CIRCULAR TO SHAREHOLDERS · Definitions and interpretations 5 Circular to shareholders 10 1. Introduction and purpose of this Circular 10 2. The BBBEE partners 11 3. Salient features

THIS CIRCULAR IS IMPORTANT AND REQUIRES YOUR IMMEDIATE ATTENTION

The definitions and interpretations commencing on page 5 of this Circular apply throughout this Circular, including this front cover.

Action required

• ThisCircular is important and shouldbe read in its entirety,withparticular attention to the sectionentitled“ActionrequiredbyShareholders”,whichcommencesonpage2.

• Ifyouareinanydoubtastowhatactionyoushouldtake,pleaseconsultyourBroker,banker,attorney,CSDPorotherprofessionaladviserimmediately.

• IfyouhavedisposedofallyourAdcorpShares,thisCircularshouldbehandedtothepurchaserofsuchAdcorpSharesortotheBroker,CSDP,bankerorotheragentthroughwhomthedisposalwaseffected.

Adcorp does not accept responsibility, and will not be held liable, for any action of, or omission by, any CSDP or Broker including, without limitation, any failure on the part of the CSDP or Broker of any beneficial owner of Adcorp Shares to notify such beneficial owner of the details set out in this Circular.

Adcorp Holdings Limited(IncorporatedinSouthAfrica)

(Registrationnumber:1974/001804/06)Sharecode:ADRISIN:ZAE000000139

CIRCULAR TO SHAREHOLDERS

relatingto:

• theRepurchaseof16822849ASharesfromthe2007BBBEEPartnersandtheunwindingofthe2007BBBEE Transaction;

• theauthoritytoissue16822849BSharesintermsoftheProposedBBBEETransactiontotheBBBEEPartners on terms and conditions set out in this Circular;

• theamendmentoftheMOIofAdcorptoincludethetermsoftheBShares(whichwillbeunlisted);and• theapprovaloffinancialassistancegivenbyAdcorpintermsoftheProposedBBBEETransaction

andincorporating:

• anoticeoftheGeneralMeeting;and• aformofproxy(blue)inrespectoftheGeneralMeeting(forusebyCertificatedShareholdersand

“own-name”DematerialisedShareholdersonly).

Dateofissue:18April2013

Copies of this Circular, in English only, may be obtained at the Company’s registered office or at the offices of the Transfer Secretary, during normal business hours on Business Days from 18 April 2013 until 17 May 2013. The addresses of the Company and the Transfer Secretary are set out in the “Corporate Information and Advisers” section.

Reporting Accountants IndependentExpert TaxAdviserstoAdcorp

Investment Bank and Transaction Sponsor to Adcorp

Sponsor Attorneys

TABLE OF CONTENTS

Page

Corporate information 1

Action required by shareholders 2

Salient dates and times 4

Definitions and interpretations 5

Circular to shareholders 10

1. IntroductionandpurposeofthisCircular 10

2. TheBBBEEpartners 11

3. SalientfeaturesoftheAEBT2 12

4. Salienttermsoftheproposedtransaction 13

5. Relatedpartyimplications 16

6. Financialassistance 16

7. Unauditedpro formafinancialeffectsandtreatmentoftheproposedtransaction 17

8. Conditionsprecedent 18

9. BackgroundtoAdcorp 18

10. Prospects 19

11. DirectorsofAdcorp 19

12. Detailsoftheservicecontractsofthedirectors 24

13. Directors’interestsintheproposedtransaction 24

14. SharecapitalofAdcorp 24

15. Shareholderundertakings 25

16. Changeintradingobjects 25

17. Majorshareholders 25

18. Agreementsinrelationtotheproposedtransaction 25

19. Costsinrelationtotheproposedtransactionandthescheme 26

20. Materialchangesandlitigation 26

21. Materialcontracts 26

22. Consents 26

23. Opinionsandrecommendations 26

24. TRPimplications 26

25. Responsibilitystatement 26

26. Generalmeeting 27

27. Documentsavailableforinspection 27

AnnexureI – Price history of Adcorp shares on the JSE 28

AnnexureII – Pro forma financial effects 30

AnnexureIII – Reporting accountant’s report on the pro forma financial information 34

AnnexureIV–Independentexpert’sfairnessopinion 36

AnnexureV–Independentexpert’sreport 39

AnnexureVI – Terms of the B shares 42

Notice of general meeting 47

Formofproxy–generalmeeting(blue) 51

1

CORPORATE INFORMATION

Registered office

AdcorpHoldingsLimited(Registrationnumber1974/001804/06)AdcorpHeadOffice,NicolwayBryanstonCnrWilliamNicolandWedgewoodLinkBryanston,2021(POBox70635,Bryanston,2021)(Placeofincorporation:SouthAfrica)

Corporate adviser and transaction sponsor

InvestecCorporateFinance(AdivisionofInvestecBankLimited)(Registrationnumber1969/004763/06)2ndFloor,100GraystonDriveSandton,2196(POBox785700,Sandton,2146)

Company Secretary

PremiumCorporateConsultingServicesProprietaryLimited(Registrationnumber2003/009512/07)33KingfisherDriveFourwaysJohannesburg2188(POBox1078,JukskeiPark,2153)

Transfer Secretaries

LinkMarketServicesSouthAfricaProprietaryLimited(Registrationnumber2000/007239/07)13thFloorRennieHouse19AmeshoffStreetBraamfonteinJohannesburg,2001(POBox4844,Johannesburg,2000)

Sponsor

Deloitte&ToucheSponsorServicesProprietaryLimited(Registrationnumber1996/000034/07)Building6,TheWoodlands20WoodlandsDriveWoodmead,2146(PrivateBagX6,GalloManor,2052)

Attorneys to Adcorp

WebberWentzel10FrickerRoadIllovoBoulevardJohannesburg,2196(POBox61771,Marshalltown,2107)

TaxadvisertoAdcorp

DLACliffeDekkerHofmeyrInc.(Registrationnumber2008/018923/21)1ProteaPlaceSandownSandton,2196(PrivateBagX40Benmore,2010)

Reporting Accountants

Deloitte&Touche(Practicenumber902276)Building2,TheWoodlands20WoodlandsDriveWoodmead,2146(PrivateBagX6,GalloManor,2052)

Independentexpert

GrantThornton(Registrationnumber2002/022635/07)137DaisyStreetSandownSandton,2196(PrivateBagX28,Benmore,2010)

2

ACTION REQUIRED BY SHAREHOLDERS

Please take careful note of the following provisions regarding the action to be taken by Shareholders:

– IfyouareinanydoubtastowhatactionyoushouldtakearisingfromthisCircular,pleaseconsultyourCSDP,Broker,banker,attorney,accountantorotherprofessionaladviserimmediately.

– IfyouhavedisposedofallofyourAdcorpShares,pleaseforwardthisCirculartothepurchaserofsuchsharesortheCSDP,Broker,banker,attorneyorotheragentthroughwhomthedisposalwaseffected.

– TheGeneralMeetingconvenedintermsofthenoticetoShareholdersincorporatedinthisCircularwillbeheldatAdcorpHeadOffice,NicolwayBryanston,CnrWilliamNicolandWedgewoodLink,Bryanston,2021,JohannesburgonMonday,20May2013at10h00.AnoticeconveningtheGeneralMeetingisattachedtoandformspartofthisCircular.

If you have dematerialised your Adcorp Shares and have elected:

1. OWN-NAMEREGISTRATION:

1.1 Youareentitledtoattendinperson,orberepresentedbyproxy,attheGeneralMeeting.

1.2 IfyouareunabletoattendtheGeneralMeetingbutwishtoberepresentedthereat,youmustcompleteandreturn theattached formofproxy(blue) inaccordancewith the instructionscontainedtherein,tobereceivedbytheTransferSecretaries,LinkMarketServicesSouthAfricaProprietaryLimited,at13thFloor,RennieHouse,19AmeshoffStreet,Braamfontein,Johannesburg,2001,SouthAfrica(POBox4844,Johannesburg2000,SouthAfrica)bynolaterthan10h00onFriday,17May2013.

2. REGISTRATIONOTHERTHANOWN-NAMEREGISTRATION:

2.1 Ifyouwishtoattendorberepresentedat theGeneralMeeting,youmustadviseyourCSDPorBrokertimeouslythatyouwishtoattendorberepresentedattheGeneralMeeting,inthemannerstipulatedinthecustodyagreementgoverningtherelationshipbetweenyouandyourCSDPorBroker.TheseinstructionsmustbeprovidedtoyourCSDPorBrokerbythecut-offdateandtimeadvisedbyyourCSDPorBrokerforinstructionsofthisnature.YourCSDPorBrokerwillberequiredtoissuethenecessaryletterofrepresentationtoyoutoenableyoutoattendortoberepresentedattheGeneralMeeting.

2.2 IfyoudonotwishtoattendorberepresentedattheGeneralMeetingbutwishtovote,andyourCSDPorBrokerhasnotcontactedyou,youareadvisedtocontactyourCSDPorBrokerandprovidethemwithyourvotinginstructions,inthemannerstipulatedinthecustodyagreementgoverningtherelationshipbetweenyouandyourCSDPorBroker.TheseinstructionsmustbeprovidedtoyourCSDPorBrokerbythecut-offdateandtimeadvisedbyyourCSDPorBrokerforinstructionsofthisnature.IfyourCSDPorBrokerdoesnotobtaininstructionsfromyou,theywillbeobligedtoactintermsofyourmandatefurnishedtothem.

2.3 Youmustnotcompletetheattachedformofproxy(blue).

If you hold certificated Adcorp Shares:

3. CERTIFICATEDSHAREHOLDERS:

3.1 Youareentitledtoattendinperson,orberepresentedbyproxy,attheGeneralMeeting.

3.2 IfyouareunabletoattendtheGeneralMeetingbutwishtoberepresentedthereat,youmustcompleteandreturntheattachedformofproxy(blue), inaccordancewiththe instructionscontainedtherein,tobereceivedbytheTransferSecretaries,LinkMarketServicesSouthAfricaProprietaryLimited,at13thFloor,RennieHouse,19AmeshoffStreet,Braamfontein,Johannesburg,2001,SouthAfrica(POBox4844,Johannesburg2000,SouthAfrica)bynolaterthan10h00onFriday,17May2013.

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General:

1. DEMATERIALISATION

IfyouwishtodematerialiseyourAdcorpShares,pleasecontactyourBroker.

2. ELECTRONICPARTICIPATION

Shareholdersortheirproxiesmayparticipatein(butnotvoteat)theGeneralMeetingbywayofa teleconferencecall. If youwish todo so, youmust contactAdcorp’s company secretary andidentifyyourself to thesatisfactionof thecompanysecretary toobtain thedialingcodeandpinnumber.Shareholdersparticipatinginthismannerwillstillhavetoappointaproxytovoteontheirbehalf at the General Meeting. Access by means of electronic communication will be at theexpenseoftheShareholder.

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SALIENT DATES AND TIMES

Recorddatetoreceivecircularandnoticeofgeneralmeeting Friday,12April2013

Circularandnoticeofgeneralmeetingpostedtoshareholderson Thursday,18April2013

Lastdaytotrade inAdcorpshares inordertoberecordedinAdcorp’ssecuritiesregistertoparticipateinandvoteattheGeneralMeeting Friday,3May2013

Record date to be entitled to attend, participate in and vote at theGeneralMeetingbycloseoftradingon Friday,10May2013

ProxyformsfortheGeneralMeetingtobereceivedby10h00on Friday,17May2013

GeneralMeetingheldat10h00on Monday,20May2013

ResultsoftheGeneralMeetingreleasedonSENSon Monday,20May2013

ResultsoftheGeneralMeetingpublishedintheSouthAfricanpresson Tuesday,21May2013

Notes:

(a) AlldatesandtimesmaybechangedbyAdcorpand/ormaybesubjecttotheobtainingofcertainregulatoryapprovals.AnychangewillbepublishedonSENSandintheSouthAfricanpress.

(b) Shareholders should note that as transactions inAdcorp Shares are settled in the electronic settlement system used byStrate,settlementoftradestakesplacefiveBusinessDaysaftersuchtrade.Therefore,ShareholderswhoacquiresharesafterFriday,3May2013willnotbeeligibletoparticipateinandvoteattheGeneralMeeting.

(c) AlltimesgiveninthisCirculararelocaltimesinSouthAfrica.

(d) IftheGeneralMeetingisadjournedorpostponed,formsofproxysubmittedfortheinitialGeneralMeetingwillremainvalidinrespectofanyadjournmentorpostponementoftheGeneralMeeting.

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DEFINITIONS AND INTERPRETATIONS

In thisCircularand itsannexures,unlessotherwisestatedor thecontext indicatesotherwise, thewordsandexpressionsinthefirstcolumnshallhavethemeaningsstatedoppositetheminthesecondcolumn,andwordsandexpressionsinthesingularshallincludethepluralandvice versa,wordsimportingnaturalpersonsshallincludejuristicpersonsandunincorporatedassociationsofpersonsandvice versa,andanyreferencetoonegendershallincludetheothergender.

“2007BBBEEPartners” eachofBeeCo1,SimekaSPVandIncentiveCo;

“2007BBBEETransaction” Adcorp’sBBBEEtransactionenteredintobetweenAdcorpandits2007BBBEEPartners in2007 in termsofwhich theAShareswereallottedandissuedtothe2007BBBEEPartners;

“AShares” unlistedAordinarysharesintheauthorisedsharecapitalofAdcorp;

“Adcorp”or“theCompany” Adcorp Holdings Limited (registration number 1974/001804/06), apublic company incorporated according to the company laws ofSouthAfrica,theAdcorpSharesbeinglistedontheJSE;

“AdcorpShares” Adcorpordinaryshareswithaparvalueof2,5centseach;

“AEBT” the Adcorp Employee Benefit Trust, a trust with Master’s referencenumber IT 176/2008, formed for the benefit of existing and futureemployeesofAdcorpforthepurposeofsubscribingfortheentireissuedsharecapitalofIncentiveCoaspartofthe2007BBBEETransaction;

“AEBT2” theAdcorpEmployeeBenefitTrust2,a trust in theprocessofbeingformed for the benefit of existing and future employees ofAdcorpforthepurposeofsubscribingfor6729140BSharesintermsoftheProposedBBBEETransaction;

“BShares” 16822849BsharestobecreatedintheauthorisedsharecapitalofAdcorp;

“BTrickleDividend” therightoftheholdersoftheBSharestoparticipateinDistributionswhichconstituteDividendscalculatedinaccordancewiththeBTrickleDividendFormulasetoutinparagraph4.5;

“BBBEE” broad-basedBEEascontemplatedintheBEELegislation;

“BBBEEPartners” eachofAEBT2,SimekaSPVandWIPSPV;

“BEE” blackeconomicempowermentascontemplatedintheBEELegislation;

“BEEAct” theBroad-BasedBlackEconomicEmpowermentActNo53of2003asattheSignatureDate;

“BEECodes” thecodesofgoodpractice,published in termsof section 9of theBBBEEActasattheSignatureDate;

“BEELegislation” theBEEActandtheBEECodesasatSignatureDate;

“BeeCo1” WIP Human Capital Proprietary Limited, registration number2006/014922/07,aprivatecompany incorporatedaccordingtothecompanylawsofSouthAfrica;

“Black”or“BlackPeople” in relation to a person, has themeaning contemplated in the BEELegislation;

“BlackEmployees” employeesofAdcorpanditsassociatedcompanieswhoareBlack;

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“BlackOwnedCompany” acompany,themajorityoftheissuedsharecapitalofwhichisdirectlyorindirectlyownedbyBlackPeople,orbytrustsofwhichthemajorityofthebeneficiariesareBlackPeople;

“BlackWomen” femaleBlackPeopleascontemplatedintheBEELegislation;

“Board” theboardofdirectorsofAdcorp,assetoutonpage10ofthisCircular;

“Broker” any person registered as a brokingmember (equities) in terms ofthe rulesof theJSEmade inaccordancewith theprovisionsof theSecuritiesServicesAct;

“BusinessDay” anydayother thanaSaturday, Sundayorofficialpublicholiday inSouthAfrica;

“CertificatedShareholders” allregisteredholdersofCertificatedShares;

“CertificatedShares” Adcorp Shares, A Shares and B Shares represented by sharecertificates or other written instruments, which have not beensurrenderedfordematerialisationintermsoftherequirementsofStrate;

“Circular” thisbounddocument,dated18April2013, includingtheannexureshereto,thenoticeoftheGeneralMeetingandtheformofproxy(blue)inrespectoftheGeneralMeeting;

“CNTA” theNTAasattheTriggerDate,whichisequaltothedifferencebetweenthe 90 dayVWAP ofAdcorp (in Rands) on the day preceding theSubscriptionDatemultipliedbythenumberofBShares,andthecashamountpaidby thesubscribers for theBShares,adjustedannually(ateachfinancialyearendofAdcorp)asfollows:

– theNTAshallbeescalatedbyanotionalescalationfactorequaltoCPIplus3%compoundedannually;and

– the NTA will be reduced annually by an amount equal to anyDistribution declared and/or paid by Adcorp in respect of theAdcorpSharesgenerallywhichwould,butforthesuspensionoftherightsassociatedwiththeBSharesassetoutintheseterms,havebeenduetotheholdersoftheBShares(includinganyDistributionwhich constitutes neither a Dividend or a Return of Capital), inaccordancewiththeformulainparagraph4.5ofthisCircular;

“CompaniesAct” theCompaniesActNo71of2008,asamendedorvariedfromtimetotime;

“ConditionsPrecedent” theconditionsprecedenttotheProposedTransactioncontemplatedinparagraph8ofthisCircular;

“CPI” theheadlineconsumerpriceindexforallurbanareas,withtheindexbasebeing100(onehundred)forDecember2012,aspublishedbyStatisticsSouthAfricaorsuchotherbodyuponwhomresponsibilityforthedeterminationandpublicationoftheCPImaydevolvefromtimetotimeinrespectofanyrelevantdateorperiod;

“CSDP” apersonthatholdsincustodyandadministerssecuritiesoraninterestin securities and that has been accepted by a central securitiesdepository as a participant in terms of section 34 of the SecuritiesServicesAct;

“DematerialisedShareholders” allregisteredholdersofDematerialisedShares;

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“DematerialisedShares” Adcorp Shares that have been dematerialised through a CSDP orBrokerandarerecordedinanuncertificatedsecuritiesregisterformingpartofAdcorp’ssecuritiesregister;

“DEPS” dilutedearningspershare;

“DHEPS” dilutedheadlineearningspershare;

“Distribution” adistributionasdefinedintheCompaniesAct;

“Dividend” adividendascontemplatedintheIncomeTaxAct;

“EffectiveDate” thelaterofthedateoffulfilmentoftheConditionsPrecedentandtheRepurchaseDate;

“EPS” earningspershare;

“FormofProxy” theformofproxy(blue)forCertificatedShareholdersand“ownname”DematerialisedShareholdersasattachedtoandformingpartofthiscircular;

“GeneralMeeting” the meeting of Shareholders to be held at the offices of Adcorp,NicolwayBryanston,CnrWilliamNicolandWedgewoodLink,Bryanston,2021,Johannesburgat10h00onMonday,20May2013;

