Posco Takes Control of Sampoerna Agro With 65.72 Percent Stake Purchase
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JAKARTA, Investortrust.id — Posco International Corporation, a South Korea-based trading and energy company, through its subsidiary AGPA Pte Ltd takes control of PT Sampoerna Agro Tbk or SGRO on Thursday, Nov 20, 2025 in Jakarta by acquiring 65.72 percent of the plantation group from Putera Sampoerna, a move that reshapes ownership in one of Indonesias major palm oil producers. The acquisition reflects Poscos strategy to deepen its presence in Indonesias palm oil and biofuel industry, with the transaction expected to trigger a mandatory tender offer for remaining shares.
AGPA was a holding company that invested in palm oil assets and pursued additional plantation acquisitions while developing processing facilities for refining palm oil and producing biofuel. AGPA was fully owned by Posco International, a South Korean global enterprise.
SGRO shares soared at the close of trading yesterday on the Indonesia Stock Exchange as the stock hit the upper auto rejection limit. The price jumped Rp 1,200 or 19.92 percent to a new all time high of Rp 7,225.
Management of PT Sampoerna Agro Tbk disclosed in its announcement to the Indonesia Stock Exchange that Twinwood Family Holdings sold its entire 1.19 billion shares, equal to 65.721 percent of SGRO, to AGPA. The transaction was completed on Wednesday, Nov 19, 2025.
With the change of control, AGPA was set to launch a mandatory tender offer for SGRO shares. SGRO had long been indirectly controlled by Putera Sampoerna, one of Indonesias most prominent business figures.
President Director of Sampoerna Group Bambang Sulistyo said the group remained committed to contributing to Indonesias economy through its other business lines and continued to assess new opportunities aligned with current trends.
"We are very grateful to have found a new home for SGRO. We believe the new owner will be a good home for all employees and will bring SGRO to stronger business prospects ahead," he said in the official statement in Jakarta.
He noted that many domestic and international investors had shown interest in Indonesias palm oil sector. However, the group believed Posco International was the most suitable new owner to advance SGROs positive performance trajectory.
According to him, AGPA was expected to create added value for all stakeholders through its experience and commitment to Indonesias palm oil industry. "We thank everyone involved and Posco International for agreeing to become the new home for SGRO which will drive the companys growth. This also gives us the opportunity to focus our resources on current business lines and explore other promising sectors in Indonesia," he explained.
Posco Group had been active in several Indonesian industries. Its ventures included PT Krakatau Posco, the integrated steel plant in Cilegon jointly operated with PT Krakatau Steel to support national steel revitalization, as well as participation in energy projects with the Pertamina Hulu Energi North East Java consortium.
The groups palm oil footprint in Indonesia started in 2011 with the development of plantations in South Papua through PT Bio Inti Agrindo. It operated three processing mills with combined output of 210,000 tons of palm oil per year. Posco International also owned a refining plant in Balikpapan, East Kalimantan with a capacity of 500,000 tons per year.
SGRO recorded strong financial performance in the first half of 2025. Net profit attributable to owners of the parent rose 236.06 percent year on year, while revenue grew 45.18 percent year on year.
Bambang added that Indonesias palm oil industry was experiencing significant global growth, with the country accounting for about 60 percent of worldwide palm oil output and roughly 50 percent of global crude palm oil exports.
Sampoerna Group
He reaffirmed that Sampoerna Group would continue contributing to the national economy through its strategic businesses, including PT Bank Sahabat Sampoerna, Sampoerna Kayoe, PT Sampoerna Land, and the philanthropic Putera Sampoerna Foundation focused on education.
"With the strong economic potential of this country, we remain focused on our current strategic business lines while exploring new opportunities to support Indonesias economic development. We will also continue advancing national education through PT Sampoerna Foundation as a key pillar toward Indonesia Emas," he said.
For this transaction, Deutsche Bank acted as exclusive financial adviser to Twinwood, while Baker McKenzie, together with its affiliates Baker McKenzie Wong & Leow in Singapore and HHP Law Firm in Indonesia, served as legal counsel.