DISTRIB. AND WAREHOUSING NETWORK LD - Further detail regarding a proposed rights issue and further cautionary announcement

Further detail regarding a proposed rights issue and further cautionary announcement

Distribution and Warehousing Network Limited
(Incorporated in the Republic of South Africa)
(Registration number 1984/008265/06)
Share code: DAW & ISIN code: ZAE000018834
(“DAWN” or “the Company” or “the Group”)

FURTHER DETAIL REGARDING A PROPOSED RIGHTS ISSUE AND FURTHER CAUTIONARY ANNOUNCEMENT

Shareholders are referred to the announcement published by the Company on the Stock Exchange News
Service of the JSE Limited on Thursday, 19 January 2017 referring to the consideration of various initiatives
by the board of directors of DAWN to, inter alia, strengthen its balance sheet to allow for the alignment
of its capital structure to its business model and current environment.

DAWN is pleased to announce that we are now in a position to provide further detail on this matter.
DAWN intends to raise approximately R350m in gross proceeds through a rights issue (“Proposed Rights
Issue”). The Company has agreed terms with a potential underwriter and expects the Proposed Rights
Issue to be fully underwritten. In addition, the Company has received undertakings of support for the
Proposed Rights Issue from shareholders representing in excess of 60% of DAWN’s issued share capital.

The Company plans to post a circular to shareholders on or about 2 February 2017 in order to convene a
shareholders extraordinary general meeting (“the EGM”), to approve the necessary resolutions required
to implement the Proposed Rights Offer in early March 2017.

Accordingly a further announcement will be released providing shareholders with the salient dates and
times of the EGM as well as further information relating to the Proposed Rights Offer.

FURTHER CAUTIONARY ANNOUNCEMENT

Further to the cautionary announcement released on Thursday, 19 January 2017 and the information set
out in this announcement, DAWN shareholders are advised to continue exercising caution when dealing
in DAWN securities until a further announcement is published.

Germiston
25 January 2017

Financial advisor and transaction sponsor
Investec Bank Limited

Sponsor
Deloitte & Touche Sponsor Services (Pty) Ltd

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