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Corporate Update February 2018 Listed & traded on the Indonesia Stock Exchange (IDX) IDX Ticker Code: BHIT www.mncgroup.com PT MNC Investama Tbk

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  • Corporate Update February 2018

    Listed & traded on the Indonesia Stock Exchange (IDX) IDX Ticker Code: BHIT www.mncgroup.com

    PT MNC Investama Tbk

  • Disclaimer

    2

    This material has been prepared by PT MNC Investama Tbk (the "Company") and is only for internal usage. By attending this presentation, you are agreeing to be bound by the restrictions set out below. Any failure to comply with these restrictions may constitute a violation of applicable securities laws.

    The information and opinions contained in this presentation are intended solely for your personal reference and are strictly confidential. The information and opinions contained in this presentation have not been independently verified, and no representation or warranty, expressed or implied, is made as to, and no reliance should be placed on the fairness, accuracy, completeness or correctness of, the information or opinions contained herein. It is not the intention to provide, and you may not rely on this presentation as providing, a complete or comprehensive analysis of the condition (financial or other), earnings, business affairs, business prospects, properties or results of operations of the company or its subsidiaries. The information and opinions contained in this presentation are provided as at the date of this presentation and are subject to change without notice. Neither the company (including any of its affiliates, advisors and representatives) nor the underwriters (including any of their respective affiliates, advisors or representatives) shall have any responsibility or liability whatsoever (in negligence or otherwise) for the accuracy or completeness of, or any errors or omissions in, any information or opinions contained herein nor for any loss howsoever arising from any use of this presentation.

    In addition, the information contained in this presentation contains projections and forward-looking statements that reflect the company's current views with respect to future events and financial performance. These views are based on a number of estimates and current assumptions which are subject to business, economic and competitive uncertainties and contingencies as well as various risks and these may change over time and in many cases are outside the control of the company and its directors. No assurance can be given that future events will occur, that projections will be achieved, or that the company's assumptions are correct. Actual results may differ materially from those forecast and projected.

    This presentation is not and does not constitute or form part of any offer, invitation or recommendation to purchase or subscribe for any securities and no part of it shall form the basis of or be relied upon in connection with any contract, commitment or investment decision in relation thereto. This presentation may not be used or relied upon by any other party, or for any other purpose, and may not be reproduced, disseminated or quoted without the prior written consent of the company.

    Any investment in any securities issued by the company or its affiliates should be made solely on the basis of the final offer document issued in respect of such securities.

    The contents of this presentation may not be reproduced, redistributed or passed on, directly or indirectly, to any other person or published, in whole or in part, for any purpose.

  • 3

    1. Corporate Overview

    2. Media

    3. Financial Services

    4. Property

  • BHIT Milestone

    2002 2003

    1989 1999

    1997

    2004

    2011

    2001

    2010

    2013 2012

    2007

    • PT Bhakti Investama (“BHIT”) established in Nov 1989

    • BHIT IPO

    • BHIT transferred securities business to Bhakti Capital Indonesia ("BCAP") and Bhakti Asset Management

    • BCAP IPO

    • Acquired Global Mediacom (“BMTR”)

    • BCAP repositioned as holding company for financial services businesses • Media Nusantara Citra (“MNCN”) established as holding company for content and advertising based media

    •Securities business transferred to Bhakti Securities.

    • BHIT acquired 20% stake in MSKY • MNC conducted IPO • BMTR acquired 51% stake in MNC Sky Vision (“MSKY”)

    • BCAP acquired UOB Life Sun Assurance (MNC Life)

    • BMTR increased its stake in MSKY to 75.4%

    • The Company entered into the energy and natural resources business.

    • MNC Securities, MNC Asset Management and MNC Finance Rebranding

    • BCAP acquired Jamindo General Insurance (MNC Insurance)

    • MSKY IPO • Rebranding into PT MNC Kapital Indonesia

    • Rebranding BHIT into MNC Investama • BHIT acquired 26.23% stake in MNC Land. • Global Bond Issuance amounted to US$365 mn.

