CAPITEC BANK HOLDINGS LIMITED - Non-Binding Offer To Acquire Mercantile Bank Holdings Limited And Its Subsidiaries

Non-Binding Offer To Acquire Mercantile Bank Holdings Limited And Its Subsidiaries

Capitec Bank Holdings Limited
Registration number 1999/025903/06
Registered bank controlling company
Incorporated in the Republic of South Africa
JSE ordinary share code: CPI ISIN code: ZAE000035861
JSE preference share code: CPIP ISIN code: ZAE000083838
("Capitec" or "the company")

Capitec Bank Limited
Incorporated in the Republic of South Africa
Registration No. 1980/003695/06
Company code: BICAP
Stock Code: CBL12
ISIN Code: ZAG000089038
Stock Code: CBL13
ISIN Code: ZAG000092560
Stock Code: CBL14
ISIN Code: ZAG000092552
Stock Code: CBL17
ISIN Code: ZAG000099359
Stock Code: CBL18
ISIN Code: ZAG000099367
Stock Code: CBL20
ISIN Code: ZAG000102245
Stock Code: CBL22
ISIN Code: ZAG000105305
Stock Code: CBL24
ISIN Code: ZAG000130881
Stock Code: CBL25
ISIN Code: ZAG000136110
Stock Code: CBL26
ISIN Code: ZAG000136128
Stock Code: CBL27
ISIN Code: ZAG000143884
Stock Code: CBL28
ISIN Code: ZAG000151333
(“Capitec Bank”)

NON-BINDING OFFER TO ACQUIRE MERCANTILE BANK HOLDINGS LIMITED
AND ITS SUBSIDIARIES (“MERCANTILE”)

Shareholders are advised that Capitec Bank, the wholly-owned
subsidiary of Capitec has made a non-binding offer to purchase
Mercantile. Mercantile’s core business offer is business
banking to small- to medium-sized enterprises and
entrepreneurs. The shareholder of Mercantile, Caixa Geral de
Depositos, S.A., a Portuguese bank, wishes to divestment from
non-core operations outside of Portugal, of which Mercantile
is one such investment.

Capitec Bank is one of a number of interested parties whose
non-binding offer to purchase Mercantile has been accepted.
Capitec Bank will now commence with a formal, in-depth due
diligence exercise to determine whether the opportunity
presented by Mercantile fulfils Capitec Bank’s expectation to
build the Capitec Bank business bank strategy.

Capitec will keep the market informed of developments as and
when appropriate. Any proposed transaction will be subject to
regulatory authority approvals.

Capitec continues to investigate strategic opportunities to
enhance shareholder value and deliver to its commitment to the
market in offering affordable, simple and transparent banking
services.

18 June 2018
Stellenbosch
Sponsor PSG Capital

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