REDEFINE PROP INTERNATIONAL LTD - Redefine International Acquires Earls Court Holiday Inn Express Hotel

Redefine International Acquires Earls Court Holiday Inn Express Hotel

REDEFINE PROPERTIES INTERNATIONAL LIMITED
(Incorporated in the Republic of South Africa)
(Registration number 2010/009284/06)
JSE share code: RIN            ISIN code: ZAE000149282
JSE share code: RINC           ISIN code: ZAE000170262
(“RIN”)


Set out below is an announcement which was released by Redefine International 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, 22 November 2012.

From a RIN perspective, the transaction referred to below is not categorisable in terms of the Listings
Requirements of the JSE Limited and is made for information purposes.

22 November 2012

REDEFINE INTERNATIONAL P.L.C.
(‘Redefine International’, the ‘Company’ or the ‘Group’)

REDEFINE INTERNATIONAL ACQUIRES EARLS COURT HOLIDAY INN EXPRESS HOTEL

Redefine International, the diversified income focused property company, announces that it has through its 71%
held subsidiary Redefine Hotel Holdings Limited (‘RHH’) completed the acquisition of 60% of the issued shares
in BNRI Earls Court Limited (‘BNRI’) from Camden Lock and Earls Court LLP (the ‘Seller’) for a consideration of
£8.7 million (the ‘Transaction’). BNRI owns the 150 bedroom Holiday Inn Express Hotel in Earls Court, London
(the ‘Hotel’) valued at £27.0 million.

RATIONALE FOR THE TRANSACTION

The Hotel formed part of the Splendid Hotel Portfolio comprising seven hotels that were originally co-owned by
Bashir Nathoo, five of which were acquired by the Group in December 2010. Redefine International Hotels
Limited has been involved in the operational management of the Hotel since December 2010 and therefore has
a good working knowledge of the business prior to the Group's investment.

The Hotel is well located, close to the Earls Court Exhibition Centre and Arena and the Olympia Exhibition
Centre. It is held under freehold title and is subject to a franchise agreement with IHG Hotels Limited until 2023.
There are two meeting rooms for up to 50 delegates, a restaurant/bar and 16 car parking spaces. The Hotel is in
excellent condition and has been well maintained.

The Earls Court and Olympia Exhibition Centre area has been earmarked for a large-scale redevelopment,
including several thousand new homes and a potential new International Convention Centre. This process is
expected to take several years and is likely to boost the occupancy of the Hotel during the development phase.

The Hotel will complement the Group’s existing portfolio of six high quality hotels.

SALIENT TERMS OF THE TRANSACTION

The Hotel is partly funded by a debt facility of £12.5 million from Aareal Bank AG for a term expiring in
November 2015, at an all-in rate of 5.19%. The remaining 40% shareholding in BNRI is held by the Seller,
which is controlled by Bashir Nathoo.

The consideration of £8.7 million for the 60% shareholding in BNRI plus acquisition costs of £0.4 million were
funded by RHH utilising part of the proceeds from the Company’s recent capital raise, together with further
co-investment, on a pro rata basis, by the existing co-investors in RHH. The investment reflects a net initial yield
of 7.5%.
Commenting, Mike Watters, said:

'During our recent £127.5 million capital raise we stated that we had identified a strong pipeline of acquisition
opportunities, and this transaction represents the first of these. The limited service hotel sector continues to
thrive in pockets of London and, together with our in-depth knowledge of the performance of this particular hotel
and our belief in the potential of this sector, we believe this transaction illustrates a compelling investment
opportunity which will deliver a high quality income to our investors.’

Further enquiries:

Redefine International Property Management Limited
Investment Adviser
Mike Watters, Stephen Oakenfull                                              Tel: +44 (0) 20 7811 0100

FTI Consulting
Public Relations Adviser
Stephanie Highett, Dido Laurimore, Faye Walters                              Tel: +44 (0) 20 7831 3113


Sponsor to Redefine Properties International Limited

Java Capital

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