RDC PROPERTIES LIMITED Information...RDC PROPERTIES LIMITED 5 years Summary RDC PROPERTIES SUMMARY FIVE YEARS OVERVIEW (P’000) June 2014 June 2015 June 2016 June 2017 June 2018 Investment

RDC PROPERTIES LIMITED AUDITED YEAR END RESULTS 31 DECEMBER 2017

Presented by: Property & Asset Management Limited

15/08/2018

Construction

Hospitality

Realestate Group

Real Estate

RDC PROPERTIES LIMITED Topics

•  Introduction •  Highlights •  30 June 2018 Half Year Results •  Review of Financials by Segment & Trend •  Portfolio Analysis & Projects Overview •  International Prospects & Developments •  Our Contribution to the Community

Construction

Hospitality Realestate Group

Real Estate

RDC PROPERTIES LIMITED Introduction

REGIONAL DIVERSIFICATION PROGRESSING WELL

RDC OWNS 63% OF CAPITALGRO PORTFOLIO IN SOUTH AFRICA – PERFORMING VERY WELL AND

HAVING VERY GOOD PIPE LINE OF PROJECT/ACQUISITIONS

DEVELOPING PORTFOLIO IN THE USA, MOZAMBIQUE AND

NAMIBIA

MANAGEMENT TEAMS WORKING WELL TOGETHER

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Real Estate


•  Introduction •  Highlights •  30 June 2018 Half Year Results •  Review of Financials by Segment & Trend •  Portfolio Analysis & Projects Overview •  International Prospects & Developments •  Our Contribution to the Community

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RDC PROPERTIES LIMITED Highlights

>R651M63%Stake

INVESTMENT IN RSA MAR2018,furtherR120Minvestedsecuring63%ofCapitalGro

(WesternCape)PORTFOLIODOINGWELL–GOODYIELDANDVVLOWVACANCY&

DEBTORSFurtherinvestmentsinRSAplanned

TOTALPORTFOLIOP1,9BN

INVESTMENT & PROPERTY PORTFOLIO Upby50%,nowstandsatP1,886million(2017:P1,260million)

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EXCEPTIONAL RESULTS

-

500,000

1,000,000

1,500,000

2,000,000

2014 2015 2016 2017 2018

Botswana

SouthAfrica

Total


•  Introduction •  Highlights •  30 June 2018 Half Year Results •  Review of Financials by Segment & Trend •  Portfolio Analysis & Projects Overview •  International Prospects & Developments •  Our contribution to the Community

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Ø  INVESTMENT AND PROPERTY PORTFOLIO Ø  Up by 50%, now stands at P1,886 million (2017: P1,260 million)

Ø  RENTAL REVENUE

Ø  Up by 51% to P66.5 million (2017: P43.9 million)

Ø  PROFIT FOR THE PERIOD

Ø  Up by 26% to P35.6 million (2017: P28.3 million)

Ø  EARNINGS PER LINKED UNIT

Ø  Up by 29% to 8.84 thebe per linked unit (2017: 6.83 thebe)

Ø  1ST INTERIM DISTRIBUTION

Ø  Distribution per linked unit up 77%

RDC PROPERTIES LIMITED Highlights: Half Year ended 30 June 2018

EXCEPTIONAL RESULTS HALF YEAR 2018

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STOCKMARKETSTATISTICS

–  NAV and share price: –  NAV per share stands at P3.01 (2017: P2.68) –  Share price P2.25 down 18% (2017: P2.75). –  Trading at a 34% discount.

–  Linked units in issue:

–  347,547,222 (no change)

RDC PROPERTIES LIMITED Financial Highlights 2/2 Construction

Hospitalit

y Realestate Group

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•  Introduction •  Highlights •  30 June 2018 Half Year Results •  Review of Financials by Segment & Trend •  Portfolio Analysis & Projects Overview •  International Prospects & Developments •  Our contribution to the Community

4

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Botswana78%

SouthAfrica16%

Namibia0%

Mozambique-1%

USA5% Madagascar

0%

SEGMENTRESULTSBYCOUNTRY

Botswana69%

SouthAfrica26%

Namibia0%

Mozambique1%

USA2%

Madagascar1% Unallocated

1%

SEGMENTINVESTMENT&PROPERTYPORTFOLIOBYCOUNTRY

SEGMENT RESULTS AND INVESTMENT & PROPERTY PORTFOLIO BY COUNTRY

RDC PROPERTIES LIMITED Segments

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RDC PROPERTIES LIMITED Segments

Office43%

Retail20%

Industrial5%

Hospitality29%

Residential3%

RDCPSECTORALSPREADBYREVENUE2018

BOTSWANA74%

SOUTHFRICA26%

RDCPREVENUEBYCOUNTRY2018

Ø  New ICC Flats full year effect to commence 2019 Ø  Mozambique properties year effect to commence 2019

