The Facts of Indomobil and Inchape’s Annexation of Mercedes-Benz

Jakarta, CNN Indonesia —

PT Indomobil Sukses Internasional (Indomobil Group) together with Inchape Motors Private Limited, a global automotive distributor, officially acquired 100 percent ownership of Mercedes-Benz in Indonesia.

The two of them formed a joint venture to carry out the assembly and distribution of Mercedes-Benz cars in Indonesia.

Previously, the distribution and assembly of the German premium car was carried out by two companies, namely PT Mercedes-Benz Distribution Indonesia (MBDI) for distribution matters and PT Mercedes-Benz Indonesia (MBIna) for assembly matters in Wanaherang, Bogor, West Java.

Matthias Lührs, Head of Region Overseas Mercedes-Benz Cars, said that the appointment of Indomobil and Inchape was aimed at strengthening Mercedes-Benz’s position and developing their business domestically.

“We are restructuring our business, with the aim of strengthening our position in the Indonesian market, and to continue growing by cooperating with strong international partners and experienced local partners with Inchape and Indomobil,” Matthias said in a written statement, Friday (31/3) .

Here are some facts about the annexation of Mercedes-Benz by Inchape and Indomobil.

Issues have been blowing since October 2022

The issue of the annexation of a well-known premium brand in Indonesia by Indomobil first blew up in October 2022. At that time, one of Indomobil’s top officials who declined to be named said that Mercedes-Benz was looking for partners to continue doing business in Indonesia.

“So Mercedes-Benz is still looking for a partner. Yes, they are looking right and left for opportunities,” a source told last October.

In fact, it is reported that Mercedes-Benz wants to find friends in operating the automotive business in Indonesia since 2020.

Share shares with Inchape

Indomobil and Inchape are working together to acquire Mercedes-Benz. In detail, Inchape took over 70 percent and Indomobil 30 percent.

This transaction will develop the collaboration between Inchape and Indomobil to sustainably build their presence in Indonesia.

The cooperation between the two is not just this time. Before acquiring Mercedes-Benz, Indomobil and Inchape had worked together on marketing Jaguar Land Rover in Indonesia.

Change company name

After this annexation, the name of the company that runs the business will change. Kariyanto Hadjosoemarto, Head of Marketing Communications and Public Relations of MBDI, said that their new parent company is preparing a new name to replace MBDI and MBIna.

“The names PT Mercedes-Benz Distribution Indonesia and PT Mercedes-Benz Indonesia in the future will be replaced with new company names which are currently in the process of being prepared by Inchcape and Indomobil,” said Kariyanto via text message, Friday (31/3).

He emphasized that only the company name had changed from the acquisition, while the organizational structure to employees remained the same.

Production at Wanaherang continues

It is certain that the acquisition by Indomobil and Inchape will not disrupt the Mercedes-Benz production process at the factory located in Wanaherang, Bogor, West Java.

“The production process at the factory located in Wanaherang, Bogor will continue without interruption,” said Mercedes-Benz’s official statement.

This was also confirmed by Kariyanto. According to him, the company will also not change its strategy in terms of production or move the assembly of Mercedes-Benz cars from the old factory in Wanaherang, Bogor to Indomobil’s factory.

It is certain that the acquisition of Indomobil and Inchape will not disrupt the domestic Mercedes-Benz production process.

“Still, everything is running as before from all aspects of the business,” said Kariyanto.

(Gambas:Video CNN)


(Gambas:Video CNN)

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