36
d. whereas
based
on
t
he
considerat ions
as
referred
to
in
lett er a,
let t er b,
and
let t er c,
it
is
deemed necessary
t
o draw
up stip ulat ions on the
singl e presence
p
olicy
in
Indonesi an
banks in a
Bank
Indon esia
Regulat ion;
In t hat
publicat ion, st ated
in
Art icle
3
is “ S ince
t
he en act ment of
t
his Bank Indonesia Re gulat ion t hose p art ies which
have beco me
Controlling
Shareholders in more t han 1 (on e) Banks ar e requir ed t o adjust
t
heir
ownership
st ruct ure as
follow s.”
The lett er b
wit hin
the art cle
icle
exp resses
as “t o
imp lement
merger
or consolidat ion
on
Banks
under
t
heir
cont rol;”
2.6.
Merger
2.6. 1. Defini tio ns of Merger
A
comp any
merger
is
a
p
rocess
in w hich
tw o organizat ions
mer ged
their business processes,
app licat ions
and IT infrast ructure
(Broek,
2010).
M
erger can
be
defined
as
“
a
combinat ion
of
t
wo or
more
firms
in
w
hich al l
but
one
l
e
gal ly cease
t
o
e
xist ”.
M
erger is
an
imp ort ant mean
of
t
ransferring
resources t o
w
here they are
most
needed
and
of
removin g underperformin g mana gers
(D ePamp hilis,
2010).
Reed e tal (2007)
describ es
t
hat t he
w
ord
merger h as a
strictly
legal meanin g and has
nothing
t
o
do
wit h
how t he
combined companies
are
t
o
be
operated
in
t
he
fut ure. “A merger
occurs
when
one corp orat ion
is combined
w
ith and
disapp ears
int o
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