Bank Mandiri Plans Rp 1.17 Trillion Share Buyback, Awaiting Shareholders’ Approval

PT Bank Mandiri (Persero) Tbk (BMRI) has announced plans to buy back shares worth up to Rp 1.17 trillion.

In an official disclosure to the Indonesia Stock Exchange (IDX), the bank’s management stated that this corporate action is still subject to shareholder approval, which will be determined in the upcoming General Meeting of Shareholders (GMS).

The management further explained that shares obtained from the buyback would be reallocated in accordance with Financial Services Authority Regulation (POJK) No. 29/2023. The buyback process can be executed either through the stock exchange or off-exchange transactions, gradually or in a single transaction, and must be completed no later than 12 months after the GMS approval date.

"The execution of the buyback will take into account the company’s liquidity and capital conditions, while ensuring compliance with existing regulations," the management stated on Monday (February 17, 2025).

Additionally, Bank Mandiri emphasized that the buyback will not proceed if it significantly reduces the number of shares to a level that could negatively impact stock liquidity on the exchange.

GMS Scheduled for March, Buyback to Run Until 2026

The General Meeting of Shareholders (GMS) for Bank Mandiri is scheduled for March 25, 2025. If approved, the buyback program will commence on March 26, 2025, and run until March 25, 2026.

Management hopes that this buyback initiative will reinforce market confidence in the company’s long-term value and growth prospects. The move also aims to balance market conditions with the company’s fundamentals, while strengthening investor trust in sustainable growth strategies.

Furthermore, the repurchased shares will be allocated to an employee stock ownership program, encouraging greater engagement and long-term commitment from employees to drive future business performance.

The buyback funding will come from the company’s cash optimization efforts, fully compliant with POJK 29/2023 regulations.

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