Disposal of shareholding in Indwe by Santam SANTAM LIMITED (Incorporated in the Republic of South Africa) Registration number: 1918/001680/06 (JSE Share Code: SNT & ISIN ZAE000093779) NSX share code: SNM (“Santam”) DISPOSAL OF SHAREHOLDING IN INDWE BY SANTAM Further to the SENS announcement published on 30 September 2015, regarding the partial disposal of Santam Limited’s (“Santam”) shareholding in Indwe Broker Holdings Proprietary Limited (“Indwe”) (“the proposed transaction”), the following is hereby announced: Indwe Indwe is one of the largest independent brokers in South Africa that provides personal insurance, business insurance and specialist risk consulting services to personal, commercial and corporate clients. Rationale for the proposed transaction The proposed transaction, which is subject to regulatory approval, will establish Indwe as a leading black controlled insurance transaction brokerage firm in South Africa with direct ties to Sanlam, further improving the distribution and expansion opportunities for it business both in South Africa and in Africa Salient terms of the proposed transaction 51% of Indwe will be acquired by Ubuntu-Botho Investments Proprietary Limited (“UBI”), through its wholly owned subsidiary African Rainbow Capital Proprietary Limited; Sanlam Limited (“Sanlam”) will acquire 25% of Indwe; Santam, via its wholly owned subsidiary Swanvest 120 (Proprietary) Limited will retain 24%. The purchase price for the sale shares, payable in cash, is based on a valuation attributable to 100% of the ordinary issued shares in Indwe of R265 000 000 and equates to a purchase price of the sale shares of R201 400 000. Excess cash in the business will be declared as a dividend to Santam prior to the effective date of the transaction; The cash proceeds of the sale, once received in cash will be managed in Santam’s investment portfolios backing its capital funds. Conditions precedent The transaction is subject to a number of conditions precedent, including, inter alia, regulatory approval and the renegotiation of various licences and service level agreements. Small related party transaction Sanlam is a material shareholder in Santam in terms of the JSE listings requirements. BDO Corporate Finance Proprietary Limited, as the independent professional expert, has confirmed that the disposal is fair and their fairness opinion is available for inspection at Santam’s registered office for a period of 28 days from the date of this announcement Cape Town 29 October 2015 Sponsor: Investec Bank Limited Date: 29/10/2015 04:20:00 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.