PT Tirta Mahakam Resources Tbk (TIRT.JK), formerly known for its plywood business, announced on Thursday a strategic pivot into the domestic sea transportation sector, marking a major milestone in its corporate transformation.
The shift was approved at an extraordinary general meeting of shareholders (EGMS) held earlier in the day, paving the way for the company to resume operations after suspending activity in its previous line of business. TIRT will acquire a fleet of 20 tugboats and barges for IDR 162 billion ($10.3 million), excluding value-added tax, as part of its entry into the shipping industry.
“This transformation presents new momentum for TIRT,” said Director Pohan Wijaya Po in a statement. “The prospects for the national shipping industry remain promising amid rising demand for sea transportation of key commodities such as coal and bauxite.”
The vessels, already in operational condition, will allow the company to commence services immediately, focusing on transporting natural resource commodities across Indonesian waters.
The purchase will be financed through a loan facility of up to IDR 200 billion from controlling shareholder PT Harita Jayaraya, with IDR 180 billion allocated for vessel acquisition and IDR 20 billion for working capital.
To assess the financial and operational soundness of the shift, the company engaged independent appraiser KJPP Iskandar dan Rekan, which concluded that the plan met market, technical, and managerial criteria.
Tirta Mahakam, founded in 1981, is seeking to leverage the Harita Group’s over 15 years of experience in the maritime sector to support its entry into shipping. The strategic refocus comes as Indonesia’s logistics and resource transportation needs continue to expand in tandem with its commodity exports.
Shareholders also approved changes to the board of directors during the EGMS, appointing Tham Arvin Setyanto as President Director. He will serve through the 2027 annual general meeting.
“This is a milestone for TIRT,” Po added. “We are committed to resuming operations with a long-term growth orientation and delivering value to all shareholders.”