AVENG : Update of the proposed introduction of an economic empowerment partner in Grinaker-LTA and renewal of cautionary

AEG 201701090009A

Update of the proposed introduction of an economic empowerment partner in Grinaker-LTA and renewal of cautionary

AVENG LIMITED

(Incorporated in the Republic of South Africa)

(Registration number: 1944/018119/06)

ISIN: ZAE000111829

SHARE CODE: AEG

('Aveng', 'the Company' or 'the Group')

UPDATE ON THE PROPOSED INTRODUCTION OF AN ECONOMIC EMPOWERMENT PARTNER INTO THE

BUSINESS CONDUCTED BY AVENG GRINAKER-LTA AND RENEWAL OF CAUTIONARY

1. AVENG GRINAKER-LTA TRANSACTION - JSE DISPENSATION

Shareholders are referred to the detailed SENS announcement on 11 October 2016, and the pro forma financial

effects and cautionary announcement on SENS dated 22 November 2016 relating to the introduction of an economic

empowerment partner into the Grinaker-LTA business ('the Transaction').

Shareholders are advised that due to continuing negotiations between Aveng (Africa) Proprietary Limited ('Aveng

Africa') and Kutana Construction Proprietary Limited regarding the inclusion, or otherwise, of certain water business

related contracts within the Transaction, which in turn may lead to the inclusion of Aveng Africa's interest in Aveng

Water Proprietary Limited within the originally announced Transaction, the Company applied to the JSE Limited for

dispensation from the requirement, set out in paragraph 10.9 of the JSE Listings Requirements, for the necessary

circular to be posted to shareholders within 60 days of the terms announcement being published on SENS. On 13

December 2016, the JSE granted such dispensation and the period for the posting of the circular was extended to 28

February 2017.

2. FURTHER CAUTIONARY

Aveng Africa is still in negotiations in relation to the sale of the Aveng Trident Steel business unit and shareholders will

receive a further update in this regard in due course. Shareholders are advised to continue exercising caution when

dealing in Aveng Limited securities until a further announcement is published.

Independent JSE Sponsor

J.P. Morgan Equities South Africa (Pty) Ltd

By Order of the Board

9 January 2017

Jet Park

Michael Canterbury

Group Executive: Investor relations

Tel: 011 779 2979

Email: michael.canterbury@avenggroup.com

Date: 09/01/2017 12:00:00 Produced by the JSE SENS Department. The SENS service is an information dissemination service administered by the JSE Limited ('JSE').

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