    2014

    • BCAP acquired 39.5% PT Bank ICB Bumiputera Tbk (PT Bank MNC Internasional Tbk)

    • BCAP acquired PT Indo Finance Perkasa (MNC Leasing)

    • MNC Play launched

    2015

    • Grand Launching of iNews

    • Through MNCLand signed agreement with TRUMP and KLH (Korean Land & Housing)

    • Launched misteraladin.com an online travel services.

    2016

    • Inauguration of MNC Studios in Kebon Jeruk & iNews Tower in Kebon Sirih

    • Soft Launch of MeTube.id

    2017

    • GTV, iNews, MNC Vision, Okezone.com and The F Thing Rebranding • MNC Group Develop MNC Innovation Center • Inauguration of MNC Financial Services integrated branch offices in Surabaya, Pekanbaru and Medan. • Change of name of PT MNC Securities to PT MNC Sekuritas. • PT MNC Land Tbk (MNC Land) and Hyatt Hotels Corporation announced plans to bring the first Park Hyatt hotel in Indonesia in Jakarta.

    http://www.misteraladin.com/

  • 5

    Corporate Structure

  • 6

    1. Corporate Overview

    2. Media

    3. Financial Services

    4. Property

  • PT Global Mediacom Tbk (MNC Media) Corporate Structure

    7

    Global Mediacom Tbk

    Media Nusantara Citra Tbk

    Content and Advertising Based Media

    PT MNC Vision Network Subscription Based Media

    Online Media

    IPTV/Fixed Broadband Broadband DTH Pay TV

  • 8

    The Largest Integrated Media Company in Southeast Asia

  • The Largest Content Producer

    9

    RCTI, MNCTV, and GTV grow significantly outperforming the industry

    20 exclusive channels on MNC Sky Vision to generate ad revenue

    Integrated TV studios has been completed in 2015, is set to increase production capacity

    and quality of programming with efficient costs

    • 80% of our contents are local with more than 90% produced in-house • Gradually reducing foreign content, due to low margin and high cost • Targeting to increase local content to approximately 100% in 2018, which will lead to a decrease in

    programming cost and higher EBITDA Margin

  • The Largest & Leading Audience Share

    10

    Content is the only way to capture audience share

    and monetize advertising dollars

    Indonesians love dramas and we broadcast many of

    the top drama series

    We have licensed popular International programs

    such as Master Chef, Indonesian Idol and X Factor

    More than 300,000 hours of content library and

    increasing by more than 15,000 – 20,000 hours

    annually

    We also have 20 MNC branded Pay TV Channels.

    These channels are integral to our content strategy

    Creating the best content is our top priority

    “Content is where I expect much of the real money will be made on the Internet, just as it was in broadcasting.

    The television revolution that began half a century ago spawned a number of industries, including the manufacturing of TV

    sets, but the long-term winners were those who used the medium to deliver information and entertainment.”

    “Content is King” by Bill Gates in 1996

    Source: Nielsen Prime-Time All Demographic 5+ Audience Share

  • MNC Has The Best Talent Search Format Lineup

    11

    Pioneering the international scale talent search programs in Indonesia, such as

    Indonesian Idol - 8th season and running,

    X-Factor Indonesia - 2nd season and running,

    Rising Star Indonesia - The 1st Season with interactive talent search programs

    MasterChef Indonesia - 3rd season and running

    The Voice Indonesia – Aired February 2016 Our talent search programs are 3x more profitable than competing “In-house” dangdut singing competition

  • MNC Dominates Top 20 Program as of 2017

    12

    • New comedy drama series produced by MNC Pictures “Dunia Terbalik” performed very strong topping the program charts.

