Dealings In Company Shares - Grant Of Share Rights To Directors KAP Industrial Holdings Limited Incorporated in the Republic of South Africa) Registration number: 1978/000181/06 Share Code: KAP ISIN: ZAE0000171963 (“KAP” or “the Company”) DEALINGS IN COMPANY SHARES - GRANT OF SHARE RIGHTS TO DIRECTORS In compliance with rules 3.63 to 3.74 of the JSE Limited Listings Requirements, shareholders are advised that off-market grants of share rights over ordinary shares of no par value in KAP (“KAP Shares”) have been made to certain executive directors of KAP and of its major subsidiaries in terms of the KAP Share Rights Scheme (“the 2017 Grant”). The following information is disclosed in respect of the 2017 Grant: • Following approval of the 2017 Grant on 14 August 2017 by the KAP Human Resources & Remuneration Committee, letters of grant with an effective grant date of 1 December 2017, were issued to participants on 11 December 2017. • In all instances, the share rights are held in a direct beneficial capacity. • The share rights shall mature on the third anniversary of the grant date, i.e. on 1 December 2020, and vesting is subject to the achievement of relevant performance criteria. • The rights are for KAP Shares and will expire after the maturity date if the rights have not vested. • The following number of share rights were granted to the below- mentioned executive directors at R0.20 (twenty cents) per KAP Share: Name of director Number of rights Value granted (R) GN Chaplin* 1,198,565 239,713.00 FH Olivier* 588,636 117,727.20 SP Lunga** 227,273 45,454.60 LR Pollard** 508,295 101,659.00 VV Zondani** 299,043 59,808.60 G Victor** 508,295 101,659.00 TR Nel*** 586,568 117,313.60 RA de Beer*** 230,453 46,090.60 * Director of KAP Industrial Holdings Ltd ** Director of KAP Diversified Industrial (Pty) Ltd *** Director of Unitrans Holdings (Pty) Ltd The grant of the share rights has taken place in terms of the rules of the Share Rights Scheme and accordingly, no clearance as contemplated in Rule 3.66 of the Listings Requirements, is required. By order of the Board Company Secretary 13 December 2017 Sponsor: PSG Capital Proprietary Limited Date: 13/12/2017 12:00:00 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.