VOLUNTARY ANNOUNCEMENT – PURCHASE OF BEARES BUSINESS AS A GOING CONCERN (“BEARES”) Lewis Group Limited Reg No. 2004/009817/06 JSE Share Codes: LEW ISIN: ZAE000058236 LEW01 ISIN: ZAG000110222 VOLUNTARY ANNOUNCEMENT – PURCHASE OF BEARES BUSINESS AS A GOING CONCERN (“BEARES”) Shareholders are advised that Lewis Group, through its wholly-owned subsidiary, Lewis Stores Proprietary Limited, has pursuant to a competitive bid process, submitted an offer to acquire the “Beares” brand and some selected stores, from Ellerine Furnishers Proprietary Limited (in Business Rescue) (“Ellerines”). The Business Rescue practitioners acting on behalf of Ellerines have accepted the offer, and agreed to negotiate with Lewis on an exclusive basis with a view to concluding a binding sale agreement. The binding sale agreement will be subject to various suspensive conditions, including the approval of the South African competition authorities. The purchase consideration has been determined with reference to the value of intellectual property, fixed assets and stock. Johan Enslin, Chief Executive Officer of Lewis Group, said: “Beares is a strong and well established brand across South Africa, with a history dating back over 80 years. The acquisition of Beares aligns with our strategy of gaining access to higher LSM customer groups and will also enable existing Lewis customers to migrate upwards to the Beares brand. Beares has a loyal customer base and we believe offers exciting growth prospects in the medium-term. On approval of the transaction we plan to integrate the business into Lewis Group’s store, merchandise, supply chain and credit operations.” An update on the transaction will be provided with the announcement of Lewis Group’s interim results on 10 November 2014. Management undertakes to keep investors updated until the transaction has been finalised. Cape Town 30 October 2014 Sponsor: UBS South Africa (Pty) Ltd Attorneys: Edward Nathan Sonnenbergs Inc. Date: 31/10/2014 07:05:00 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.