    • 5 out of the Top 10 drama series for 2017 belongs to MNC

  • Build-In Advertising Traditional TVC

    Advertising Revenue Stream

    Traditional TVC Commercial (15”

    and 30” ) during commercial

    break

    Virtual ads

    Built-in sponsorship and off air

    events

    Virtual Advertising on Drama Series (TOP)

    Virtual Advertising on Variety Shows (Dashyat)

    Revenue Streams - TV Advertising Revenue

  • Digital Mobile/ Online Advertising Revenue

    14

  • Content Revenue

    All the local content is sourced from the Group/s content library and produced in house

    Library is monetized by selling to FTA, Pay-TV, and OTT in both Indonesia and Overseas

    Revenue is generated from advertising and subscription

    We are planning to supply 8 additional channel to Malaysia in Q2-2018

    Pay TV

    OTT Produced for

    Indonesia and overseas

    15

  • Content Revenue (Including Digital Content)

    Content business is growing, content revenue is derived not only from FTA,

    but also from digital platforms in Indonesia and overseas

    More than 300.000 hours of content library to sell

    16

  • All Contents Are Produced Using State-of-the Art Broadcasting Facilities

    17

    MNC TV RCTI GTV

    Entertainment Based Infrastructure Integrated News Center

    INEWS

  • 18

    PT MNC Vision Networks Corporate Structure

    Global Mediacom Tbk

    PT MNC Vision Network Subscription Based Media

    IPTV/Fixed Broadband Broadband DTH Pay TV

  • 19

    MNC Vision at a Glance

    Notes 1 As of 31 Dec 17 2 For the period 2011-2017 3 Media Partners Asia 2017 Report 4 Weighted average period Jan-Dec 2017

  • 20

    Notes 1 Up to 31 Dec 17 2 Monthly Average 2017 3 YTD Dec 2017

    MNC Play at a Glance

  • 21

    Superior Broadband and Pay TV Product Offerings

    The Fastest Internet Connection

    Light Speed Upload & Download

    Modern Fiber with

    Latest Wi-Fi Technologies

    100% Fiber Optic

    The Most Sophisticated Pay TV Offering You Will Not Miss Your Favourite Shows

    Video On Demand Feature

    172 SD and HD Channels

    Television On Demand

    Pause, Play and Rewind

    for All Channels

    Watch on Your Mobile Devices

    Anytime and Anywhere

    Android Set-Top-Box

    Light Speed Upload

    and Download 1

    Gbps

    Symmetrical Upload

    and Download Speed

    Network Ability up to

    10 Gbps

    Media Sharing Ready

  • 22

    MNC Now at a Glance

    Home TV Series Films

    Offering the best of local entertainment anytime, anywhere...

    More than 80 channels of live TV channels 7-day Catch-Up TV More than 4,000 hours of on-demand entertainment Free value-added service to eligible subscribers of MNC Play and MNC Vision Available on compatible Android and iOS devices

  • MNC Media - Company Advantage

    23

    The Media Industry

    Still Growing

    • Media penetration in Indonesia is still low.

    • The percentage of ad spend in Indonesia is still low and is projected to

    increase along with rising advertising demand

    • Advertising rates in media in Indonesia is relatively inexpensive compared

    with other countries, suggesting that the potential rate increase in the

    future.

    1

    Largest &

    Integrated Media

    Company

    • The Company is the Largest Media Company in Indonesia with various

    subsidiaries and integrated media, as well as having synergy in increasing

    revenue.

    • The growth of Company-owned media such as RCTI, MNCTV, and GTV is

    higher than the average of the media industry

    2

    Content with

    Significant Market

    Share

    • Company broadcast the event with content that is highly appreciated by

    the public to maintain market share and advertising revenue.

    • The Company has an in-house production division to continue creating

    events and content productively (over 15,000 content annually)

    3

    Experienced

    Management Team

    4

    • The Company's management has the expertise and experience to

    continue to develop the company's business

  • 24

    1. Corporate Overview

    2. Media

    3. Financial Services

    4. Property

  • PT MNC Kapital Indonesia Tbk (MNC Financial Services) Corporate Structure

    25

    Improve market positioning of products Product cross selling Leverage on wider distribution network

    Note : as of Sept 2017

    Total assets (in Rp Bio)

    11,338 3,170 652 826 52 494 481

    Office network in Indonesia

    72 45 15 96* 5 19* 18

    * Including Point of Sales

    Potential synergies through

  • 26

    50%

    24%

    11%

    6% 5%

    3% 1%

    48%

    27%

    5%

    5%

    1% 7% 7%

    MNC Bank

    MNC Finance

    MNC Leasing

    MNC Sekuritas

    MNC AssetManagementMNC Insurance

    11%

    Sources of Revenue

    Full Year 2016 9 Months 2017

    Capitalizing on Distinctive Advantages

    Strong Impact of the MNC Brand 1

    2

    Synergies

    3

    Managed by Professionals with a Proven Track Record

    4

    Low Penetration Rates

    Strategies

    • Creating a one-stop financial service center (financial supermarket)

