Announcement regarding the acquisition of the trading assets and liabilities of the Dished End Company HUDACO INDUSTRIES LIMITED (Incorporated in the Republic of South Africa) (Registration number 1985/004617/06) Share code: HDC & ISIN: ZAE000003273 (“Hudaco”) ANNOUNCEMENT REGARDING THE ACQUISITION OF THE TRADING ASSETS AND LIABILITIES OF THE DISHED END COMPANY (“DISHED END”) (“THE TRANSACTION”) Hudaco has acquired the trading assets and liabilities of Dished End from 1 May 2017. The final total consideration, to be paid out of existing facilities and future cash flow, will depend on the average profits over a three year earn-out period, with an initial payment of R36m and a maximum of R79m. The company manufactures dished ends, which are the end caps on pressure vessels. These ends vary from 0.4m to 5.5m in diameter and from 4mm to 25mm in thickness. They are manufactured in various metals as required by the particular type of vessel. Dished End also offers the pressing and flanging of small conical sections and a range of single pressed weld caps. The Transaction falls below the threshold for a category 2 transaction, which requires disclosure in terms of the JSE Limited’s Listing Requirements. However, Hudaco’s Board believes it is appropriate to inform shareholders of the transaction. Johannesburg 22 May 2017 Sponsor: Nedbank Corporate and Investment Banking Date: 22/05/2017 10:14:00 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.