Segmental Profile

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RDC PROPERTIES LIMITED Lease Expiry Profile

13%

14%

15%

11%

47%

RDCP CONSOLIDATED LEASE EXPIRY PROFILE JUNE 2018 BY REVENUE

Jan2018-Dec2018

Jan2019-Dec2019

Jan2020-Dec2020

Jan2021-Dec2021

Jan2022Onwards

Ø  Consolidated vacancy (June 2018) – 2.72% Ø  47% of Leases expiring 2022 Onwards Ø  Botswana vacancies – 2.49% Ø  RSA vacancies – 0.23%

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ABRIDGED UN-AUDITED GROUP STATEMENT OF COMPREHENSIVE INCOME

Six months ended 30 June 2018

P’000

Six months ended 30 June 2017

P’000 % Change For the six months ended 30 June 2018

Revenue 66,542 43,935 51

Operating expenses (21,426) (13,124) Other operating income 1,067 875 Income arising from joint venture 129 99 Other foreign exchange gains/(losses) 991 (90)

Profit from operations 47,303 31,695 49

Net finance costs (11,689) (3,372)

Profit before tax 35,614 28,323 26

Income tax expense - -

Profit for the period 35,614 28,323 26

Other comprehensive income Exchange differences on translation of foreign operations 1,323 (1,202)

Net fair value gain on available for sale financial asset (472) (442)

Total comprehensive income for the period 36,465 26,679

Profit for the period attributable to: Owners of the company 30,713 23,745

Non-controlling interest 4,901 4,578 35,614 28,323

Number of linked units in issue at period end 347,547,222 347,547,222

Earnings per linked unit (thebe) 8.84 6.83 29

Interim dividend (thebe) 0.124 0.070 Interim debenture interest (thebe) 6.206 3.500 Total distribution (thebe) 6.330 3.570 77

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ABRIDGED UN-AUDITED GROUP STATEMENT STATEMENT OF FINANCIAL POSITION 2018 2017

As at 30 June 2018 P’000 P’000

Assets

Property, plant and equipment 8,252 9,534 Intangible asset 1,000 1,000 Investments 34,421 - Available for sale investment 15,829 14,066 Investment in a joint venture 27,858 24,499 Investment properties 1,798,412 1,195,087 Rental receivable - straight line rental adjustment - - Long-term trade receivables 4,378 5,131 Current assets 86,991 191,360 Asset classified as held for sale - 15,634 Total Assets 1,977,141 1,456,311

Equity and Liabilities Equity attributable to the owners of the parent 1,046,922 931,072 Non-controlling interests 239,778 179,759 Long term borrowings 497,412 215,269 Deferred tax liabilities 109,195 86,537 Current liabilities 83,834 43,674 Total Equity and Liabilities 1,977,141 1,456,311

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RDC PROPERTIES LIMITED Results by Segments

GROUP (P'000s)

Botswana South Africa Namibia Mozambique USA Madagascar Total

30 June 2018 SEGMENT REVENUES AND RESULTS

Revenue 45,147

21,395 - - - -

66,542

Operating expenses

(13,714)

(7,420) (61) (143) (88) -

(21,426)

Other operating income 1,006 - - 61 - - 1,067

Income arising from joint venture (net of forex gains) - - - - - 129 129

Net finance costs (5,187)

(8,301) 28 (104)

1,875 -

(11,689)

Profit before foreign exchange gains and tax 27,252 5,674 (33) (186) 1,787 129

34,623

Other foreign exchange gains - - - - - -

991

Profit before tax 35,614

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RDC PROPERTIES LIMITED Segment Assets & Liabilities

GROUP (P'000s) Botswana South Africa Namibia Mozambique USA Madagascar Total

30 June 2018 SEGMENT ASSETS Investments - - - - 34,421 - 31,421 Investment properties 1,295,859 488,973 2,500 11,080 - - 1,798,412 Investment in a joint venture - - - - - 27,858 27,858 Available-for-sale investments carried at fair value 13,544 2,285 - - - - 15,829

Trade and other receivables 19,469 932 770

4,583 - - 25,755 Current tax assets 3,176 - - 2 - - 3,178 Cash and cash equivalents 57,911 3,253 223 1,050 - - 62,437 Total segment assets 1,389,959 495,443 3,493 16,715 34,421 27,858 1,964,890 Property, plant and equipment 8,252