“HEPS” headlineearningspershare;

“IncentiveCo” Moody Blue Trade and Invest 93 Proprietary Limited, registrationnumber2006/015071/07,aprivatecompanyincorporatedaccordingtothecompanylawsofSouthAfrica,theentireissuedsharecapitalofwhichisownedbytheAEBT;

“IncomeTaxAct” the Income Tax Act 58 of 1962, as amended or varied from timetotime;

“Investec” the Corporate Finance division of Investec Bank Limited (registrationnumber 1969/004763/06),apubliccompany incorporatedaccordingtothecompanylawsofSouthAfrica;

“JSE” JSELimited(registrationnumber2005/022939/06),apubliccompanyincorporated according to the company laws of SouthAfrica andlicensedasanexchangeundertheSecuritiesServicesAct;

“LastPracticableDate” 11April2013beingthelastpracticabledatepriortothefinalisationofthisCircular;

“ListingsRequirements” theListingsRequirementsoftheJSE;

“Master” theMasteroftheHighCourtofSouthAfrica;

“MOI” theMemorandumofIncorporationofAdcorp;

“NAVPS” netassetvaluepershare;

“NEPS” normalisedearningspershare;

“NTA” the notional threshold amount, being the 90 dayVWAP ofAdcorpSharesuptothelastBusinessDaybeforetheissueoftheBSharesintermsoftheProposedBBBEETransaction,less2,5centsandmultipliedbythenumberofBShares,being16822849;

“NTAVPS” nettangibleassetvaluepershare;

“Own-nameRegistration” DematerialisedShareholderswhohaveinstructedtheirCSDPtoholdtheirAdcorpSharesintheirownnameontheuncertificatedsecuritiesregistersofAdcorp;

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“ProposedBBBEETransaction” theproposedBBBEE transaction tobeentered intobyAdcorpandeach of the BBBEE Partners in terms of which the B Shares will beissuedtotheBBBEEPartnersonthetermssetoutinthisCircular(readtogetherwith theSubscriptionAgreements) inorder toaddress theBBBEErequirementsofAdcorpanditsassociatedcompanies;

“ProposedTransaction” collectivelytheRepurchaseandtheProposedBBBEETransaction;

“R”or“Rand” SouthAfricanRand,theofficialcurrencyofSouthAfrica;

“ReportingAccountants” Deloitte&ToucheRegisteredAuditors;

“Repurchase” theunwindingofthe2007BBBEETransactionandtherepurchaseandcancellationbyAdcorpoftheRepurchaseShares;

“RepurchaseAgreement” the repurchase agreement entered into betweenAdcorp and the2007 BBBEE Partners in terms of which Adcorp Repurchases theRepurchaseSharesat2,5centsperRepurchaseShare;

“RepurchaseDate” thedateonwhichtheRepurchaseSharesareRepurchasedintermsoftheRepurchaseAgreement.ItistheintentionthattheRepurchaseDatewillbethesameastheSubscriptionDate;

“RepurchaseShares” 16822849AShares,constituting100%oftheissuedAShares;

“ReturnofCapital” a returnof contributed taxcapitalascontemplated in the IncomeTaxAct;

“SecuritiesServicesAct” theSecuritiesServicesActNo36of2004,asamendedorvariedfromtimetotime;

“SENS” the Stock Exchange News Service, the news service operated bytheJSE;

“Shareholders” allCertificatedShareholdersandDematerialisedShareholders;

“SignatureDate” thedateof lastsignatureof theTransactionAgreementssettingoutthetermsandconditionsoftheProposedTransaction;

“Simeka” Simeka Group Proprietary Limited (registration number2006/013330/07),aprivatecompanyincorporatedaccordingtothecompanylawsofSouthAfrica;

“SimekaSPV” ThornbirdTradeandInvest33ProprietaryLimited,registrationnumber2007/005509/07,aprivatecompany incorporatedaccordingtothecompanylawsofSouthAfrica;

“SouthAfrica” theRepublicofSouthAfrica;

“SpecificIssue” theproposed issueof16822849B shares to theBBBEEPartnersat2,5centsperBShare;

“Strate” Strate Limited (registration number 1998/022242/06), a publiccompany incorporated according to the company laws of SouthAfrica,whichisaregisteredcentralsecuritiesdepositoryandwhichisresponsiblefortheelectronicsettlementsystemusedbytheJSE;

“SubscriptionDate” beingtheexpecteddatetheBsharesaretobeissuedwhichissubjecttothefulfilmentoftheConditionsPrecedent.ItistheintentionthattheSubscriptionDatewillbethesameastheRepurchaseDate;

9

“SubscriptionAgreements” thesubscriptionagreementsenteredintobetween:

– AdcorpandWIPSPVsignedon15April2013andeffectiveontheEffectiveDateasdefinedabove;

– AdcorpandSimekaSPVsignedon15April2013andeffectiveontheEffectiveDateasdefinedabove;and

– AdcorpandAEBT2tobesignedassoonastheMasterhasissuedlettersofauthorityandeffectiveon theEffectiveDateasdefinedabove;

pursuanttotheProposedBBBEETransaction;

“TransactionAgreements” the Repurchase Agreement, the trust deed of AEBT 2 and theSubscriptionAgreements;

“TransferSecretaries” Link Market Services South Africa Proprietary Limited (registrationnumber2000/007239/07),aprivatecompanyincorporatedaccordingtothecompanylawsofSouthAfrica;

“TriggerDate” adatewhichistheearlierof:

1. the10thanniversaryoftheSubscriptionDate;and

2. thedateonwhichtheNTAamountbecomeszero;

“TRP” theTakeoverRegulationPanel,establishedintermsofsection196oftheCompaniesAct;

“Units” vestedrightsinAEBT2;

“VWAP” volumeweightedaverageprice;

“WIPHOLD” Women Investments Portfolio Holdings Limited, (registration number1996/001291/06)apubliccompany incorporatedaccordingtothecompanylawsofSouthAfrica;and

“WIPSPV” WIPHOLD Financial Services Number Two Proprietary Limited,registration number 2005/006441/07, a private companyincorporatedaccordingtothecompanylawsofSouthAfrica.

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CIRCULAR TO SHAREHOLDERS

DIRECTORS:

ExecutiveRichardLindenPike(Chief Executive Officer)AnthonyMarkSher(Chief Financial Officer)CampbellBomelaPetrusCorneliusSwart

Non-executiveMfundisoJohnsonNtabankuluNjeke(Chairman)*MncaneEsauMthunzi*MuthanyiRobinsonRamaiteTimothyDacreAirdRoss*GugulethuPatriciaDingaanNontobekoSanelisiweNdhlaziSindisiweNombenhleMabaso-Koyana*CecilMaswanganyi**LouisaMadiakoMojela**

* Independent** Alternate non-executive directors



1. INTRODUCTIONANDPURPOSEOFTHISCIRCULAR

Adcorprecognisestheimportanceofpositivetransformationasakeyelementofthefutureprosperityof,notonlythecountry,butalsotheCompany.BBBEEisabusinessimperativeandakeycompetitiveadvantageforAdcorp,andasaresultofitsleadershipinthissphereAdcorphasbeenrecognised,inter alia,as:

• SouthAfrica’smostempoweredcompanyin2008and2009intheFinancialMail’sMostEmpoweredCompaniesSurvey;

• themostempoweredcompany in theservicessector in2004–2007and2010 in theFinancialMail’sMostEmpoweredCompaniesSurvey;and

• SouthAfrica’sthirdmostempoweredcompanyintheMail&Guardiansupplement:“SouthAfrica’s10MostEmpoweredCompanies”publishedon15March2013.

Adcorpimplementedits2007BBBEETransactioninApril2007priortotheglobalfinancialcrisis,andthegrowthassumptionsandothervariableswhichwereappliedhavesubsequentlyturnedouttobeinappropriateforthepostglobalfinancialcrisisenvironment.Asaresultthe2007BBBEETransactionisunlikelytomaterialiseanyvaluetoAdcorp’sstrategic2007BBBEEPartnersby2017whichistheenddateofthe2007BBBEETransaction.

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In order tomaintainAdcorp’s excellent BBBEE rating and its status as one of SouthAfrica’smostempoweredcompanies,AdcorpisproposingtheintroductionofanewtenyearBBBEEtransactionandtheunwindingofits2007BBBEETransaction.ThetotalvalueoftheProposedTransaction,basedonthemarketcapitalisationofAdcorponthecloseofbusinessonFriday,22March2013isapproximatelyR522millionwithGrantThorntoncalculatingthetotalIFRS2costasR93,1millionasat22March2013.

IntermsoftheProposedTransaction,Adcorpwill:

• unwindthe2007BBBEETransactionbyrepurchasingthe16822849ASharesattheoriginalissueprice,being2,5centseach;

• issue16822849unlistedBSharesat2,5centseachtotheBBBEEPartnersinthefollowingproportions:

− 40% to theAEBT 2 which is a share incentive trust to be established for the benefit of theemployeesofAdcorp;

− 35%toWIPSPV;and

− 25%toSimekaSPV.

ThepurposeofthisCircularistoprovideShareholderswithrelevantinformationregardingtheProposedTransactionandto:

• obtain theauthority required for thespecificRepurchaseof theRepurchaseSharesandfor thecreationand theSpecific Issuesof B Shares forcashasdetailed inparagraph4belowof thisCirculartoimplementtheProposedTransaction;and

• conveneaGeneralMeetingofShareholders, intermsofthenoticeofGeneralMeetingformingpartofthisCircular,atwhichmeetingthespecialandordinaryresolutionsrequiredtoapproveandimplementtheRepurchaseandtheProposedBBBEETransactionwillbeconsideredand,ifdeemedfit,passed,withorwithoutmodifications.

2. THEBBBEEPARTNERS

WIPHOLDandSimekahavealreadymadeanimportantcontributiontoAdcorpsincetheirintroductionas shareholders in 2007 through theirparticipationon theBoard,bypromoting thebusinessandhelpingAdcorpidentifyopportunitiestowinnewclients.Inaddition,AEBT2willprovideAdcorpwithanimportantmechanismtoincentiviseemployeesandtorewardthembasedontheperformanceof the company.AEBT 2,WIPHOLD and Simeka also offer an important balance between broad-basedandstrategicblackempowermentpartners.

AnoverviewofAdcorp’sBBBEEPartnersissetoutbelow:

I. AEBT 2

AEBT2isatrustintheprocessofbeingformedforthebenefitofpeopleinthepermanentemployofAdcorpanditsassociatedentities.Themajorityofthetrust’sUnitswillbeallocatedtobeneficiarieswhoare Black Employees.Adcorpemployeeswill beallocatedUnitsbasedonamongst otherthings, seniorityand lengthof servicewith the intentionofattractingand retainingexceptionalcandidatesintothegroup.ThevalueisvesteddirectlyintothehandsofemployeesattheendoftheProposedBBBEETransaction.

AdcorpwillbeentitledtoappointtwotrusteesandtheAdcorpemployeeswillbeentitledtoappointthreetrusteesofAEBT2.

ThetrustdeedhasbeenfinalisedandhasbeensubmittedtotheMasterinorderfortheMastertoissuelettersofauthorityforAEBT2.TherewillbenochangestothetrustdeedfromthedateoftheCirculartothedateoftheGeneralMeeting.

II. WIPHOLD

WIPHOLD, is an investment and operating company owned and managed by black women.WIPHOLDwasestablished19yearsagoasacompanydedicatedtotheempowermentofwomen.

WIPHOLD’sbusinessisprimarilyfocusedonfinancialservices,infrastructure,miningandstrategicvalueinvestmentswhoseinvestmentportfoliohasgrownsignificantlyfromtheinitialR500000seedcapitalinvestedbyitspioneeringblackwomenfounders.

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WIPHOLD is more than 50% black women owned and has a permanent broad-basedshareholding that includes1200directand18000 indirectbeneficiaries through theWIPHOLDInvestmentTrust,andover200000indirectbeneficiariesthroughtheWIPHOLDNGOTrust.Overtheyears,thecompanyhaspioneeredaninnovativebusinessmodelwhichintegratesdevelopmentand empowerment into robust business operations. WIP SPV is a wholly owned subsidiary ofWIPHOLDandistheentitywhichwillholdWIPHOLD’sBShares.

III. Simeka

SimekahashadalongassociationwithAdcorpthatdatesbackto1996andisanactiveinvestmentholdingcompanywhichmobilisescapitalandskillstoinvestinhighgrowthareastocreatewinningpartnershipswithmanagementteams.

SimekahasinvestmentsincallcentreoperationsthroughVergeManagementServices,businessprocessoutsourcingthroughEuropAssistanceandprofessionalservicesthroughGobodoForensicand InvestigativeAccounting.Simekahasalsoexpanded intootherareas in theSouthAfricaneconomy includingproperty throughapartnershipwithSanlamPropertiesandhas invested infinancialservicesthrougha25%interestinFintech.

MuthanyiRobinsonRamaiteisthechairmanandmajorityshareholderofSimekawho,alongwithCecilMaswanganyiandGlendaWhitemakeup theboardofdirectors. Simeka’s shareholdingincludesanEducationTrustandaStaffTrustforthebenefitofemployees.SimekaSPVisawhollyownedsubsidiaryofSimekaandistheentitywhichwillholdSimeka’sBShares.

3. SALIENTFEATURESOFTHEAEBT2

3.1 ObjectsoftheTrust

ThemainobjectsofAEBT2areto:

• subscribefor6729140BSharesintermsoftheProposedBBBEETransactionandholdsuchsharesforthebenefitofthebeneficiariesoftheAEBT2;

• recognise,rewardandretainemployeeswhilstattractingexceptionaltalent;

• achieveandretaincompliancewiththeBEECodes;

• assistAdcorpintheachievementofitstransformationandBBBEEobjectives;

• enable thebeneficiaries to share in thecapital growthofAdcorpbyawardingUnits tothem;and

• reward beneficiaries on achieving and increasing the profitability of Adcorp and itsassociatedcompanies.

3.2 Beneficiariesandparticipationrights

Thebeneficiariesof theAEBT2willbeemployeesofAdcorpand itsassociatedcompaniesexcludingemployeeswhoparticipateinanyotherAdcorpshareincentivescheme(althoughAEBTbeneficiariesmayparticipate).Thebeneficiarieswilloccupytheoccupationallevelsof:

• skilled,technicalandacademicallyqualifiedworker;

• middleorjuniormanagement;

• supervisor;and

• semi-skilledandunskilled.

Toensurecompliancewith theBEECodes,not less than50,1%ofallUnitsallocated,willbeallocatedtobeneficiarieswhowillbeBlackEmployeesandnot less than35,5%of theUnitsallocated,willbeallocatedtobeneficiarieswhowillbeBlackWomen.ThetrusteesshallhavenodiscretionastotheallocationofsuchUnitsentitlingthebeneficiariestoshareintheeconomicinterestsflowingfromtheAEBT2,whichwillbedeterminedfromtimetotimebytheBoard.

TheUnits allocated tobeneficiarieswill entitle them toobtain vested rights toanumberofAdcorpSharesontheTriggerDateproportionatetothenumberofUnitsrightsheldbyeachbeneficiary.ThedividendswillbeusedtorepaytheAdcorploaninrespectofthesubscriptionpriceandthereafterwillbeusedtobenefitthebeneficiariesintermsoftheschemerules.

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3.3 Trustees

AEBT 2 will have five trustees in total. Adcorp will be entitled to appoint two trustees andtheAdcorpemployeeswillbeentitledtoappointthreetrusteesofAEBT2.TheinitialtrusteesofAEBT2willbeThendoRatshitangaandJeanMargaretHubnerwhoarenomineesofAdcorp.Once, the trust deed has been approved by theMaster,Adcorp employees undertake toappointtheremainingthreetrusteeswithin180days(perthetrustdeed)fromdateofapprovalsuchthattheywillberepresentedatfuturegeneralmeetings.

3.4 MeetingsandVotingRights

Eachbeneficiarywillbeentitledtoexerciseonevoteatmeetingsofbeneficiaries,whichwillbeheldannually.

4. SALIENTTERMSOFTHEPROPOSEDTRANSACTION

4.1 TheunwindingofAdcorp’s2007BBBEETransaction

Adcorp’s 2007 BBBEE Transaction will be unwound and the 16 822 849 A Shares will berepurchased from the 2007 BBBEE Partnersat theoriginal subscriptionprice that theywereissued,being2,5centsperAShare.

4.2 ImplementationoftheProposedBBBEETransaction

Adcorpwillissue16822849BSharestoitsBBBEEPartnersat2,5centspershare.ThedifferencebetweentheVWAPofAdcorpSharesandthesubscriptionpriceof2,5centsisdeemedtobetheNTAusedasahurdletodeterminethenetBEEequityvalueattheendofthetenyeartermoftheProposedBBBEETransaction.

The NTA will be escalated annually by a notional escalation factor equal to CPI plus 3%,compoundedannually.

TheNTAwillbereducedannuallybyanamountequaltoanyDistribution(whichconstitutesa Dividend) declared and/or paid by Adcorp in respect of the Adcorp Shares generallywhichwould,but for thesuspensionof the rightsassociatedwith theBSharesassetout intheseterms,havebeenduetotheholdersoftheBShares(includinganyDistributionwhichconstitutesneitheraDividendoraReturnofCapital),inaccordancewiththeformulaillustratedinparagraph4.5.

UntiltheTriggerDate,theBSharesshallconferontheholderthereofarighttoaBTrickleDividendcalculatedinaccordancewiththeformulaillustratedinparagraph4.5.

At theTriggerDate the suspensionof the rightsof theholdersof B Shares toparticipate inDistributionswhichconstituteDividendsorDistributionswhichconstituteneitheraDividendnoraReturnofCapitalshalllapse,andtheBSharesshallthereafterrankpari passuinallrespectswiththeAdcorpShares.

Adcorpshall,subjecttocompliancewithsection46oftheCompaniesActandprovidedthatAdcorpandtheholder/softheBSharesdonotagreeotherwiseinwritingpriortotheTriggerDate,redeemsuchnumberoftheBSharesasiscalculatedinaccordancewiththeformulaillustrated inparagraph4.5.The remainingbalanceof theB shares shallbeconverted intoAdcorpSharesand(providedAdcorpisstilla listedcompany),subjecttothereceiptofthenecessaryapprovals,willbelistedontheJSE.

4.3 Votingrights

TheregisteredholdersoftheBSharesshallbeentitledto:

• receivenoticeofeveryannualgeneralmeetingorothergeneralmeetingofthemembersofAdcorp;and

• voteatanyannualgeneralmeetingorgeneralmeeting,orascontemplatedinsection60oftheCompaniesAct,inpersonorbyproxy,onanymattertobedecidedbytheShareholdersandtoonevoteinrespectofeachBShareheld.

The B Shares will constitute approximately 15,49% of Adcorp’s voting rights following theimplementationoftheProposedBBBEETransaction.

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WhereShareholdersare required tovote in termsof the ListingsRequirements theJSEdoesnotordinarilyallowunlistedsecuritiestobetakenintoaccountindeterminingaquorumorindeterminingifanyresolutionhasbeenapproved.IntheinterestsoftheBEELegislation,theJSEhasdeterminedthattheBSharescanbetakenintoaccountindeterminingaquorumandfortheapprovalofanyresolution,subjecttotheprovisothattherightsattachingtotheBSharesmaynotbeamendedinanymaterialrespectwithoutthepriorapprovaloftheJSEandwillnotbecountedforcategorisationpurposesintermsofsection9oftheListingsRequirements.

