want to work with BBTN-owned housing loan program,” he told local media on Monday (07/06). 

To support the housing program, Taspen will also partner with other state run housing firm, Perum Perumnas. He projects that the cooperation with Bank Tabungan Negara could reached 20 percent of the company’ total investment for the next three to five years.

Earlier, Sasongko explained three specific steps to deal with the problem, one of which was to complete customer policy payments reaching Rp16 trillion through Jiwasraya Putra. Then, looking for a strategic partner to raises fresh fund Rp1 trillion to Rp3 trillion. And, set up a holding insurance to get a budget support.

Beside set up Jiwasraya Putra, the insurance firm also intended to launch Financial Reinsurance in October or November, joined with international reinsurance companies. For now, Jiwasraya is still waiting for a business permit from the regulator.

As known, the insurer is facing liquidity pressure and unable to pay the obligations to their customers. The company promised to pay off the obligation gradually, not later than the fourth quarter of 2020. Various efforts were made by the firm to delay the payment, from roll-over, issued medium-term notes Rp500 billion, and other ways.

Jiwasraya was built from a very long history, starting from Nederlandsch Indiesche Levensverzekering en Liffrente Maatschappij van 1859 on Dec. 31, 1859. The first life insurance company in Indonesia (the Dutch East Indies at that time). On Dec. 17, 1960 the company was nationalized based on Government Regulation Number 23 of 1958 by changing its name to PT Djiwa Sejahtera Insurance Company.

Based on Government Regulation Number 214 of 1961, nine life insurance companies owned by the Netherlands were merged into the state insurance firm PT Djiwa Eka Sedahteraa (Djiwasraya).

Then, based on Government Regulation Number 33 of 1972, Djiwasraya changed its status to become a PT Jiwasraya Insurance. And, on August 21, 1984 the company became Asuransi Jiwasraya.

US$1: Rp14,200

Written by Staff Editor, Email: theinsiderstories@gmail.com