Update on RTG acquisition and forecast for the year ending 31 August 2016 and cautionary announcement LABAT AFRICA LIMITED (Incorporated in the Republic of South Africa) (Registration number 1986/001616/06) (“Labat” or “the Company”) ISIN Code: ZAE 000018354 Share code: LAB UPDATE ON RTG ACQUISITION AND FORECAST FOR THE YEAR ENDING 31 AUGUST 2016 AND CAUTIONARY ANNOUNCEMENT The RTG turnover is lower than expected and margins have been impacted negatively over the period ended 29 February 2016. Whilst the recent Level 4 BEE certification and the 51% black ownership of Labat are starting to have a positive impact on the RTG business, the published forecast, as it relates to RTG, will not be achieved for the year ending 31 August 2016. Given the performance of RTG, the directors have decided that the best approach is to properly assess the situation with the RTG vendor in order to restructure cash flows around the transaction that make sense to Labat, incoming investors as well as RTG. Labat still believes that the RTG business is fundamentally a good business, with a 30 year track record and is an excellent base upon which to build the broader logistics strategy. Shareholders are accordingly advised to exercise caution in dealing in their securities until a further announcement is made. Johannesburg 17 March 2016 Sponsor Arbor Capital Sponsors Proprietary Limited Date: 17/03/2016 05:00:00 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.