IQ Power Licensing AG: Capital reduction at a rate of 26:1 and conversion into IQ International AG registered shares

Effective value date 13 February 2019, there will be a capital reduction of IQ Power Licensing AG registered shares (ISIN CH0268536338) at a rate of 26:1.

The relevant processing steps and their chronological sequence are described below.

Re-registration stop from 6 to 13 February 2019

From 6 February 2019 to 13 February 2019 inclusive no re-registrations or initial registrations will be made to the share register of IQ Power Licensing AG registered shares (ISIN CH0268536338). During this period, the system will automatically delete re-registration or initial registration instructions that are pending in CASCADE-RS.

Entering and transferring instructions for re-registration or initial registration in IQ International AG converted registered shares (ISIN CH0451424300) is possible from 13 February 2019.

Removal of holdings in registered shares on 13 February 2019

On 12 February 2019 and in preparation for the removal, Clearstream Banking¹ will automatically transfer the registered positions in IQ Power Licensing AG registered shares to the unregistered positions of the respective bank via de-registration.

Holdings in IQ Power Licensing AG registered shares (ISIN CH02683536338) will be removed on the evening of 12 February 2019 for value date 13 February 2019. There will be one entry per bank for the total holdings.

Entry of fractional rights on 13 February 2019

On value date 13 February 2019 IQ International AG fractional rights (ISIN CH9900000009) will be transferred to the banks at a rate of 26:1. This means that banks will receive one IQ International AG fractional right (ISIN CH9900000009) for 26 IQ Power Licensing AG registered shares (ISIN CH0268536338).

Exchange of fractional rights into original shares from 13 to 28 February 2019

From 13 February 2019 to 28 February 2019 inclusive customers can exchange IQ International AG fractional rights (ISIN CH990000009) into converted shares of IQ International AG (ISIN CH0451424300). For this purpose, please use the transaction KVEE WE (securities transfer) with the fractional rights indicators TR 3 and 4 in CASCADE:

Stock exchange trades, CCP and OTC transactions

Stock exchange and CCP transactions that are still pending on the evening of 12 February 2019 will be converted automatically, that is, IQ Power Licensing AG (ISIN CH0268536338) shares are converted to IQ International AG fractional rights (ISIN CH990000009) and the nominal value is adjusted at a rate of 26:1.

CASCADE-OTC transactions will not be converted automatically.

Registration of shareholders via re-registration from 13 February

After the capital reduction, the custodian banks must enter the shareholders of IQ International AG converted registered shares (ISIN CH0451424300) in the company's share register via re-registration. This will be possible starting from 13 February 2019. The nominal value after the capital reduction must be used.

Note for LIMA users

Due to the processing capacities in CASCADE-RS, submissions amounting to 10,000 re-registrations or more per transfer must be agreed in advance with Client Services. Clearstream Banking reserves the right to reject file transfers that have not been agreed upon within the scope of overall coordination.

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1. This announcement is published by Clearstream Banking AG (CBF), registered office at Mergenthalerallee 61, 65760 Eschborn, Germany, registered with the Commercial Register of the District Court in Frankfurt am Main, Germany, under number HRB 7500.