ACSION LIMITED - Clarification announcement

Clarification announcement

ACSION LIMITED
Incorporated in the Republic of South Africa
Registration number 2014/182931/06
Share code: ACS ISIN: ZAE000198289
(“Acsion” or “the Company”)

CLARIFICATION ANNOUNCEMENT

Reference is made to the announcement released on the Stock Exchange News Service on Wednesday, 3 December 2014, in which
Acsion announced that it had decided not to proceed with the Private Placing of Acsion shares, despite the significant interest
received within the pricing guidance referred to in Acsion’s pre-listing statement. Acsion has been requested to clarify the reasons
for this decision.

After careful consideration of the under mentioned factors the Acsion board, in consultation with its advisors, deemed it prudent
not to proceed with the Private Placing:

- Acsion’s exceptionally low gearing of 7% provides significant headroom for additional debt funding which is sufficient to
  fund the Company’s medium term growth

- The majority of the interest was received at the lower end of the price range

- The favourable cost of debt funding available to the Company versus the implied cost of equity

- The use of debt versus equity funding at this stage would maximize the returns to current shareholders of Acsion

- The listing was not conditional on the Private Placement

The Company anticipates that it will seek to raise equity capital in the future for the group’s property development activities, once
its debt capacity has been utilised.


Accordingly, Acsion remains excited about its introduction onto the JSE and believes the listing will provide significant benefits for
the group going forward including inter alia:


- Creates a platform to raise capital (when required) to fund the development pipeline and future development opportunities

- Increases the public profile of the Company and enables the investment community to become familiar with the Company
  for future capital raises (when required)

- Creates a platform for liquidity for the existing shareholders of the Company, many of whom have been invested in the
  group for a long period of time


Any additional queries should be directed to Acsion’s Financial Director, Pieter Scholtz, on +27 12 656 8957.


8 December 2014
Johannesburg


Sponsor and transaction advisor
Investec Bank Limited
Attorneys
Read Hope Phillips Thomas & Cadman Inc.

Independent reporting accountants and auditors
Ernst and Young Inc.

Independent valuer
Peter Parfitt, Quadrant Properties Proprietary Limited

Communications advisor
Instinctif Partners

Transfer secretaries
Computershare Investor Services Proprietary Limited

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