Disposal of the business of Knilam and withdrawal of cautionary announcement ASTRAPAK LIMITED (Incorporated in the Republic of South Africa) (Registration number: 1995/009169/06) Share Code: APK ISIN: ZAE000096962 ("Astrapak") DISPOSAL OF THE BUSINESS OF KNILAM AND WITHDRAWAL OF CAUTIONARY 1. INTRODUCTION & RATIONALE Shareholders are hereby advised that Astrapak has reached agreement with Mapflex SA (Pty) Limited ("the Purchaser"), in terms of which, if successfully implemented, Astrapak will dispose of its Knilam business ("Knilam") to the Purchaser ("the Transaction") as a going concern. This Transaction is fully aligned with Astrapak's strategy of continuing to focus on creating businesses of scale within its selected markets. Knilam represents a small niche flexible operation that is better aligned to the operations of the Purchaser. The Transaction will enhance the financial performance of Astrapak following the implementation. 2. THE BUSINESS OF KNILAM Knilam is a Flexible packaging manufacturer that operates nationally and manufactures and sells predominantly modified atmosphere packaging solutions for applications in the perishable-produce, fresh-produce, and convenience-food markets. 3. TRANSACTION CONSIDERATION, ASSET VALUE AND PROFITABILITY The consideration payable by the Purchaser to Astrapak is determined as the net asset value as at the date of the Transaction plus a goodwill premium of R8 million. As at 28 February 2015 the net assets were represented by a value of R9.7 million and the consideration therefore amounted to R17.7 million. The business of Knilam had an attributable loss of R1.9 million for the financial year ended 28 February 2015. The proceeds from the Transaction will be utilized by Astrapak to reduce its current level of gearing. 4. EFFECTIVE DATE The effective date of the Transaction will be the 1st business day following the date upon which the last of the conditions precedent are fulfilled and is anticipated to be on or about 1 August 2015. 5. SUSPENSIVE CONDITIONS The Transaction is subject to the usual and normal suspensive conditions applicable to a transaction of this nature, such as: • the entering into of a comprehensive set of legal agreements to give effect to the Transaction; • approval of finance by the Purchaser's financier; and • the approval of the financiers of Astrapak. 6. CATEGORISATION OF TRANSACTION The Transaction falls below the requirements for a "category transaction" in terms of the Listings Requirements of the JSE Limited and this announcement is therefore voluntary. 7. OTHER RELEVANT INFORMATION Save for information as set out in this announcement, the Purchaser and Astrapak will provide warranties and indemnities to each other that are standard to a transaction of this nature. 8. WITHDRAWAL OF CAUTIONARY Shareholders are advised that, as a result of the publication of this announcement, the cautionary announcement released on the Stock Exchange News Service of the JSE on 25 March 2015 is now withdrawn and caution is no longer required to be exercised by shareholders when dealing in their shares. Johannesburg 24 April 2015 Sponsor RAND MERCHANT BANK (a division of FirstRand Bank Limited) Date: 24/04/2015 03:18:00 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.