4.4 NominationtotheAdcorpBoard

WIPSPVwillbeentitledtonominatetwodirectorsforappointmenttotheBoardandSimekaSPVwillbeentitledtonominateonedirectorforappointmenttotheBoard.

4.5 SummarisedtermsoftheunlistedBShares

ThefollowingtermsshallapplytotheBShares:

• TheBShares shall rankpari passu inall respectswith theAdcorpShares, save that therighttoreceiveDistributionswhichconstituteDividends,issuspendeduntiltheTriggerDate.TherightoftheholdersoftheBSharestoparticipateinaDistributionwhichconstitutesaReturnofCapitalisnotlimited.IfaDistributionconstitutesneitheraDividendnoraReturnofCapitalthentherightoftheholdersoftheBSharestoparticipateinthatDistributionshallbesuspendeduntiltheTriggerDate;

• UntiltheTriggerDate,theBSharesshallconferontheholderthereofarighttoaBTrickleDividend calculated in accordance with the following formula (“the BTrickle DividendFormula”):

A=[(DxB)xH]/a

Where:

A= theBTrickleDividendperBShare(expressedinRand);

D= theamountofthetotalDividendsdeclaredbytheBoardintherelevantfinancialyear,expressedinRand,butexcluding,fortheavoidanceofdoubt,anyBTrickleDividendandanyconsiderationfortheacquisitionbyAdcorpofanyAdcorpShare;

B= theshareholdingrepresentedbythetotalnumberofBSharesinissue,expressedasapercentageofthetotalissuedsharecapitalofAdcorp(limitedtoAdcorpSharesandBShares),itbeingrecordedthat,attheSubscriptionDate,Bwillbe15,49%;

H= thehurdlerateofearningsforthepaymentofBTrickleDividends,whichisdeterminedwithreferencetothegrowthinNEPS,expressedasapercentage(“G”),fortherelevantfinancialyear,aspublishedinthenationalpress,asfollows:

G–CPI≤3%:H=0;

3%<G–CPI<8%:H=15%;

G–CPI≥8%:H=20%;

a= ThenumberofBSharesinissue;

• OntheTriggerDate:

– thesuspensionoftherightsoftheholdersofBSharestoparticipateinDistributionswhichconstituteDividendsorDistributionswhichconstituteneitheraDividendnoraReturnofCapitalshalllapse,andtheBSharesshallthereafterrank pari passuinallrespectswiththeAdcorpShares;and

– Adcorp shall, subject to compliance with section 46 of the CompaniesAct andprovidedthatAdcorpandtheholder/sof theBSharesdonotagreeotherwise inwritingpriortotheTriggerDate,redeemsuchnumberoftheBSharesasiscalculatedinaccordancewiththefollowingformula:

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O=TB–[(BxM)–CNTA]/P

Where:

O= thenumberBShares,whicharetoberedeemedbyAdcorproundeddowntothenearestwholenumber;

TB= thetotalnumberofBSharesinissue,itbeingrecordedthat,attheSubscriptionDate,TBis16822849;

B= the shareholding represented by the total number of B Shares in issue,expressedasapercentageofthetotalissuedsharecapitalofAdcorp(limitedtoAdcorpSharesandBShares),itbeingrecordedthat,attheSubscriptionDate,Bis15,49%;

M= themarketvalueofAdcorpontheTriggerDate,beingthe90-dayVWAPofAdcorpmultipliedbythetotalnumberofAdcorpSharesinissue;

CNTA=NTAasattheTriggerDate,whichisequaltothedifferencebetweenthe90-dayVWAPoftheAdcorpShares(inRands)onthedayprecedingtheSubscriptionDatemultipliedbythenumberofBShares,andthecashamountpaidbythesubscribersfortheBShares,adjustedannually(ateachfinancialyearendofAdcorp)asfollows:

• TheNTAshallbeescalatedbyanotionalescalationfactorequaltoCPIplus3%,compoundedannually;

• TheNTAwillbereducedannuallybyanamountequaltoanyDistribution(whichconstitutesaDividend)declaredand/orpaidbyAdcorpinrespectof theAdcorpSharesgenerallywhichwould,but for thesuspensionofthe rightsassociatedwith theBSharesassetout in these terms,havebeenduetotheholdersoftheBShares(includinganyDistributionwhichconstitutesneitheraDividendoraReturnofCapital),inaccordancewiththefollowingformula:

Q=(Div–Z)xa

Where:

Q= theamountbywhichNTAisreducedannually;

Div= an amount equal to any Distribution (other than a Distributionwhich constitutes a Return of Capital) declared and/or paidbyAdcorp annually in respect of theAdcorp Shares generallyonaper sharebasis (expressed in Rand)whichwould, but forthesuspensionof the rightsassociatedwith theBSharesassetoutintheseterms,havebeenduetotheholdersoftheBShares(including, for the avoidance of doubt, any Distribution whichconstitutesneitheraDividendnoraReturnofCapital).Anycashpayments toholdersofAdcorpShares in lieuofacapitalisationshare(ascontemplatedinsection47oftheCompaniesAct)shallbeincludedforcalculationpurposesbutanyconsiderationfortheacquisitionofAdcorpSharesshallbeexcludedfromthisamount;

Z= anyBTrickleDividenddeclaredandpaidannuallytoholdersofBSharesonaperBSharebasis(expressedinRand);

a= thenumberofBSharesinissue;

P= the90-dayVWAPofAdcorpSharesprecedingtheTriggerDate;

ThetermsoftheBSharesmaynotbemodifiedwithouttheapprovaloftheholdersofatleastthree-quartersoftheBSharesintermsofaspecialresolution.Incertaincircumstances,morefullysetoutinAnnexureVIcontainingthetermsoftheBShares,theBSharesmayberedeemedbeforetheTriggerDate.

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4.6 RestraintonBBBEEparties

SimekaSPVandWIPSPVundertakeandwarrantthat:

• untiltheexpiryofaperiodof2yearsaftertheTriggerDate,neitherWIPHOLD,Simeka,WIPSPVnorSimekaSPVshall,withoutthepriorwrittenconsentoftheBoard,eitheraloneorjointlyortogetherwithorasagentforanyoneelse:

– be engaged, interested or concerned, whether financially or in any other way, andwhetherdirectlyorindirectly,inanybusinessactivitieswhichcompetedirectlywiththecorebusinessactivitiesofAdcorpasat theSignatureDate, itbeingrecordedthat,atSignatureDateWIPHOLDandSimekahavedisclosedtheirinterestsininvestmentswhichshallnotbedeemedtobeabreachofthisparagraph;

– assumeanyleadershiprolein,ortoanymaterialextentlendtheirinfluencetoanysuchbusiness;or

– directlyorindirectlyfinanceanysuchbusiness,apartfrombeingapassiveshareholderinacompanylistedontheJSEofnotmorethan5%;

• theissuedsharecapitalofWIPHOLDshalleffectivelybeheldbyBlackPeopleastomorethan51%and,of thoseBlackPeople,byBlackWomenas tomore than25%.86%of theissuedsharecapitalofSimekashalleffectivelybeheldbyBlackPeople;

• AEBT 2 shall procure thatat least 50,1%ofall Units (ascontemplated in the trustdeedin termsofwhichAEBT2 isestablished)allocated, shallbeallocated tobeneficiariesofAEBT2whoareBlackPeopleandatleast35,5%ofallUnitsallocated,shallbeallocatedtobeneficiariesofAEBT2whoareBlackWomen;

• untiltheTriggerDate,WIPSPVandSimekaSPVshallbe:

– awhollyownedsubsidiaryofWIPHOLDandSimekarespectively;and

– atleast51%ownedbyBlackPeopleandatleast25%ownedbyBlackWomeninregardstoWIPHOLDandatleast86%ownedbyBlackPeoplewithregardstoSimeka.

5. RELATED PARTY IMPLICATIONS

5.1 IntermsoftheListingsRequirements,wherealistedcompanyentersintoatransactionwitharelatedparty,asdefined,certain requirementsare required tobe fulfilledbeforecompletingthetransaction,includingbutnotlimitedto,obtainingshareholderapprovalandanopinionfromanindependentprofessionalexpertacceptabletotheJSEthatthetermsoftheproposedtransactionarefairasfarasshareholdersareconcerned.

5.2 MessrsMuthanyiRobinsonRamaiteandCecilMaswanganyi,whoarenon-executivedirectorsofAdcorp, collectively control Simeka. Consequently, Simeka is an associate as defined inthe Listings Requirements and is therefore regarded as a related party. Accordingly, thespecificissueofBSharestoSimekaSPVrequiresafairnessopinionintermsofparagraph5.51(f)oftheListingsRequirements.TheopinionoftheBoardandofGrantThornton,whohasbeenappointedas the IndependentExpert, that the transaction is fairand the recommendationbytheBoardtovoteinfavouroftheProposedTransactionissetoutinparagraph23.

5.3 ThespecificissueofBSharesintermsoftheProposedBBBEETransactionalsoconstitutesanissueofsharestoapersonrelatedor inter-relatedtoadirectorascontemplated intermsofsection41of theCompaniesActandaccordingly requiresapprovalby theShareholders intermsofaspecialresolution.

6. FINANCIALASSISTANCE

Shareholders are requested to approve a special resolution to sanction the giving of financialassistancebyAdcorp for thesolepurposeofor inconnectionwith thesubscriptionby theBBBEEPartners of the B Shares, as envisaged in section 44and 45 of theCompaniesAct.The financialassistanceintheProposedTransactionisforthepurposeof,orinconnectionwith,thesubscriptionfortheBShares(ascontemplatedinsection44oftheCompaniesAct)andmayalsoconstitutefinancialassistancetoacompanyrelatedorinter-relatedtoadirectorofAdcorp(ascontemplatedinsection45oftheCompaniesAct).

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7. UNAUDITEDPRO FORMA FINANCIAL EFFECTS AND TREATMENT OF THE PROPOSED TRANSACTION

Theunauditedpro forma financial effectsof theProposedTransactiononShareholders, forwhichthe Board is responsible, are provided for illustrative purposes only to provide information abouthow the ProposedTransaction will affect the financial position of the Shareholders by illustratingtheeffectthereofontheEPS,NEPS,HEPS,DEPS,DHEPSofAdcorpasiftheProposedTransactionhadbecomeoperative on 1March 2012 and, for the purpose of NAVPS andNTAVPS ofAdcorp, as iftheProposedTransactionhadbecomeoperativeon31August 2012. Becauseof theirnature theunauditedpro formafinancialeffectsmaynotgiveafairpresentationofAdcorp’sfinancialpositionandresultsofoperationsafter theProposedTransaction.Theunauditedpro formafinancialeffectshavebeencompiledusingaccountingpoliciesthatcomplywithIFRSandthatareconsistentwiththoseappliedintheauditedconsolidatedfinancialstatementsofAdcorpforthe12monthsended29February2012.

Before theProposed

Transaction1

After the Proposed

Transaction3,4,5,6,7,8 %

ChangeEPS(cents) 127 54 (57%)HEPS(cents) 127 54 (57%)NEPS(cents) 167 167 –DEPS(cents) 126 54 (57%)DHEPS(cents) 126 54 (57%)NAVPS(cents) 1918 1913 –NTAVPS(cents) 310 305 (1%)Weightedaveragenumberofsharesinissue(‘000) 76978 76978Dilutedweightedaveragenumberofsharesinissue(‘000) 77587 77587Numberofsharesinissue(‘000) 78139 78139

Notes

1. Thefinancialinformationinthe“BeforetheProposedTransaction”columnhasbeenpreparedbasedonAdcorp’spublishedunauditedinterimresultsforthe6monthsended31August2012.

2. ForpurposesofcalculatingtheEPS,NEPS,HEPS,DEPS,DHEPSitwasassumedthattheProposedTransactionwaseffectiveon1March2012.

3. IntermsofIFRS2,theBBBEEtransactionisviewedasthegrantingofacalloptiononAdcorp(thisisstrictlyfromanaccountingperspectiveandnota legalperspective).On initial recognition, thederivative liabilityneeds tobemeasuredat fairvalueusinganoptionpricingmodel.TheCompanyhasappliedaBlackScholesmodeltovaluetheoptionover10years,makingcertainassumptionsnamely:

(a)The starting price is the 90-dayVWAP toWednesday, 20 March 2013 of R30,12. This may not be the case on finalimplementation.

(b)Thedividendpayout ratio isassumedtobefixedover the10yearperiod,basedoncurrentdividendpayment levels.Inviewofthe importanceofthedividendinthedeterminationofthenotionalthresholddebtbalanceinyear10,thisassumptionhasamajorimpactonvaluationoftheoptioncost.

4. ThetotalIFRS2costhasbeenvaluedatR93,1million.60%(R55,9million)ofthisisattributabletotheBSharesissuedtoWipholdandSimeka.IntermsofIFRS2,thisisseenasamodification,andthereforeonlytheincrementalvalue,beingthedifferencebetweentheoptionvaluationoftheAShares(R8,1million)andtheoptionvalueoftheBSharesisexpensedimmediately(i.e. R51,1million is expensed).Thebalanceof the IFRS 2 cost, amounting to R37,2million relates to the B Shares issuedto AEBT 2 which will be amortised over 10 years based on the assumption that the grant date is 1 March 2012. TheamortisationexpenseistheamortisationoftheIFRS2costoftheASharesover10years(R8,1millionx40%/10x(6/12))aswell as the incrementalamortisation,being thedifferencebetween theoption valuationof theA Sharesand theoptionvalueoftheBShares(R37,2million/10x(6/12)),beingamortisedover10years.

5. TheresultantsharebasedpaymentoptionexpensethroughtheincomestatementisthereforeR52,8millionona pro forma basisforthe6monthperiodto31August2012.

6. For purposes of calculating the NAVPS and NTAVPS it was assumed that the Proposed Transaction was effective on31August2012.

7. Once-offtransactioncostsofR3,4millionrelatingtotheProposedTransactionhavebeenincludedinthedeterminationofthesepro formafinancialeffects.

8. SincetheAEBT2trustdeedisyettobedrafted,theemployeesharetrusthasbeenaccountedforontheassumptionthatitwillbeanequitysettledschemeforaccountingpurposes.

9. Nopostbalancesheeteventshaveoccurred.

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7.1 Accountingtreatment

TheAccountingPracticesBoard(APB)hasissuedtheFinancialReportingGuide2–AccountingforBlackEconomicEmpowermentTransactions. Equity instruments issuedatadiscountarewithinthescopeofIFRS2–Sharebasedpayments,evenwhentheentitycannotspecificallyidentifysomeorallofthegoodsorservicesreceived.TheFinancialReportingGuide2seekstoaddressissuesspecifictoBEEtransactions.

TheFinancialReportingGuide2statesthatthedifferencebetweenthefairvalueoftheequityinstrumentsgrantedandthefairvalueofthecashandotherassetsreceived,i.e.theBEEequitycredentials, representsan intangible itemthatdoesnotmeet thedefinitionofan intangibleasset and therefore does not qualify for recognition as an intangible asset.The differenceshouldthereforebeexpensed.

Thepro forma financial effects are basedon the valuation of the option usingdataas atMarch2013.On implementationof theproposeddeal,both the increasedsharecapitalofAdcorpin2013aswellascurrentmarketdataatthatpointintimecanandwillhaveamaterialimpactonthevaluationoftheoption,thetotaloptioncostandtheresultingamortisationofthisoptioncostunderIFRS2Sharebasedpayments.

ShareholdersarefurtheradvisedthattheIFRS2costoftheoption(beingthereasonforthereductionintheEPS,HEPS,DEPS,DHEPS)isanoncashflowexpense.Assuch,thesecostswillnotimpactAdcorp’sabilitytopayfuturedistributionsoutofcashgeneratedfromoperations.

7.2 Independentreportingaccountants’report

The independent reporting accountants’ report on the pro forma financial effects of theProposedTransactionasshowninparagraph7aboveandthepro formabalancesheetandincomestatementassetoutinAnnexureIIisincludedinAnnexureIIIofthisCircular.

8. CONDITIONSPRECEDENT

TheProposedTransactionissubject,inter alia,tothefulfilmentofthefollowingconditionsprecedent:

• ThepassingofallrequisitespecialandordinaryresolutionsbytherequisitemajorityofvotesattheGeneralMeeting;

• TheapprovaloftheRepurchasenotbeingopposedby15%ormoreofthevotingrightsexercisedontherelevantresolution;

• The special resolutionsbeingacceptedandplacedonfileby theCompaniesand IntellectualPropertyCommission,totheextentrequired;and

• TheMasterhavingissuedlettersofauthoritytotheinitialtrusteesofAEBT2.

ThetrustdeedofAEBT2hasbeensubmittedtotheMasterandtheTransactionAgreementstowhichAEBT2isapartyshallbesignedoncetheMasterissuestherelevantlettersofauthority.

9. BACKGROUNDTOADCORP

AdcorpisSouthAfrica’slargestdiversifiedemployment-servicescompany.Adcorpissynonymouswiththeplacingofhigh-qualitypeopleintoallkindsofemployment–beitonapermanent,temporaryorflexiblebasis.TheCompanyalsohelpsitstensofthousandsofclientswithawiderangeofoutsourcedservices–fromrecruitmentandtrainingtopsychometrictestingandpayrollmanagement.

Adcorp was founded in 1978 as a recruitment advertising business. In 1987 it listed on the JSE.Subsequenttoitslisting,Adcorpacquiredinterestsinamarketresearchbusinessaswellasapublicrelations consultancy prior to making a number of sizeable acquisitions in the human capitalmanagement (staffingand training) spaceduring the1990s.Over thepast10years,Adcorphas

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developedtobecomeSouthAfrica’sleadingproviderofhumancapitalmanagementandbusinessprocess outsourcing services with a proud tradition of creating value for Shareholders, providingqualityservicetoclients,innovatinguniqueproductandservicesolutions,developingandupskillingasizeablecandidatebase,trailblazingintermsofblackeconomicempowerment,convertingahighproportionoftheirprofitintocash,payinggenerousdividendsandadheringtothehigheststandardsofcorporategovernance.Adcorp isa thought leader in itsfieldand isconsideredasaneminentauthoritywithregardtotheSouthAfricanlabourmarket.

10. PROSPECTS

The Board is of the opinion that theprospects forAdcorpbodewell for the futurebasedon thefollowing:

• Enhancedsophisticationofthemarketwilldrivemarketsharegainsforthelargerplayers;

• Agrowingtrendintheuseofcontractworkersinpreferencetopermanentworkers;

• Heightenedtrainingopportunitiesasanationalpriority;

• Ascarcityofhigh-endskillsisdrivingstrongdemandfortheseskills;

• AttractiveopportunitiesexistinotherpartsoftheAfricancontinent;

• JobcreationasSouthAfrica’snumberonepriority;

• Adcorp’spositionasthelargestprovideroftalentandconduitofjobseekersinthecountry;

• Unique,unrivalled,comprehensiveproductandserviceoffering;and

• Adcorp should benefit from internal efficiencies and cost savings as a result of optimisingstandardisingandautomatinginternalprocessesandprocedures.

