KAAP AGRI LIMITED - Voluntary announcement - Joint Venture

Voluntary announcement - Joint Venture

 KAAP AGRI LIMITED
 (Incorporated in the Republic of South Africa)
 (Registration number 2011/113185/06)
 Share code:KAL, ISIN:ZAE000244711
 (“Kaap Agri” or “the Company”)


VOLUNTARY ANNOUNCEMENT – JOINT VENTURE

1.   INTRODUCTION

     The board of directors of Kaap Agri is pleased to advise shareholders that the Company,
     through its wholly-owned subsidiary, Kaap Agri Bedryf Limited (“Kaap Agri Bedryf”) has
     entered into a joint venture agreement (“Agreement”) with Pupkewitz Holdings Proprietary
     Limited (“Pupkewitz”) dated 1 August 2017.

     In terms of the Agreement, Pupkewitz will acquire 50% of the shareholding in Kaap Agri Namibia
     Proprietary Limited (“Kaap Agri Namibia”) (a wholly-owned subsidiary of Kaap Agri Bedryf)
     (“Joint Venture”).

2.   RATIONALE

     The rationale behind the Joint Venture is to provide the Company with a more comprehensive
     footprint. The combined, inclusive offering of Pupkewitz Megabuild and Kaap Agri Namibia will
     service retail, agriculture and contractor customers in Namibia by combining and enhancing the
     product and service offerings at competitive prices.

     The strategies and values of the businesses are closely aligned and the Joint Venture will further
     provide clear benefits to Kaap Agri shareholders in terms of synergies it will create.

     The combined focus on people development will greatly enhance the management and
     leadership potential of the people of Kaap Agri.

3.   CATEGORISATION

     The disposal in terms of the Joint Venture is uncategorised in terms of the JSE Listings
     Requirements, and the information contained in this announcement has been voluntarily
     disclosed by the Company.

Malmesbury
3 August 2017


PSG Capital Proprietary Limited
Transaction Adviser and Sponsor

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