    • Maximizing value creation & creating greater synergies amongst subsidiaries

    • Developing an integrated online system (digitalization)

    • Strengthening market penetrations

    • Focusing on retail businesses

    • Implementing better risk management, corporate governance & lowering acquisition cost as well as cost of funds

    • Expanding our investments through unorganic means (mergers and acquisitions)

  • Synergies

    27

    Benefitting from the expansions of MNC Land Strong exposure for promotions of products & services Capitalizing on MNC Vision’s 2.5 million subscribers as

    well as the client data base from MNC Shop and MNC Play

  • 28

    1. Corporate Overview

    2. Media

    3. Financial Services

    4. Property

  • Business Profile

    29

    A proven track record in managing various category of investment properties. Next, the Company is focusing on developing the following segments :

    MNC Lido City, Integrated Lifestyle & Entertainment hub

    MNC Bali Resort, Integrated Lifestyle & Entertainment hub

    MNC City, Smart City in Jabodetabek area

    Property Services General Properties (office building, high-rise residential,

    upscale hotel)

  • MNC LIDO CITY

    WORLD-CLASS DESTINATION

    FOR PEOPLE TO LIVE, WORK & PLAY

    THE PRIDE OF

    INDONESIA

  • MNC Lido City – The Pride of Indonesia

    31

    LIVE, WORK AND PLAY

    • The premiere Lifestyles of Health and Sustainability (LOHAS) Community in Indonesia

    • Total masterplan area of 3,000 ha with 2,000 ha of land in possession

    • Business model : Development income and Recurring income

    • Huge potential upside from land price as well as the project

    PERFECT LOCATION • Located ~70 km away from Jakarta

    and surrounded by 3 major provinces with over 60 million people in population

    • At 600m above sea level, Lido enjoys a cooler climate year-round

    • Set amidst lush tropical forests and spans over the valley of two majestic mountains lush environment

    • Direct access (60 minutes) via Jagorawi – Ciawi – Cigombong toll road extension

    • Convenient point-to-point travel via the existing railway system from Jakarta CBD

    LIVE

    WORK

    PLAY

    • State-of-the-art facilities providing highly efficient work infrastructures

    • Featuring Indonesia’s first and largest world-class theme park

    • Easy access to a large array of world class entertainment and activities for all ages at World-Class Theme Park Resort

    POTENTIAL UPSIDE

  • MNC Lido City – Established Cooperation

    32

    SIGNING WITH THE TRUMP ORGANIZATION

    • In August 2015, MNC Land signed an agreement with The Trump Organization to operate the luxury high-end components of Lido development

    SIGNING WITH METALLURGICAL CORPORATION OF CHINA LTD. (MCC GROUP)

    • On 17th June 2016, MNC Land signed an Engineering, Procurement and Construction Framework Agreement with MCC Group for the development of a world-class theme park resort in Lido

    SIGNING WITH POSCO E&C

    • On 9th November 2017, MNC Land signed an MoU with PT Posco E&C Indonesia for the construction development of MNC Lido City Phase 1 in Lido

    SIGNING WITH MINISTRY OF ENVIRONMENT AND FORESTRY

    • In October 2015, MNC Land signed an MoU with the Ministry of Environment and Forestry to jointly manage the National Park of Mount Gede Pangrango encompassing over 300 ha of tropical forest

  • MNC Lido City – Strategic Location

    33

    MNC Lido City is located ~70 km away from Central Jakarta. The site can be reached through Jagorawi Toll Road and the new Bogor-Ciawi-Sukabumi (Bocimi) toll road scheduled for completion in 2Q 2018.

