Repurchase announcement AECI LIMITED Incorporated in the Republic of South Africa (Registration No. 1924/002590/06) Share code: AFE ISIN No. ZAE000000220 (“AECI” or “the Company”) REPURCHASE ANNOUNCEMENT 1. INTRODUCTION AECI hereby announces the repurchase of 3 987 500 ordinary shares (representing 3,12% of the issued ordinary shares), since and in accordance with the general authority granted by the Company’s shareholders at the annual general meeting held on 1 June 2015 (“the repurchase”). 2. AUTHORISED REPURCHASE LIMITS In terms of the special resolution: (a) the general authority is limited to a maximum of 5,00% of AECI’s issued share capital; and (b) any repurchase may not be made at a price greater than 10,00% above the weighted average of the market value of the ordinary shares for the five business days immediately preceding the date(s) of such repurchase. A maximum of 6 612 057 ordinary shares could be repurchased in terms of the general authority obtained from shareholders. 3. IMPLEMENTATION Details are as follows: Total number of ordinary shares repurchased: 3 987 500 Total value of ordinary shares repurchased: R380 697 581,68 Highest price paid per ordinary share: 10 000,00 cents Lowest price paid per ordinary share: 8 800,00 cents Average price paid per ordinary share, including Brokerage Fees, VAT and Securities Tax: 9 577,00 cents Number of ordinary shares which may still be repurchased by the Company in terms of the general authority: 2 624 557 Percentage of ordinary shares which may still be repurchased by the Company in terms of the general authority: 1,88 Number of shares held in treasury after the repurchase (unchanged) 11 884 699 2 The repurchases were effected through the order book operated by the JSE Limited (“JSE”) and done without any prior understanding or arrangement between AECI and the counter party. The repurchases were effected from 12 August 2015 to 13 October 2015, both dates inclusive. 4. SOURCE OF FUNDS Repurchases to date have been, and future repurchases will also be, funded with cash generated from operations and with general borrowing facilities available to the Company. 5. OPINION OF THE DIRECTORS The Directors of AECI have considered the impact of the repurchases and are of the opinion that: 5.1 The Company and the AECI Group (“the Group”) will be able, in the ordinary course of business, to pay its debts for a period of 12 months from the date of this announcement; 5.2 the assets of the Company and the Group will be in excess of the liabilities of the Company and the Group for a period of 12 months after the date of this announcement, measured in accordance with the accounting policies used in the latest audited Group annual financial statements; 5.3 the ordinary share capital and reserves of the Company and the Group will be adequate for ordinary business purposes for a period of 12 months from the date of this announcement; and 5.4 the working capital of the Company and the Group will be adequate for ordinary business purposes for a period of 12 months from the date of this announcement. 6. IMPACT ON FINANCIAL INFORMATION The repurchase of shares will have the effect of reducing the number of shares in issue by 3 987 500 or 3,12% of the issued share capital. Had the repurchase of shares occurred on 1 January 2015 it would have increased interest expense and short-term borrowings, and would also have increased earnings per share for the half-year ended 30 June 2015 by 21 cents. Furthermore had the repurchase occurred on 30 June 2015, it would have impacted the general pool of funds by R380 697 581,68 and decreased the net asset value per share by 105 cents. 7. JSE LISTING The ordinary shares that were repurchased in August and September have been cancelled and de-listed. Those repurchased in October will be cancelled and delisted at month end. Woodmead, Sandton 15 October 2015 Sponsor RAND MERCHANT BANK (A division of FirstRand Bank Limited) Date: 15/10/2015 10:15:00 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.