We refer to the announcements dated 27 March 2014, 30 September 2014, 17 September 2015 and 11 February 2016 in relation to the Investment in Webe Digital Sdn Bhd (Formerly known as Packet One Networks (Malaysia) Sdn Bhd) (“webe”) (“Announcements”). Unless otherwise stated, the definitions used herein shall have the same meanings as set out in the Announcements.

TM wishes to announce that its wholly owned subsidiary, Mobikom, had on 7 September 2016 subscribed to RM495,000,000 nominal value of the second tranche issuance of the Convertible Medium Term Note (“CMTN” previously referred to as “CB”) under the CMTN Programme issued by webe. The proceeds of this CMTN subscription will be utilised to fund the implementation of webe’s business plan.

As a result of Mobikom’s subscription to the CMTN, TM’s (via Mobikom) shareholding in webe on a fully diluted basis is 82.0%, while Green Packet Berhad (via Packet One Sdn Bhd) and SK Telecom Co. Ltd (“SKT”) is 13.2% and 4.8% respectively, under the terms of the Investment Agreement. However, TM’s (via Mobikom) shareholding in the ordinary equity of webe remains at 72.9%, subject to further conversion of the CMTNs and/or exchange and conversion of the Exchangeable Medium Term Note (“EMTN”) into webe’s Shares.

None of the Directors and major shareholders of TM and/or persons connected to them have any interest, direct or indirect, in the abovesaid transaction.

This announcement is dated 7 September 2016.