FBR - Famous Brands Limited - Famous Brands acquires Wimpy UK and withdrawal

FBR - Famous Brands Limited - Famous Brands acquires Wimpy UK and withdrawal    
                               of cautionary                                    
Famous Brands Limited                                                           
(Incorporated in the Republic of South Africa)                                  
(Registration number 1969/004875/06)                                            
Share code: FBR    &     ISIN code: ZAE000053328                                
("Famous Brands" or the "company")                                              
Famous Brands acquires Wimpy Uk and withdrawal of cautionary                    
ACQUISITION OVERVIEW                                                            
Famous Brands has acquired a 75% stake in Ludgate 282 Ltd ("Wimpy UK"), thereby 
achieving the group`s stated strategic intent to enter the first world branded  
QSR/Casual Dining market via acquisition.  The remaining 25% shareholding is    
owned by Halifax Bank of Scotland.  The acquisition consideration is UK GBP3    
million, with a further UK GBP2 million to be invested in re-energising the     
brand.  The business is currently funded via a debt structure of UK GBP9        
million.  The UK GBP5 million total investment will be funded through a         
combination of cash reserves and debt finance.  The deal is conditional upon the
Wimpy UK funding agreements becoming unconditional. Completion is targeted for  
the 5th March 2007.                                                             
NATURE OF THE BUSINESS OF WIMPY UK                                              
Wimpy UK is a suburban, casual dining restaurant offering, which comprises 194  
outlets across England, Scotland and Wales, and operates a further 20           
restaurants under a master licence arrangement in Ireland. It has a 50 year     
heritage, and is the largest independently owned franchised restaurant chain in 
the United Kingdom.  The business owns the Wimpy trademark in 15 European       
countries.                                                                      
The restaurant network includes representation on 25 Road Chef Motorway Service 
Areas (petroleum station forecourts), which are high-visibility multi-offering  
sites on transit routes, resembling the Engen-Wimpy alliance model in South     
Africa.                                                                         
RATIONALE FOR THE ACQUISITION                                                   
This acquisition rationale centres on a low risk / low cost strategy affording  
optimal entry into a first world economy.  The acquired business aligns with    
Famous Brands` strategic intent and core competencies, and the group`s South    
African intellectual property and experienced management will add significant   
value in revitalising the business.                                             
WITHDRAWAL OF CAUTIONARY                                                        
Shareholders are advised that caution is no longer required to be exercised when
dealing in the company`s securities.                                            
Rosebank                                                                        
27 February 2007                                                                
Sponsor                                                                         
Java Capital (Proprietary) Limited                                              
Attorneys                                                                       
HR Levin Attorneys, Notaries and Conveyancers                                   
Date: 27/02/2007 10:00:01 Supplied by www.sharenet.co.za                     
Produced by the JSE SENS Department.