TRANSACTION TO ACQUIRE THE REMAINING 69% OF ILANGABI INVESTMENTS 12 (PTY) LTD AND CAUTIONARY ANNOUNCEMENT Brikor Limited (Registration number 1998/013247/06) JSE Share code: BIK ISIN: ZAE000101945 (“Brikor” or “the Company” or “the Group”) TRANSACTION TO ACQUIRE THE REMAINING 69% OF ILANGABI INVESTMENTS 12 (PTY) LTD AND CAUTIONARY ANNOUNCEMENT 1. INTRODUCTION Shareholders are advised that Brikor entered into a sale of shares agreement on 27 November 2015 to acquire the remaining 69% of Ilangabi Investments 12 (Pty) Ltd (“Ilangabi”) from the Late Estate of Garnett van Niekerk Parkin (“the Seller”) (“the transaction”). 2. RATIONALE AND BACKGROUND FOR THE TRANSACTION Ilangabi owns the following mining right GP 30/5/1/2/2 (219) MR. The Mining Area comprises of a portion of the remainder of the farm Vlakfontein 281 IR, situated in Gauteng Magisterial/administrative District of NIGEL, measuring 84.7579 hectares in extent. The coal mined at Ilangabi is sold to various traders and local buyers. Certain of the coal mined as well as the clay extracted during the operations are used in Brikor’s brick manufacturing. The acquisition of Ilangabi will enable Brikor to effectively own 100% of the coal and clay reserves owned by Ilangabi. 3. TERMS AND CONDITIONS OF THE TRANSACTION 3.1 In terms of the sale of shares agreement Brikor will acquire the remaining 69% of Ilangabi from the Seller and all claims the Seller has against Ilangabi. Brikor currently owns 31% of the shares in Ilangabi. 3.2 The acquisition is a related party transaction in terms of sections 10.1(i) of the JSE Listings Requirements (“LR’s”) as the seller is a material shareholder in Brikor. 3.3 The purchase price of R20 000 000 will be payable in cash as follows: 3.3.1 Brikor will pay R1 000 000 to the Seller on the effective date; 3.3.2 the balance of the purchase price will be paid to the Seller in monthly instalments of R600 000 from the effective date. The outstanding balance shall bear interest at 9% as from the effective date. 3.4 The transaction is subject to the following conditions precedent: 3.4.1 compliance with the JSE LR’s including shareholders’ approval if required; 3.4.2 the transaction be approved by all regulatory authorities; and 3.4.3 Ministerial consent be obtained in terms of Section 11 of Act 28 of 2002. 3.5 The purchase price will be settled from existing cash resources. 3.6 The effective date is the date of fulfilment of all the conditions precedent. 4. FINANCIAL INFORMATION IN RESPECT OF THE ACQUISITION The financial information in respect of the acquisition will be released in due course. 5. CATEGORISATION OF THE TRANSACTION The company is currently in discussions with the JSE regarding the categorisation of the transaction, given the suspension of its shares. Once the categorisation of the transaction has been determined, shareholders will be notified thereof. 6. CAUTIONARY ANNOUNCEMENT Shareholders are advised to exercise caution in dealing in the company’s securities on the JSE until such time as the categorisation of the transaction is determined and the financial information in respect of the acquisition is released. Designated Advisor Exchange Sponsors 30 November 2015 Johannesburg Date: 30/11/2015 05:06:00 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.