PT Merdeka Battery Materials Tbk (MBMA) has initiated a share buyback program with an allocation of up to 1.8 billion shares or IDR 1.7 trillion (approximately $102.8 million USD), whichever limit is reached first. This strategic move is a response to significant market fluctuations and is intended to support the company's equity valuation. The buyback operations are scheduled to run for three months, from mid-June to mid-September 2026.
According to an earlier disclosure on June 16, 2026, the company had earmarked up to IDR 1.462 trillion (approximately $88.3 million USD) to repurchase up to 1.548 billion shares. This initiative is being conducted under emergency market provisions by Indonesia's financial services regulator, the Otoritas Jasa Keuangan (OJK), which allows buybacks without prior shareholder general assemblies during periods of systemic trading fluctuations. The aim is to restore equilibrium to the national capital markets and signal confidence in the company's long-term fundamentals.
The company's President Director, Teddy Oetomo, stated that this buyback demonstrates confidence in MBMA's fundamentals and long-term prospects. MBMA is optimistic about its future growth, with higher production targets for nickel mining and downstream segments in 2026. For instance, the company aims for 44,000-48,000 tons of High Grade Nickel Matte production in 2026, a significant increase from 19,998 tons in 2025. Additionally, the PT Sulawesi Nickel Cobalt (SLNC) HPAL project is expected to begin operating its first train in the second half of 2026.
