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42-791: The Bakrie Group is an Indonesian conglomerate founded by Achmad Bakrie in 1942. It has interests across various industries including mining , oil and gas, property development , infrastructure, plantations, media and telecommunications. The group is one of the largest business groups in Indonesia, with 10 companies listed on the Indonesia Stock Exchange . It is headed by Nirwan Darmawan Bakrie and Indra Usmansyah Bakrie as co-chairpersons. H. Achmad Bakrie founded Bakrie & Brothers ("N.V. Bakrie & Brothers") in 1942 in Telukbetung , South Sumatera . Bakrie & Brothers
84-429: A market inefficiency , which undervalues the true strength of these stocks. In her 1999 book No Logo , Naomi Klein provides several examples of mergers and acquisitions between media companies designed to create conglomerates to create synergy between them: A relatively new development, Internet conglomerates, such as Alphabet , Google's parent company belong to the modern media conglomerate group and play
126-736: A $ 2 billion coal-to-methanol manufacturing facility in East Kalimantan. PT. Energi Mega Persada operates several oil and gas assets in Indonesia. In 2011 Energi Persada expanded its business to Buzi block in Mozambique, Africa through their subsidiary EMP Mining Overseas Pte. List of current operations; Bakrie Group owned PT Visi Media Asia Tbk (VIVA) . The company activities covers Free to Air (FTA) TV networks with antv , tvOne , VTV and digital media portal viva.co.id. Through PT. Bakrie Sumatra Plantations, Bakrie Group managed an estimated 100,000 ha of rubber and palm oil plantation in
168-567: A controlling parent company. Each of the Bakrie companies has more subsidiaries involved in various Industry, Digital, Energy and Agricultural sectors. Bakrie Group operates in the mining sector, mainly focused in coal mining through PT. Bumi Resource (BUMI) and its subsidiaries PT. Bumi Resource Minerals (BMRS), PT. Arutmin Indonesia, PT. Kaltim Prima Coal, PT. Pendopo Energi Batubara, and PT. Fajar Bumi Sakti. In May 2020, Bakrie Capital Indonesia signed an agreement with Air Products (APD) to build
210-486: A disorienting and demoralizing experience for executives at acquired companies—those who were not immediately laid off found themselves at the mercy of the conglomerate's executives in some other distant city. Most conglomerates' headquarters were located on the West Coast or East Coast , while many of their acquisitions were located in the country's interior. Many interior cities were devastated by repeatedly losing
252-549: A focus in Asia.) In Japan, a different model of conglomerate, the keiretsu , evolved. Whereas the Western model of conglomerate consists of a single corporation with multiple subsidiaries controlled by that corporation, the companies in a keiretsu are linked by interlocking shareholdings and a central role of a bank. Mitsui , Mitsubishi , Sumitomo are some of Japan's best-known keiretsu, reaching from automobile manufacturing to
294-638: A global presence and a diversified portfolio of products and services. Conglomerates can be formed by merger and acquisitions , spin-offs , or joint ventures . Conglomerates are common in many countries and sectors, such as media , banking , energy , mining , manufacturing , retail , defense , and transportation . This type of organization aims to achieve economies of scale , market power, risk diversification , and financial synergy. However, they also face challenges such as complexity, bureaucracy , agency problems, and regulation . The popularity of conglomerates has varied over time and across regions. In
336-552: A local rubber plantation company PT. Uniroyal Sumatera Plantations (UNSP) then later changed the company name to PT. Bakrie Sumatera Plantations. In 1989, Bakrie & Brothers (BNBR) was listed in Jakarta Stock Exchange (now the Indonesia Stock Exchange). Bakrie Group diversified into media and telecommunications business in the 1990s. A local TV station PT. Cakrawala Andalas Televisi ( ANTV )
378-474: A major role within various industries, such as brand management . In most cases, Internet conglomerates consist of corporations that own several medium-sized online or hybrid online-offline projects. In many cases, newly joined corporations get higher returns on investment , access to business contacts, and better rates on loans from various banks. Similar to other industries many companies can be termed as conglomerates. Visi Media Asia From Misplaced Pages,
420-639: A small slice of many companies in a fund rather than owning shares in a conglomerate. Another example of a successful conglomerate is Warren Buffett 's Berkshire Hathaway , a holding company which used surplus capital from its insurance subsidiaries to invest in businesses across a variety of industries. The end of the First World War caused a brief economic crisis in Weimar Germany , permitting entrepreneurs to buy businesses at rock-bottom prices. The most successful, Hugo Stinnes , established
