Investors

We refer to the announcement by Axiata dated 27 July 2018 on; inter-alia, the estimated financial impact due to the de-recognition of Idea as associate to simple investment (“Announcement”). Unless otherwise stated, the definitions used herein shall have the meanings as set out in the Announcement.

The Board of Directors of Axiata wishes to notify that Axiata Group had on 16 August 2018 unconditionally and irrevocably relinquished some of its rights under the Share Subscription Agreement dated 25 June 2008 between; inter-alia, Axiata Group and Idea in relation to subscription by Axiata Group of shares in Idea, the same having been duly acknowledged by Idea on even date (“Relinquishment of Rights”), which include, amongst others, the following:-

i)   Rights to appoint Axiata representative as a Board member of Idea and to the Board Audit Committee of Idea, and

ii)  Anti-dilution rights.

With the Relinquishment of Rights, Axiata ceases to have significant influence on Idea in accordance with applicable accounting standard which will result in:-

i)   Idea being reclassified as a financial asset measured at fair value through other comprehensive income; and

ii)  An estimated de-recognition loss for financial year ending 31 December 2018 (“FYE2018”) (“De-Recognition Loss”).

Further details on the De-Recognition Loss are provided in the attached announcement.

This announcement is dated 16 August 2018.