Acquisition of a Further 7.75% of Pilot Peridot PUTPROP LIMITED Incorporated in the Republic of South Africa (Registration number 1988/001085/06) Share code: PPR ISIN: ZAE000072310 (“Putprop” or “the Company”) ACQUISITION OF A FURTHER 7.75% OF PILOT PERIDOT 1. INTRODUCTION The board of directors of Putprop (“the Board”) wishes to inform shareholders that the Company has concluded an agreement for the acquisition of a further 7.75% shareholding in Pilot Peridot Investments 1 Proprietary Limited (“Pilot Peridot”) from JDC Property Investments Proprietary Limited and Bokspits Investments Proprietary Limited for a total purchase consideration of R14 643 322.68 (“Purchase Consideration”), such that Putprop’s total shareholding in Pilot Peridot has increased to 61.21% (“the Acquisition”). 2. THE ACQUISITION 2.1 Details of Pilot Peridot Pilot Peridot is a company incorporated in South Africa with interests in property developments. Its sole asset is a 50% undivided share in Summit Place, a mixed-use retail and commercial development in the Menlyn area of Pretoria, with a gross lettable area (“GLA”) of 30 500 square metres. Details of the property are as follows: Building: Sector % GLA Weighted average rental (square metres) per square metre (ZAR) Building A Commercial 100 1 315 204.80 Building C Commercial 100 4 804 235.61 Building D Retail 59 4 350 148.10 Commercial 41 Building E1 Commercial 100 7 203 175.60 Building E2 Retail 100 2 940 171.80 Building E3 Commercial 100 3 604 5.00 Building E4 Commercial 100 1 316 224.40 Building G1 Retail 100 4 968 148.30 The total weighted average rental per square metre is R161.60. 2.2 Rationale for the Acquisition The Acquisition complies with the Group’s stated objective of strategic investments focussed on retail and commercial opportunities, where yields are enhancing in the medium and long term. This additional purchase in Pilot Peridot allows the Group to enhance and protect its existing investment. 2.3 Purchase Consideration The Purchase Consideration which will be settled by means of internally generated cash will be paid in three tranches, as follows: - The first tranche of R5 000 000 is payable no earlier than 1 March 2018 and no later than 31 March 2018 (“the First Payment Date”); - the second tranche, being a minimum of R5 000 000, is payable within 30 days of the First Payment Date (“the Second Payment Date”); - the third tranche, being the balance of the Purchase Consideration, is payable within 30 days of the Second Payment Date. 2.4 Effective Date The effective date of the Acquisition is 1 March 2018. 2.5 Conditions Precedent All conditions precedent in respect of the Acquisition have been fulfilled. 3. FINANCIAL INFORMATION The value of the net assets of Pilot Peridot as at 30 June 2017 was R43 853 302. The loss after tax attributable to the net assets of Pilot Peridot for the year ended 28 February 2017 was R5 350 340 and the profit before interest, fair value adjustments and tax attributable to the net assets of Pilot Peridot for the year ended 28 February 2017 was R14 250 077. Pilot Peridot subsequently changed its financial year-end date to 30 June. The loss after tax attributable to the net assets of Pilot Peridot for the four months ended 30 June 2017 was R2 152 102 and the profit before interest, fair value adjustments and tax attributable to the net assets of Pilot Peridot for the four months ended 30 June 2017 was R8 328 474. A valuation of Summit Place, the main asset of Pilot Peridot, was performed on 30 June 2017 by Peter Parfitt of Quadrant Properties Proprietary Limited, who is independent and registered as a professional valuer in terms of the Property Valuers Profession Act, 2000 (Act 47 of 2000). A valuation of R479 413 128 was recorded. A valuation of Summit Place was performed on 31 December 2017 by Putprop’s directors, who are not registered as professional valuers in terms of the Property Valuers Profession Act, 2000 (Act 47 of 2000). The property was valued at an amount of R485 000 000. 4. CLASSIFICATION OF THE ACQUISITION The Acquisition is classified as a Category 2 transaction in terms of the Listings Requirements of the JSE Limited. Johannesburg 6 March 2018 Sponsor Merchantec Capital Date: 06/03/2018 11:30:00 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.