Central Bank of Nigeria investigation regarding client remittances by Stanbic IBTC Bank PLC relating to MTN Nigeria Standard Bank Group Limited (Incorporated in the Republic of South Africa) (Registration number 1969/017128/06) JSE share code: SBK NSX share code: SNB ISIN: ZAE000109815 SBKP ZAE000038881 (First preference shares) SBPP ZAE000056339 (Second preference shares) JSE bond code: SBKI (“Standard Bank Group” or “the Group”) Central Bank of Nigeria investigation regarding client remittances by Stanbic IBTC Bank PLC relating to MTN Nigeria Communications Limited and Cautionary Announcement Standard Bank Group has been advised by its Nigerian banking subsidiary, Stanbic IBTC Bank PLC (“Stanbic IBTC Bank” or “the Bank”), that the Bank received a letter on 29 August 2018 from the Central Bank of Nigeria (“CBN”) informing it that penalties have been imposed on Stanbic IBTC Bank by the CBN pursuant to a review of transactions relating to the remittance of foreign exchange on the basis of certain “irregular” Certificates of Capital Importation (“CCI’s”) issued to MTN Nigeria Communications Limited, between 2007 and 2015. Stanbic IBTC Bank is a wholly owned subsidiary of the Group’s 64.8% owned Nigerian Stock Exchange listed subsidiary, Stanbic IBTC Holdings PLC. The CBN has advised Stanbic IBTC Bank in this letter that it will be subject to a penalty of NGN 1.885 billion (approximately ZAR 75 million / USD 5.2 million) for violations of the laws and regulations of Nigeria pertaining to foreign exchange transactions in that country. The CBN has further advised the Bank in this letter that it requires that a sum of approximately USD 2.632 billion, being funds repatriated by Stanbic IBTC Bank on clients’ behalf, should be refunded to the CBN, on the grounds that the relevant CCI’s were “illegally issued”. Stanbic IBTC Bank was not a beneficiary of any of the remittances made on behalf of clients and denies any imputation of malfeasance. The Bank intends to engage with the CBN in relation to the issues it has raised. Clients of the Bank are assured that the above does not impact on their ability to continue to conduct their various business and corporate transactions with Stanbic IBTC Holdings PLC or any of its subsidiaries, including the Bank. The final impact of this regulatory intervention is accordingly being determined but may have a material effect on the price of the Group’s securities. Accordingly, shareholders of Standard Bank Group are advised to exercise caution when dealing in their securities, until further details regarding this regulatory intervention are able to be announced. Johannesburg 30 August 2018 Lead sponsor The Standard Bank of South Africa Limited Independent Sponsor Deutsche Securities (SA) Proprietary Limited Namibian sponsor Simonis Storm Securities (Proprietary) Limited Date: 30/08/2018 09:14:00 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.