462-402: Is a type of multi-industry company that consists of several different and unrelated business entities that operate in various industries. A conglomerate usually has a parent company that owns and controls many subsidiaries , which are legally independent but financially and strategically dependent on the parent company. Conglomerates are often large and multinational corporations that have
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#1732797219406504-472: Is currently China's largest civilian-run conglomerate by revenue. In South Korea , the chaebol is a type of conglomerate owned and operated by a family. A chaebol is also inheritable, as most of the current presidents of chaebols succeeded their fathers or grandfathers. Some of the largest and most well-known Korean chaebols are Samsung , LG , Hyundai Kia and SK . In India, family-owned enterprises became some of Asia's largest conglomerates, such as
546-571: The Aditya Birla Group , Tata Group , Emami , Kirloskar Group , Larsen & Toubro , Mahindra Group , Bajaj Group , ITC Limited , Essar Group , Reliance Industries , Adani Group and the Bharti Enterprises . In Brazil the most important conglomerates are J&F Investimentos , Odebrecht , Itaúsa , Camargo Corrêa , Votorantim Group , Andrade Gutierrez , and Queiroz Galvão. In New Zealand, Fletcher Challenge
588-636: The Football Federation Australia (FFA) announced that the Bakrie Group has acquired 100% ownership of A-League club Brisbane Roar FC. In May 2016, Brisbane Roar faced an administrative and financial turbulences when the team ownership held investment in the club, resulting in Brisbane Roar failure to pay staff and players. Conglomerate (company) A conglomerate ( / k ə ŋ ˈ ɡ l ɒ m ə r ə t / )
630-652: The United States , conglomerates became popular in the 1960s as a form of economic bubble driven by low interest rates and leveraged buyouts. However, many of them collapsed or were broken up in the 1980s due to poor performance, accounting scandals, and antitrust regulation. In contrast, conglomerates have remained prevalent in Asia, especially in China , Japan , South Korea , and India . In mainland China , many state-affiliated enterprises have gone through high value mergers and acquisitions , resulting in some of
672-527: The article wizard to submit a draft for review, or request a new article . Search for " Visi Media Asia " in existing articles. Look for pages within Misplaced Pages that link to this title . Other reasons this message may be displayed: If a page was recently created here, it may not be visible yet because of a delay in updating the database; wait a few minutes or try the purge function . Titles on Misplaced Pages are case sensitive except for
714-579: The highest value business transactions of all time. These conglomerates have strong ties with the government and preferential policies and access to capital. During the 1960s, the United States was caught up in a "conglomerate fad " which turned out to be a form of an economic bubble . Due to a combination of low interest rates and a repeating bear-bull market , conglomerates were able to buy smaller companies in leveraged buyouts (sometimes at temporarily deflated values). Famous examples from
756-440: The 1960s include Gulf and Western Industries , Ling-Temco-Vought , ITT Corporation , Litton Industries , Textron , and Teledyne . The trick was to look for acquisition targets with solid earnings and much lower price–earnings ratios than the acquirer. The conglomerate would make a tender offer to the target's shareholders at a princely premium to the target's current stock price. Upon obtaining shareholder approval,
798-627: The 1980s, General Electric also moved into financing and financial services , which in 2005 accounted for about 45% of the company's net earnings. GE formerly owned a minority interest in NBCUniversal , which owns the NBC television network and several other cable networks . United Technologies was also a successful conglomerate until it was dismantled in the late 2010s. With the spread of mutual funds (especially index funds since 1976), investors could more easily obtain diversification by owning
840-603: The United States, some of the examples are The Walt Disney Company , Warner Bros. Discovery and The Trump Organization (see below). In Canada, one of the examples is Hudson's Bay Company . Another such conglomerate is J.D. Irving, Limited , which controls a large portion of the economic activities as well as media in the Province of New Brunswick . Some cite the decreased cost of conglomerate stock (a phenomenon known as conglomerate discount ) as evidential of these disadvantages, while other traders believe this tendency to be
882-618: The VC has backed 16 startups in Indonesia. In 2019, Bakrie Group made an undisclosed investment in BumiLangit Studios, Indonesian character based entertainment company in Indonesia. The Investment was made by VIVA group who are currently focusing on developing Indonesia's own superhero cinematic universe through the library of the intellectual property rights of BumiLangit Studios. The first movie in line, Gundala released in August 2019
