Indonesia’s richest man, Djarum co-owner Michael Bambang Hartono, dies aged 86
The tycoon had an estimated net worth of US$17.5 billion
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[JAKARTA] Indonesian tycoon Michael Bambang Hartono, co-owner of tobacco giant Djarum and one of South-east Asia’s most influential businessmen, has died at the age of 86, the company said on Thursday (Mar 19).
A representative of Djarum Group confirmed that he died in Singapore, without disclosing the cause of death.
The tycoon was ranked Indonesia’s richest person, and the world’s 158th richest, by Forbes in March, with an estimated net worth of US$17.5 billion.
Hartono was one of Indonesia’s most influential businessmen, best known as the co-owner of Djarum alongside his brother, Robert Budi Hartono.
Born in Kudus, Central Java, on Oct 2, 1939, Michael Bambang Hartono was the son of Chinese-Indonesian entrepreneur Oei Wie Gwan.
The family’s tobacco venture began when Oei bought a bankrupt cigarette firm in 1950 and rebranded it as Djarum, named after a gramophone needle.
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Hartono later played a pivotal role in transforming the company into one of the country’s largest producers of clove cigarettes, known locally as kretek. The company grew into one of the world’s largest kretek manufacturers, employing tens of thousands of workers.
Struck gold in finance and digital
After Indonesia’s Asian financial crisis in the late 1990s, the Hartono brothers took a calculated gamble on the country’s banking sector, acquiring a controlling stake in Bank Central Asia (BCA), now Indonesia’s largest private lender.
They forked out 5.3 trillion rupiah (S$397.8 million) to the Salim family, who were forced to sell their shares amid the banking meltdown.
The move paid off handsomely, becoming the cornerstone of their fortune. Today, the bank’s market capitalisation sits at around 824 trillion rupiah, with total assets of approximately 1,600 trillion rupiah.
The Hartonos expanded into electronics through Polytron, as well as plantations and digital ventures, transforming Djarum into a diversified conglomerate.
They also made their mark in Indonesia’s real estate sector, owning Grand Indonesia, one of Jakarta’s largest malls, and operating the luxury Kempinski Hotel in both Jakarta and Bali.
Control of Djarum’s subsidiaries has been handed to the next generation, including Armand Hartono, Robert Budi Hartono’s son, who is now vice-president-director of BCA.
Despite their immense wealth, the family keeps a low profile, rarely stepping into the media spotlight.
Beyond his business ventures, Michael Bambang Hartono was involved in philanthropy through the Djarum Foundation, which focuses on education, sports and environmental initiatives.
He also played his cards well as a national-level bridge player. In 2020, then-president Joko Widodo honoured him as a senior bridge athlete, recognising his achievements, which included a bronze medal at the 2018 Asian Games.
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