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Media Release

2017-11-03

MedcoEnergi Announces Fully Underwritten Right Issue

JAKARTA, November 3rd 2017 – PT Medco Energi Internasional Tbk (“MedcoEnergi” or the “Company”) is pleased to announce that following a successful Extraordinary General Shareholders Meeting on November 2nd 2017 the Company has filed the prospectus for its planned Rights Issue to the Otoritas Jasa Keuangan.

Subject to regulatory approvals, the Company will offer existing shareholders preemptive rights to subscribe for one new share for every three existing shares held, with each new share receiving a detachable warrant to purchase additional share in the future (“the Offering”). A total of 4.45billion shares will be issued immediately with up to a further 4.45billion shares issued if and when subscribing shareholders subsequently exercise their warrants. All new shares will have the same rights and characteristics as existing shares.

The initial rights issue which is fully underwritten will raise up to IDR2,670billion and will be completed within December 2017 with the proceeds being used for debt payment. The proceeds from the exercise of subsequent warrants will be used for working capital, payment of Company’s liabilities and general corporate purposes.

The subscription price of the new shares will be priced between Rp450 and Rp600 per share. Subscribing shareholders can exercise the warrants between July 2018 and December 2020, with the exercise price for each warrant ranging between Rp500 and Rp850.

Further details of the Offering are available in the Company’s prospectus filing. The Company will also conduct roadshows over the coming weeks to describe the Offering.

Hilmi Panigoro, the President Director of MedcoEnergi, said that “The Rights Issue is a significant milestone for the Company and will improve the Company’s capital structure. The Offering will immediately reward shareholders and also allow them the opportunity to share in the Company’s future success.”