Presented by:

Property & Asset Management Limited

25/09/2013

• Half year Results – Highlights

• Restructure / Market Overview / Projects

• Prospects and Developments

FINANCIALS:

Revenue growth up at 59%

Profit from operations up 13%

Investment and property portfolio up by 14%, stands at P764 million

ABRIDGED GROUP STATEMENT OF

COMPREHENSIVE INCOME

For the six months ended 30 June 2013

Revenue

Operating expenses

Other operating income

Net foreign exchange gains

Profit from operations

Net finance costs

Profit before tax

Income tax expense

Profit for the period from continuing operations

Discontinued operations

Loss from discontinued operations

Profit for the period

Other comprehensive income

Exchange differences on translation of foreign operations

Total comprehensive income for the period

Profit for the period attributable to:

Owners of the company

Non-controlling interest

Number of linked units in issue at period end

Average weighted number of linked units in issue

Earnings per linked unit (thebe)

Interim dividend (thebe)

Interim debenture interest (thebe)

Total distribution (thebe)

2013

P’000

30,462

(9,245)

308

3,825

25,350

(12,343)

13,007

(325)

12,682

-

12,682

(2,369)

10,313

10,153

2,529

12,682

35,653,252

35,316,066

28.75

0.32

16.21

16.53

2012

P’000

19,145

(5,782)

526

675

14,564

(3,034)

11,530

(291)

11,239

(14)

11,225

(414)

10,811

9,354

1,871

11,225

35,033,129

34,586,909

27.04

0.33

16.38

16.71

59%

74%

13%

13%

ABRIDGED GROUP STATEMENT OF FINANCIAL POSITION

As at 30 June 2013

Assets

Property, plant and equipment

Intangible asset

Investment properties

Investments

Deferred tax asset

Current assets

Assets classified as held for sale

Total Assets

Equity and Liabilities

Equity attributable to the owners of the company

Non-controlling interests

Long term borrowings

Deferred tax liabilities

Current liabilities

Liabilities directly associated with assets classified as held for sale

Total Equity and Liabilities

2013

P’000

24,603

1,000

736,605

1,894

1,983

28,159

-

794,244

356,227

132,067

234,038

26,011

45,901

-

794,244

2012

P’000

23,049

1,000

642,905

2,065

1,755

18,883

281

689,938

254,896

85,370

237,192

55,355

56,686

439

689,938

GROSS INCOME

P30,46m – 59% increase (2012– P19,15m)

PROFIT FROM OPERATIONS

P25,35m - 74% Increase (2012- P14,56m)

PROFIT BEFORE TAXATION

P13,01m - 13% increase (2012- P11,53m)-at the back of a 307% increase in net finance costs

PROFIT AFTER TAXATION

P12,68m -13% increase (2012- P11,24m)

INVESTMENT PORTFOLIO

P764,10m - 14% increase (2012 – P669,02m)-Masa Centre fair valued at P402,78m

LONG TERM BORROWINGS

P234,04m – 1.33% decrease. (2012– P237,19m)-stands at 31% of the investment portfolio (2012: 35%)

DISTRIBUTION TO UNIT HOLDERS

Total distribution 16.53 thebe per linked unit (2012: 16.71 thebe per linked unit)

STOCK MARKET STATISTICS

Share price at P7.06 - increase of 4.13% ( 2012– P6.78) Share Price as at 24 September 2013 P7.11 Linked Units in issue at period end 35,653,252 (2012: 35,033,129)

NAV / Share valued at P9.99 UP 37% ( 2012 – P7.28)

NAV – adjusted for deferred taxation P10.72 up 21.68% ( 2012 – P8.81)

AMALGAMATION, ACQUISITION AND LINKED UNITS SPLIT

Acquisition by amalgamation of 50% minority interest of Tholo (Pty) Limited by issuing 1,458,618 linked units and assumption of debt approximately P6,049,339

Acquired the property on Lease Area 4-RO Kasane known as ‘Chobe Marina Lodge’

by issuing 6,957,108 linked units

Transactions effective 1 October 2013 Linked unit split at a ratio of five for one

REBALANCING OF THE PORTFOLIO, REDUCTION OF OFFICE SPACE – INCREASE OF HOSPITALITY – FURTHER DE-LINKING FROM PULA DENOMINATED INCOME

