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20250630_INDR_Informasi Transaksi Afiliasi_31909852_lamp2.pdf

Asset transaction Needs review INDR

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                                                                                                      PT. Indo-Rama Synthetics Tbk




Number                :   IRS/CS-0625/029                                                                           30 Juni 2025
Regarding             :   Transaction with affiliated party

To: Executive Head Capital Market Supervision
Financial Services Authority
Jakarta

We hereby for and on behalf of the company submit Disclosure of Transaction with affiliated party
as given below:

   Name of Issuer or Listed Company                    : PT. Indo-Rama Synthetics Tbk (“IRS”)
   Line of Business                                    : Manufacturer of raw materials for the textile and
                                                         packaging industry and as holding company
   Telephone                                           : +62-21-5261555
   Fax                                                 : +62-21-5261501
   E-mail                                              : corporate@indorama.com

   1.    Date of Event                     30 June 2025

   2.    Transaction Object                Amendment to Shareholder Loan Facility Agreement between IRS
                                           and PT Cikondang Kancana Prima (“CKP”) (“Transaction”)

   3.    Transaction Value                 Increasing the maximum loan value given by the IRS to CKP by
                                           Rp 360,000,000,000 (Three Hundred and Sixty Billion Rupiah) so
                                           that the maximum loan limit of Rp240,000,000,000 (two hundred
                                           forty billion Rupiah) becomes Rp 600,000,000,000 (six hundred
                                           billion Rupiah)

   4.    Name of the Parties               Lender : IRS
                                           Borrower : CKP

   5.    Nature of Affiliation             CKP is a subsidiary of the IRS which is 80% owned by the IRS.


Summary of the Appraiser's Report number 00063/2.0176-00/BS/04/0453/1/VI/2025 dated 26 June
2025 regarding the fairness of the Transaction is given below:

   Appraiser’s                 KJPP Ferdinand, Danar, Ichsan dan Rekan (“Appraiser”)
   Identity

   Appraisal Object            Amendment to Shareholder Loan Facility Agreement dated 3 May 2021
                               between IRS and CKP

   Purpose of                  Provide fairness opinion on the Transaction pursuant to POJK number 42 /
   Appraisal                   POJK.04/2020 (“POJK 42”)
   Assumptions and             1. This fairness opinion report is a non-disclaimer opinion.
   limiting                    2. The Appraiser has reviewed the documents used in the process of

17th Floor, Graha Irama, Jl. H.R. Rasuna Said Blok X-1 Kav. 1-2, Jakarta 12950 Indonesia | T + 62 21 5261555 | www.indorama.com

                                                                                                                          Page 1 of 4
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                                                                                                        PT. Indo-Rama Synthetics Tbk




    conditions                       preparing the fairness opinion.
                                 3. The data and information obtained are from sources that can be trusted
                                     for their accuracy.
                                 4. Appraiser has used financial projections made by management of the
                                     Parties.
                                 5. Analysis, opinions and conclusions made by the Appraiser, as well as the
                                     Appraisal Report have been prepared in accordance with the provisions
                                     of the Indonesian Appraisal Standard (SPI), the Indonesian Appraisal
                                     Code of Ethics (KEPI), and POJK 35 concerning Guidelines for the
                                     Assessment and Presentation of Business Valuation Reports in the
                                     Capital Market.
                                 6. Appraiser is responsible for the fairness opinion report and the final
                                     opinion conclusion.
                                 7. All disputes in the form of criminal and civil cases (both inside and
                                     outside the court) relating to the object of fairness opinion analysis are
                                     not our responsibility.
                                 8. We want to emphasize that the results of our studies, analyzes and
                                     responsibilities are specifically limited to the aspect of fairness opinion
                                     on the object of the Transaction, apart from other transactions besides the
                                     Transaction, feasibility studies, taxation and legal aspects because these
                                     are outside the scope of the assignment.
                                 9. Changes made by the Government and the private sector relating to the
                                     condition of the object of fairness opinion analysis, in this case market
                                     conditions and so on, are not our responsibility.
                                 10. This fairness opinion report is presented only for the objects and purposes
                                     as stated in the report and cannot be used for other objects and purposes
                                     and we are not responsible if this report is used for other purposes.
                                 11. This fairness opinion report is one of the information to be used as a
                                     rationale for making decisions, but it is not binding and cannot be used
                                     as the basis for determining a decision which has legal consequences,
                                     because this fairness opinion report is solely made based on the study of
                                     scientific disciplines and abilities that we have.

    Approach and                 Proposed Transaction Risk Analysis
    method of
    Appraisal                   (a) The risk of default, where this risk is related to the problem of CKP's
                                    ability to meet its obligations for repayment of loans.
                                (b) The risk of not achieving financial projections, where this risk is related
                                    to the achievement of CKP's financial performance.

                                 Investment Feasibility Analysis

                                 The investment feasibility analysis is carried out to see the feasibility level of
                                 the CKP investment plan using the funds associated with the Transaction. The


17th Floor, Graha Irama, Jl. H.R. Rasuna Said Blok X-1 Kav. 1-2, Jakarta 12950 Indonesia | T + 62 21 5261555 | www.indorama.com
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                                                                                                        PT. Indo-Rama Synthetics Tbk




                                 NPV value in this analysis shows a positive number and the IRR value is
                                 greater than the discount rate, so we are of the opinion that the planned use of
                                 funds for the Transaction is feasible.