Intangible asset 1,000 Asset classified as held for sale -

Consolidated Total Assets 1,974,141

30 June 2018 SEGMENT LIABILITIES Trade and other payables 44,197 12,009 1,000 3,927 88 - 61,221 Current tax liabilities 280 16 - - - - 296 Long-Term Borrowings 244,347 253,065 - - - - 497,412 Deferred Tax Liabilities 98,935 10,260 - - - - 109,195 Total segment liabilities 387,759 275,350 1,000 3,927 88 - 668,124

Bank overdraft 22,317 Total Liabilities 690,441

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RDC PROPERTIES LIMITED 5 years Summary

RDCPROPERTIESSUMMARYFIVEYEARSOVERVIEW(P’000)

June2014

June2015

June2016

June2017

June2018

Investment&PropertyPortfolio 868,829 963,173 1,124,029 1,259,820 1,885,772

Revenue 37,978 39,603 41,728 43,935 66,542

Profitbeforetax(beforefairvalue) 15,568 18,450 26,271 28,323 35,614

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•  Introduction •  Highlights •  30 June 2018 Half Year Results •  Review of Financials by Segment & Trend •  Portfolio & Projects Overview •  International Prospects & Developments •  Our Contribution to the Community

5

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RDC PROPERTIES LIMITED ICC FLATS Extension – New Development

Ø  Occupation Permit issued 10th July 2018

Ø  Practical Completion stage achieved.

Ø  Project Delivery timeline and Budget on track.

Ø  First block being let. Ø  50%of first block already

secured for the property and a number of prospective tenants lined up.

LETTINGINPROGRESS!!!

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RDC PROPERTIES LIMITED Retirement offering in Botswana

Ø  Design Development at an advanced stage

CONTRIBUTUTINGTOTHESOCIALUPLIFTMENTActivelypursuingthevisionofcreatingaretirementofferinginBotswana.

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•  Introduction •  Highlights •  30 June 2018 Half Year Results •  Review of Financials by Segment & Trend •  Portfolio Analysis & Projects Overview •  International Investments •  Our Contribution to the Community

6

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RDC PROPERTIES LIMITED International Investments – South Africa

INVESTMENTINTHERSA–CAPETOWN

>R650M(est.2018)63%Stake

Ø  CAPITALGROACTIVELYMANAGINGTHEPORTFOLIOØ  EXTENSIVEPIPELINEOFPROJECTS/ACQUISITIONSBEING

CONSIDEREDANDWORKEDONØ  CASHGENERATIONANDRESULTSCONTRIBUTINGVERYPOSITIVELY

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RDC PROPERTIES LIMITED International Investments – South Africa

WESTERNPROVINCEOURFOCUS-  Professionallymanagedportfolio

-  Acquisitionin2018–upliftingthewholeportfolio- 

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RDC PROPERTIES LIMITED International Investments – USA

UNITEDSTATESOFAMERICA–NASHVILLE,TENNESSEEØ  Professionallymanageddevelopment(71apartmentsforsale)Ø  Salesofunitsprogressingwell(44SO)Ø  OpportunitytosecureafootstepintheUSAmarket.Ø  Thestrategicintentofthisinvestmentistobeabletogrowasmall

portfolioinanexcitingareaoftheUSA

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RDC PROPERTIES LIMITED Regional Developments – Namibia Convenience Centers

Ø  Awaiting land transfer for Tsumeb - contractors ready to mobilize.

Ø  Authorities approval process for Grootfontein is still ongoing.

Ø  Katima Mulilo – land issues to be sorted out.

Ø  Outapi and Eenhana will follow. Ø  Line Shops will be having a mix of Local and International Retailers including ATMs

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RDC PROPERTIES LIMITED Regional Developments – Mozambique Shopping Centers Ø  XAI XAI Shopping Centre (3,547 sqm GLA) construction is approaching the

finishes stages with Choppies Project Coordinator now fully involved. Ø  The Marketing Campaigne has provided some good prospects. Ø  ZIMPETO Shopping Centre (7,000 sqm GLA), comprising a Filling Station is

being re-designed to suit the demand from two Anchors. Ø  Advanced Earth-works have started.

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•  Introduction •  Highlights •  30 June 2018 Half Year Results •  Review of Financials by Segment & Trend •  Portfolio Analysis & Projects Overview •  International Investments •  Our Contribution to the Community 7

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Our contribution to the Community

The group is highly committed to its corporate social responsibility and it continues to engage its employees as well as the community at large on supporting worthy initiatives.

Ø  Ngwapa primary school Ø  Sephare primary hospital Ø  Masa charity & carols by candlelight

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16/08/18

THANK YOU!

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Documents

RDC PROPERTIES LIMITED Information...RDC PROPERTIES LIMITED 5 years Summary RDC PROPERTIES SUMMARY FIVE YEARS OVERVIEW (P’000) June 2014 June 2015 June 2016 June 2017 June 2018 Investment