NETCARE - CAPITAL RESTRUCTURING

NETWORK HEALTHCARE HOLDINGS LIMITED
(REGISTRATION NUMBER 96/08242/06)
(INCORPORATED IN THE REPUBLIC OF SOUTH AFRICA)
("NETCARE")
THE CAPITAL RESTRUCTURING

THE BOARD OF DIRECTORS IS PLEASED TO ANNOUNCE THE SUCCESSFUL COMPLETION OF THE
FIRST PHASE OF NETCARE'S PROPOSED CAPITAL AND DEBT RESTRUCTURING ("THE
RESTRUCTURING) REFERRED TO IN THE ANNOUNCEMENT DATED 4 AUGUST 1999. THE
RESTRUCTURING WILL FULFIL THE OBJECTIVE OF REPLACING A PORTION OF NETCARE GROUP
DEBT WITH PERMANENT CAPITAL, AS WELL AS REDUCING NETCARE'S, DEBT EQUITY RATIO
AND DEBT SERVICING COST.

THE FIRST PHASE OF THE RESTRUCTURING WAS COMPLETED ON 30 SEPTEMBER
1999, ON WHICH DATE:

- 102 MILLION NETCARE ORDINARY SHARES WERE ISSUED AND PRIVATELY PLACED WITH
ASSOCIATES OF NETCARE; AND

- R400 MILLION OF EXISTING DEBT WAS CONVERTED INTO A TERM LOAN.

THE SECOND PHASE OF THE RESTRUCTURING IS PRESENTLY UNDERWAY AND IS ANTICIPATED
TO BE COMPLETED BY 31 DECEMBER 1999. AN APPROPRIATE NOTICE WILL BE PUBLISHED IN
DUE COURSE.
SANDTON
01 NOVEMBER 1999
RAND MERCHANT BANK
CORPORATE FINANCE
A DIVISION OF FIRSTRAND BANK LIMITED
ATTORNEYS
H R LEVIN
STRUCTURED AND ARRANGED BY
PRIMEVEST
PRIMEVEST SECURITIES (PTY) LTD
SPONSORING BROKER
MERRILL LYNCH
SMITH BORKUM. HARE
MERRILL LYNCH SOUTH AFRICA (PTY) LTD.
MEMBER OF THE JOHANNESBURG STOCK EXCHANGE
REGISTRATION NUMBER 95/01805/07
FUNDING BANKS
BOE
MERCHANT BANK
A DIVISION OF BOE BANK LIMITED
CO. REG. NO. 51/00847/06
NEDBANK