UNLOCKING THE VALUE OF ITS SUBSIDIARIES KF CONDUCTS SHARE TRANSFERS WITH AII AND CIZJ

Jakarta, December 30th, 2022 -  In regard to the development of the healthcare industry in Indonesia, PT Kimia Farma Tbk (KAEF) diverted its subsidiary shares of PT Kimia Farma Apotek (KFA). This was done through the signing of deed of sale and purchase of shares of KFA owned by KAEF with the investors on 27 December 2022 at Jakarta. The investors that were involved include PT Akar Investasi Indonesia (“AII”) as a subsidiary of Indonesia Investment Authority (INA) and CIZJ Limited (CIZJ) as a subsidiary of Silk Road Fund Co., Ltd. The signing of the deed is a continuation of the signing of Conditional Share Subscription and Purchase Agreement event on 13 November 2022. The event was attended by the President Director of KAEF, Mr. David Utama; Finance and Risk Management Director of KAEF, Mrs. Lina Sari; Board of Directors of KFA; as well as INA, AII, SRF, and CIZJ.

KAEF has made an agreement with AII and CIZJ to invest in KFA to support the working capital and business development where KFA will enhance its business through a new business model through digitization, by combining offline and online store through omnichannel strategy, Pharmacy-Clinical Lab-Diagnostic Lab integration, and New Digital Channel. To date, the number of existing outlets owned is 1.195 pharmacies, 410 clinics, and 72 Clinical Laboratories spreaded throughout Indonesia.

“The development of pharmacy and clinic service will be continued by observing the available market opportunity. The goal is so that people can access quality health services. Kimia Farma set a development implementation through Partnership Strategy with partnering business companies such as AII and CIZJ that can provide benefit to enhance Operational Excellence & Service Experience so that KFA can create superior value.” said David Utama as the President Director of PT Kimia Farma Tbk. With PT Akar Investasi Indonesia (AII) and CIZJ Limited (CIZJ) joining with Kimia Farma, it will support the business development of Kimia Farma to continue ease people in accessing quality health services.