REDEFINE PROP INTERNATIONAL LTD - Redefine International Agrees Terms To Restructure The VBG Portfolio And Financing Facilities

Redefine International Agrees Terms To Restructure The VBG Portfolio And Financing Facilities

REDEFINE PROPERTIES INTERNATIONAL LIMITED
(Incorporated in the Republic of South Africa)
 (Registration number 2010/009284/06)
 JSE share code: RIN ISIN Code: ZAE000149282
                (“RIN”)

Set out below is an announcement which was released by Redefine International P.L.C. (formerly
Wichford P.L.C.) (“Redefine International”), the London Stock Exchange-listed subsidiary of RIN, on
the Regulatory News Service (“RNS”) of the London Stock Exchange today, 3 August 2012.



                                     REDEFINE INTERNATIONAL P.L.C.

                         (‘Redefine International’, the ‘Company’ or the ‘Group’)

   REDEFINE INTERNATIONAL AGREES TERMS TO RESTRUCTURE THE VBG PORTFOLIO AND
                              FINANCING FACILITIES

Redefine International, the diversified income focused property company, is pleased to announce that it has
agreed terms to restructure all four VBG assets and the associated financing facilities.

The restructuring and refinancing of the VBG portfolio and financing facilities will result in the Company
owning a 50% interest in the VBG assets together with a major pension fund as its joint venture partner.

As part of the restructuring the Company has agreed to sell, for a nominal amount, 50% of its interest in the
VBG holding company to a major pension fund. This newly established joint venture company, together
with certain of its subsidiaries, has reached agreement with the servicer of the VBG facilities to dispose of
the VBG assets to new subsidiary companies within the joint venture vehicle. The proceeds from the
disposal of approximately EUR80.0 million will be used to settle the original VBG facilities in full. The
facilities have a current outstanding balance of EUR117.3 million.

The gross acquisition cost (inclusive of transaction costs) of approximately EUR84.9 million will be partly
funded by the joint venture company with a new five year EUR57.0 million debt facility secured from a
German bank, with both joint venture partners injecting EUR14.0 million (GBP11.7 million) for their 50%
interests. The new debt facility has been secured at a margin of 1.72% p.a. which, together with current five
year swap rates, provides an indicative all in rate of 2.8% p.a. This will result in an initial yield on equity in
excess of 19.0% on the Group’s investment.

Contracts have been notarised to implement the above transactions and the restructuring process is
anticipated to complete shortly after the Company’s financial year end on 31 August 2012.

The VBG assets comprise four individual office properties situated in Berlin, Dresden, Cologne and
Stuttgart in Germany, all of which are currently let to a German government-backed social insurance body.
The leases have unexpired terms of between 7.8 years and 12.6 years and are indexed to 100% of
German CPI. The VBG portfolio has a current rent roll of EUR7.6 million p.a.

The Company has now restructured or repaid GBP139.9 million of legacy financing facilities since its
interim results, significantly reducing both leverage and near term refinancing requirements.

Greg Clarke, Chairman of Redefine International, commented:
“The restructuring of the VBG portfolio is another significant milestone in successfully implementing the
Company’s strategy of reducing the Group’s leverage and exposure to short term debt maturities. The
establishment of a joint venture with a major pension fund also secures an alternative source of funding
and the ability to capitalise on market opportunities.”



Further enquiries:

Redefine International Property Management Limited

Investment Adviser

Michael Watters, Stephen Oakenfull                                     Tel: +44 (0) 20 7811 0100



FTI Consulting

Public Relations Adviser

Stephanie Highett, Dido Laurimore, Toyah Simpson                       Tel: +44 (0) 20 7831 3113



3 August 2012

Sponsor to Redefine Properties International Limited
Java Capital

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