BLACKSTAR GROUP SE - BLACKSTAR NET ASSET VALUE (NAV) UPDATE : INTRINSIC NAV AS AT 31 JULY 2012

BLACKSTAR NET ASSET VALUE (“NAV”) UPDATE : INTRINSIC NAV AS AT 31 JULY 2012

Blackstar Group SE
Previously Blackstar Group PLC
(Incorporated in England and Wales)
(Company number SE 30)
(registered as an external company with limited liability in the Republic of
South Africa under registration number 2011/008274/10)
Share code: BLCK LN and BCK SJ
ISIN: MT0000620105
(“Blackstar” or the “Company”)

10 August 2012

Blackstar Group SE (“Blackstar” or the “Company”)

BLACKSTAR NET ASSET VALUE (“NAV”) UPDATE

INTRINSIC NAV AS AT 31 JULY 2012


                                    GBP          ZAR          GBP          ZAR
                                 31-Jul-12    31-Jul-12    30-Jun-12    30-Jun-12
 NAV per share                        1.04         13.49        1.03         13.18
 Ordinary share price                0.708          9.80       0.730           9.87
 Ordinary share price
 discount to NAV                        32%          27%          29%           25%
 See through NAV per share             1.05        13.61         1.06         13.61
 Total net assets                     85.5m     1,107.0m        84.3m      1,082.3m
 Market capitalisation                58.1m       804.5m        59.9m        810.2m

Notes

1   All information is unaudited.
2   The intrinsic NAV provides a measure of the underlying value of the Group’s
    assets and does not indicate when the investments will be realised, nor does it
    guarantee the value at which the investments will be realised.
3   For the purposes of determining the intrinsic values, listed investments on
    recognised stock exchanges are valued using quoted bid prices and unlisted
    investments are shown at directors’ valuation, determined using the discounted
    cash flow methodology. This methodology uses reasonable assumptions and
    estimations of cash flows and terminal values, and applies an appropriate risk-
    adjusted discount rate that quantifies the investment’s inherent risk to
    calculate a present value. Given the subjective nature of valuations, the Group
    is cautious and conservative in determining the valuations and has a track
    record of selling its unlisted investments in the ordinary course of business
    above the levels at which it values them.
4   The investment in Litha Healthcare Group Limited has been valued at R3.75 per
    share, being the quoted bid price on 7 August 2012, post Litha’s trading
    operational and strategic update announcement on 2 August 2012.
5   The Group’s investment in Mvelaphanda Group Limited trades at a discount to its
    NAV. The see through NAV has been presented, which is the NAV as reported
    above, adjusted for the estimated discount.
6   All amounts have been translated using the closing exchange rates at the end of
    the relevant period.
Portfolio Summary

Blackstar’s NAV at 31 July 2012 comprised investments in the following
sectors:

                                                 GBP        ZAR        % of
Sector                                      Millions   Millions       Gross
                                                                     Assets
Investment Holdings                             38.1      492.7       40.8%
Health Care                                     21.1      273.7       22.6%
Industrials                                     19.0      246.0       20.3%
Services                                        10.6      137.6       11.3%
Other                                            4.7       60.4        5.0%
                                                93.5    1,210.4      100.0%
Net debt                                       (8.0)    (103.4)
                                                85.5    1,107.0


Portfolio Performance and outlook

Since 30 June 2012, the intrinsic NAV per share increased by 2.3% in South
African Rand and by 1.5% in Pound Sterling.

The investment portfolio continues to perform in line with expectations.


For further information, please contact:

Blackstar Group SE                     Bryan Moyer           +356 2248 6203

Liberum Capital Limited             Chris Bowman /     +44 (0) 20 3100 2222
                                       Christopher
                                           Britton

PSG Capital                           David Tosi /       +27(0) 21 887 9602
                                            Willie
                                         Honeyball

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