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#1732797219406924-455: The conglomerate usually settled the transaction in something other than cash, like debentures , bonds , warrants or convertible debentures (issuing the latter two would effectively dilute its shareholders down the road, but many shareholders at the time were not thinking that far ahead). The conglomerate would then add the target's earnings to its earnings, thereby increasing the conglomerate's overall earnings per share . In finance jargon,
966-558: The development of Tanjung Jati A power station, a coal-fired power station in Central Java. Pelita Jaya Basketball Club was founded in 1987 by Bakrie Group. Pelita Jaya is a three time national basketball league champion. Currently the club management is led by Syailendra Bakrie and currently competing in Indonesian Basketball League (IBL) . C.S. Visé , a second division league Belgium football club
1008-467: The end came in January 1968, when Litton shocked Wall Street by announcing a quarterly profit of only 21 cents per share, versus 63 cents for the previous year's quarter. This was "just a decline in earnings of about 19 percent", not an actual loss or a corporate scandal, and "yet the stock was crushed, plummeting from $ 90 to $ 53". It would take two more years before it was clear that the conglomerate fad
1050-771: The examples are Adamjee Group , Dawood Hercules , House of Habib , Lakson Group and Nishat Group . In the Philippines , the largest conglomerate of the country is the Ayala Corporation which focuses on malls , bank , real estate development , and telecommunications . The other big conglomerates in the Philippines included JG Summit Holdings , Lopez Holdings Corporation , ABS-CBN Corporation , GMA Network, Inc. , MediaQuest Holdings , TV5 Network, Inc. , SM Investments Corporation , Metro Pacific Investments Corporation , and San Miguel Corporation . In
1092-448: The financial crisis. In 2014, Bakrie Group through Bakrie Global Ventura made a US$ 25 million investment in a California-based private social network Path , a social networking-enabled photo sharing and messaging service for mobile devices. Path had the most users in Indonesia compared to any other countries with more than 4 million active users. Bakrie Group has a limited partnership with Convergence Ventures, since its inception in 2015
1134-907: The 💕 Look for Visi Media Asia on one of Misplaced Pages's sister projects : [REDACTED] Wiktionary (dictionary) [REDACTED] Wikibooks (textbooks) [REDACTED] Wikiquote (quotations) [REDACTED] Wikisource (library) [REDACTED] Wikiversity (learning resources) [REDACTED] Commons (media) [REDACTED] Wikivoyage (travel guide) [REDACTED] Wikinews (news source) [REDACTED] Wikidata (linked database) [REDACTED] Wikispecies (species directory) Misplaced Pages does not have an article with this exact name. Please search for Visi Media Asia in Misplaced Pages to check for alternative titles or spellings. You need to log in or create an account and be autoconfirmed to create new articles. Alternatively, you can use
1176-719: The headquarters of corporations to mergers, in which independent ventures were reduced to subsidiaries of conglomerates based in New York or Los Angeles. Pittsburgh, for example, lost about a dozen. The terror instilled by the mere prospect of such harsh consequences for executives and their home cities meant that fending off takeovers, real or imagined, was a constant distraction for executives at all corporations seen as choice acquisition targets during this era. The chain reaction of rapid growth through acquisitions could not last forever. When interest rates rose to offset rising inflation, conglomerate profits began to fall. The beginning of
1218-435: The island of Sumatra. Bakrie Sumatera Plantations Tbk (BSP) is a subsidiary of Bakrie Group. BSP has extensive landbanks. One of its directors is Bungaran Saragih, a former minister of agriculture. It operates or used to operate on peatlands . Through Bakrie & Brothers , Bakrie Group is involved in transportation, water, electricity, and industrial projects in Indonesia through several of its subsidiaries. Bakrie oversaw
1260-503: The most powerful private economic conglomerate in 1920s Europe – Stinnes Enterprises – which embraced sectors as diverse as manufacturing, mining, shipbuilding, hotels, newspapers, and other enterprises. The best-known British conglomerate was Hanson plc . It followed a rather different timescale than the U.S. examples mentioned above, as it was founded in 1964 and ceased to be a conglomerate when it split itself into four separate listed companies between 1995 and 1997. In Hong Kong, some of
1302-652: The new businesses they had recently purchased, and by the mid-1970s most conglomerates had been reduced to shells. The conglomerate fad was subsequently replaced by newer ideas like focusing on a company's core competency and unlocking shareholder value (which often translate into spin-offs ). In other cases, conglomerates are formed for genuine interests of diversification rather than manipulation of paper return on investment. Companies with this orientation would only make acquisitions or start new branches in other sectors when they believed this would increase profitability or stability by sharing risks. Flush with cash during
