INTERNATIONAL HOTEL GROUP LIMITED - Acquisition of the Gatwick Hotel, placement of shares and update on investments

Acquisition of the Gatwick Hotel, placement of shares and update on investments

International Hotel Group Limited
(previously RBDL Investments Limited)
(Incorporated in the British Virgin Islands)
(Company number 1862176)
JSE share code: IHL
ISIN: VGG7396G1046
(“IHGL” or the “Company”)


ACQUISITION OF THE GATWICK HOTEL, PLACEMENT OF SHARES AND UPDATE ON INVESTMENTS


Acquisition of the Gatwick Hotel

IHGL, the hotel and leisure focused property investment company, announces that it has, today, completed the
acquisition of the hotel property known as Hampton by Hilton London Gatwick Airport – North Terminal for a
purchase price of GBP20 million (the “Gatwick Hotel”).

The purchase price was partly settled through the proceeds of GBP13 million (approximately ZAR286 million) raised
by way of a placement of 13 000 000 new IHGL shares at an issue price of GBP1.00 per placement share (the
“Placement”) with the Company’s cornerstone shareholders, being Redefine Properties Limited, Redefine
International P.L.C. and Tsogo Sun Holdings Limited. The GBP7 million balance of the purchase price was raised
through debt funding. The board of directors of IHGL proposes to obtain a further GBP 3.0 million of external debt
finance, which will increase the loan to value ratio for the Company’s total portfolio to 50%.

The Gatwick Hotel was opened in 2014 and has a prime location on the North Terminal of London’s Gatwick Airport,
the UK’s second largest airport. It has 192 rooms, with a 60 space car park linked directly to the terminal and 
will be acquired with a 99-year lease in place. Following the completion of the GBP100 million upgrade, currently 
being undertaken at the terminal, the Gatwick Hotel will benefit from a substantial growth in passenger numbers.

Commenting, CEO Helder Pereira said that:

“This hotel property is in line with our business plan of acquiring quality assets in excellent locations within 
a strong market and thus able to provide stable income returns.

The Gatwick Hotel’s prime location at the North Terminal as well as the Hilton brand will ensure it is one of the most
successful properties at Gatwick.”

Following the Placement, IHGL has a total of 48 000 000 ordinary shares in issue.

Update on investments

IHGL continues to actively source and evaluate further acquisition opportunities within the UK. As and when
appropriate, further announcements will be made in this regard.

For further information please contact:


M Partners S.à r.l.
Luxembourg listing agent                                  +352 263 868 610

Java Capital
JSE sponsor                                               +27 (0) 11 722 3050

FTI Consulting
South African Public Relations Advisor
Max Gebhardt                                              +27 (0) 11 214 2402
Company Secretary

Osiris Secretarial Services Ltd                           +1 (284) 494 9820

Notes to editors:

IHGL is a hotel and leisure focused property investment company which owns six hotels in the UK. The Company’s
shares are currently listed on the Euro MTF Market of the Luxembourg Stock Exchange, which constitutes its primary
listing, and on the AltX of the JSE which constitutes its secondary listing.

2 March 2016

Date: 02/03/2016 12:00:00 Produced by the JSE SENS Department. The SENS service is an information dissemination service administered by the JSE Limited ('JSE'). 
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