Jakarta – Danantara Investment Management Agency is in negotiations with South Korean conglomerate Lotte Chemical to acquire up to 30% ownership in a petrochemical project located in Cilegon, Banten province, Indonesia. The potential deal, valued at a significant sum, comes as Lotte has already invested US$4 billion (approximately Rp. 66.63 trillion at an exchange rate of Rp. 16,659/US$) in Indonesia.
The prospective share acquisition is currently being refined, with Danantara considering a 25-30% stake, slightly lower than an initially discussed 35%, according to Danantara CEO Rosan Roeslani. “We’re still negotiating between 25-30%. We’re calculating, we’re negotiating now,” Roeslani stated when approached at the Presidential Palace Complex in Central Jakarta on Thursday, November 27, 2025.
This potential investment signifies growing collaboration between Indonesia and South Korea in the petrochemical sector, a key industry for Indonesia’s economic diversification and downstream manufacturing goals. the Cilegon project is expected to bolster Indonesia’s domestic petrochemical production capacity and reduce reliance on imports.
Before finalizing any agreement, Danantara is conducting thorough due diligence to assess the financial viability of the share purchase. “This is of great value, of course we still need to carry out due diligence first,” Roeslani explained.
The offer for the shares was initially presented to Roeslani on the sidelines of the 2025 APEC Summit in Gyeongju, South Korea, at the end of October, in the Agenas Room of the Land Select Hotel. Lotte officials are scheduled to visit Indonesia this November to continue discussions.
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