Given thepotential opportunities thatexistasa result of thechanging faceof the SouthAfricanlabourmarket,proposedimpendingchangestolabourlegislation,Adcorp’sstrongandcontinuedcommitmenttoBBBEE,technologicaladvancesintheindustryaswellasAdcorp’suniquemarketingpositioning,Adcorpiswellpositionedforthefuture.

11. DIRECTORSOFADCORP

11.1 ExecutiveDirectors

RichardLindenPike(51)Appointed:18October2000Qualifications:BCom(Hons),CA(SA)Position: ChiefExecutiveOfficer

AnthonyMarkSher(42)Appointed:2December2009Qualifications:BCom,BAcc,CA(SA),CFAPosition:ChiefFinancialOfficer

CampbellBomela(63)Appointed:1March2006Qualifications:BCom,MBAPosition:ChiefRiskOfficerandExecutiveDirector–GroupServices

PetrusCorneliusSwart(51)Appointed:9September2002Qualifications:MComPosition:ChiefOperationsOfficer

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11.2 Non-ExecutiveDirectors

MfundisoJohnsonNtabankuluNjeke(54)Appointed: 1July2010Qualifications:BCom,CA(SA)Position:IndependentChairman

MncaneEsauMthunzi(41)Appointed:28February2010Qualifications:BComPosition:IndependentNon-ExecutiveDirector

MuthanyiRobinsonRamaite(44)Appointed:1June2007Qualifications:BJuris,Master’sdegreePosition:Non-ExecutiveDirector

TimothyDacreAirdRoss(68)Appointed:1September2009Qualifications:CTA,CA(SA)Position:IndependentNon-ExecutiveDirector

GugulethuPatriciaDingaan(37)Appointed:16August2010Qualifications:BCom,CA(SA)Position:Non-ExecutiveDirector

NontobekoSanelisiweNdhlazi(38)Appointed:16August2011Qualifications:BComPosition:Non-ExecutiveDirector

SindisiweNombenhleMabaso-Koyana(43)Appointed: 14September2012Qualifications:BCom,CA(SA)Position:Non-ExecutiveDirector

LouisaMadiakoMojela(57)Appointed:01June2007Qualifications:BComPosition:AlternateNon-ExecutiveDirector

CecilMaswanganyi(47)Appointed:11July2012Qualifications:MBAPosition:AlternateNon-ExecutiveDirector

Alloftheexecutiveandnon-executivedirectorsofAdcorpareSouthAfricancitizens.

11.3 DisclosureofAdcorpdirectors’interestsanddealings

AsattheLastPracticableDate,theDirectors’directandindirectbeneficialinterestsinAdcorpShareswereasfollows:

DirectorDirect

beneficialIndirect

beneficialTotal 2012

Total 2011

Percentage of issued share

capital¹RLPike 75135 – 75135 253080 0,08%MRRamaite 15000 – 15000 15000 0,02%

1. Based on 91 811 776 Adcorp Shares in issue.

Saveasdisclosedaboveand in section11.4, theDirectorsdonothaveanyother interestsinAdcorp Shares.There have been no changes in Directors interests from the date of theprecedingfinancialstatementstotheLastPracticableDate.

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11.4 Directors’shareoptions

Number ofunexercised options asat29Feb

2012

Number of options granted

2012/2013

Number of options

exercised2012/2013

Number of exercised forfeited

2012/2014

Number ofunexercised options asat28Feb

2013*

Option price

Date from which

exercisable

CBomela 250000 – (250000) – – 26,31 31/05/08*

150000 – – 150000 32,31 28/02/09*

300000 – – 300000 31,02 28/02/10*

200000 – (200000) – – 16,50 28/02/11*

65000 – (65000) – – 16,50 28/02/11#

200000 – (200000) – – 26,39 28/02/12*

65000 – (65000) – – 26,39 28/02/12#

250000 – – – 250000 26,75 31/01/13*

65000 – – – 65000 26,75 31/01/13#

65000 – – – 65000 27,52 22/02/14#

50000 – – 50000 28,53 17/10/14#

115000 – – 115000 31,18 28/02/15#

RLPike 350000 – (350000) – – 26,31 31/05/08*

350000 – – – 350000 32,31 28/02/09*

350000 – – – 350000 31,02 28/02/10*

350000 – – – 350000 26,39 28/02/12*

120000 – (120000) – – 26,39 28/02/12#

350000 – – – 350000 26,75 31/01/13*

120000 – (120000) – – 26,75 31/01/13#

150000 – – – 150000 27,52 22/02/14#

450000 – – 450000 28,53 17/10/14#

450000 – – 450000 31,18 28/02/15#

AMSher 200000 – – – 200000 26,39 28/02/12*

65000 – (65000) – – 26,39 28/02/12#

300000 – – – 300000 26,75 31/01/13*

85000 – – – 85000 26,75 31/01/13#

85000 – – – 85000 27,52 22/02/14#

60000 – – 60000 28,53 17/10/14#

145000 – – 145000 31,18 28/02/15#

PCSwart 30000 – (30000) – – 6,35 31/05/05>

30000 – (30000) – – 13,00 31/05/06>

30000 – (30000) – – 18,15 31/05/07*

250000 – (250000) – – 26,31 31/05/08*

300000 – – – 300000 32,31 28/02/09*

300000 – – – 300000 31,02 28/02/10*

300000 – (300000) – – 16,50 28/02/11*

100000 – (100000) – – 16,50 28/02/11#

300000 – – – 300000 26,39 28/02/12*

100000 – (100000) – – 26,39 28/02/12#

300000 – – – 300000 26,75 31/01/13*

100000 – – – 100000 26,75 31/01/13#

125000 – – – 125000 27,52 22/02/14#

425000 – – 425000 28,53 17/10/14#

412500 – – 412500 31,18 28/02/15#

> Adcorp Employee Share Trust* Share appreciation rights (SARs)# Performance shares (PFs)

22

11.5 Directors’remunerationandservicecontracts

ThetablesbelowdetailtheDirectors’emolumentsforthe12monthsended29February2012:

ExecutiveDirectors

SalaryR’000

BonusR’000

Medicalaid/

provident fund R’000

Allow-ancesR’000

SundryR’000

Direc-tors’fees

R’000

Gainson

share options

Totalcost to

company2012R’000

Totalcost to

company2011R’000

Totalremune-

ration2012R’000

Totalremune-

ration2011R’000

RLPike 2416 2557 604 96 25 – 6991 12689 5256 12689 5256

FDBurd* – – – – – – – – 287 – 287

PCSwart 2069 1843 440 120 – – – 4472 4006 4472 4006

CBomela 1533 974 304 – – – – 2811 2324 2811 2324

AMSher 1647 1458 411 120 – – – 3636 2335 3636 2335

7665 6832 1759 336 25 – 6991 23608 14208 23608 14208

Non-executivedirectors

MJNNjeke – – – – – 218 – 218 101 218 101

MRRamaite – – – – – 56 – 56 134 56 134

MMTRamano** – – – – – 25 – 25 169 25 169

GPDuda** – – – – – – – – 22 – 22

LMMojela** – – – – – – – – 68 – 68

ATAlbäck** – – – – – 188 – 188 276 188 276

MEMthunzi – – – – – 188 – 188 265 188 265

TDARoss – – – – – 187 – 187 297 187 297

GPDingaan – – – – – 69 – 69 43 69 43

NSNdhlazi*** – – – – – 23 – 23 – 23 –

– – – – – 954 – 954 1375 954 1375

* Disqualified and removed FD Burd – 6 December 2009.** Resigned: GP Duda – 26 February 2010, LM Mojela – 16 August 2010, MMT Ramano – 20 June 2011 and AT Albäck – 6 March

2012 (AT Albäck was re-appointed on 14 May 2012).*** Appointed 16 August 2011.

TheremunerationoftheDirectorsoftheCompanywillnotbeaffectedbytheProposedTransactionorbyanyassociatedtransaction.

23

11.6 Employeesharescheme

Detailsoftheemployeeshareschemearesummarisedbelow:

Adcorp Share Trust

Numberof

shareoptions

2013

Weightedaverageexercise

price2013

(R)Outstandingatthebeginningoftheyear 58500 13,00Exercisedduringtheyear (30000) 13,00Exercisableattheendoftheyear 28500 13,00

AdcorpHoldings2006ShareTrustOutstandingbalanceatthebeginningoftheyear 14413500 27,85Forfeitedduringtheyear – –Grantedduringtheyear 3296500 30,18Exercisedduringtheyear (4955000) 24,71Outstandingattheendoftheyear 12755000 29,38Exercisableattheendoftheyear 8553500 29,17

AdcorpEmployeeBenefitTrust(arisingfromtheBBBEEtransaction)1

Outstandingbalanceatthebeginningoftheyear 6729140 29,91Grantedduringtheyear – –Outstandingattheendoftheyear 6729140 29,91Exercisableattheendoftheyear – –1. This refers to the Existing BEE Transaction. Adcorp created and issued 16 822 849 A Shares of which 6 729 140 A Shares were

issued to the Employee Share Trust.

Thefollowingshareoptionsgrantedundertheemployeeshareoptionplanswereexercisedduringthefinancialyear:

Option series Numberexercised2013Issued31May2005–SARs 45000Issued31May2006–SARs 1700000Issued1March2009–SARs 550000Issued1March2009–PF’s 185000Issued26February2010–SARs 1100000Issued26February2010–PF’s 680000Issued31January2011–SARs 430000Issued31January2011–PF’s 265000

49550002012Issued31May2005–SARs 50000Issued1March2009–SARs 1270000Issued1March2009–PF’s 420000

17400002011Issued31May2005–SARs 64000Issued30April2006–SARs 200000Issued1March2009–SARs 135000

399000

24

12. DETAILSOFTHESERVICECONTRACTSOFTHEDIRECTORS

AsattheLastPracticableDate,withtheexceptionofRLPikeandPCSwartnoneoftheDirectorswereboundbyservicecontracts.

13. DIRECTORS’INTERESTSINTHEPROPOSEDTRANSACTION

ThedirectorsofAdcorphavenothadanymaterialbeneficial interest,whetherdirector indirect, intransactionsthatwereeffectedbyAdcorpduringthecurrentorimmediatelyprecedingfinancialyearorduringanearlierfinancialyearwhichremain inanyrespectoutstandingorunperformedotherthanasstatedbelow:

• Gugulethu Patricia Dingaan, Nontobeko Sanelisiwe Ndhlazi and Louisa Madiako Mojela aredirectorsofAdcorpandshareholdersofWIPHOLDandareaccordinglyinterestedintheRepurchaseandtheProposedBBBEETransaction.

• CecilMaswanganyiandMuthanyiRobinsonRamaitearedirectorsofAdcorpandshareholdersofSimekaandareaccordinglyinterestedintheRepurchaseandtheProposedBBBEETransaction.

The directors referred to above recused themselves from the relevant discussions regarding theRepurchaseandtheProposedBBBEETransactionatthemeetingsoftheBoard,andwillnotbeentitledtovotetheirASharesontheresolutionsrelatingtotheimplementationofthesetransactions.

14. SHARECAPITALOFADCORP

TheauthorisedandissuedsharecapitalofAdcorpbeforetheProposedTransactionisasfollows:

R’000Authorised share capital183177151ordinarysharesof2,5centseach 457916822849‘A’ordinarysharesof2,5centseach 421Issued share capital91811776ordinarysharesof2,5centseach 229516822879‘A’ordinarysharesof2,5centseach –Sharepremiumonordinaryshares 1227341Total issued share capital before the Proposed Transaction 1229636

TheauthorisedandissuedsharecapitalofAdcorpaftertheProposedTransactionwillbeasfollows:

R’000Authorised share capital183177151AdcorpSharesof2,5centseach 457916822849‘A’AdcorpSharesof2,5centseach 42116822849‘B’AdcorpSharesofnoparvalue 421Issued share capital91811776AdcorpSharesof2,5centseach 229516822849‘B’AdcorpSharesofnoparvalue –SharepremiumonAdcorpShares 1227341Total issued share capital after Proposed Transaction 1229636

25

15. SHAREHOLDERUNDERTAKINGS

Adcorphasreceivedirrevocableundertakingsand/orindicationsofsupportfromcertainShareholdersholdingbetweenthem42459766AdcorpShares,representinginaggregate46,2%ofthetotalvotingrightswhichcanbeexercisedontheresolutionsrequiredtoimplementtheProposedTransaction.

Shareholder

Number of

shares

Percentage of issued

share capital Date

Irrevocable undertakings:InvestecAssetManagementProprietaryLimited 16841772 18,34% 15March2013SanlamInvestmentManagementProprietaryLimited 9881799 10,76% 20March2013LauriumCapitalProprietaryLimited 1404082 1,53% 15March2013Indications of support:AllanGrayLimited 14359975 15,60% 15March2013Total 42459766 46,23%

Theirrevocableundertakingsofsupportreferredtoaboveareavailableforinspectionassetoutinparagraph27below.

16. CHANGEINTRADINGOBJECTS

TherehasbeennochangeinAdcorp’stradingobjectsduringthepreviousfiveyears.

17. MAJORSHAREHOLDERS

InsofarasitisknowntothedirectorsofAdcorp,thereisnocontrollingshareholderofAdcorp,andthishasbeenthecaseforthepreviousfiveyears.AsattheLastPracticableDatethefollowingShareholdersdirectlyheldmorethan5%oftheissuedsharesofAdcorp:

Shareholder

Number of Adcorp Shares

Number of ‘A’ ordinary

shares

% of ordinary

share capital

% of voting rights

InvestecAssetManagementProprietaryLimited 16841772 – 18,3% 15,5%AllanGrayLimited 14359975 – 15,6% 13,2%SanlamInvestmentManagementProprietaryLimited 9881799 – 10,8% 9,1%CoronationFundManagersLimited 5917298 – 6,4% 5,4%AfenaCapitalProprietaryLimited 9700474 – 10,6% 8,9%MoodyBlue1 – 6729140 – 6,2%Wiphold – 5887997 – 5,4%Simeka – 4205712 – 3,9%Total 56701318 16822849 61,70% 67,60%

1. AEBT and, hence, Adcorp employees, are the beneficial holders of these shares.

18. AGREEMENTSINRELATIONTOTHEPROPOSEDTRANSACTION

TheTransactionAgreements,being theRepurchaseAgreement, theSubscriptionAgreementsandthetrustdeedhavebeenenteredintobetweenAdcorpandtheBBBEEPartnersandareavailablefor inspectionassetoutinparagraph27.TheAEBT2trustdeedhasbeensubmittedtotheMasterandthetrusteesofAEBT2willsigntheTransactionAgreementsoncetheMasterissuesrelevantlettersofauthority.

26

19. COSTSINRELATIONTOTHEPROPOSEDTRANSACTIONANDTHESCHEME

The following expenses and provisions are expected, or have been provided for, by Adcorp inconnectionwiththeProposedTransaction.Allthefeespayabletothepartiesbelowareexclusiveofvalue-addedtax.

Details Payable to R’000Adcorp FeesIndependentreportingaccountants’fees Deloitte&Touche 150Legalandtaxadvisersfees WebberWentzel/DLACliffeDekkerHoymeyr 350Investmentbankingandsponsorfees Investec 2500Printingandpublicationcosts MidnightStar 157JSEDocumentationFees JSE 22Independentexpert GrantThornton 160Sponsorfees Deloitte&ToucheSponsorServices

ProprietaryLimited25

Estimatedtotalexpensesandfees 3364

20. MATERIALCHANGESANDLITIGATION

There are currently no legal or arbitrationproceedings, includingany suchproceedings that arepending or threatenedwhichmay have, or have had, amaterial effect onAdcorp or any of itssubsidiaries’financialpositionduringthe12monthsprecedingthedateofthisCircular.

The Board is not aware of any material changes in the financial or trading position of Adcorpsubsequenttothelatestunauditedinterimreportfortheperiodended31August2012.

21. MATERIALCONTRACTS

Adcorphasnotenteredintoanymaterialcontract,whereanobligationorsettlementismaterialtoAdcorp,eitherverballyor inwritingthat isoutsidetheordinarycourseofbusiness inthetwoyearsprecedingthedateofthisCircular.

22. CONSENTS

All parties as detailed on the cover of thisCircular have consented inwriting to the inclusion oftheirnamesandreportsinthisCircularintheformandcontextinwhichtheyappearandhavenotwithdrawntheirconsentspriortothepublicationofthisCircular.

23. OPINIONSANDRECOMMENDATIONS

TheBoardhasconsideredthetermsandconditionsoftheProposedTransactionandtheopinionoftheIndependentExpertandisoftheopinionthatProposedTransactionisfairandinthebestinterestsofallofAdcorp’skeystakeholders,includingcustomers,suppliers,staff,debtfundersandshareholdersand,accordingly, recommends that the Shareholders vote in favourof the resolutions required toimplementtheProposedTransaction.

The directors with direct and/or indirect beneficial shareholdings inAdcorp intend to vote suchAdcorpSharesinfavouroftheresolutionstobeproposedattheGeneralMeeting.

GrantThorntonCorporateFinanceProprietaryLimitedwasappointedbyAdcorptofurnishafairnessopinionandanindependentexpert’sreportontheRepurchaseandtheProposedBBBEETransactionand their opinion that the transaction is fair is disclosed inAnnexure IV of thisCircular and theirindependentexpertsreportisdisclosedinAnnexureVofthisCircular.

24. TRPIMPLICATIONS

TheTRP has providedAdcorpwith an exemption certificate in terms of sections 119 (6) (b) and119(6)(c)oftheCompaniesActexemptingAdcorpfromcompliancewiththeprovisionsofPartBandCoftheCompaniesActandtheregulationsinrespectoftheRepurchase.

25. RESPONSIBILITYSTATEMENT

Thedirectors’ofAdcorpwhosedetailsaresetoutinparagraph11ofthisCircular:

• haveconsideredallstatementsoffactandopinioninthisCircular;

27

• collectivelyandindividually,acceptfullresponsibilityfortheaccuracyoftheinformationgiveninthisCircularforpurposesofprovidingappropriateinformationtoshareholdersinregardtoandforpurposesoftheProposedTransaction;

• certifythat,tothebestoftheirknowledgeandbelief,therearenootherfactstheomissionofwhichwouldmakeanystatementfalseormisleading;

• havemadeallreasonableenquiresinthisregard;and

• certifytothebestoftheirknowledgeandbelief,thattheCircularcontainsallinformationrequiredbylawandtheListingsRequirements.

26. GENERALMEETING

AGeneralMeetingofShareholderswillbeheldattheregisteredofficeofAdcorpNicolwayBryanston,CnrWilliamNicolandWedgewoodLink,Bryanston,2021,JohannesburgonMonday,20May2013at10h00inordertoconsider,and,ifdeemedfit,pass,withourwithoutmodification,theresolutionsassetoutinthenoticeofGeneralMeetingattachedandformingpartofthisCircular.

Shareholdersare referred to thenoticeofGeneralMeetingattached to thisCircular fordetail ontheresolutionstobeproposedattheGeneralMeetingandtothe“ActionrequiredbyShareholders”sectionofthisCircularfor informationontheproceduretobefollowedbyShareholdersinordertoexercisetheirvotesattheGeneralMeeting.

