PURPLE GROUP LIMITED - Restructuring of Purple Group's investment in RPIH and withdrawal of cautionary announcement

Restructuring of Purple Group's investment in RPIH and withdrawal of cautionary announcement

Purple Group Limited
(Formerly Purple Capital Limited)
(Incorporated in the Republic of South Africa)
(Registration number 1998/013637/06)
Share code: PPE ISIN: ZAE000185526
(“Purple Group” or “the Company”)

RESTRUCTURING OF PURPLE GROUP’S INVESTMENT IN REAL PEOPLE
INVESTMENT HOLDINGS (PTY) LTD (“RPIH”) AND WITHDRAWAL OF
CAUTIONARY ANNOUNCEMENT

Further to the cautionary announcements published between 10 April 2014 and 10
July 2014, shareholders are advised that the Purple Group has reached agreement with
the funders of the empowerment vehicle (Blockbuster Trading) (“BBT”), which holds
a 7,1% shareholding in RPIH, in terms of which this funding will be fixed at the
amount of the initial loan advanced, for a further three years.

The investment in RPIH remains non-core to the Purple Group and the revised
funding structure allows for a considered exit over time.

In light of the current concern around values in the unsecured lending industry, the
management of Purple Group has taken the decision to write the BBT carrying value
down to zero at this point in time. This will result in a net write down of R25,2
million, with no impact on cash, in the year ending 31 August 2014.

Accordingly, shareholders are advised that caution is no longer required to be
exercised when dealing in the Company’s securities.

Any forward looking statements in this announcement have not been reviewed nor
reported on by the external auditors.

Johannesburg
21 August 2014

Sponsor
Deloitte & Touche Sponsor Services Proprietary Limited

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