    LEGEND Operated Toll Road

    Constructed Toll Road

    Planned Toll Road

    Strategically located to future major infrastructure development

    Jakarta ±1.5- 2 hrs

    75 km

    Bogor ±0.5 hrs 25 km

    Sukabumi ±1 hrs 45 km

    Bandung ±3 hrs

    130 km

    Regional

    MNC Lido City

    Jabodetabek Metro Area

  • MNC Lido City – Development Component

    34

  • MNC Bali Resort – Lifestyle Excellence

    35

    Situated in the heart of Bali’s magnificent southwest coast, MNC Bali Resort sits in close proximity to some of Bali’s most famed attractions. The location is approximately 27 km or an hour drive from the Ngurah Rai International Airport.

    The development is located in a spacious 106-hectare area in Tabanan, West Bali – one of the largest resort developments in Bali

    A perfect location for luxury living that offers breathtaking views of the Indian Ocean and Tanah Lot, the most sacred temple in Bali, framed by a spectacular panorama of endless sea

    Bali is consistently voted as one of the world’s best islands with the latest awards came from the DestinAsianReaders’ Choice Award (RCA) and Bali was voted as the Best Island in the World in 2017

    In August 2015, MNC Land signed an agreement with The Trump Organization to manage the newly redesigned resort

    The Government is planning to develop a new toll road from Kuta to Gilimanuk, passing by Tanah Lot

  • MNC Smart City – Future Livable City

    36

    MNC SMART City is the newest addition to the Company’s portfolio of Integrated Township

    Developments in Indonesia. The ±3,000 ha site is located in Tangerang Regency, Banten, and is

    envisioned as a truly integrated SMART City, that provides a wide range of development products

    and is furthermore themed and differentiated by an Integrated Sports Facilities network; MNC Smart

    City will be a true new benchmark for Integrated Live, Work and Play environment in Indonesia.

    Located on the greater Jakarta area, the Project Site will have great access via planned Serpong-

    Balaraja Toll Road as well as the existing commuter train line that connects directly to the Jakarta CBD

    area.

    The Company has secured the location permit of the 3,000 ha site.

  • MNC Smart City – Location

    37

  • General Properties

    38

    MNC Tower & Plaza MNC Financial Center BEI Building High End Building SINDO Building

    Location Kebon Sirih,

    Central Jakarta Kebon Sirih,

    Central Jakarta Surabaya

    Kebon Sirih, Central Jakarta

    KH Wahid Hasyim, Central Jakarta

    Owner PT GLD Property PT MNC Land Tbk PT Swarna Citra Sentosa PT GLD Property PT MNC Land Tbk

    Land Area 17,850 sqm 4,222 sqm 1,424 sqm 4,062 sqm 1,064 sqm

    Building Area

    80,200 sqm 24,450 sqm 12,039 sqm 5,937 sqm 5,127 sqm

    Storey

    29 stories (MNC Tower)

    2 stories (MNC Plaza)

    22 stories 12 stories 5 stories 8 stories

    Occupancy 95% 100% 100% 95% 100%

  • General Properties

    39

    Wisma Indovision II Indovision Bali Building

    Location Kebon Jeruk, West Jakarta

    Diponegoro, Bali

    Owner PT MNC Land Tbk PT Investasi Karya Gemilang

    Land Area 3,297 sqm 2,730 sqm

    Building Area 10,669 sqm 5,057 sqm

    Storey 10 stories 4 stories

    Occupancy 100% 86%

    The Westin Resort & Convention Center

    Location Nusa Dua, Bali

    Owner PT Nusadua Graha

    International

    Land Area 9.3 ha

    Capacity 433 rooms

    Occupancy 79%

  • General Properties – Ongoing Development

    40

    One East Penthouse & Residences Collection/

    Oakwood Hotel & Residence Park Hyatt Tower

    Location Surabaya Central Jakarta

    Architect Airmas Asri Aedas/Shimizu

    Land Area 5,042 sqm 7,332 sqm

    Building Area 74,433 sqm 109,533 sqm

    Storey 33 stories

    282 Strata Apt 144 Serviced Apt

    39 stories

    Completion 2Q2018 4Q2018

    Targeted premium news companies, the tower will be the

    new landmark of the city

    The cutting edge of mixed-use development in Surabaya

  • General Properties

    41

    iNews Tower * MNC Studios *

    Location Kebon Sirih,

    Central Jakarta Kebon Jeruk, West Jakarta

    Owner PT Media Nusantara Citra Tbk PT Media Nusantara Citra Tbk

    Land Area 5,837 sqm 101,222 sqm

    Building Area 58,507 sqm 113,062 sqm

    Storey 16 stories 18 stories (GTV) 14 stories (RCTI)

    18 stories (MNCTV)

    Occupancy 100% 100%

    * MNC Land is the project manager and building manager of the property.