                                 Fairness Analysis of Transaction Value

                                 Fairness analysis by comparing the interest rate of the Transaction Plan
                                 Loan with the interest rate of other loans. Based on data on credit loan
                                 interest rates of all banks in Indonesia in Rupiah from the Financial Services
                                 Authority (OJK) as of December 2024, it ranges from 6.00% to 11.98% with
                                 a lower and upper limit of fairness of 5.55% and 12.88%, respectively.
                                 Meanwhile, the interest rate of the Transaction Plan loan is JIBOR + 3%, or
                                 equivalent to 9.92% based on JIBOR for a period of 3 months as of the
                                 assessment date, so it is still within reasonable limits and does not exceed
                                 7.50% of the market data used as a reference, as regulated in POJK 35, so it
                                 is determined as fair.

                                 Incremental Analysis

                                 Incremental Analysis is carried out to see the benefits of the Transaction for
                                 IRS. In this case, the analysis is carried out by comparing the financial
                                 projections of IRS with and without the Transaction. In this analysis, the
                                 implementation of the Transaction will increase the amount of profit before
                                 tax and net income of IRS. This is due to the difference in interest expense,
                                 which is recorded in IRS consolidated profit and loss projection.

    Fairness opinion             By considering the fairness analysis of the Transaction carried out including
    on the Transaction           qualitative analysis and quantitative analysis, from an economic and financial
                                 perspective, in our opinion, the Transaction for providing loans by IRS to
                                 CKP is fair.



  Other Information

    Proforma impact of the                The Transaction is not expected to cause any disruption of the business
    transaction on the                    continuity of IRS.
    financial condition of the
    Public Company, in the
    case of a potential
    transaction resulting in
    disruption of the business
    continuity of the Public
    Company
    Explanation,                          1. This Shareholder Loan Facility is part of IRS’s post-acquisition
    consideration, and                       plan for CKP to initiate ore mining and processing to make it a
    reasons for conducting                   productive and operating company so as to provide economic



17th Floor, Graha Irama, Jl. H.R. Rasuna Said Blok X-1 Kav. 1-2, Jakarta 12950 Indonesia | T + 62 21 5261555 | www.indorama.com
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                                                                                                        PT. Indo-Rama Synthetics Tbk




    the Affiliated                             benefits for IRS.
    Transaction, compared to
    if other transactions of              2. Through the Shareholder Loan Facility to finance pre-operation
    the same type are made                   expenses, overheads, mine development and processing facilities,
    that are not carried out                 it is hoped that CKP can carry out its operational activities well in
    with an Affiliated party                 the coming years, so that this will also provide a good image in the
                                             eyes of investors and the public that IRS and its business groups
                                             can diversify their business well and maintain their productivity,
                                             which has implications for IRS's share price.

                                          3. The Transaction will provide benefits to IRS on a consolidated
                                             basis, where the loans obtained by CKP can be used for pre-
                                             operation expenses, overheads, mine development and processing
                                             facilities, so that with the development of the CKP business it will
                                             make a positive contribution to IRS on a consolidated basis.

                                          Incremental Analysis has been carried out by the Appraiser, to see the
                                          benefits of the Transaction for IRS. In this case, the analysis is carried
                                          out by comparing the financial projections of the IRS with and without
                                          the Transaction. In this analysis, the implementation of the Transaction
                                          will increase the amount of profit before tax and net income of IRS.
                                          This is due to the share of profits from CKP, which is recorded in IRS
                                          consolidated profit and loss projection.


BOARD OF COMMISSIONERS & BOARD OF DIRECTORS DECLARATION

The Board of Directors of the Company hereby declares that the affiliated transactions have gone
through adequate procedures to ensure that the Affiliated Transactions are carried out in accordance
with generally accepted business practices.

The Board of Commissioners and Board of Directors of the Company hereby state that:
(a) This Affiliated Transaction does not contain a conflict of interest; and
(b) All material information has been disclosed and the information is not misleading.

Yours faithfully,
PT. Indo-Rama Synthetics Tbk




Vishnu Swaroop Baldwa
President Director

cc: PT Bursa Efek Indonesia




17th Floor, Graha Irama, Jl. H.R. Rasuna Said Blok X-1 Kav. 1-2, Jakarta 12950 Indonesia | T + 62 21 5261555 | www.indorama.com
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Published30 Jun 2025
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Names mentioned 7 people and organisations named in the text · linked when the evidence is strong

linked org Indo-Rama Synthetics Tbk p.1 ×12
linked person Vishnu Swaroop p.4
possible org PT Bursa Efek Indonesia p.4
unresolved org Financial Services Authority p.1 ×2
unresolved org KJPP Ferdinand p.1
unresolved org Ichsan dan Rekan p.1

Extraction attempts how the parser did, and what it refused

Nothing structured was extracted from this document — the attempts below say why.

Rule parser Needs review confidence 0.091 767 ms 12 Sep 2026 22:37
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