Indonesia’s state investments into the ride-hailing sector appear to be taking a more concrete shape, with GoTo confirming on Tuesday that Danantara has acquired a minority stake of less than 1% in the company via the Indonesia Stock Exchange (IDX).
“We understand that Danantara has purchased a number of the company’s shares through the Exchange… in an amount less than 1% of the total issued shares,” the company said in an IDX filing, adding that it welcomes the investment as a reflection of continued confidence in its fundamentals, performance, and long-term prospects.
According to people familiar with the matter, the investment was executed directly by Danantara rather than through any of the state-owned enterprises under its control, marking a more hands-on approach by the sovereign fund in strategic sectors.
The size of the stake suggests it is not intended to confer control but rather to provide the government with a foothold in ongoing developments in the industry.
Based on the latest shareholder registry data with the IDX, GoTo’s shareholder base remains widely held, with public investors accounting for the majority of shares at around 76.6%. Strategic investors include Taobao China Holding Limited and SVF GT Subco (Singapore) Pte. Ltd., each holding stakes of above 7%.
Notably, Telkomsel was the first state-owned enterprise to invest in Gojek in November 2020, a few months before its merger with Tokopedia in May 2021. Telkomsel continues to hold a stake of around 2% in IDX-listed GoTo, providing existing indirect government exposure.
Responding to queries from DealStreetAsia, Danantara said it continues to assess investment opportunities in line with its broader mandate.
“Danantara Indonesia continually evaluates diverse market opportunities to advance our mandate of delivering meaningful socio-economic impact for Indonesia. We remain disciplined in assessing opportunities based on strategic fit, fundamentals, risk-return profile, and long-term value creation, in accordance with our established investment processes,” the firm said in a statement.
DealStreetAsia has reached out to GoTo for comment.
On May Day, Deputy House Speaker Sufmi Dasco Ahmad confirmed that the state has already entered app-based transport firms, although details were undisclosed. “The government, through Danantara, has entered the platforms and taken shareholdings,” he said at the House complex.
The move comes against the backdrop of a broader regulatory overhaul led by President Prabowo Subianto, who has announced new rules aimed at improving driver welfare, including capping platform commissions at 8% and increasing the minimum revenue share for drivers to 92%.
The combination of regulatory tightening and state investment underscores Jakarta’s intent to exert greater influence over the economics of the gig economy.
In its IDX filing, GoTo said it is still assessing the implications of the regulation and has yet to receive full details. “As an Indonesian company, the company will always support various efforts to continue delivering sustainable benefits for all the company’s driver partners,” it said.
What remains less clear is how this development impacts the ongoing discussions between GoTo and regional rival Grab. Market speculation around a potential merger or strategic partnership between the two companies has persisted for years, but sources said talks, while still very active, have yet to reach a final outcome.
People familiar with the negotiations said discussions involving Danantara have also touched on potential shareholding structures in the event of a deal between Grab and GoTo, although no agreement has been finalised.
“Conversations are continuing, including around how a combined structure could look, and smaller details are being worked out,” one source said, cautioning that multiple scenarios are still under consideration.
Policy risks
Analysts warn that the combination of regulatory tightening and state ownership could create distortions in the market.
“The government should ideally remain a regulator. Once it becomes a player, policy bias can emerge,” Nailul Huda, digital economy director at the Center of Economic and Law Studies (CELIOS), told DealStreetAsia.
He added that such bias could deter competition. “Existing players could exit, while potential new entrants may hesitate to enter,” he said.
Huda also questioned the long-term economic rationale of the move, particularly if the policy direction compresses platform margins. “With government backing, competitors may struggle to compete. But if the regulatory foundation is flawed, it will be difficult to generate sustainable returns,” he said.
He added that Danantara would need to assess whether it can sustain the economics implied by the new policy direction. “This should not end up merely as an exit strategy for existing investors, replaced by new capital from Danantara,” Huda said.
The regulatory changes, coupled with the prospect of increased state involvement, are expected to have implications for pricing and profitability across the sector. Other analysts added that with commissions now capped at significantly lower levels, platforms may need to adjust fares or introduce ancillary fees to protect margins.
“There is a high probability that companies will look to recalibrate pricing to offset margin compression,” said one industry observer, noting that the extent of any increase will depend on competitive dynamics and demand sensitivity.
Both GoTo and Grab have previously signalled the need for a balanced approach, warning that changes to tariff structures could affect not only driver earnings but also rider demand and overall ecosystem sustainability.
Whether Danantara’s entry into GoTo’s cap table accelerates consolidation remains uncertain. While state participation could help align interests, sources and analysts say it does not necessarily make a transaction imminent.
For now, the investment appears to be a positioning move—giving the government a seat at the table as the future of Indonesia’s ride-hailing market continues to evolve.
GoTo shares fell 1.96% to 50 rupiah apiece on May 5, extending a prolonged decline of about 86.7% since its IPO in March 2022, when the stock debuted at 338 rupiah per share.