27. DOCUMENTSAVAILABLEFORINSPECTION

Copies of the followingdocumentswill be available for inspectionduring normal business hoursattheregisteredofficeofAdcorp,fromThursday,18April2013uptoandincludingthedateoftheGeneralMeeting:

• theMOIofAdcorpanditssubsidiaries;

• theTransactionAgreements;

• thesignedirrevocableundertakingsreferredtoinparagraph15ofthisCircular;

• copiesofserviceagreementsofdirectors;

• theannualreportsofAdcorpforthethreeyearsended28February2010,28February2011and29February2012;

• thepublishedunauditedresultsofAdcorpforthesixmonthsended31August2012;

• thewrittenconsentofeachoftheadviserssetoutinparagraph22ofthisCircular;

• thesignedindependentreportingaccountant’sreportsetoutinAnnexureIII;

• thesignedfairnessopinionsetoutinAnnexureIVandthesignedindependentexpert’sreportsetoutinAnnexureV;and

• asignedcopyofthisCircular.

For and on behalf of

ADCORPHOLDINGSLIMITED

18April2013Johannesburg

28

ANNEXURE1–PRICEHISTORYOFADCORPSHARESONTHEJSE

ADCORP

The highest and lowest price of shares of Adcorp on the JSE for each quarter commencing from1July2011to31March2013andaggregatedmonthlyvolumesandvalueswereasfollows:

Quarter ended High(c) Low(c) Volume Value30September2011 3000 2391 2767983 7263272331December2011 2650 2350 5980032 15151614231March2012 2994 2510 6266800 16734147930June2012 2944 2532 6986455 18977498330September2012 2900 2500 8017868 21397002231December2012 3299 2632 7621310 22038701431March2013 3236 2831 5091680 154178138

The highest and lowest price of shares of Adcorp on the JSE for each month commencing from30April2012to31March2013andaggregatedmonthlyvolumesandvalueswereasfollows:

Month ended High(c) Low(c) Volume Value30April2012 2944 2640 1843988 5030411931May2012 2750 2679 1966380 5342245730June2012 2840 2532 3176087 8604840731July2012 2750 2500 2802171 7564731231August2012 2889 2580 2631353 7003533730September2012 2900 2580 2584344 6828737331October2012 3215 2632 5205571 14803482130November2012 3299 2925 1343167 4087776431December2012 3057 2633 1072572 3147442931January2013 3229 2831 2864464 8461897028February2013 3236 3011 834132 2646045331March2013 3236 2901 1393084 43098715

29

The highest and lowest price of shares ofAdcorp on the JSE, for the last 30 trading days, for eachdaycommencingfrom26February2013to11April2013(beingtheLastPracticableDatepriortothefinalisationofthisCircular)andthedailyvolumeswereasfollows:

Day ended High(c) Low(c) Volume Value26February2013 3197 3150 22220 70501027February2013 3170 3030 31424 98403728February2013 3180 3075 9266 2916851March2013 3166 3087 5298 1654454March2013 3110 3050 16525 5084315March2013 3070 3040 216880 66164376March2013 3181 3063 137899 42920987March2013 3130 2901 35035 10756998March2013 3120 3056 94566 289479811March2013 3120 3020 22321 68788712March2013 3150 3097 53281 166605913March2013 3180 3141 22547 71220514March2013 3236 3131 36858 116002815March2013 3200 3140 40772 129118218March2013 3169 3110 94667 298021819March2013 3150 3050 35472 110069720March2013 3140 3110 35529 110685622March2013 3233 3100 113688 354787125March2013 3115 3050 64740 199785226March2013 3100 3059 110580 342698927March2013 3100 3076 27338 84572828March2013 3100 2966 229088 70222352April2013 3054 3003 212116 64692143April2013 3056 3045 124854 38078984April2013 3052 3025 29041 8852795April2013 3047 2967 63272 18963348April2013 3030 3010 31198 9426899April2013 3025 2990 167171 502331110April2013 3006 2987 10530 31596111April2013 3000 2985 539691 16122410

Source: I-NET

30

ANNEXURE II – PRO FORMA FINANCIAL EFFECTS

Theunauditedpro forma financialeffectsof theProposedTransactiononShareholders, forwhich theBoard is responsible, areprovided for illustrativepurposes only to provide informationabout how theProposedTransactionwillaffectthefinancialpositionoftheShareholdersbyillustratingtheeffectthereofontheEPS,NEPS,HEPS,DEPSandDHEPSofAdcorpasiftheProposedTransactionhadbecomeoperativeon1March2012and,forthepurposeofNAVPSandNTAVPSofAdcorp,asiftheProposedTransactionhadbecomeoperativeon31August2012.Becauseoftheirnaturetheunauditedpro formafinancialeffectsmaynotgiveafairpresentationofAdcorp’sfinancialpositionandresultsofoperationsaftertheProposedTransaction.Theunauditedpro formafinancialeffectshavebeencompiledusingaccountingpoliciesthatcomplywithIFRSandthatareconsistentwiththoseappliedintheauditedconsolidatedfinancialstatementsofAdcorpforthe12monthsended29February2012.

Consolidated Statement of Comprehensive Income

Before theproposed

BBBEEtransaction1

R’000

IFRS2adjustments3,4,5,7

R’000

Transaction costs6

R’000

After theproposed

BBBEEtransaction

R’000Revenue 4022523 4022523Costofsales (3285023) (3285023)Grossprofit 737500 – – 737500Otherincome 26858 26858Administrationexpenses (251499) (251499)Marketingandsellingexpenses (285469) (285469)SharebasedpaymentforBEEdeal – (52754)3,4,5,7 (52754)TransactioncostsforBEEdeal – (3365)6 (3365)Otheroperatingexpenses (87548) (87548)Operatingprofit/(loss) 139842 (52754) (3365) 83723Interestreceived 1629 1629Interestpaid (29914) (29914)Shareofprofitsfromassociates 7161 7161Impairmentofinvestmentsandgoodwill – –Profit/(loss)onsaleofinvestment – –Proft/(loss)ondisposalofpropertyandequipment 150 150Profitbeforetaxation 118868 (52754) (3365) 62749Taxation (18414) – – (18414)Profit/(loss)fortheyear 100454 (52754)3,4,5,7 (3365)6 44335Othercomprehensiveincome Exchangedifferencesontranslatingforeignoperations 2736 2736Fairvalueadjustmentofderivativefinancialinstrument (182) (182)Non-controllinginterest (2494) (2494)Othercomprehensivelossfortheyear,netoftax 60 60Totalcomprehensiveincome/(loss) for the year 100514 (52754) (3365) 44395Profit/(loss)attributableto: Ownersoftheparent 97960 (52754) (3365) 41841Non-controllinginterest 2494 2494Totalcomprehensiveincome/(loss)attributable to:

Ownersoftheparent 100514 (52754) (3365) 44395Non-controllinginterest 2494 2494

31

Before theproposed

BBBEEtransaction1

R’000


R’000

Transaction costs6

R’000

After theproposed

BBBEEtransaction

R’000Reconciliation of headline earnings Profitfortheyear 97960 (52754) (3365) 41841Profitonsaleofproperty,plantandequipment (108) (108)Impairmentofinvestmentsandgoodwill – –Headline earnings 97852 (52754) (3365) 41733Reconciliation of normalised earningsProfitfortheyear 97960 97960Amortisationofintangibleassets 28583 28583Amortisationofintangiblesotherthanthoseacquiredinabusinesscombination (8340) (8340)Share-basedpayments 16058 16058Leasesmoothing (7) (7)Profitonsaleofpropertyandequipment (150) (150)Differentialintaxationcharge (5667) (5667)Normalised earnings 128437 128437Weightedaveragenumberofshares(‘000) 76978 76978DilutedWeightedaveragenumberofshares(‘000) 77587 77587Earnings per share2 Basic(cents) 127,3 54,4Headline(cents) 127,1 54,2Normalised(cents) 166,8 166,8Dilutedbasic(cents) 126,3 53,9Dilutedheadline(cents) 126,1 53,8

Notes

1. The financial information in the“Before the ProposedTransaction” column has been prepared based onAdcorp’s publishedunauditedinterimresultsforthesixmonthsended31August2012.

2. ForpurposesofcalculatingtheEPS,NEPS,HEPS,DEPSandDHEPSitwasassumedthattheProposedTransactionwaseffectiveon1March2012.

3. IntermsofIFRS2,theBBBEEtransactionisviewedasthegrantingofacalloptiononAdcorp(thisisstrictlyfromanaccountingperspectiveandnotalegalperspective).Oninitialrecognition,thederivativeliabilityneedstobemeasuredatfairvalueusinganoptionpricingmodel.TheCompanyhasappliedaBlackScholesmodel tovalue theoptionover10years,makingcertainassumptionsnamely:

(a) Thestartingpriceisthe90-dayVWAPtoWednesday,20March2013ofR30,12.Thismaynotbethecaseonfinalimplementation.

(b) Thedividendpayoutratioisassumedtobefixedoverthe10yearperiod,basedoncurrentdividendpaymentlevels.Inviewoftheimportanceofthedividendinthedeterminationofthenotionalthresholddebtbalanceinyear10,thisassumptionhasamajorimpactonvaluationoftheoptioncost.

4. ThetotalIFRS2costhasbeenvaluedatR93,1million.60%(R55,9million)ofthisisattributabletotheBSharesissuedtoWipholdandSimeka.IntermsofIFRS2,thisisseenasamodification,andthereforeonlytheincrementalvalue,beingthedifferencebetweentheoptionvaluationoftheAShares(R8,1million)andtheoptionvalueoftheBSharesisexpensedimmediately(i.e.R51,1millionisexpensed).ThebalanceoftheIFRS2cost,amountingtoR37,2millionrelatestotheBSharesissuedtoAEBT2whichwillbeamortisedover10yearsbasedontheassumptionthatthegrantdateis1March2012.TheamortisationexpenseistheamortisationoftheIFRS2costoftheASharesover10years(R8,1millionx40%/10x(6/12))aswellastheincrementalamortisation,beingthedifferencebetweentheoptionvaluationoftheASharesandtheoptionvalueoftheBShares(R37,2million/10x(6/12)),beingamortisedover10years.

5. TheresultantsharebasedpaymentoptionexpensethroughtheincomestatementisthereforeR52,8milliononapro formabasisforthesixmonthperiodto31August2012.




32

Consolidated Statement of Financial Position

Before theproposed

BBBEEtransaction1

R’000


R’000

Transaction costs6

R’000

After theproposed

BBBEEtransaction

R’000

ASSETS Non-current assets 1446286 – – 1446286Property,plantandequipment 58116 58116Intangibleassets 340573 340573Goodwill 915862 915862Investmentinsubsidiaries – –Investmentinassociates 54044 54044Otherfinancialassets – –Derivativefinancialinstrument – –Deferredtaxation 77691 77691Current assets 1555921 – (3365) 1552556Tradeandotherreceivablesandprepayments 1203013 1203013Unbilledrevenue – –Amountsduebysubsidiarycompanies – –Assetsclassifiedasheld-for-sale – –Taxationprepaid 10031 10031Cashresources 342877 – (3365)6 339512

Total assets 3002207 – (3365) 2998842

EQUITY AND LIABILITIES Capital and reserves 1498479 – (3365) 1495114Sharecapital 1953 1953Sharepremium 866326 866326Treasuryshares (12891) – (12891)Non-distributablereserve – –Share-basedpaymentreserve 188612 510532,3,4,7 239665Foreigncurrencytranslationreserve 1149 1149Cashflowhedgingreserve (1137) (1137)Accumulatedprofit/(loss) 449314 (51053)2,3,4,7 (3365)6 394897Equityattributabletoequityholdersoftheparent 1493326 – (3365)6 1489961Non-controllinginterest 4232 4232BEEshareholders’interest/non-controllinginterest 921 – 921Non-current liabilities 231871 – – 231871Othernon-currentliabilities 2268 2268Long-termloan–interestbearing 62500 62500Redeemablepreferenceshares–interestbearing 83000 83000Derivativefinancialinstrument 1137 1137Obligationsunderfinancelease 4842 4842Operatingleaseliability 1883 1883Deferredtaxation 76241 76241

33

Before theproposed

BBBEEtransaction1

R’000


R’000

Transaction costs6

R’000

After theproposed

BBBEEtransaction

R’000Current liabilities 1271857 – – 1271857Non-interest-bearing current liabilities 656792 – – 656792Tradeandotherpayables 464313 464313Accruals – –Amountsduetosubsidiarycompanies – –Amountsduetovendor – –Provisions 167987 167987Taxation 24492 24492Interest-bearing current liabilities 615065 – – 615065Currentportionofothernon-currentliabilities 8358 8358Currentportionoflong-termloan 331992 331992Currentportionofredeemablepreferenceshares 24988 24988Bankoverdrafts 249727 249727

Total equity and liabilities 3002207 – (3365) 2998842Sharesoutstanding(‘000) 78139 78139Netassetvaluepershare(cents) 1917,7 1913,4Nettangibleassetvaluepershare(cents) 309,8 305,5

Notes

1. The financial information in the“Before the ProposedTransaction” column has been prepared based onAdcorp’s publishedunauditedinterimresultsforthesixmonthsended31August2012.

2. IntermsofIFRS2,theBBBEEtransactionisviewedasthegrantingofacalloptiononAdcorp(thisisstrictlyfromanaccountingperspectiveandnotalegalperspective).Oninitialrecognition,thederivativeliabilityneedstobemeasuredatfairvalueusinganoptionpricingmodel.TheCompanyhasappliedaBlackScholesmodel tovalue theoptionover10years,makingcertainassumptionsnamely:

(a) Thestartingpriceisthe90-dayVWAPtoWednesday,20March2013ofR30,12.Thismaynotbethecaseonfinalimplementation.

(b) Thedividendpayoutratioisassumedtobefixedoverthe10yearperiod,basedoncurrentdividendpaymentlevels.Inviewoftheimportanceofthedividendinthedeterminationofthenotionalthresholddebtbalanceinyear10,thisassumptionhasamajorimpactonvaluationoftheoptioncost.

3. ThetotalIFRS2costhasbeenvaluedatR93,1million.60%(R55,9million)ofthisisattributabletotheBSharesissuedtoWipholdandSimeka.IntermsofIFRS2,thisisseenasamodification,andthereforeonlytheincrementalvalue,beingthedifferencebetweentheoptionvaluationoftheAShares(R8,1million)andtheoptionvalueoftheBSharesisexpensedimmediately.Thebalanceoftheoptioncost,amountingtoR37,2millionrelatestotheBSharesissuedtoAEBT2whichwillbeamortisedover10yearsbasedontheassumptionthatthegrantdateis1March2012.TheamortisationexpenseistheamortisationoftheIFRS2costover10yearsaswellastheincrementalamortisation,beingthedifferencebetweentheoptionvaluationoftheASharesandtheoptionvalueoftheBShares,amortisedover10years.

4. TheresultantsharebasedpaymentoptionexpensethroughtheincomestatementisthereforeR51,1milliononapro formabasisforthesixmonthperiodto31August2012,whichrepresentstheonceoffoptionexpenserelatingtotheBBBEEPartners(withnoamortisationoftheportionrelatedtotheBSharesissuedtoAEBT2).

5. ForpurposesofcalculatingtheNAVPSandNTAVPSitwasassumedthattheProposedTransactionwaseffectiveon31August2012.




34

ANNEXUREIII–REPORTINGACCOUNTANT’SREPORTONTHEPRO FORMA FINANCIAL INFORMATION

“TheDirectorsAdcorpHoldingsLimitedNicolwayBryanstonCnrWilliamNicolandWedgewoodLinkBryanston2021

DearSirs

INDEPENDENTREPORTINGACCOUNTANT’SASSURANCEREPORTONTHECOMPILATIONOFPRO FORMA FINANCIAL INFORMATION INCLUDED IN A CIRCULAR

To the Directors of Adcorp Holdings Limited

Wehave completed our assurance engagement to report on the compilation ofpro forma financialinformation ofAdcorp Holdings Limited (“Adcorp” or“the Company”) by the directors.Thepro forma financialinformation,assetoutinparagraph7andAnnexureIIofthecircular,consistsofastatementoffinancialpositionandastatementofcomprehensiveincomeandrelatednotes.Thepro formafinancialinformationhasbeencompiledonthebasisoftheapplicablecriteriaspecifiedintheJSELimited(“JSE”)ListingsRequirements.

The pro forma financial information has been compiled by the directors to illustrate the impact ofthe corporate action or event, described in Paragraph 1, on the Company’s financial position as at31August2012,andtheCompany’sfinancialperformancefortheperiodthenended,asifthecorporateactionoreventhadtakenplaceat1March2012andfortheperiodthenended.Aspartofthisprocess,informationabouttheCompany’sfinancialpositionandfinancialperformancehasbeenextractedbythedirectorsfromtheCompany’sunauditedinterimfinancialstatementsfortheperiodended31August2012.

Directors’ Responsibility for the Pro Forma Financial Information

The directors are responsible for compiling the pro forma financial information on the basis of theapplicablecriteriaspecifiedintheJSEListingsRequirementsanddescribedinParagraph7andAnnexureIIofthecircular.

Reporting Accountant’s Responsibility

Ourresponsibility is toexpressanopinionaboutwhetherthepro formafinancial informationhasbeencompiled,inallmaterialrespects,bythedirectorsonthebasisspecifiedintheJSEListingsRequirementsbasedonourproceduresperformed.WeconductedourengagementinaccordancewiththeInternationalStandardonAssuranceEngagements(ISAE)3420,Assurance Engagements to Report on the Compilation of Pro Forma Financial Information Included in a circular which is applicable to an engagement ofthisnature.Thisstandardrequiresthatwecomplywithethical requirementsandplanandperformourprocedurestoobtainreasonableassuranceaboutwhetherthepro formafinancialinformationhasbeencompiled,inallmaterialrespects,onthebasisspecifiedintheJSEListingsRequirements.

Forpurposesofthisengagement,wearenotresponsibleforupdatingorreissuinganyreportsoropinionsonanyhistorical financial informationused incompiling thepro forma financial information,norhavewe,inthecourseofthisengagement,performedanauditorreviewofthefinancialinformationusedincompilingthepro formafinancialinformation.

Asthepurposeofpro formafinancialinformationincludedinacircularissolelytoillustratetheimpactofasignificantcorporateactionoreventonunadjustedfinancialinformationoftheentityasifthecorporateactionoreventhadoccurredorhadbeenundertakenatanearlierdateselectedforpurposesoftheillustration,we do not provide any assurance that the actual outcomeof the event or transaction at31August2012wouldhavebeenaspresented.

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Areasonableassuranceengagementtoreportonwhetherthepro formafinancialinformationhasbeencompiled,inallmaterialrespects,onthebasisoftheapplicablecriteriainvolvesperformingprocedurestoassesswhethertheapplicablecriteriausedinthecompilationofthepro formafinancialinformationprovidesa reasonablebasis forpresenting the significant effectsdirectlyattributable to thecorporateactionorevent,andtoobtainsufficientappropriateevidenceaboutwhether:

• Therelatedpro formaadjustmentsgiveappropriateeffecttothosecriteria;and

• The pro forma financial information reflects the proper application of those adjustments to theunadjustedfinancialinformation.