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1344-714: The production of electronics such as televisions. While not a keiretsu, Sony is an example of a modern Japanese conglomerate with operations in consumer electronics , video games , the music industry , television and film production and distribution , financial services , and telecommunications . In China, many of the country's conglomerates are state-owned enterprises , but there is a substantial number of private conglomerates. Notable conglomerates include BYD , CIMC , China Merchants Bank , Huawei , JXD , Meizu , Ping An Insurance , TCL , Tencent , TP-Link , ZTE , Legend Holdings , Dalian Wanda Group , China Poly Group , Beijing Enterprises , and Fosun International . Fosun
1386-406: The transaction was " accretive to earnings." The relatively lax accounting standards of the time meant that accountants were often able to get away with creative mathematics in calculating the conglomerate's post-acquisition consolidated earnings numbers. In turn, the price of the conglomerate's stock would go up, thereby re-establishing its previous price-earnings ratio, and then it could repeat
1428-425: The well-known conglomerates include Jardine Matheson (AD1824), Swire Group (AD1816), (British companies, one Scottish one English; companies that have a history of over 150 years and have business interests that span across four continents with a focus in Asia.) C K Hutchison Whampoa (now CK Hutchison Holdings ), Sino Group , (both Asian-owned companies specialize business such as real estate and hospitality with
1470-668: The whole process with a new target. In plain English, conglomerates were using rapid acquisitions to create the illusion of rapid growth. In 1968, the peak year of the conglomerate fad, U.S. corporations completed a record number of mergers: approximately 4,500. In that year, at least 26 of the country's 500 largest corporations were acquired, of which 12 had assets above $ 250 million. All this complex company reorganization had very real consequences for people who worked for companies that were either acquired by conglomerates or were seen as likely to be acquired by them. Acquisitions were
1512-455: Was a theater hit grossing 48,3 billion Rupiah. In 2020, due to the COVID-19 pandemic, Bakrie & Brothers of Bakrie Group furloughed 153 of its staff for at least 3 months. Additionally, the company also introduced salary reduction plans to 800 employees in their attempt to reduce financial burdens due to limited business activity. Bakrie Group is made up of 10 individual companies without
1554-484: Was acquired by Bakrie Group in 2011, during Bakrie's ownership Indonesian youth players like Syamsir Alam , Manahati Lestusen and Alfin Tuasalamony were called to play for the club. C.S Vise was eventually sold by Bakrie Group in 2014. Bakrie Group, through PT. Pelita Jaya Cronus acquired A-League title-holders Brisbane Roar FC in 2011. Bakrie Group initially purchased 70% of the club shares, but in 2012
1596-407: Was established as a general trading and distribution company. In the 1950s Bakrie Group business activities have expanded to include general trading, construction services, agribusiness , coal mining, oil & gas, and telecommunications; while continuing to develop manufacturing such as steel pipes, building materials, and automotive components. In 1986, Bakrie & Brothers acquired 75% shares of
1638-462: Was formed in 1981 from the merger of Fletcher Holdings , Challenge Corporation, and Tasman Pulp & Paper, in an attempt to create a New Zealand-based multi-national company. At the time, the newly merged company dealt in construction, building supplies, pulp and paper mills, forestry, and oil & gas. Following a series of bungled investments, the company demerged in the early 2000s to concentrate on building and construction. In Pakistan , some of
1680-411: Was founded in 1992, and started to broadcast nationally a year later in 1993. In the same year Bakrie Group obtained the license to operate fixed wireless telecommunication and entered the telecommunications sector with PT. Bakrie Telecom. In 2001, Bakrie Group entered gas and oil sector as PT. Energi Mega Persada (“ENRG”) a company focused on developing and exploring the upstream oil and gas in Indonesia
1722-417: Was founded. Bakrie Group also acquired 80% of the coal mining company PT. Arutmin Indonesia (Arutmin) from BHP Minerals Exploration Inc, and PT Kaltim Prima Coal from (British Petroleum (BP) and Rio Tinto, in 2003. In 2007, Forbes Asia estimated the Bakrie family had $ 5,4 billion in wealth, however after the 2008 financial crisis it dropped to only $ 850 million as Bakrie Group companies were heavily affected by
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1764-487: Was on its way out. The stock market eventually figured out that the conglomerates' bloated and inefficient businesses were as cyclical as any others—indeed, it was that cyclical nature that had caused such businesses to be such undervalued acquisition targets in the first place —and their descent put "the lie to the claim that diversification allowed them to ride out a downturn." A major selloff of conglomerate shares ensued. To keep going, many conglomerates were forced to shed
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