PT Chandra Asri Petrochemical Tbk : Abridge of Merger Plan of PT CAP Tbk and PT SMI

ABRIDGE OF MERGER PLAN OF

PT CHANDRA ASRI PETROCHEMICAL TBK AND

PT STYRINDO MONO INDONESIA

THIS ABRIDGE OF MERGER PLAN IS IMPORTANT TO BE CONSIDERED BY SHAREHOLDERS OF PT CHANDRA ASRI PETROCHEMICAL TBK

("CAP") AND PT STYRINDO MONO INDONESIA ("SMI") IN MAKING DECISIONS AT THE EXTRAORDINARY GENERAL MEETING OF

SHAREHOLDERS ("EGMS") OF THE RESPECTIVE COMPANIES WHICH WILL BE HELD ON 7 DECEMBER 2020 IN RELATION WITH THE PLANNED

MERGER OF CAP AND SMI.

IF YOU HAVE DIFFICULTY IN UNDERSTANDING THIS ABRIDGE OF MERGER PLAN, OR HAVE DOUBTS IN MAKING A DECISION, YOU ARE

ADVISED TO CONSULT WITH A PROFESSIONAL ADVISOR.

PT Chandra Asri Petrochemical Tbk	PT Styrindo Mono Indonesia
Head Office	Head Office
Wisma Barito Pacific Tower A, 7th Floor	Wisma Barito Pacific Tower A, 7th Floor
Jl. Letjen S. Parman Kav. 62-63	Jl. Letjen S. Parman Kav. 62-63
Jakarta 11410	Jakarta 11410
Phone: [phone]	Phone: [phone]
Fax: [phone]	Fax: [phone]
Website: http://www.chandra-asri.com
E-mail:[e-mail]

CAP Plant	SMI Plant
Jl. Raya Anyer KM. 123	Mangunreja Village
Gunung Sugih Village	Pulo Ampel District
Ciwandan District	Serang District, 42456
Cilegon City, 42447	Banten
Banten
Main Business Activities:	Business activities:
Petrochemical	Petrochemical

THIS BUSINESS MERGER IS CARRIED OUT BY TAKING INTO ACCOUNT THE INTEREST OF EACH MERGER PARTICIPATING COMPANY, THE PUBLIC AND FAIR COMPETITION IN CONDUCTING BUSINESS, AS WELL AS PAYING ATTENTION TO THE FULFILLMENT OF RIGHTS OF PUBLIC SHAREHOLDERS AND EMPLOYEES.

THIS ABRIDGE OF MERGER PLAN IS JOINTLY PREPARED BY THE RESPECTIVE BOARD OF DIRECTORS OF EACH COMPANIES AFTER THE

PROPOSED MERGER PLAN OF EACH MERGER PARTICIPATING COMPANY HAS BEEN APPROVED BY THE RESPECTIVE BOARD OF

COMMISSIONERS OF THE MERGER PARTICIPATING COMPANIES.

THIS ABRIDGE OF MERGER PLAN HAS BEEN APPROVED BY THE RESPECTIVE BOARD OF COMMISSIONERS OF CAP AND SMI ON 9 OCTOBER

2020, BUT HAS NOT RECEIVED AN EFFECTIVE STATEMENT FROM THE FINANCIAL SERVICES AUTHORITY (OTORITAS JASA

KEUANGAN/"OJK") AND HAS NOT BEEN APPROVED BY THE RESPECTIVE SHAREHOLDERS OF CAP AND SMI.

IN THE EVENT THAT THE GENERAL MEETING OF SHAREHOLDERS DOES NOT APPROVE THIS MERGER PLAN, THEN IN ACCORDANCE WITH THE APPLICABLE LAW, THE MERGEN PLAN MAY ONLY BE RESUBMITTED TO OJK WITHIN 12 (TWELVE) MONTHS AFTER THE HOLDING OF EGMS OF CAP AND SMI TO BE HELD ON 7 DECEMBER 2020.

THE BOARD OF DIRECTORS AND THE BOARD OF COMMISSIONERS OF THE MERGER PARTICIPATING COMPANIES ARE FULLY RESPONSIBLE

FOR THE AUTHENTICITY OF ALL MATERIAL INFORMATION OR FACTS CONTAINED IN IN THE MERGER PLAN AND CONFIRM THAT AFTER

HAVING SUFFICIENT INQUIRY, NO RELEVANT MATERIAL OR FACTS PRESENTED CAUSES ANY MATERIAL INFORMATION OR FACTS

DISCLOSED IN THIS MERGER PLAN TO BE INCORRECT AND MISLEADING.

This Abridge of Merger Plan is published on 13 October 2020

ESTIMATED SCHEDULE

No.	Activities	Implementation
1.	The last date of shareholders' recording in CAP's register of	November 11, 2020
	Shareholders who are entitled to attend EGMS, and who have the
	right to sell their shares.
2.	Estimated date of Effective Statement from OJK on Merger plan.	December 1, 2020
3.	a. EGMS of CAP and SMI.	December 7, 2020
	b. The Board of Directors of CAP and SMI signed the Deed of
	Merger based on a draft of Deed of Merger already approved
	by the EGMS.
4.	The period of statement of intent to sell from CAP's shareholders who	December 8, 2020 - December 10,
	disagree and intend to sell their shares.	2020
		(if this period is extended, CAP will
		make an announcement on such
		change)
5.	Effective Date of Merger	January 1, 2021 or other date as
		agreed by CAP and SMI