Ourproceduresselecteddependonourjudgment,havingregardtoourunderstandingofthenatureoftheCompany,thecorporateactionoreventinrespectofwhichthepro formafinancialinformationhasbeencompiled,andotherrelevantengagementcircumstances.

Ourengagementalsoinvolvesevaluatingtheoverallpresentationofthepro formafinancialinformation.

Webelievethattheevidencewehaveobtainedissufficientandappropriatetoprovideabasisforouropinion.

Opinion

Inouropinion,thepro formafinancialinformationhasbeencompiled,inallmaterialrespects,onthebasisoftheapplicablecriteriaspecifiedbytheJSEListingsRequirementsanddescribedinparagraph7andAnnexureIIofthecircular.

Deloitte & Touche RegisteredAuditorsPer:RMDuffyPartner

15April2013

Deloitte & Touche DeloittePlaceTheWoodlandsWoodlandsDriveWoodmead2196

NationalExecutive:LLBam(Chief Executive),AESwiegers(Chief Operating Officer),GMPinnock(Audit),DLKennedy(Risk Advisory),NBKader(Tax),TPPillay(Consulting),KBlack(Clients & Industries),JKMazzocco(Talent & Transformation),CRBeukman(Finance),MJordan(Strategy),SGwala(Special Projects),TJBrown(Chairman of the Board),MJComber(Deputy Chairman of the Board).

Afulllistofpartnersanddirectorsisavailableonrequest.

B-BBEErating:Level2contributorintermsoftheCharteredAccountancyProfessionSectorCode.

MemberofDeloitteToucheTohmatsuLimited.”

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ANNEXURE IV – INDEPENDENT EXPERT’S FAIRNESS OPINION

TheBoardofDirectorsAdcorpHoldingsLimitedAdcorpHeadOffice@NicolwayBryanstonCnrWilliamNicolandWedgewoodLinkBryanston

Attention:MrAnthonySher

15April2013

DearSir

OPINION ONTHE FAIRNESS, INTERMS OF SECTION 10 OFTHE JSE LISTING REQUIREMENTS, OFTHE PROPOSED BBBEE TRANSACTION (“THE PROPOSED TRANSACTION”) AS OUTLINED IN THECIRCULARTOSHAREHOLDERSTOBEDATEDONORABOUT18APRIL2013

Introduction

AdcorpHoldingsLimited(“Adcorp”)implementeditscurrentBBBEEtransaction(“2007BBBEETransaction”)inApril2007priortotheglobalfinancialcrisis(“GFC”)andthegrowthassumptionsandothervariableswhichwereappliedhavesubsequentlyturnedouttobeinappropriateforthepostGFCenvironment.Asaresult,itisunlikelythatanyvaluewillaccruetoAdcorp’sEmployeeShareTrustortoAdcorp’sstrategicBBBEEpartners(“2007BBBEEPartners”)by2017whichistheterminationdateofthe2007BBBEETransaction.

In order to maintain Adcorp’s BBBEE rating and its status as one of South Africa’s most empoweredcompanies, Adcorp is proposing the introduction of a new ten year BBBEE transaction (“ProposedBBBEETransaction”) and the unwinding of its 2007 BBBEETransaction.The total value of the ProposedBBBEETransaction, based on themarket capitalisation ofAdcorp on the close of business on Friday,22March2013isapproximatelyR521,5millionwiththetotalIFRS2costcalculatedatR93,1million.

IntermsoftheProposedBBBEETransaction,Adcorpwill:

• unwindthe2007BBBEETransactionbyrepurchasingthe16822849“A”ordinaryshares(“AShares”)attheoriginalsubscriptionpriceof2,5centseach;

• issue16822849unlisted“B”ordinaryshares(“BShares”)atnominalvaluetothefollowingBBBEEpartners(“BBBEEPartners”)inthefollowingproportions:

− 40% to the Adcorp Employee Benefits Trust 2 (“AEBT 2”) which is a share incentive trust to beestablishedforthebenefitoftheemployeesofAdcorp;

− 35% toWIPHOLD Financial ServicesNumberTwo Proprietary Limited. (“WIP SPV”),awholly ownedsubsidiaryofWomenInvestmentsPortfolioHoldingsLtd.(“WIPHOLD”);and

− 25%toThornbirdTradeandInvest33ProprietaryLimited.(“SimekaSPV”),awhollyownedsubsidiaryofSimekaGroupProprietaryLimited(“Simeka”).

The implementationof theproposed transaction, thepricingof theB sharesand the rights to receivedistributionsattachedtotheBSharesareasoutlinedinthecirculartoshareholders.

Scope

1. Duetotheunwindingofthe2007BBBEEtransactionandtheintroductionofthenewschemetothesame BBBEE partners, the proposed transaction represents a related party transaction, in terms ofSection10oftheListingsRequirementsoftheJSELimitedandtothisend,theboardofdirectorsoftheCompanyhaverequestedGrantThornton,asindependentexpert,tofurnishanopiniononthefairnessoftheproposedtransactioninsofarasAdcorpshareholdersareconcerned.

2. Intermsofparagraph5.51(a)and(f)oftheJSEListingRequirements,theissueofanewclassofsharesalsorequiresanindependentexpert,tofurnishanopiniononthefairnessoftheissueofthenewclassofshares,insofarastheexistingAdcorpshareholdersareconcerned.

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Itshouldbenotedthateachindividualshareholder’sdecisionmaybeinfluencedbysuchshareholder’sparticularcircumstancesand,accordingly,thatashareholdershouldconsultanindependentadvisorifinanydoubtastothemeritsorotherwiseoftheproposedtransaction.

Definition of the term “fairness”

The term“fairness” is defined in Schedule 5 of the Listings Requirements as being primarily based onquantitative issues.For illustrativepurposes, inthecaseofadisposal toarelatedparty, thetransactionmaybesaidtobefairiftheconsiderationpayablebytherelatedpartyisequaltoorgreaterthanthevalueofthebusinessthatisthesubjectofthetransaction.Inother instances,eventhoughtheconsiderationmaybe lowerthanthevalueof thebusiness, thetransactionmaybesaidtobereasonable incertaincircumstances,afterconsideringothersignificantqualitativefactors.

Assessment of fairness

Theproposedtransaction,andtheissueofthenewclassofshare,wouldberegardedasbeingfairtotheordinaryshareholdersofAdcorpiftheexpectedfairvalueperordinaryshareintheCompanyishigherafterimplementationoftheproposedtransaction,andtheissueofthenewclassofshare,thanitwouldbeiftheproposedtransactionwasnotimplementedandthenewclassofsharewasnotissued.Akeyelementof thisassessment is theprojectedrevenuewhichwouldbeat riskwithout therequisiteBBEEEcredentialsthattheproposedtransactionseekstoprovide.

Sources of information

Duringthecourseofouranalysis,werelieduponfinancialandotherinformation,obtainedfromAdcorp’smanagement.Ourconclusionisdependentonsuchinformationbeingaccurateinallmaterialrespects.

TheprincipalsourcesofinformationusedinformulatingouropinionregardingthefairnessoftheProposedtransactioninclude:

• TheauditedannualfinancialstatementsofAdcorpforthethreeyearsendedFebruary2010to2012.

• TheunauditedmanagementaccountsofAdcorpforthe11monthsended31January2013.

• ThefiveyearcashflowandincomeforecastsofAdcorpforthefinancialyearsendingFebruary2014to2018aspreparedbymanagement.

• DiscussionswiththedirectorsandmanagementofAdcorpanditssubsidiaries.

• Themanagementrepresentationletterprovidedtousinrespectofthisfairnessopinion.

• ThesharepricehistoryofAdcorpfortheperiod21March2008to20March2013.

• ThecirculartoAdcorpshareholders.

• OtherpubliclyavailableinformationwithregardstoAdcorp.

Wherepractical,wehavecorroboratedthereasonabilityoftheinformationprovidedtousforthepurposesofouropinion,whetherinwritingorobtainedindiscussionwithmanagementofAdcorp.Whilstourworkhas involved an analysis of the financial information, as provided to us, our engagement does notconstitute,nordoesitincludeanauditorreviewinaccordancewithInternationalStandardsonAuditing.Wehavenotandwedonotassumeresponsibilityorliabilityforsuchinformation.Accordingly,wecannotexpressanyopiniononthefinancialdataorotherinformationusedinarrivingatouropinion.

Procedures

Inourevaluationofthefairnessoftheproposedtransaction,wehaveperformed,inter alia,thefollowingprocedures:

• reviewedthehistoricfinancialinformationandforecastedfinancialinformationasdetailedabove;

• discussedthestrategicplans,budgetsandfinancialforecastsoftheCompany,aspreparedbyAdcorpmanagement,andconsideredtheassumptionsonwhichtheyarebased;

• obtained an understanding of the basis on which the forecasts were prepared and checked thearithmeticalaccuracyofthemodels;

• reviewedthetermsandconditionsoftheproposedBBEEEtransaction;

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• performed a valuation of the shares inAdcorp taking into account the future revenue projectionsbasedonacompanywithaLevel2BBEEEratingandtherevenueprojectionswithaninferiorrating.Thevaluationswereperformedusingadiscountedcashflowapproachbasedonassumptionsthatwerediscussedwithmanagement.AfreecashflowtofirmmodelwasappliedintermsofwhichforecastcashflowstodebtandequitycapitalproviderswerediscountedattheCompany’sweightedaveragecostofcapital(“WACC”),whichwasassumedtobeapproximately13,25%;

• comparedtheestimatedvaluepershareforAdcorp’sordinarysharesforthetwoscenarios;

• consideredthefollowingqualitativefactorsinherentintheissueofshares:

− the assertion from management that WIPHOLD and Simeka have already made an importantcontributiontoAdcorpsincetheirintroductionasshareholdersin2007throughtheirparticipationontheboardofdirectors,bypromotingthebusinessandhelpingAdcorpidentifyopportunitiestoattractnewclients;

− theassertionbymanagementthattheproposedtransactionwillprovideAdcorpwithanimportantmechanism to incentivise employees and to reward them based on the performance of theCompany;and

− the assertion by management that AEBT 2,WIPHOLD and Simeka offers an important balancebetweenbroad-basedandstrategicblackempowermentpartners.

Opinion

Basedontheinformationconsidered,weareoftheopinionthattheproposedBBEEEtransaction,andtheissueofthenewclassofshare,isfairtoAdcorpshareholders.

Ouropinionisbasedonthecurrenteconomic,market,regulatoryandotherconditionsandtheinformationmadeavailabletousbyAdcorpmanagementuptoandincluding15April2013.Accordingly,subsequentdevelopmentsmayaffectthisopinion,whichweareundernoobligationtoupdate,reviseorre-affirm.

Limiting conditions

ThisletterandopinionisprovidedsolelyforthebenefitoftheBoardinconnectionwithandforthepurposeoftheirassessmentofthefairnessoftheproposedtransaction.ItdoesnotconstitutearecommendationtotheBoardastohowtovoteonmattersrelatingthereto.Therefore,itshouldnotberelieduponforanyotherpurpose.Weassumenoresponsibilitytoanyoneifthisletterandouropinionareusedorrelieduponforanythingotherthanitsintendedpurpose.

Independence

IntermsofSchedule5oftheListingsRequirements,weconfirmthatGrantThorntonhasnodirectinterestinthesharesinAdcorpandhasprovidedthenoservicestoAdcorpduringthelast24months.

Inaddition,GrantThorntonhasnointerestintheproposedtransactionorthesuccessorfailurethereof.Accordingly,webelievewearesufficientlyindependenttoprovidethisfairnessopinion.

Yours faithfully

StevenKilfoilDirector

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ANNEXURE V – INDEPENDENT EXPERT’S REPORT

TheBoardofDirectorsAdcorpHoldingsLimitedAdcorpHeadOffice@NicolwayBryanstonCnrWilliamNicolandWedgewoodLinkBryanston

Attention:MrAnthonySher

15April2013

DearSir

REPORT OF THE INDEPENDENT EXPERT TO THE BOARD OF DIRECTORS OF ADCORP HOLDINGSLIMITED(“ADCORP”OR“THECOMPANY”)INRESPECTOFTHEREPURCHASEOFTHE“A”ORDINARYSHARESASPARTOFTHEPROPOSEDBBBEETRANSACTION(“THEPROPOSEDTRANSACTION”)ASOUTLINEDINTHECIRCULARTOSHAREHOLDERSTOBEDATEDONORABOUT18APRIL2013

Introduction

AdcorpHoldingsLimited(“Adcorp”)implementeditscurrentBBBEEtransaction(“2007BBBEETransaction”)inApril2007priortotheglobalfinancialcrisis(“GFC”)andthegrowthassumptionsandothervariableswhichwereappliedhavesubsequentlyturnedouttobeinappropriateforthepostGFCenvironment.Asaresult,itisunlikelythatanyvaluewillaccruetoAdcorp’sEmployeeShareTrustortoAdcorp’sstrategicBBBEEpartners(“2007BBBEEPartners”)by2017whichistheterminationdateofthe2007BBBEETransaction.

In order to maintain Adcorp’s BBBEE rating and its status as one of South Africa’s most empoweredcompanies,AdcorpisproposingtheintroductionofanewtenyearBBBEEtransactionandtheunwindingofits2007BBBEETransaction.

IntermsoftheProposedBBBEETransaction,Adcorpwill:

• unwindthe2007BBBEETransactionbyrepurchasingthe16822849“A”ordinarysharesattheoriginalsubscriptionpriceof2,5centseach;

• issue16822849unlisted“B”ordinarysharesatnominalvaluetothefollowingBBBEEpartners(“BBBEEPartners”)inthefollowingproportions:

− 40%totheAdcorpEmployeeBenefitsTrust2(“AEBT2”)whichisashareincentivetrusttobeestablishedforthebenefitoftheemployeesofAdcorp;

− 35% toWIPHOLD Financial ServicesNumberTwo Proprietary Limited. (“WIP SPV”),awholly ownedsubsidiaryofWomenInvestmentsPortfolioHoldingsLtd.(“WIPHOLD”);and

− 25%toThornbirdTradeandInvest33ProprietaryLimited.(“SimekaSPV”),awhollyownedsubsidiaryofSimekaGroupProprietaryLimited(“Simeka”).

Wehavebeenrequested,asindependentexperts,toprovideareporttotheAdcorpBoardofDirectorsintermsofsection114(3)oftheCompaniesAct,71of2008,asamended(“theCompaniesAct”)inrespectoftherepurchaseofthe16822849“A”ordinarysharesattheoriginalsubscriptionpriceof2,5centseach.

Effects of the proposed transaction on the shareholders of the “A” ordinary shares

Intermsofsection114(3)oftheCompaniesAct(readwithsection48oftheCompaniesAct),wearerequired topreparea report tobe issued to theAdcorp Boardof Directors concerning theproposedtransaction,whichmust:

(a) state all prescribed information relevant to the value of the securities affected by the proposedtransaction;

(b) identify every type and class of holder of the Company’s securities affected by the proposedtransaction;

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(c) describethematerialeffectsthattheproposedtransactionwillhaveontherightsandinterestsofthepersonsmentionedinparagraph(b);

(d) evaluateanymaterialadverseeffectsoftheproposedtransactionagainst:

i. thecompensationthatanyofthosepersonswillreceiveintermsofthattransaction;and

ii. anyreasonablyprobablebeneficialandsignificanteffectofthattransactiononthebusinessandprospectsoftheCompany.

(e) stateanymaterialinterestofanydirectoroftheCompanyortrusteeforsecurityholders;

(f) statetheeffectoftheproposedtransactionontheinterestandpersoncontemplatedinparagraph(e);and

(g) includeacopyofsections115and164oftheCompaniesAct.

Share capital details

ThesharecapitaloftheCompanyimmediatelypriortotheproposedtransactionwillcomprise:

• 183177151authorisedAdcorpsharesof2,5centsparvalue;

• 91811776issuedAdcorpsharesof2,5centsparvalue;

• 16822849authorised“A”ordinarysharesof2,5centsparvalue;and

• 16822849issued“A”ordinarysharesof2,5centsparvalue.

ThesharecapitaloftheCompanyimmediatelyaftertheproposedtransactionwillcomprise:

• 183177151authorisedAdcorpsharesof2,5centsparvalue;

• 91811776issuedAdcorpsharesof2,5centsparvalue;

• 16822849authorisedbutunissued“A”ordinarysharesof2,5centsparvalue;

• 16822849authorised“B”ordinarysharesofnoparvalue;and

• 16822849issued“B”ordinarysharesofnoparvalue.

Repurchasepriceandterms(candd)

Itshouldbenotedthatthe“B”ordinaryshareswillbeheldbythesamebeneficialshareholdersasthe“A”ordinarysharesandinthesameproportiontotheircurrentshareholding.

Therepurchasepriceof2,5centspershareistheoriginalsubscriptionpriceforthe“A”ordinarysharesandwillbethesubscriptionpriceforthenew“B”ordinaryshares.

Thetransactionwillhavenocashaffectonthe“A”ordinaryshareholders,astheproceedsfromrepurchasewillbeusedtosubscribeforthe“B”ordinaryshares.Furthermore,therightsattributabletotheshareholdersofthe“B”ordinarysharesaremorebeneficialthanthoseattributabletothe“A”ordinaryshares.

Wethereforebelievethattheproposedtransactionisfairandreasonabletothe“A”ordinaryshareholders.

Wedonotconsider there tobeany likelymaterialadverseeffectsarisingasa resultof theproposedtransaction.

Interestsofdirectorsandtrustees(eandf)

WearealsorequiredtostateanymaterialinterestofanydirectoroftheCompanyortrusteeforsecurityholdersandstatetheeffectoftheproposedtransactiononsuchinterestsandpersons.

ThefollowingdirectorsofAdcorparerepresentativeofthe“A”ordinaryshareholders:

Simeka–MuthanyiRobinsonRamaiteandCecilMaswanganyi

WIPHOLD–GugulethuPatriciaDingaan,NontobekoSanelisiweNdhlaziandLouisaMadiakoMojela

AEBT2–CampbellBomela

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The proposed repurchasewill not have amaterial effect on any of the directors listed above. All thedirectorswillcontinueinofficeasrepresentativesofthe“B”ordinaryshareholders.

Conclusion

WerecordthatneitherGrantThornton,noranyofthedirectorsofGrantThornton,haveanyinterestin:

• theissuedsharecapitalofAdcorp,or

• thesuccessorfailureoftheproposedtransaction

WefurtherrecordthatGrantThorntonhasthenecessaryindependenceandcompetencetoactastheindependentexpertintermsofsection114oftheCompaniesAct.

Yours faithfully

StevenKilfoilDirector Grant Thornton Advisory Services

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ANNEXURE VI – TERMS OF THE B SHARES

ThefollowingtermsshallapplytotheBSharesinthesharecapitalofAdcorp:

1. TheBSharesshallrankpari passuinallrespectswiththeOrdinaryShares,savethattherighttoreceiveDistributionswhichconstituteDividends,issuspendeduntiltheTriggerDateandisregulatedintermsofparagraph2,whichsetsouttherightoftheholdersoftheBSharestoaBTrickleDividend.TherightoftheholdersoftheBSharestoparticipateinaDistributionwhichconstitutesaReturnofCapitalisnotlimited.IfaDistributionconstitutesneitheraDividendnoraReturnofCapitalthentherightoftheholdersoftheBSharestoparticipateinthatDistributionshallbesuspendeduntiltheTriggerDate.

