Ratio applicable to the Scrip Distribution Datatec Limited (Incorporated in the Republic of South Africa) (Registration number: 1994/005004/06) ISIN: ZAE000017745 Share Code: DTC ("Datatec" or "the Company") RATIO APPLICABLE TO THE SCRIP DISTRIBUTION Shareholders are referred to the Company's unaudited interim financial results announcement for the six months ended 31 August 2014, published on the Stock Exchange News Service on 15 October 2014, in which they were advised of the Company's declaration of an interim distribution of fully-paid Datatec ordinary shares of one cent each ("the Scrip Distribution") to ordinary shareholders ("Shareholders") recorded in the register of the Company at the close of business on the Record Date, being Friday, 28 November 2014 ("the Record Date"). Shareholders will, however, be entitled to elect to receive a cash dividend of 88 cents per ordinary share of one cent each held on the Record Date in respect of all or part of their ordinary shareholding, instead of the Scrip Distribution ("the Cash Dividend"). A circular setting out the terms of the Scrip Distribution and Cash Dividend alternative, including a Form of Election, was posted to shareholders on 31 October 2014 ("the Circular"). Due to the ongoing postal strike, delays may be experienced in the receipt of the Circular. Shareholders can contact Ms Merle Coskey on 011 233 3301 to request an electronic version of the Circular. In addition, the Circular is available on the Company's website, www.datatec-group.com or www.datatec.co.za. The Cash Dividend will be paid only to those: - certificated Shareholders whose Forms of Election to receive the Cash Dividend, in respect of all or part of their shareholding, are received by the Transfer Secretaries on or before 12h00 (10h00 UK time) on Friday, 28 November 2014; and - dematerialised Shareholders who have instructed their CSDP or broker accordingly and in the manner and time stipulated in their agreement with such CSDP or broker. The number of Scrip Distribution shares to which each Shareholder will become entitled pursuant to the Scrip Distribution (to the extent that such Shareholder has not elected to receive the Cash Dividend) will be determined by reference to such Shareholder's ordinary shareholding in Datatec (at the close of business on the Record Date) in relation to the ratio that 88 ZAR cents bears to 5378 ZAR cents, representing the volume weighted average price of an ordinary Datatec share traded on the JSE during the 30-day trading period ending on Thursday, 13 November 2014. The ratio of Scrip Distribution shares to which each Shareholder will become entitled pursuant to the Scrip Distribution (to the extent that such Shareholder has not elected to receive the Cash Dividend) is therefore 1.63630 Scrip Distribution shares for every 100 ordinary shares held on the Record Date: 100 x 88 ZAR cents -------------------- 5378 ZAR cents = 1.63630. If the application of this ratio gives rise to a fraction of an ordinary share, no fractional entitlement shall arise and the result of such calculation will be rounded up to the nearest whole number where the fraction is greater than or equal to 0.5 and rounded down to the nearest whole number where the fraction is less than 0.5 (the "Rounding Provision"). Example of Scrip Distribution entitlement: This example assumes that a Shareholder holds 1000 ordinary shares at the close of business on the Record Date and does not elect to receive the Cash Dividend in respect of all or part of their shareholding. New ordinary share entitlement = 1,000 x 1.63630 = 16.363 new shares (then apply the Rounding Provision described above) = 16 Scrip Distribution shares in respect of the 1000 ordinary shares held. Sandton Friday, 14 November 2014 Sponsor RAND MERCHANT BANK (A division of FirstRand Bank Limited) Date: 14/11/2014 12:00:00 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.