BRIKOR LIMITED - TRANSACTION TO ACQUIRE THE REMAINING 69% OF ILANGABI INVESTMENTS 12 (PTY) LTD AND CAUTIONARY ANNOUNCEMENT

TRANSACTION TO ACQUIRE THE REMAINING 69% OF ILANGABI INVESTMENTS 12 (PTY) LTD AND CAUTIONARY ANNOUNCEMENT

Brikor Limited
(Registration number 1998/013247/06)
JSE Share code: BIK ISIN: ZAE000101945
(“Brikor” or “the Company” or “the Group”)


TRANSACTION TO ACQUIRE THE REMAINING 69% OF ILANGABI INVESTMENTS 12 (PTY) LTD AND
CAUTIONARY ANNOUNCEMENT


1. INTRODUCTION

Shareholders are advised that Brikor entered into a sale of shares agreement on 27 November 2015
to acquire the remaining 69% of Ilangabi Investments 12 (Pty) Ltd (“Ilangabi”) from the Late Estate of
Garnett van Niekerk Parkin (“the Seller”) (“the transaction”).

2. RATIONALE AND BACKGROUND FOR THE TRANSACTION

Ilangabi owns the following mining right GP 30/5/1/2/2 (219) MR. The Mining Area comprises of a
portion of the remainder of the farm Vlakfontein 281 IR, situated in Gauteng Magisterial/administrative
District of NIGEL, measuring 84.7579 hectares in extent.

The coal mined at Ilangabi is sold to various traders and local buyers. Certain of the coal mined as well
as the clay extracted during the operations are used in Brikor’s brick manufacturing.

The acquisition of Ilangabi will enable Brikor to effectively own 100% of the coal and clay reserves
owned by Ilangabi.

3. TERMS AND CONDITIONS OF THE TRANSACTION

3.1     In terms of the sale of shares agreement Brikor will acquire the remaining 69% of Ilangabi from
        the Seller and all claims the Seller has against Ilangabi. Brikor currently owns 31% of the
        shares in Ilangabi.

3.2     The acquisition is a related party transaction in terms of sections 10.1(i) of the JSE Listings
        Requirements (“LR’s”) as the seller is a material shareholder in Brikor.

3.3     The purchase price of R20 000 000 will be payable in cash as follows:

        3.3.1 Brikor will pay R1 000 000 to the Seller on the effective date;
        3.3.2 the balance of the purchase price will be paid to the Seller in monthly instalments of
              R600 000 from the effective date. The outstanding balance shall bear interest at 9% as
              from the effective date.

3.4     The transaction is subject to the following conditions precedent:

3.4.1   compliance with the JSE LR’s including shareholders’ approval if required;
3.4.2   the transaction be approved by all regulatory authorities; and
3.4.3   Ministerial consent be obtained in terms of Section 11 of Act 28 of 2002.

3.5     The purchase price will be settled from existing cash resources.

3.6     The effective date is the date of fulfilment of all the conditions precedent.

4.    FINANCIAL INFORMATION IN RESPECT OF THE ACQUISITION

The financial information in respect of the acquisition will be released in due course.
5.   CATEGORISATION OF THE TRANSACTION

The company is currently in discussions with the JSE regarding the categorisation of the transaction,
given the suspension of its shares. Once the categorisation of the transaction has been determined,
shareholders will be notified thereof.

6.   CAUTIONARY ANNOUNCEMENT

Shareholders are advised to exercise caution in dealing in the company’s securities on the JSE until
such time as the categorisation of the transaction is determined and the financial information in respect
of the acquisition is released.

Designated Advisor
Exchange Sponsors


30 November 2015
Johannesburg

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