1. INFORMATION MEMORANDUM

1.1 Purpose of this Information Memorandum.This information Memorandum is being issued by Cato Ridge Private Hospital (Pty) Ltd to alimited number of potential investors for the sole purpose of providing information about thepossibility of investing in the hospital development.

1.2 ConfidentialityThis Memorandum is confidential and should not be distributed, published or reproduced, inwhole or in part, nor should its contents be disclosed without the express written consent ofCato Ridge Private Hospital.Prospective investors must rely on their own examination of the legal, tax, financial and otherconsequences of the proposed investment in hospital development , including the merits ofinvesting and the risk involved.Prospective investors should not treat the contents of this memorandum as advice relating tolegal, tax, or investment matters and are advised to consult their own professional advisorsconcerning the acquisition, holding or disposal of interest in Cato Ridge Private Hospital.

1.3 No WarrantyThis memorandum has been prepared in good faith and is intended to assist the recipient indeciding whether or not to proceed with further analysis of this opportunity.All statements opinion and/or belief contained in this Memorandumand all views expressed, projections, forecasts or statementsrelating to the expectations regarding future events, or the possiblefuture performance of hospital development represents theDirectors assessment and interpretation of information availableto them as at the date of this Memorandum. No representationis made or assurance given that such statements, views,projections or forecast are correct or that the objectives of hospitalwill be achieved.

2. EXECUTIVE SUMMARY

The objective is to create the first privately owned and independent

general acute hospital in Cato Ridge between Durban and

Pietermaritzburg of Kwa-Zulu Natal that has the capability of improving

access to private health care through carefully balancing quality of

care to the cost of delivery.

Despite the fact that the South African market is dominated by three major players who between

them control 87 percent of the private patient market, it is strongly believed that there is a significant

opportunity for an independent hospital to enter the market and be competitive.

Whilst the cost of entry is high, there is a serious willingness amongst investors to invest in the

project and provide support to ensure its success.

With the growth and development of Cato Ridge and the outer west surrounding areas, the population

(Estimated population in 2009: 577 000) is steadily increasing due to more employment opportunities

being created.

The need for the hospital development arose from insufficient health facilities in Cato Ridge to

accommodate the demand for daily admissions. Patients travel between Durban and Pietermaritzburg

for a private health facility.

There has also been a rapidly growing emphasis in the country on the provisions of health care

to all employed persons.

In particular, to be able to position new facilities that will be in close proximity to development nodes,

residential and employment growth areas will be of significant strategic importance. It will also

increase accessibility to the existing population in the catchment area and who are members of

medical schemes.

The vision of the hospital highlights the fact that the focus will be on the optimal utilization of all

resources to achieve the highest level of efficiencies in clinical patient care, administration costs

and work processes.

Through achieving these optimal efficiencies, it is envisaged that it will allow hospital management

to conclude competitive and favorable agreements with medical schemes and other funders.

3. INTRODUCTION

ABOUT THE PROMOTERThe promoter of the project is Strategic Healthcare Management CC (SHM) which is ownedand managed by Mr Jetendra Poorun who will be facilitating the entire project.

Mr Poorun’s resume includes a Bachelor of Business Science degree from the University of SouthAfrica, Advanced Project Management from Damelin and Hospital Planning course from UKZN.

He has spent the last twelve years in private hospital management.

He is currently Vice-President of South African Federation of HospitalEngineers (SAFHE), Chairman of SAFHE - KZN, Board member ofMahatma Gandhi Memorial Hospital, Professional Conduct CommitteeMember - HPCSA, Health Institute of Risk Managers, HospitalConsultant to IDC, Member of Project Management Institute-PMI.

PURPOSEThis document presents a summary for the development of privatehospital located in Cato Ridge, Kwa-Zulu Natal which will be a onestop health care facility providing hospital medical services throughits various medical practitioners. The hospital will have:• Eighty five (85) beds,• Two major operating theatres,• One minor theatres and• A level two trauma / casualty unit.

The core vision is to provide an ultra- modern health care facility that has the infrastructure tooptimally utilize technology to achieve very cost efficient yet high quality patient care deliverysystems.

4. VISION AND MISSION STATEMENTOur Vision is to serve Cato Ridge and its surrounding area in such a fashion that the proposed

private hospital becomes our local and surrounding community’s first choice of private hospital.

Mission StatementWe will achieve our Vision by our commitment to delivering a quality service to:

Our Patients:We will treat them with empathy, maintain their dignity and respect their right to life and provide

them with cost effective care.

Our Doctors:We shall provide patients with best nursing care available, explicitly following doctors care plans,

and ensure that doctors are provided with excellent technology.

Our Staff:We will deal with our staff in a transparent manner, and regard them as our greatest asset. Training

and coaching will be used as tools to develop all our staff to their fullest potential.

CATO RIDGE PRIVATE HOSPITAL (Pty) Ltd (REGISTRATION NO:2012/058276/07)

APPLICATION FOR SHARES WITH LINK LOANS

I,.................................................................................................................................hereby apply for

linked unit of shares and loan account of

Number of shares

Loan total

Cheque herewith........................................................................................................R

Please register my shares and loan account as follows:

Name of shareholder ...............................................................................................

Tax reference no of shareholder ...............................................................................................

Bank details of shareholder ...............................................................................................

Address ...............................................................................................

(Attach utility document)

Disclaimer

1. We the applicant make this offer of shares and loan on our own free will.

2. We are fully aware of the risk and reward associated with our investment in this venture and

we do not in any way hold the directors responsible for any loss.

3. If any amounts that we are obliged to pay are not paid, then the directors are authorized to

proportionately reduce or refund accordingly.

4. Allotment of shares is totally at the discretion of the directors of the company.

5. The budget presented is purely a guideline of the projected results of the operations.

Signed...................................................on day of..................................(month/year)

................................................................................................shareholder Signature:

.................................................................................................................Print Name:

Please fax deposit slip to: Strategic Healthcare Management Cato Ridge Private Hospital (Pty) Ltd

Attention Ms L. Banda Standard Bank

Fax No: 086 6076 066 Acc no : 050048163

Branch : Kingsmead

Branch code : 040026