ii

DEFINITION AND ABBREVIATION

Deed of Merger	:	A deed drawn up before notary in Indonesian and the draft of deed
		shall obtain approval of EGMS of respective Merger Participating
		Companies.
Business Permit	:	Registration issued to the business actor to commence and run
		business and/or activities and issued in form of approval contained
		in form of letter/decision or fulfillment of requirements and/or
		statement of the business actor to fulfill the requirements of the
		Business Permit and/or Commercial or Operational Permit (as
		defined below).
Surviving Company	:	CAP.
Merger Participating Companies	:	CAP and SMI.
Merging Company	:	SMI.
IDX or Stock Exchange	:	A party that organizes and provides a system and/or facility to bring
		together the sale and purchase offers of securities of the other
		parties with the objective to trade the securities between them, that
		in this case is PT Bursa Efek Indonesia, having its domicile in South
		Jakarta, or their successors and assigns.
BNRI	:	State Gazette of the Republic of Indonesia.
CAP	:	PT Chandra Asri Petrochemical Tbk.
The Directorate General of Taxes	:	The Directorate General of Taxes, the Ministry of Finance of the
		Republic of Indonesia.
Subsidiaries	:	Company(ies) whose financial statements are consolidated with
		CAP in accordance with accounting standards prevailing in
		Indonesia.
e-RUPS	:	Electronic systems or means used to support the provision of
		information, implementation and reporting of the general meeting of
		shareholders of the Public Company.
Commercial or Operational Permit	:	The permit issued by the Online Single Submission ("OSS")
		institution for and on behalf of the minister, the head of institution,
		governor or district head/mayor after the business actor obtains
		Business Permit and to carry out the commercial or operational
		activities to fulfill the requirements and/or the business actor to fulfill
		the requirements of Business Permit and/or Commercial or
		Operational Permits.
Business Permit	:	The permit issued by OSS institution for and on behalf of the
		minister, head of institution, governor, or district head/mayor after
		the business actor submits the application for registration and to
		commence the business and/or activity until before the
		implementation of the commercial or operational activities by
		fulfilling the requirements and/or business actor to fulfill the
		requirements of Business Permit and/or Commercial or Operational
		Permit.
MoLHR	:	Ministry of Law and Human Rights of the Republic of Indonesia, as
		amended from time to time.
KSEI	:	PT. Kustodian Sentral Efek Indonesia.
Depository and Settlement Institution	:	The party conducting central custodian activities for custodian bank,
		securities companies.

iii

MoF	:	The Minister of Finance of the Republic of Indonesia, as amended
		from time to time.
Ministry of LHR	:	Minister of Law and Human Rights of the Republic of Indonesia, as
		amended from time to time.
Financial Services Authority/Otoritas Jasa	:	The independent institution as referred to in the Law No. 21 of 2011
Keuangan or OJK		regarding Financial Services Authority ("Law on OJK"), which
		duties and authorities cover the regulation and supervision of the
		financial service activities in the banking sector, capital market,
		insurance, pension fund, financial institution and other financial
		institutions, where as of December 31, 2012, OJK is an institution
		substituting and receiving the rights and obligations to carry out the
		regulation and supervisory functions of the Capital Market
		Supervisory Board ("Bapepam") and/or Bapepam and Financial
		Institution ("Bapepam-LK") in accordance with the provisions in
		Article 55 of the Law on OJK.
Merger	:	Merger of business from SMI to CAP.
Regulation of BEI No. I-G	:	The Regulation No. I-G, Appendix to Decree of the Board of
		Directors of the Jakarta Stock Exchange No. Kep-001/BEJ/012000
		dated
		January 4, 2000 regarding Business Merger or Business
		Consolidation.
PMK No. 52/PMK.010/2017	:	Minister of Finance No. 52/PMK.010/2017 regarding Use of Book
		Value for Transfer and Acquisition of Assets in the Context of
		Business Merger, Consolidation, Expansion or Acquisition as
		amended	by	Minister	of	Finance	Regulation	No.
		205/PMK.010/2018.
POJK No. 33/2014	:	Regulation of OJK No. 33/POJK.04/2014 regarding Board of
		Directors and Board of Commissioners of Issuers or Public
		Companies dated December 8, 2014.
POJK No. 31/2015	:	Regulation of OJK No. 31/POJK.04/2015 regarding Disclosure of
		Information or Material Facts by Issuers or Public Companies dated
		December 22, 2015.
POJK No. 74/2016	:	Regulation of OJK No. 74/POJK.04/2016 regarding Business
		Merger or Amalgamation of Public Companies dated December 28,
		2016.
POJK No. 30/2017	:	Regulation of OJK No. 30/POJK.04/2017 regarding Buyback of
		Shares Issued by Public Companies dated June 22, 2017.
POJK No. 15/2020	:	Regulation of OJK No. 15/POJK.04/2020 regarding Plan and
		Holding of General Meeting of Shareholders of Public Companies
		dated April 21, 2020.
POJK No. 42/2020		Regulation of OJK No. 42/POJK.04/2020 regarding Affiliated
		Transactions and Conflict of Interest Transactions dated July 2,
		2020.
PP No. 27/1998	:	Government Regulation No. 27 of 1998 regarding Merger,
		Amalgamation and Acquisition of Limited Liability Company.
PSAK	:	Statement of Financial Accounting Standards.
Merger Plan	:	A Merger Plan prepared jointly by CAP and SMI.
EGMS	:	Extraordinary General Meeting of Shareholders.
AGMS	:	Annual General Meeting of Shareholders.
SMI	:	PT Styrindo Mono Indonesia.
Effective Date of Merger	:	January 1, 2021 or other date as agreed by CAP and SMI.
Affiliated Transactions	:	Transactions as defined in POJK No. 42/2020.
Manpower Law	:	Law No. 13 of 2003 dated March 25, 2003 regarding Manpower,
		State Gazette of the Republic of Indonesia No. 39 of 2003,
		Supplement No. 4279.
Capital Market Law	:	Law No. 8 of 1995 dated November 10, 1995 regarding Capital

iv