Political backing fuels Haji Isam’s costly takeover of Bayan Resources stake

Businessman Andi Syamsuddin Arsyad, popularly called Haji Isam, acquired a 30.25% stake in coal producer Bayan Resources, a deal said to have been facilitated by President Prabowo Subianto after a meeting with former energy minister Purnomo Yusgiantoro. The purchase, finalized on October 7, 2026, cost Rp26.1 trillion for 10.1 billion shares priced at Rp2,588 each, far below the market price of Rp12,550 per share. Financing came from a Rp40 trillion loan from state-owned Bank Mandiri, with collateral consisting of two of Isam’s companies and the bank raising US$750 million in perpetual bonds on the Singapore exchange to meet capital ratios.

The deal boosts Isam’s coal output to roughly 118 million tons, surpassing major rivals Bumi Resources and Adaro Andalan Indonesia. Shortly after, the Energy Ministry granted Bayan an extra 20 million-ton production quota, and MSCI warned of a possible downgrade of Indonesia’s stock market due to concerns over political influence and market manipulation.