EXCELCOMINDO TO CONDUCT RIGHTS ISSUE WORTH US$300 MILLION

Jakarta, Aug 5 (ANTARA) - PT Excelcomindo Pratama Tbk. (XL) plans to conduct a rights issue worth US$300 million, the company's chief said.

Its president director, Hasnul Suhaimi, said here on Tuesday the company's main shareholders, namely Axiata Group Berhad and Emirates Telecommunications Corporation International Indonesia Ltd. had agreed to use their rights.

"It is hoped through the effort XL could strengthen its balance sheet to continue to invest and grow," he said.

Hasnul said through it XL could reduce its debts and improve corporate capital structure.

"Our performance is very good, income and ebitda grow almost 50 percent in 2008," he said.

He said with a stronger capability to invest XL would be able to compete in the future and spur growth.

"That way it will be possible for the company to distribute dividends to future shareholders," he said.

President and Group Chief Executive Officer from Axiata Group Berhad Dato Sri Jamaludin Ibrahim said Axiata had committment to XL's long-term growth and Axiata believed in the XL's business potentials.

The rights issue shows Axiata's full support to XL. In the future Axiata will remain committed to increasing the number of free float shares when conditions are improving, he said.