2. Until theTriggerDate,theBSharesshallconferontheholderthereofarighttoaBTrickleDividendcalculatedinaccordancewiththeBTrickleDividendFormula:

A=[(DxB)xH]/a

Where:

A= theBTrickleDividendperBShare(expressedinRand);

D= theamountofthetotalDividendsdeclaredbytheboardofdirectorsofAdcorpintherelevantfinancial year, expressed in Rand,but excluding, for theavoidanceofdoubt, any BTrickleDividendandanyconsiderationfortheacquisitionbyAdcorpofanyOrdinaryShare;

B= the shareholding represented by the total number of B Shares in issue, expressed as apercentage of the total issued share capital ofAdcorp (limited toOrdinary Shares and BShares),itbeingrecordedthat,attheSubscriptionDate,Bwillbe15,49%;

H= thehurdlerateofearningsforthepaymentofBTrickleDividends,whichisdeterminedwithreferencetothegrowthinnormalisedearningsperOrdinaryShare,expressedasapercentage(“G”),fortherelevantfinancialyear,aspublishedinthenationalpress,asfollows:

G–CPI≤3%:H=0;

3%<G–CPI<8%:H=15%(0,15appliedintheformula);

G–CPI≥8%:H=20%(0,2appliedintheformula);

CPI= theheadlineconsumerpriceindexforallurbanareas,withtheindexbasebeing100(onehundred)forDecember2012aspublishedbyStatisticsSouthAfricaorsuchotherbodyuponwhomresponsibilityforthedeterminationandpublicationoftheCPImaydevolvefromtimetotimeinrespectofanyrelevantdateorperiod;

a= thenumberofBSharesinissue.

3. In theeventofa rightsoffer toallholdersof theOrdinaryShares,AdcorpshallalsoofferOrdinarySharestotheholdersoftheBSharesatthesamepriceperOrdinaryShareandonthesametermsasareofferedtoaholderofOrdinaryShares.ThenumberofOrdinaryShareswhichshallbesoofferedtotheholdersoftheBShares(proratatothenumberofBSharesheldbyeachofthem)shallbeproratatotheirshareholdingrepresentedbythetotalnumberofBSharesinissue,expressedasapercentageofthetotalissuedsharecapitalofAdcorp(limitedtoOrdinarySharesandBShares),itbeingrecordedthattheholdershallbeentitled,wheretherightsofferisrenounceable,onlytorenounceitsrightsinfavourofitsholdingcompanyand/oranassociatedcompanyofsuchholdingcompany.

4. TheregisteredholdersoftheBSharesshallbeentitledto:

4.1 receivenoticeofeveryannualgeneralmeetingorothergeneralmeetingofthemembersofAdcorp;and

4.2 voteatanyannualgeneralmeetingorgeneralmeeting,orascontemplatedinsection60oftheCompaniesAct,inpersonorbyproxy,onanymattertobedecidedbytheshareholdersofAdcorpandto(one)voteinrespectofeachBShareheld.

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5. ThetermsoftheBSharesmaynotbemodifiedwithoutthepriorwrittenconsentoftheholdersofatleastthree-quartersoftheBShares.

6. OntheTriggerDate:

6.1 thesuspensionof the rightsof theholdersofBShares toparticipate inDistributionswhichconstituteDividendsorDistributionswhichconstituteneitheraDividendnoraReturnofCapitalshalllapse,andtheBSharesshallthereafterrankpari passuinallrespectswiththeOrdinaryShares;and

6.2 Adcorpshall,subjecttocompliancewithsection46oftheCompaniesActandprovidedthatAdcorpandtheholder/softheBSharesdonotagreeotherwiseinwritingpriortotheTriggerDate,redeemsuchnumberoftheBSharesasiscalculatedinaccordancewiththefollowingformula:

O=TB–[(BxM)–CNTA]/P

Where:

O= thenumberofBShareswhicharetoberedeemedbyAdcorp,roundeddowntothenearestwholenumber(the“RedeemedShares”);

TB= thetotalnumberofBSharesinissue,itbeingrecordedthat,attheSubscriptionDate,TBis16822849;

B= theshareholdingrepresentedbythetotalnumberofBSharesinissue,expressedasapercentageofthetotalissuedsharecapitalofAdcorp(limitedtoOrdinarySharesandBShares),itbeingrecordedthat,attheSubscriptionDate,Bis15,49%;

M= themarketvalueofAdcorpontheTriggerDate,beingthe90-dayvolumeweightedaverage share price of Adcorp multiplied by the total number of Ordinary Sharesinissue;

CNTA= theNotionalThresholdAmount(“NTA”)asattheTriggerDate,whichisequaltothedifferencebetweenthe90-dayvolumeweightedaveragesharepriceofAdcorp(inRands) on thedaypreceding the SubscriptionDatemultipliedby thenumber ofBShares,andthecashamountpaidbythesubscribers for theBShares,adjustedannually(ateachfinancialyearendofAdcorp)asfollows:

– the NTA shall be escalated by a notional escalation factor equal to CPI (asdefinedin2above)plus3%,compoundedannually;

– the NTA will be reduced annually by an amount equal to any Distributiondeclaredand/orpaidbyAdcorp in respect of theOrdinary Sharesgenerallywhichwould,butforthesuspensionoftherightsassociatedwiththeBSharesassetoutintheseterms,havebeenduetotheholdersoftheBShares(includinganyDistributionwhichconstitutesneitheraDividendoraReturnofCapital),inaccordancewiththefollowingformula:

Q=(Div–Z)xa

Where:

Q= theamountbywhichNTAisreducedannually;

Div= anamount equal toanyDistribution (other thanaDistributionwhichconstitutes a Return of Capital) declared and/or paid by AdcorpannuallyinrespectoftheOrdinarySharesgenerallyonapersharebasis(expressed inRand)whichwould,but for thesuspensionof the rightsassociatedwiththeBSharesassetoutintheseterms,havebeendueto theholdersof theBShares (including, for theavoidanceofdoubt,any Distribution which constitutes neither a Dividend nor a Return ofCapital).AnycashpaymentstoholdersofOrdinaryShares in lieuofacapitalisationshare(ascontemplatedinsection47oftheCompaniesAct)shallbeincludedforcalculationpurposesbutanyconsiderationfortheacquisitionofOrdinarySharesshallbeexcludedfromthisamount;

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Z= anyBTrickleDividenddeclaredandpaidannuallytoholdersofBSharesonapersharebasis(expressedinRand);

a= thenumberofBSharesinissue;

P= the90-dayvolumeweightedaveragesharepriceofAdcorpprecedingtheTriggerDate.

7. Adcorpshall redeemtheBShares in6.2,proratatothenumberofBSharesheldbyeachholder,bypayingtheRedemptionAmountandshall fundtheredemptionof theBShares inanymannerpermissibleinlaw.AdcorpshallredeemaBSharebypayingtheRedemptionAmountincashtotheholder.TheholdermustsurrendertoAdcorpthesharecertificateoftheBShareconcernedinorderthatthecertificatemaybecancelled.

8. After the redemption of the Redemption Shares in 6.2, any remaining B Shares shall convert intoOrdinarySharesonaoneforonebasis.TheholdersmustdeliverallsharecertificatesinrespectoftheBSharestoAdcorp.Uponreceiptoftherelevantsharecertificates(oranindemnityreasonablysatisfactorytoAdcorp)Adcorpshalltakeallstepstoensuretheconversionisimplementedandallappropriateresolutionsarepassed.IftherestofAdcorp’sOrdinarySharesarelisted,alistingwillalsobesoughtfortheseOrdinaryShares(intowhichtheBSharesconverted),subjecttotheapprovaloftherelevantstockexchange.

9. AnyofthefollowingshallconstituteanEarlyRedemptionEvent:

9.1 inrespectofWIPSPV,ifWIPSPVceasestobeeither:

9.1.1 awhollyownedsubsidiaryofWIPHOLD;or

9.1.2 atleast51%(fiftyonepercent)ownedbyBlackPeopleandatleast25%(twentyfivepercent)ownedbyBlackWomen(asthosetermsaredefinedbelow)

anddoesnotremedysamewithin30daysofAdcorpnotifyingitofsuchcessationinwriting;

9.2 inrespectofSimekaSPV,ifSimekaSPVceasestobeeither:

9.2.1 awhollyownedsubsidiaryofSimeka;or

9.2.2 at least 86% (eighty six percent) owned by Black People (as those terms aredefinedbelow)

anddoesnotremedysamewithin30daysofAdcorpnotifyingitofsuchcessationinwriting;

9.3 inrespectofanyholderofBShares,iftheholderorWIPHOLD(inthecaseofWIPSPV’sBShares)orSimeka(inthecaseofSimekaSPV’sshares):

9.3.1 breachesanyrestrictioninrelationtothedisposalorencumbrancesoftheBShares;

9.3.2 breachesanyobligationowedtoAdcorpinrespectoftheexerciseofthevotingrightsontheBSharesinrespectofanaffectedtransactionoranyobligationtodisposeoforretainitsBSharesintermsofanysuchaffectedtransaction;

9.3.3 breaches any written restraint undertaking or warranty in relation to competinginterestsandinvestmentsasatSubscriptionDate;

9.3.4 breachestheobligationtoprocurethatitsnomineedirectorswillattendatleast75%(seventyfivepercent)ofthemeetingsoftheboardofAdcorpineachfinancialyearand/ortoserveonAdcorp’sremunerationcommittee,itsauditandriskcommitteeand/oritstransformationcommittee,ifsorequiredbyAdcorp;

9.3.5 breachesanywrittenobligationtoprovidesupporttoAdcorp

anddoesnotremedysamewithin30daysofAdcorpnotifyingitofsuchbreachinwriting.

10. If an Early Redemption Event occurs, Adcorp shall redeem the Redemption Shares held byWIPSPVorSimekaSPV,asthecasemaybe,attheRedemptionAmountperBShareandshallfundtheredemptionof theB Shares inanymannerpermissible in law.Adcorp shall redeemaB SharebypayingtheRedemptionAmountincashtoWIPSPVorSimekaSPV,asthecasemaybe.Theholdermustsurrender toAdcorp thesharecertificateof theRedemptionSharesconcerned inorder thatthecertificatemaybecancelled.AftertheredemptionoftheRedemptionSharesintermsofthis10,

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anyremainingBSharesheldWIPSPVorSimekaSPV,asthecasemaybe,shallconvertintoOrdinarySharesonaoneforonebasis.TherelevantholdersmustdeliverallsharecertificatesinrespectoftheB Shares toAdcorp. Upon receipt of the relevant share certificates (or an indemnity reasonablysatisfactorytoAdcorp)Adcorpshalltakeallstepstoensuretheconversionisimplementedandallappropriateresolutionsarepassed.IftherestofAdcorp’sOrdinarySharesarelisted,alistingwillalsobesoughtfortheseOrdinaryShares(intowhichtheBSharesconverted),subjecttotheapprovaloftherelevantstockexchange.

11. InthisSchedule,thefollowingtermshavethefollowingmeanings:

11.1 “Adcorp”meansAdcorpHoldingsLimited,registrationnumber1974/001804/06;

11.2 “BShares”meansunlistedBordinarysharesofnoparvalueinthesharecapitalofAdcorphavingthepreferences,rights,limitationsandothertermssetoutinthisSchedule,

11.3 “BTrickleDividend”meanstherightoftheholdersoftheBSharestoparticipateinDistributionswhichconstituteDividendscalculatedinaccordancewiththeBTrickleDividendFormula;

11.4 “BTrickleDividendFormula”meanstheformulasetoutin2;

11.5 “BEEAct”meanstheBroad-BasedBlackEconomicEmpowermentAct53of2003,asat theSubscriptionDate;

11.6 “BlackPeople”meansAfrican,ColouredorIndianpersonswhoarenaturalpersonsandarecitizensoftheRepublicofSouthAfricabybirthordescentascontemplatedintheBEEActreadwiththeCodes;

11.7 “BlackWomen”meanssubjecttotheprovisionsoftheBEEActandanyfurtherqualificationsimposedbytheCodes,femaleBlackPeople;

11.8 “Codes”meansthecodesofgoodpracticeissuedundertheBEEActasattheSubscriptionDate;

11.9 “CompaniesAct”meanstheCompaniesAct71of2008,asamendedfromtimetotime;

11.10 “Distributions”meansdistributionsasdefinedintheCompaniesAct;

11.11 “Dividend”meansadividendascontemplatedintheIncomeTaxAct;

11.12 “EarlyRedemptionEvent”meansanearlyredemptioneventassetoutin9;

11.13 “IncomeTaxAct”meanstheIncomeTaxAct58of1962,asamendedfromtimetotime;

11.14 “OrdinaryShares”meansordinarysharesinthesharecapitalofAdcorp;

11.15 “RedemptionAmount”means2,5cents(twoandahalfcents)perBShare;

11.16 “RedemptionShares”meansalloftheBSharesheldbyWIPSPVorSimekaSPV,asthecasemaybe,savethat,intheeventofanEarlyRedemptionEventintermsof9.3.5,theRedemptionSharesshallbesuchnumberofBSharesheldbyWIPSPVorSimekaSPV,asthecasemaybe,asisdeterminedinaccordancewiththefollowingformula:

RS=TB–{[[(BxM)–(CNTAxX)]/P]xD}

Where:

RS= thenumberofBShareswhicharetoberedeemedbyAdcorp,roundeduptothenearestwholenumber;

TB= thetotalnumberofBSharesheldbyWIPSPVorSimekaSPV,asthecasemaybe;

B= theshareholding representedby the totalnumberofBSharesheldbyWIPSPVorSimekaSPV,asthecasemaybe,expressedasapercentageofthetotalissuedsharecapitalofAdcorp(limitedtoOrdinarySharesandBShares);

M=M ascalculatedinaccordancewith6.2,savethatreferencestotheTriggerDateshallbeconstruedasreferencestothedateoftheEarlyRedemptionEvent;

CNTA= CNTAascalculatedinaccordancewith6.2,savethatreferencestotheTriggerDateshallbeconstruedasreferencestothedateoftheEarlyRedemptionEvent;

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X= theshareholding representedby the totalnumberofBSharesheldbyWIPSPVorSimekaSPV,asthecasemaybe,expressedasapercentageofthetotalnumberofBShares;

P= Pascalculatedinaccordancewith6.2,savethatreferencestotheTriggerDateshallbeconstruedasreferencestothedateoftheEarlyRedemptionEvent;

D= iftheEarlyRedemptionEventoccurs:

onorbeforethethirdanniversaryoftheSubscriptionDate,0.4;

after the third anniversary of the Subscription Date, but on or before the seventhanniversaryoftheSubscriptionDate,0.7;

after the seventh anniversary of the Subscription Date, but prior to the TriggerDate,0.9;

11.17 “ReturnofCapital”meansareturnofcapitalascontemplatedintheIncomeTaxAct;

11.18 “Simeka”meansSimekaGroupProprietaryLimited(registrationnumber2006/013330/07);

11.19 “SimekaSPV”meansThornbirdTradeand Invest33ProprietaryLimited(registrationnumber2007/005509/07);

11.20 “SubscriptionDate”meansthedateonwhichtheBSharesareissuedtotheholders;

11.21 “TriggerDate”meansthedatewhichistheearlierofthe10thanniversaryoftheSubscriptionDateandthedateonwhichtheNTA(asdefinedin6)becomeszero;

11.22 “WIP SPV”meansWIPHOLD Financial Services NumberTwo Proprietary Limited (registrationnumber2005/006441/07);

11.23 “WIPHOLD” means Women Investment Portfolio Holdings Limited (registration number1996/001291/06).

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NOTICEOFGENERALMEETING

AlltermsdefinedintheCirculartowhichthisnoticeofGeneralMeetingisattachedshallbearthesamemeaningsherein.

Notice isherebygiven thataGeneralMeetingof theShareholderswillbeheldatAdcorp’s registeredoffice:AdcorpHeadOffice,NicolwayBryanston,CnrWilliamNicolandWedgewoodLink,Bryanston,2021,JohannesburgonMonday,20May2013at10h00.

The record date for Shareholders to be recorded in the securities registermaintained by theTransferSecretariesofAdcorpinordertobeeligibletoreceivethisCircularandnoticeoftheGeneralMeetingisFriday,12April2013.

TherecorddateonwhichShareholdersmustberecordedassuchinthesecuritiesregistermaintainedbytheTransferSecretariesofAdcorpforthepurposesofbeingentitledtoattend,participateinandvoteattheGeneralMeetingisFriday,10May2013.Accordingly,thelastdaytotradetobeeligibletoattend,participateinandvoteattheGeneralMeetingisFriday,3May2013.

In termsofsection63(1)of theCompaniesAct,anypersonattendingorparticipating inameetingofshareholdersmustpresentreasonablysatisfactoryidentificationandthepersonpresidingatthemeetingmustbereasonablysatisfiedthattherightofanypersontoparticipateinandvote(whetherasShareholderorasproxyforaShareholder)hasbeenreasonablyverified.Accordingly,allShareholderswillberequiredto provide identification reasonably satisfactory to the chairman of the General Meeting in order toparticipateinandvoteattheGeneralMeeting.

Thepurposeofthemeetingistotransactthebusinesssetoutbelowandtoconsiderand,ifdeemedfit,topass,withorwithoutmodification,theresolutionssetoutbelow:

SPECIALRESOLUTION1

THAT, subject to the passing of Special Resolution 2 and the filing thereof with the Companies andIntellectual PropertyCommission (“CIPC”), 16 822 849“B” ordinary sharesof nopar value, having thepreferences,rights, limitationsandothertermssetout inparagraph3ofSchedule“1”totheMOIoftheCompany,beandareherebycreated.

Reason and effect

ThereasonandeffectofSpecialResolution1istoincreasetheCompany’sauthorisedsharecapitalbycreating16822849BShares,toallowfortheissueofsuchsharestotheBBBEEPartners intermsoftheProposedBBBEETransaction.

Intermsofsection62(3)(c)oftheCompaniesAct,thepercentageofvotingrightsthatwillberequiredforthisSpecialResolution1tobeadoptedisatleast75%ofthevotesexercisedontheresolution.

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SPECIALRESOLUTION2

THAT,subjecttothepassingofSpecialResolution1andthefilingthereofwiththeCIPC,theMOIoftheCompanybeandisherebyamendedby:

• the insertion of the words“(other than B ordinary shares)” after the words“No Shares” in line 1 ofparagraph6.6oftheMOI;and

• theinsertionofthewords“(otherthanBordinaryshares)”afterthewords“unissuedshares”inline3ofparagraph6.10oftheMOI;andtheinsertionofthewordingsetout inAnnexureVIheretoasanewparagraph3ofSchedule“1”totheMOI.