  • 42

    Highly Qualified and Experienced Management Team

    Darma Putra President Director

    President Director of PT MNC Investama Tbk since 2016 and President Commissioner of PT MNC Kapital Indonesia Tbk since 2016.

    Previously held several important positions such as Commissioner of PT MNC Sekuritas and PT MNC Finance, and President Director of PT MNC Kapital Indonesia Tbk.

    Previously worked at PT Marga Mandalasakti from 1997 to 2008, PT Bumi Raya Utama Group from 1991 to 1997 and PT Sun Hung Kai Securities Indonesia from 1990 – 1991.

    Master of Business Administration (MBA) in Finance from University of Minnesota Minneapolis, USA and Bachelor of Science from Oregon State University Corvallis, Oregon, USA

    Susanty Tjandra Sanusi Vice President Director & Independent Director

    Vice President Director and Independent Director of PT MNC Investama Tbk since 2014. Previously worked at PT CIMB Niaga Tbk from 2010 to 2013, Citibank from 2000 – 2010, PT

    Unibank Tbk from 1997 – 2000, and PT Bank Danamon Indonesia Tbk from 1996 – 1997. Diploma of Banking from Emile Woolf & Associates, London, UK in 1986.

    Tien CFO

    Director of PT MNC Investama Tbk since 2014 and Commissioner of PT MNC Kapital Indonesia Tbk since 2016.

    Previously held several important positions such as Director of PT MNC Kapital Indonesia Tbk and Director of PT MNC Sekuritas.

    Previously worked at PT Inti Salim Corpora from 1993 to 1997 Graduated from Tarumanegara University with Bachelor degree in Economics – Accounting in

    1993.

  • 43

    Highly Qualified and Experienced Management Team

    Natalia Purnama Director

    Director of PT MNC Investama Tbk since 2014. Previously held several important positions such as Senior Vice President, Treasury and

    Corporate Finance Group CEO Office, PT MNC Investama Tbk and Investment Banking PT MNC Sekuritas.

    Previously worked at PT HSBC Securities Indonesia from 1995 to 1996. Graduated from Trisakti University with Bachelor degree in Economics – Accounting in 1995

    Jiohan Sebastian Director

    Director of PT MNC Investama Tbk since 2014. Previously held important positions as a Senior Vice President Treasury & Investment of

    MNC Group. Previously worked at PT Lippo Bank Tbk from 1994 to 1997. Master of Business Administration from University Santo Tomas in Manila, Philippines in

    1994 and Bachelor of Commerce degree from Adventist University of the Philippines in Manila, Philippines in 1992 .

    Henry Suparman Director

    Director of PT MNC Investama Tbk since 2014, President Director of PT. Indonesia Transport & Infrastructure Tbk since 2016, President Director of PT. Media Nusantara Informasi Entertainment since 2017, President Director of PT. MNC Aladin Indonesia since 2017, President Director of MNC Radio Networks since 2017 and President Director of PT. BSR Indonesia since 2017.

    Previously held several important positions such as Corporate Secretary dan Investor Relation Manager of PT MNC Investama Tbk and Corporate Finance Manager PT MNC Sekuritas.

    Previously worked at PT. Bank Central Asia Tbk from 1997 to 2005. Graduated from Trisakti University with Bachelor degree in Industrial Engineering in 1996.

  • 44

    Thank You

    PT MNC Investama Tbk MNC Financial Center 21st Floor Jl. Kebon Sirih No. 21-27 Jakarta 10340, Indonesia Tel. +62-21 2970 9700 Fax. +62-21 3983 6886 Email: [email protected] www.mncgroup.com

    http://www.mncgroup.com/