JAKARTA, KOMPAS.com - PT Bandarudara Internasional Jawa Barat (Perseroda) or BIJB revealed that investors from India and Saudi Arabia canceled investing in Kertajati Airport, West Java.

President Director of PT BIJB Muhammad Singgih said, potential foreign investors from the two countries had expressed interest in investing in Kertajati Airport. However, the prospective investors did not qualify for the tender process.

"Indeed, the initial interest of the prospective partner exists. But as the process has been carried out from these prospective partners until the process ends, it still does not produce a winner," he told Kompas.com, Tuesday (11/6/2024).He further revealed, for prospective investors from India did not succeed in submitting an investment proposal until the deadline ended.

Even though the prospective investor has expressed interest in investing in Kertajati Airport and has conducted due diligence. Meanwhile, investors from Saudi Arabia have submitted investment proposals but there are a number of investment requirements that are not met by them.

"The reason is that some investors did not submit proposals until the end of the period, and some submitted proposals but not in accordance with the RfP (Request for Proposal)," he said.

Vice President of Corporate Secretary and General Administration of BIJB Dian Nurrachman added, even though they canceled their investment in the tender process for the 2023-2024 period, the potential investors can still re-submit their investment interest when BIJB reopens the next tender. However, he still cannot confirm when BIJB will reopen the tender for investment at Kertajati Airport. "They can participate in investment again if it is opened again, it is not a blacklist," he told Kompas.com when contacted separately, Tuesday.Reflecting on this, his party will evaluate the causes of potential foreign investors not entering Kertajati Airport.

Thus, when opening the next tender, investors will find it easier to realize their investment.

"We are still evaluating why the failure, whether because the requirements are too difficult or what," said Nurrachman.

Nurrachman said, in addition to investors from India and Saudi Arabia, previously there were also a number of foreign investors from Singapore and the United Arab Emirates (UAE) who were interested in investing in Kertajati Airport. But not yet to the investment stage like investors from India and Saudi Arabia.

AP II President Director Muhammad Awaluddin said, the determination of Kertajati Airport share ownership for foreigners was carried out through a tender process. This tender process will be carried out by PT BIJB. BIJB is a regionally owned company whose majority shares are owned by the West Java Provincial Government and PT AP II by 25 percent. "The target is that we strive for December to have closing transactions so that later in the beginning of the year the owners have increased," he said when met at Kertajati Airport, West Java, Wednesday (18/10/2023).

Later, the West Java Provincial Government as the majority shareholder of PT BIJB will gradually reduce the portion of its share ownership.

"So what is done is the release of part of PT BIJB's portfolio shares to the strategic partner," he said.

He explained that foreign investors who win the tender will synergize with AP II as the current operator of Kertajati Airport. In other words, foreign investors who own PT BIJB shares can participate in operating Kertajati Airport with AP II. Therefore, he hopes that this new investor can boost the performance of Kertajati Airport, which is currently still not optimal. Previously, PT Angkasa Pura II (Persero) or AP II targeted the process of ownership of Kertajati Airport shares by foreign investors to be completed by the end of this year, so that by early 2024 the owner of Kertajati Airport had increased.

(SOURCE)