Trading statement and update for the year ended 31 August 2016 Purple Group Limited (Incorporated in the Republic of South Africa) (Registration number 1998/013637/06) Share code: PPE ISIN: ZAE000185526 (“Purple Group” or “the Company”) TRADING STATEMENT AND UPDATE FOR THE YEAR ENDED 31 AUGUST 2016 In terms of paragraph 3.4(b) of the JSE Limited Listings Requirements, companies are required to publish a trading statement as soon as the issuer and its directors are satisfied that there is a reasonable degree of certainty that the financial results for the next reporting period will differ by at least 20% from those of the previous corresponding period. Shareholders are accordingly advised that for the year ended 31 August 2016, the directors of Purple Group anticipate a basic loss per share (“EPS”) and headline loss per share (“HEPS”) of between 0.35 cents to 0.39 cents, compared to earnings per share of 3.51 cents and headline earnings per share of 3.51 cents respectively, representing a decrease in EPS of between 110% and 111.1% and a decrease in HEPS of between 110% and 111.1%, compared to the previous corresponding 12 month period. Trading update During the 2016 financial year, the decision was taken to invest, at the expense of immediate term profits, a total of R76.8 million (an increase of 28.5% over the prior year) in the people, technology and marketing required to develop and launch the various new products that re-positioned Purple Group as the leading FinTech company in Africa. In the result, active clients increased by 94%, client assets increased by 41% and new partnerships added in excess of R150 million to the asset base. The information above has not been audited or reported on by the Company’s auditors. The Company’s annual results for the twelve months ended 31 August 2016 are expected to be published on SENS on or about 2 November 2016. Johannesburg 28 October 2016 Sponsor: Deloitte & Touche Sponsor Services Proprietary Limited Date: 28/10/2016 09:40:00 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.