Segmental Analysis – Portfolio well diversified;

Office 67%

Retail & Office 8%

Retail 17%

Industrial 8%

Office, 43%

Retail, 16% Industrial,

4%

Hospitality,

38%

Lease Expiry Profile Analysis – VERY LONG LEASE PROFILE

8%

12%

44%

3% 3%

30%

< 1 Year 2 Years 3 Years 4 Years 5 Years > 5 Years

2013,

5.29% 2014,

13.18%

2015,

5.33%

2016,

17.95%

2017+,

58.24%

The property market in Botswana as of today appears to be somewhat imbalanced as a result of the development market being driven by planning and regulatory practices of the country rather than major economic needs or factors (CBD concentration of projects)

The market distortion shows the country is gradually witnessing an oversupply of retail /

office developments which has taken up a large chunk of the fair market share (Stan Garrun; IPD South Africa) while there is more demand in the residential sector (both low and high end) which hasn’t received a commensurable response.

Low interests fundamental remain a major factor boosting property acquisitions.

Nonetheless, the Botswana property market still remains very attractive with constant growth being witnessed across all property development sectors thereby boosting investor’s confidence. (Stan Garrun; IPD South Africa).

The request for Industrial Spaces still remains strong within the main business hub of the

country (Gaborone) and its environments, this is a clear sign of overall confidence in the economy.

RDC PROPERTIES LIMITED

MARKET OVERVIEW

The CBD remains the most attractive property location – MASA the heart of its entertainment offering.

Lansmore Hotel, carving out its niche as as the best Business Hotel in town with its constantly increasing occupation rate and ability to provide high end services to ensure the guest are well relaxed during every visit – opening of the Absolute bar has been the highlight of SEPT 2013.

The retail gallery is perceived by their patrons as a place to get high quality services,

which is in turn boosting the popularity of the brands while attracting high number of footfall for the centre to relax in the well established restaurants in the piazza, Ribs & Rumps, Cappello and Sgotti’s.

We can’t help but mention the movie theatres (NCC) which is now showcasing blockbuster movies and attracting patrons of all age brackets while contributing to the growth of the centre.

The office spaces in Masa centre are constantly receiving requests for leases from reputable blue chip organisations of which most of them are currently under offer.

• As a group we are constantly employing varying means to ensure proper visibility

of our properties - such as; Direct marketing, Advertising etc.

• Masa Centre currently has an ongoing promotional calendar since February 2013

which encompasses various activities intended to draw foot traffic to the Centre

which has yielded good results as more activities are currently being hosted at the

Centre.

• The organisation has put in place strategic marketing efforts geared towards

promoting the heritage of Botswana and hosting of colorful events such as the

upcoming 47 years Independence Day celebration at Masa Centre which welcomes

all parents to come relax with their kids and household while enjoying the Centre.

• More information on www.masacentre.co.bw or Facebook

(www.facebook.com/pages/Masacentre) or Twitter (@masacentre)

• The School achieved the BEST Results of the SUB Region for 2012 PSLE;

• We celebrate the Best Performing Student every year;

• Assisted with planting of 70 fruit trees at the School:

Restructure successfully under way – shares issues on the 14th October.

The property being referred to as Plaza on Lots 4787 & 4788 was successfully sold during the organisation’s portfolio rationalization exercise (early 2013)

The acquisition of the Realestate Office Park on Lot 5624 was concluded on the 15th of March 2013 which is a great inclusion into RDCP portfolio.

The Tribal Lease on Lot 443 in Serowe was successfully renewed for a further 50 years period. This is the first renewal of its kind for RDCP and posed no major challenges.

Pinnacle Express leased 2 Nos of warehousing units located the at G/West Warehouses while Bank ABC leased space in Palapye at Lotsane Complex for a 7 Year Period

The Project attained Planning Approval in March 2013 while the Building Approval took

longer than anticipated and was only received at the beginning of July, 2013.

The Tender Documents are now completed and should be sent out to participating organisations.

The team of well seasoned consultants appointed to steer the project has immensely contributed to the facilitation of securing all relevant approvals by meeting all requirements of the issuing authorities.

THANK YOU