Trading statement GEMGROW PROPERTIES LIMITED (previously Synergy Income Fund Limited) (Incorporated in the Republic of South Africa) (Registration number 2007/032604/06) JSE share code: GPA ISIN: ZAE0000223269 JSE share code: GPB ISIN: ZAE0000223277 (Granted REIT status with the JSE) (“Gemgrow” or “the company”) TRADING STATEMENT Pursuant to the implementation of the transaction which saw Gemgrow exchange a portfolio of assets with Vukile Property Fund Limited and acquire the issued share capital of Cumulative Properties Limited from Arrowhead Properties Limited, the property portfolio of the company was significantly enlarged with a focus on high yielding, high growth income producing assets. In addition, Gemgrow changed its year end from 31 March to 30 September. As a result, the dividend for the previous corresponding period was for a twelve-month period ending 31 March 2016 (“previous reported period”), whereas the dividend for the current period is in respect of a six-month period ended 31 March 2017 (“current period”). Accordingly, the dividend for the current period is not comparable to the previous reported period. Although the dividend is not comparable the board of directors believes it to be appropriate to provide shareholders with guidance on the expected dividend for the six months ended 31 March 2017, as required by the JSE, of: - for the A-shares, between 47 cents per share and 52 cents per share (for the six months), being 50.34% and 45.06% lower than the 94.65 cents per A-share for the previous reported period (being a twelve-month period); and - for the B-shares, being between 34 and 38 cents per share (for the six months), being 47.38% and 41.19% lower than the 64.52 cents per B-share for the previous reported period (being a twelve-month period). Shareholders are further advised that the dividend per A-share and B-share for the year ended 30 September 2017 is expected to be in line with the forecast of 101.87 cents per A-share and 73.36 cents per B-share contained in the circular issued to shareholders on 26 September 2016. The forecast financial information on which this trading statement is based has not been reviewed or reported on by the company’s auditors. The financial results for the six months ended 31 March 2017 will be published on or about 17 May 2017. 16 May 2017 Sponsor Java Capital Date: 16/05/2017 02:47:00 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.