GENSEC / SANLAM LTD - JOINT CAUTIONARY ANNOUNCEMENT

GENBEL SECURITIES LIMITED
REGISTRATION NO: 1977/002124/06
("GENSEC")
SANLAM LIMITED
REGISTRATION NO: 59/01562/06
JOINT CAUTIONARY ANNOUNCEMENT

SHAREHOLDERS OF GENSEC AND SANLAM ARE ADVISED THAT SANLAM HAS INFORMED THE
BOARD OF DIRECTORS OF GENSEC THAT, SUBJECT TO THE FULFILMENT OF CERTAIN
PRE-CONDITION, IT IS CONSIDERING THE PURCHASE OF ALL THE SHARES IN GENSEC IT
DOES NOT ALREADY OWN, INCLUDING THOSE SHARES THAT ARE HELD ON BEHALF OF ITS
POLICYHOLDERS, FOR A CASH CONSIDERATION OF R37 PER SHARE. THIS OFFER WILL BE
SUBJECT TO REGULATORY APPROVALS. THE BOARD OF GENSEC SUPPORTS THIS OFFER
SUBJECT TO THE FINALISATION OF THESE CONDITIONS.

THE BOARD OF GENSEC HAS APPOINTED MORGAN STANLEY SOUTH AFRICA (PTY) LTD TO
PROVIDE INDEPENDENT FINANCIAL ADVICE ON THE TERMS OF THE PROPOSED OFFER .
SHAREHOLDERS OF GENSEC AND SANLAM ARE ADVISED TO EXERCISE CAUTION IN THEIR
DEALINGS IN GENSEC AND SANLAM SHARES UNTIL SUCH TIME AS FURTHER ANNOUNCEMENTS
ARE MADE.

SHAREHOLDERS OF SANLAM ARE ADVISED THAT THE DISCUSSIONS REFERRED TO IN THE
JOINT CAUTIONARY ANNOUNCEMENT PUBLISHED ON 7 AUGUST 2000, BETWEEN SANLAM, NEW
AFRICA INVESTMENTS LIMITED AND METROPOLITAN LIFE LIMITED, ARE CONTINUING AND
ARE UNRELATED TO THE INTENDED OFFER REFERRED TO ABOVE.
JOHANNESBURG AND BELLVILLE
16 AUGUST 2000

FINANCIAL ADVISOR TO GENSEC           FINANCIAL ADVISOR TO SANLAM
MORGAN STANLEY DEAN WITTER            FLEMINGS

LEGAL ADVISOR TO GENSEC               LEGAL ADVISOR TO SANLAM

WEBBER WENTZEL BOWENS                 JOWELL GLYNN MARAIS