Reason and effect

ThereasonandeffectofSpecialResolution2istoamendtheMOI(i)toincludethetermsandconditionsattachingtotheBSharescreatedinSpecialResolution1;(ii)toensurethattheBSharesareabletocontainareferencetoCPI(beinganobjectivelyascertainableexternalfactascontemplatedinparagraph6.6oftheMOI);and(iii)toclarifythattheissueoftheBSharesisnotsubjecttoarightofpre-emption(ascontemplatedinparagraph6.10oftheMOI).


SPECIALRESOLUTION3

THAT, to theextent that the termsof theProposedBBBEETransactionconstitute financialassistanceascontemplatedinsection44or45oftheCompaniesAct,theBoardmay,subjecttocompliancewiththerequirementsof theMOIand theCompaniesAct,authorise theCompany toprovidedirector indirectfinancialassistancebywayofaloan,guarantee,indemnity,theprovisionofsecurityorotherwise(“financialassistance”),totheBBBEEPartnersincludingforthepurposeof,orinconnectionwith,thesubscriptionbytheBBBEEPartnersof theBSharesand/or toprovidesuchfinancialassistance toanyothercompanyorcorporationthatisorbecomesrelatedorinter-relatedtoadirectorortotheCompany(asmorefullycontemplatedinsection45)foranypurposeorinconnectionwithanymatter,astheBoarddeemfit,forpurposesofimplementingtheProposedBBBEETransaction.

Reason and effect

ThereasonandeffectofSpecialResolution3istoauthorisetheprovisionoffinancialassistanceforthepurposesofimplementingtheProposedBBBEETransaction.


SPECIALRESOLUTION4

THAT the Shareholders of the Company hereby grant specific approval to repurchase and cancel16822849AShares,representing100%oftheissuedAShares,atR0,025perAShareonthetermsandconditionssetoutintheRepurchaseAgreement,whichrepurchasebeandisherebyapprovedintermsofsections48,114and115oftheCompaniesAct,paragraph5.69oftheListingsRequirementsandarticle17ofAdcorp’sMOI.

Reason and effect

ThereasonforSpecialResolution4istospecificallyauthoriseAdcorptoacquiretheRepurchaseShares,namely16822849ASharesintermsoftheCompaniesAct,theListingsRequirements,Adcorp’sMOI,andtheRepurchaseAgreement.IntermsoftheListingsRequirements,thevotesofthe2007BBBEEPartnerswillnotbetakenintoaccountindeterminingtheresultsofthevotingattheGeneralMeetingoneachoftheresolutionsrelatingtothespecificrepurchase.

TheeffectofSpecialResolution4istoenableAdcorp,bywayofaspecificauthority,toacquiresharesintheCompanyfromthe2007BBBEEPartnersintermsoftheRepurchaseAgreement.

IntermsoftheListingsRequirements,thespecificrepurchaseisarelatedpartytransactionasSimekaisanassociateofMuthanyiRobinsonRamaiteandCecilMaswanganyiwhoaredirectorsofAdcorp,andis consequently a relatedparty toAdcorp.Therefore, in terms of the Listings Requirements, in order toimplementthespecificrepurchase,aspecialresolutionoftheCompanymustbepassedbyshareholdersexcludingSimeka.

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Intermsofsection62(3)(c)oftheCompaniesAct,thepercentageofvotingrightsthatwillberequiredforthisSpecialResolution4tobeadoptedisatleast75%ofthevotesexercisedontheresolution.AnypartiesparticipatingintheRepurchaseortheirassociatesorpersonsrelatedtothemoractinginconcertwiththemwillbeexcludedfromvoting.

STATEMENT BY THE DIRECTORS OF THE COMPANY

ThedirectorsofAdcorphaveconsideredtheimpactofthespecificRepurchaseandareoftheopinionthat:

• theprovisionsofsection46and48oftheCompaniesActhavebeencompliedwith;

• Adcorpandthegroupwillbeableintheordinarycourseofbusinesstopayitsdebtsforaperiodof12monthsafterthedateofapprovalofthisCircular;

• theassetsofAdcorpandthegroupwillbeinexcessofitsliabilitiesforaperiodof12monthsafterthedateofapprovalofthisCircular,whereforthispurpose,theassetsandliabilitiesarerecognisedandmeasuredinaccordancewiththeaccountingpoliciesusedinthelatestauditedconsolidatedannualfinancialstatementsofthegroup;

• thesharecapitalandreservesofAdcorpandthegroupwillbeadequateforordinarybusinesspurposesforaperiodof12monthsafterthedateofapprovalofthisCircular;and

• theworkingcapitalofAdcorpandthegroupwillbeadequateforordinarybusinesspurposes foraperiodof12monthsafterthedateofapprovalofthisCircular.

Furthermore,itisstatedasfollows:

• in termsof section46(1)(a)(ii)of theCompaniesActand the ListingsRequirements, theBoardhasauthorisedthespecificRepurchasebyresolution;

• intermsofsection46(1)(b)oftheCompaniesAct,itreasonablyappearsthattheCompanywillsatisfythesolvencyandliquiditytestimmediatelyaftercompletingthespecificRepurchase;and

• intermsofsection46(1)(c)oftheCompaniesAct,theBoardhas,byresolution,acknowledgedthatithasappliedthesolvencyandliquiditytestassetoutinsection4oftheCompaniesAct,andreasonablyconcludedthattheCompanywillsatisfythesolvencyandliquiditytestimmediatelyaftercompletingthespecificRepurchase.

SPECIAL RESOLUTION 5

THAT,intermsofsection41oftheCompaniesActandrule5.51oftheListingsRequirements,theCompanyisspecificallyauthorisedtoissueandallot6729140BSharestoAEBT2;5887997BSharestoWIPHOLDand4205712BSharestoSimekaSPV,forcashinaccordancewiththetermsandconditionsoftherelevantSubscriptionAgreements.

Reason and effect

ThereasonandeffectofSpecialResolution5istoobtaintheapprovaloftheShareholdersfortheissueofBSharestotheBBBEEPartnersintermsoftheProposedBBBEETransaction.

Intermsofsection62(3)(c)oftheCompaniesAct,thepercentageofvotingrightsthatwillberequiredforthisSpecialResolution5tobeadoptedisatleast75%ofthevotesexercisedontheresolution.AnypartiesparticipatingintheProposedBBBEETransactionandtheirassociateswillbeexcludedfromvoting.

ORDINARYRESOLUTION1

THAT the proposedTransactionAgreements between theCompany, the 2007 BBBEE Partners and theBBBEEPartners,whichsetoutthetermsoftheRepurchaseandtheProposedBBBEETransaction,beandareherebyapproved.IntermsoftheProposedBBBEETransaction,16822849BShareswillbeissuedtotheBBBEEPartnersasaSpecificIssue.

The implementation of the Proposed BBBEETransaction shall, in accordance with paragraph 5.51 ofthe ListingsRequirements,besubject to theapprovalbyordinary resolutionpassedbyat least75%ofShareholderspresentorrepresentedbyproxyattheGeneralMeetingintermsofthespecificissueoftheBSharestotheBBBEEPartners,excludinganypartiesandtheirassociateswhoareparticipating intheProposedBBBEETransaction.

IntermsoftheListingsRequirements,thespecificissueoftheBShares isarelatedpartytransactionasSimeka, is an associate ofMuthanyi Robinson Ramaite andCecilMaswanganyi who are directors ofAdcorp,andisconsequentlyarelatedpartytoAdcorp.Therefore, intermsoftheListingsRequirements,

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inordertoimplementthespecificRepurchase,aresolutionoftheCompanymustbepassedbya75%majorityofshareholdersexcludingSimeka.Furthermore,paragraph5.51(g)oftheListingsRequirementsprohibitspartiesparticipatinginthespecificissuefromparticipatinginthevoteandaccordinglynoneoftheBBBEEPartnerswillvoteonthisresolution.

ORDINARYRESOLUTION2

THAT,subjecttotheapprovaloftheProposedTransaction,thedirectorsareauthorisedtoissueandallotthe16822849BSharesasproposed.

ORDINARYRESOLUTION3

THATanydirectoroftheCompany,beandisherebyauthorised,onbehalfoftheCompany,todoorcausetobedoneallsuchthingsandtosignallsuchdocumentsasmaybereasonableornecessarytogiveeffecttotheaboveresolutions.Anyactionswhichhavebeentakenbyanydirector inrelationtogivingeffecttotheaboveresolutionsareherebyretrospectivelyapprovedandratifiedintheirentirety.

Inordertobeadopted,ordinaryresolutions2and3mustbesupportedbymorethan50%ofthevotingrightsexercisedonsuchresolutions.

VOTING

Onashowofhands,everyShareholderwhoispresentinperson,byproxyorrepresentedattheGeneralMeeting shall haveone vote (irrespective of the number ofAdcorp Shares orAdcorpA Shares held)andonapoll,everyShareholdershallhaveforeachshareheldbyhimthatproportionofthetotalvotesinAdcorpwhich theaggregateamountof thenominal valueof that shareheldbyhimbears to theaggregateofthenominalvalueofallthesharesissuedbyAdcorp.

ELECTRONIC PARTICIPATION

Shareholders or their proxies may participate in (but not vote at) the General Meeting by way ofa teleconference call. If they wish to do so, they must contact Adcorp’s company secretary on011 658 0473/4 or email [email protected] (Attention: S Wilke) by no later than 10h00 on Friday,17May2013andidentifythemselvestothesatisfactionoftheCompanysecretarytoobtainthedialingcodeandpinnumber.ShareholdersparticipatinginthismannerwillstillhavetoappointaproxytovoteontheirbehalfattheGeneralMeeting.AccessbymeansofelectroniccommunicationwillbeattheexpenseoftheShareholder.

PROXIES

AShareholderentitledtoattend,participateinandvoteattheGeneralMeetingmayappointoneormorepersonsasitsproxytoattend,speakandvoteinitsstead.AproxyneednotbeashareholderofAdcorp.TheappointmentofaproxywillnotprecludetheShareholderwhoappointedthatproxyfromattendingtheGeneralMeetingandparticipatingandvotinginpersonatsuchGeneralMeetingtotheexclusionofanysuchproxy.Shareholdersarereferredtotheattachedformofproxy(blue) in this regard.

IfyouareaCertificatedShareholderoraDematerialisedShareholderwithOwn-nameRegistrationandareunabletoattendtheGeneralMeetingandwishtoberepresentedthereat,youmustcompleteandreturntheattachedformofproxy(blue)inaccordancewiththeinstructionscontainedthereintobereceivedbytheTransferSecretaries,LinkMarketServicesSouthAfricaProprietaryLimited,at13thFloor,RennieHouse,19AmeshoffStreet,Braamfontein,Johannesburg2001(POBox4844,Johannesburg,2000),bynot laterthan 10h00 on Friday, 17 May 2013. If you have dematerialised your Adcorp Shares with a CSDP orBroker, other than with Own-name Registration, you must arrange with them to provide you with thenecessaryletterofrepresentationtoattendtheGeneralMeetingoryoumustinstructthemastohowyouwishtovoteinthisregard.ThismustbedoneintermsoftheagreemententeredintobetweenyouandtheCSDPorBroker,inthemannerandcut-offtimestipulatedtherein.

AdditionalproxyformsareobtainablefromAdcorp’sCompanysecretaryandmustbedepositedattheTransferSecretariesnotlessthan24hoursbeforetheGeneralMeeting.

By order of the Board

Premium Corporate Consulting Services Proprietary LimitedCompany Secretary

18April2013

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(Registrationnumber1974/001804/06)Sharecode:ADRISIN:ZAE000000139

FORMOFPROXY–GENERALMEETING

For usebyCertificated Shareholders or Dematerialised ShareholderswithOwn-name Registrationat theGeneralMeetingtobeheldat10h00onMonday,20May2013attheregisteredofficeofAdcorpatNicolwayBryanston,CnrWilliamNicolandWedgewoodLink,Bryanston,2021,Johannesburg.

Thedefinitionsand interpretationscommencingonpage5of theCircular towhich this formofproxy isattachedalsoapplytothisformofproxy.

If Shareholders have dematerialised their shares with a CSDP or Broker, other than with Own-nameRegistration, they must arrange with the CSDP or Broker to provide them with the necessary letter ofrepresentationtoattendtheGeneralMeetingortheShareholdermust instructthemastohowtheywishtovoteinthisregard.ThismustbedoneintermsoftheagreemententeredintobetweentheShareholderandtheCSDPorBroker,inthemannerandcut-offtimestipulatedtherein.

Please read the notes on the reverse hereof carefully, which, amongst other things, set out the rights of Shareholdersintermsofsection58oftheCompaniesActwithregardtotheappointmentofproxies.

FortheGeneralMeeting

I/We(Name/sinblockletters)

of(addressinblockletters)

beingaShareholderofAdcorpandholdingsharesinAdcorp,andentitledtovote,doherebyappoint(refertonote1attheendofthisproxyform):

or,failinghim/her,

Richard Pike ofAdcorp at Nicolway Bryanston,CnrWilliamNicol andWedgewood Link, Bryanston, 2021,Johannesburg, or failing him, theChairman of theGeneralMeeting asmy/our proxy(ies) to vote on apollonmy/ourbehalfattheGeneralMeetingtobeheldat10h00onMonday,20May2013andatanypostponementoradjournmentthereof.

Pleaseindicatewithan“X”inthespacesbelowhowyouwishyourproxytovoteinrespectoftheresolutionstobeproposed,ascontainedinthenoticeoftheabovementionedGeneralMeeting.

*I/Wedesiremy/ourproxytovoteontheresolutionstobeproposed,asfollows:

For Against AbstainSpecialResolution1(creationof16822849BShares)Specialresolution2(amendmentstoAdcorp’sMOI)Specialresolution3(authoriseAdcorptoprovidefinancialassistancetoimplementtheProposedBBBEETransaction)Special resolution 4 (specific authority for the Repurchase of RepurchaseShares)Specialresolution5(authoritytoissue16822849BShares)Ordinaryresolution1(approvaloftheTransactionAgreementsandthespecificissueof16822849BSharestotheBBBEEPartners)Ordinaryresolution2(approvalforthedirectorstoissueandallottheBShares)Ordinaryresolution3(anydirectorofAdcorp isherebyauthorisedtodoallsuch things and sign all such documents necessary to give effect to theresolutionsproposedat theGeneralMeetingwhich thisordinary resolutionisproposed)Signedbyme/usthisdayof2013

Signature

Assistedbyme(whereapplicable)(seenote12onreverseofthisproxyform)

Fullname/sofsignatoryifsigninginarepresentativecapacity(seenote11onreverseofthisproxyform)

* If this form of proxy is returned without any indication of how the proxy should vote, the proxy will exercise his/her discretion both as to how he/she votes and as to whether or not he/she abstains from voting.

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Notes

1. AShareholderentitledtoattendandvoteattheabovementionedmeetingisentitledtoappointoneormoreproxiestoattend,speakand,onapoll,voteinhis/hersteadorabstainfromvoting.TheproxyneednotbeamemberofAdcorp.AShareholdermayappointtwoormorepersonsconcurrentlyasproxies,andmayappointmorethanoneproxytoexercisevotingrightsattachedtodifferentAdcorpSharesorAdcorpASharesheldbytheShareholder.

2. Aproxymaydelegatetheproxy’sauthoritytoactonbehalfoftheShareholdertoanotherperson,subjecttoanyrestrictionsetoutintheinstrumentappointingtheproxy.

3. ThecompletionandlodgingofthisformofproxywillnotprecludetherelevantShareholderfromattendingtheGeneralMeetingandspeakingandvotinginpersonthereattotheexclusionofanyproxyappointedintermshereof,shouldsuchShareholderwishtodoso.Accordingly,theappointmentofaproxyintermshereofissuspendedatanytimeandtotheextentthattheShareholderchoosestoactdirectlyandinpersonintheexerciseofanyrightsasaShareholder.

4. Aproxyisentitledtoexercise,orabstainfromexercising,anyvotingrightoftheShareholderwithoutdirection,excepttotheextentthatthevotinginstructionsaresetoutintherelevantsectionoftheproxyform.

5. Theappointmentofaproxyshallremainvaliduntiltheendofthemeetingcontemplatedinthisappointment(includinginrespectofanyadjournmentorpostponementoftheGeneralMeeting),unlessrevokedinthemannercontemplatedinnote6below.

6. AShareholdermayrevoketheproxyappointmentby(i)cancellingitinwriting,ormakingalaterinconsistentappointmentofaproxy,and(ii)deliveringacopyoftherevocationinstrumenttotheproxyandtoAdcorp.Therevocationofaproxyappointmentconstitutesacompleteandfinalcancellationoftheproxy’sauthoritytoactonbehalfoftheShareholderasofthelaterof(i)thedatestatedintherevocationinstrument,ifany,or(ii)thedateonwhichtherevocationinstrumentwasdeliveredtoAdcorp.

7. PleaseinsertthenumberofAdcorpSharesand/orAdcorpAShares,asthecasemaybe,intherelevantspacesaccordingtohowyouwishyourvotestobecast.IfyouwishtocastyourvotesinrespectofalessernumberofAdcorpSharesand/orAdcorpAShares,asthecasemaybe,exercisablebyyou,insertthenumberofAdcorpSharesand/orAdcorpAShares,asthecasemaybe,heldinrespectofwhichyouwishtovote.Failuretocomplywiththeabovewillbedeemedtoauthoriseandcompelthechairman,ifthechairmanisanauthorisedproxy,tovoteinfavouroftheresolutions,ortoauthoriseanyotherproxytovotefororagainsttheresolutionsorabstainfromvotingashe/shedeemsfit,inrespectofalltheShareholder’svotesexercisablethereat.AShareholderorits/his/herproxyisnotobligedtouseallthevotesexercisablebytheShareholderorits/his/herproxy,butthetotalofthevotescastandinrespectwhereofabstentionisrecordedmaynotexceedthetotalofthevotesexercisablebytheShareholderorits/his/herproxy.

8. Tobevalid,thisformofproxymustbecompletedandreturnedtoAdcorp’sTransferSecretaries,LinkMarketServicesSouthAfricaProprietaryLimited,at13thFloorRennieHouse,19AmeshoffStreet,Braamfontein(POBox4844,Johannesburg,2000),tobereceivedbynotlaterthan10h00onFriday,17May2013.

9. Anyalterationorcorrectionmadetothisformofproxymustbeinitialledbythesignatory(ies).

10. Inthecaseofajointholding,thefirst-namedonlyisrequiredtosign.

11. TheauthorityofapersonsigningaproxyinarepresentativecapacitymustbeattachedtotheformofproxyunlessthatauthorityhasalreadybeenrecordedbyAdcorp.

12. Aminororanyotherpersonunder legal incapacitymustbeassistedbyhis/herparentorguardianasapplicable,unless therelevantdocumentsestablishingcapacityareproducedorhavebeenregisteredwiththeTransferSecretaries.

13. If the instrumentappointingaproxyorproxieshasbeendelivered toAdcorp,as longas thatappointment remains ineffect,anynoticethatisrequiredbytheCompaniesActorAdcorp’sMemorandumofIncorporationtobedeliveredbyAdcorptotheShareholdermustbedeliveredbyAdcorpto(i)theShareholderor(ii)theproxyorproxies,iftheShareholderhasdirectedAdcorpinwritingtodosoandpaidanyreasonablefeechargedbyAdcorpfordoingso.

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