Disposal of PSV Mitech Control Valves Proprietary Limited PSV Holdings Limited Incorporated in the Republic of South Africa (Registration number 1998/004365/06) Share code: PSV ISIN: ZAE000078705 ("PSV" or “the Group”) DISPOSAL OF PSV MITECH CONTROL VALVES PROPRIETARY LIMITED (“MITECH”) 1. INTRODUCTION The board of directors of PSV (“the Board”) is pleased to advise shareholders that PSV has entered into an agreement with Lambertus Antonie Alberts and Lesole Jacob Mtolo (collectively referred to herein as the “Purchasers”), to dispose of 100% of the sale shares and claims of Mitech to the Purchasers for a total consideration of R7 000 100 (“the Disposal”). 2. THE DISPOSAL 2.1 Nature of the Mitech business Mitech is a specialised control valves business that produces valves which are primarily used in the mining and petrochemical industries. Each Mitech valve produced has essentially one application and its own pattern, thus ensuring that Mitech is a highly specialised and niched valve producer. 2.2 The rationale for the Disposal Mitech did not meet PSV’s return on investment targets. It was therefore decided to dispose of Mitech and focus effort on maximising the returns generated by the rest of the companies within the Group. 2.3 Consideration and effective date The total consideration of R7 000 100 for the Disposal is to be settled by the Purchasers in cash, and will be injected into the remaining businesses as working capital. The effective date of the Disposal is 1 April 2013 and there are no outstanding conditions precedent. 3. PRO FORMA FINANCIAL EFFECTS The table below sets out the unaudited pro forma financial effects of the Disposal, on PSV’s earnings per share, headline earnings per share, net asset value per share and tangible net asset value per share. The unaudited pro forma financial effects have been prepared to illustrate the impact of the Disposal on the reported financial information of PSV for the six months ended 31 August 2012, had the Disposal occurred on 1 March 2012 for statement of comprehensive income purposes and on 31 August 2012 for statement of financial position purposes. The unaudited pro forma financial effects have been prepared using accounting policies that comply with International Financial Reporting Standards and that are consistent with those applied in the annual financial statements of PSV for the year ended 29 February 2012. The unaudited pro forma financial effects, which are the responsibility of the directors, are provided for illustrative purposes only and, because of their pro forma nature may not fairly present PSV’s financial position, changes in equity, results of operations or cash flow. Before the After the Percentage Disposal Disposal change (%) Basic loss per share (cents) (9.03) (7.88) 12.74% Headline earnings per share (cents) 1.72 2.76 60.47% Net asset value per share (cents) 35.68 35.35 (0.92%) Tangible net asset value per share (cents) 23.92 23.58 (1.42%) Weighted average number of shares in issue (000’s) 255 791 255 791 - Total number of shares in issue (000’s) 272 548 272 548 - Notes: 1. The amounts in the “Before the Disposal” column relate to the unaudited financial interim results of PSV for the six months ended 31 August 2012. 2. The amounts in the “After the Disposal” column reflect the financial effects of the Disposal on PSV as if it had occurred on 1 March 2012 for statement of comprehensive income purposes and on 31 August 2012 for statement of financial position purposes. 3. The consideration of R7 000 100 will be settled in cash which will be injected into the Group’s working capital. Therefore no account has been taken of interest earned on the consideration when calculating basic earnings per share and headline earnings per share. 4. The effects on basic earnings per share and headline earnings per share are calculated based on the assumption that the Disposal was effected on 1 March 2012. 5. The effects on net asset value per share and tangible net asset value per share are calculated based on the assumption that the Disposal was effected on 31 August 2012. 4. CLASSIFICATION OF THE ACQUISITION The Disposal is classified as a Category 2 transaction in terms of the Listings Requirements of the JSE and does not require shareholder approval. Johannesburg 13 May 2013 Designated Adviser Merchantec Capital Date: 13/05/2013 03:45:00 Produced by the JSE SENS Department. The SENS service is an information dissemination service administered by the JSE Limited ('JSE'). The JSE does not, whether expressly, tacitly or implicitly, represent, warrant or in any way guarantee the truth, accuracy or completeness of the information published on SENS. The JSE, their officers, employees and agents accept no liability for (or in respect of) any direct, indirect, incidental or consequential loss or damage of any kind or nature, howsoever arising, from the use of SENS or the use of, or reliance on, information disseminated through SENS.