Jakarta. Sovereign investment agency Danantara has appointed state-owned tourism holding company InJourney to consolidate government-owned hotels under a single management platform, a move that will create the country's second-largest hotel operator and accelerate the restructuring of state assets in the hospitality sector.

The consolidation is being carried out under Conditional Sale and Purchase Agreements (CSPAs) signed on June 11 and June 26, covering an initial portfolio of 45 hotels.

Danantara Chief Operating Officer Dony Oskaria described the initiative as a major step toward enhancing the value and competitiveness of Indonesia's state-owned hospitality assets.

“With a projected portfolio of 120 hotels, InJourney will become the second-largest hotel operator in Indonesia,” Dony said in a statement on Sunday.

He said additional state-owned hotels are expected to join the portfolio early next week as part of the government's broader transformation of state-owned enterprises in the hospitality industry.

“The transformation will ultimately create a tourism portfolio that is more efficient, competitive, and better integrated,” he said.

InJourney President Director Maya Watono said the consolidation goes beyond combining hotel assets and represents a strategic effort to build a globally competitive hospitality business centered on Indonesia's tourism strengths.

“Through InJourney Hospitality, we aim to develop a more structured hotel portfolio, showcase Indonesia's rich heritage as a key differentiator, and create sustainable long-term value,” Maya said.

She added that the consolidation is intended to address long-standing challenges faced by state-owned hotels, including fragmented branding, inconsistent service standards, and operational inefficiencies.

“With more integrated management, each asset will be better positioned to reach its full potential while creating synergies that strengthen the entire hospitality ecosystem,” she said.

The expanded portfolio will include hotels and hospitality businesses currently managed by The Manohara Hotel, Pullman Mandalika, IAS Group, and Hotel Indonesia Properti, along with hotel assets owned by state enterprises in the construction, transportation, and steel industries.

These include hotels previously controlled by Adhi Karya, ASDP Indonesia Ferry, Garuda Indonesia, Hutama Karya, Krakatau Steel, Nindya Karya, PTPP, Waskita Karya, and Wijaya Karya.

The consolidation process includes the transfer of hotel assets, corporate spin-offs, and the acquisition of hotel business units from participating state-owned enterprises.

The initiative forms part of Danantara's broader strategy to streamline state-owned enterprises, improve asset utilization, and strengthen the commercial performance of government-owned businesses across strategic sectors.