SENS Announcements

Unaudited interim results for the period ended 28 February 2019 and Interim dividend declaration

African Equity Empowerment Investments Limited
(Incorporated in the Republic of South Africa)
Registration number 1996/006093/06
Share code: AEE and ISIN: ZAE000195731
("AEEI" or "the Group" or "the Company")

Unaudited interim results for the period ended 28 February 2019 and Interim dividend declaration

Financial highlights

-Revenue increased by 31% from the restated R604m to R792m
-Profit for the period increased by 246% to R546m
-Earnings per share increased by 238% from the restated 28.32c to 95.77c
-Headline earnings per share increased by 37% from the restated 28.32c to 38.67c
-Total assets increased by 32% from the restated R7 362m to R9 735m
-Net asset value increased by 8% from R4 910m to R5 319m
-Net cash from operating activities increased to R123m

Group performance

The Group delivered excellent revenue growth resulting from strong contributions from all its underlying investments for the
interim period. Group revenue increased by 31% from the restated R604m to R792m, mainly due to the significant revenue achieved
from the technology and the fishing and brands divisions. As a result of the change in control, which is detailed below,(refer
to "Significant Events"), two months of trading revenue of R356m of the technology division's financial performance, was included
in the statement of profit and loss and other comprehensive income.

In the prior interim period, the technology division AYO Technology Solutions ("AYO") has been accounted for as an associate. Subsequent
to 28 February 2018 it was determined that the associate was at that stage regarded a subsidiary within the Group and not an associate
as previously stated and this required a restatement of prior period interim results. In terms of IFRS 5 Non-current assets held for
sale, the technology division's revenue and operating expenses have been consolidated into the Group's statement of profit and loss
and other comprehensive income. Please refer to "Restatement of prior period" for full details.

Profit for the period increased by 246% from the restated R158m in the prior interim period to R546m due to excellent operational
performance of the underlying businesses. The earnings were also positively impacted by the change in control of AYO Technology
Solutions ("AYO"),as a consequence this investment in the associate has been derecognised.

The Group's loss before tax for the period decreased from the restated R105m profit to a loss of R498m, mainly due to the loss
on the deemed disposal of an associate, which was offset with strong returns from our diversified portfolio.

Headline earnings per share ("HEPS") increased by 37% from 28.32c to 38.67c, while earnings per share ("EPS") increased by 238%
from the restated 28.32c to 95.77c for the six months under review. The increase in HEPS over the prior interim period is an indication
of the strategic plans at play with good organic and acquisitive earnings growth. The Group's normalised HEPS increased by 120% from
17.23c to 37.95c. Normalised earnings are defined as earnings from continuing operations excluding non-recurring items and once-off
fair value adjustments.

The Group's asset base increased by 32% from R7.3bn to R9.7bn due to the additional acquisitive assets and the organic growth of
the underlying businesses. Net asset value ("NAV") for the Group increased by 8% from R4.9bn to R5.3bn as a result of the strengthened
financial position of the Group. The NAV per share increased from the 999.25c at August year end to 1 082.66c.

Net cash from operating activities increased to R123m as a result of the solid operational performance from the underlying businesses.

Condensed Group Statement of Financial Position

Unaudited Unaudited Unaudited Audited
Restated
Group to Group to Group to Group to
28 February 28 February 28 February 31 August
2019 2018 2017 2018
R'000 R'000 R'000 R'000
ASSETS
Non-current assets 4 158 086 2 033 216 1 802 651 6 705 151
Property, plant and equipment 478 563 196 318 152 387 324 229
Goodwill 1 894 903 82 940 81 070 86 201
Intangible assets 367 687 384 560 339 424 277 853
Investments in associates 856 096 809 936 775 167 5 575 997
Investment in joint ventures 33 33 115 -
Other loans receivable 95 865 53 348 9 967 11 808
Other financial assets 424 718 495 719 429 803 419 905
Deferred tax 40 221 10 372 14 718 9 158

Current assets 5 442 730 5 204 746 348 677 657 125
Inventory 199 370 95 225 48 106 56 978
Other financial assets 467 806 - - -
Biological assets 76 015 55 873 48 359 68 021
Other loans receivable 6 285 13 855 15 711 3 083
Current tax receivable 5 686 911 1 718 2 168
Trade and other receivables 764 338 327 326 149 901 164 157
Cash and cash equivalents 3 923 230 4 711 556 84 882 362 718
Non-current assets held for sale 134 293 - - -

Total assets 9 735 109 7 237 967 2 151 328 7 362 276

Equity and liabilities
Equity
Equity attributable to equity holders of parent
Share capital and share premium 402 240 403 177 403 177 403 177
Reserves 8 074 19 838 8 034 8 034
Retained earnings 4 909 068 (350 027) 962 802 4 498 480
5 319 412 72 988 1 374 013 4 909 691
Non-controlling interest 3 223 420 6 324 354 74 380 755 358
8 542 832 6 397 342 1 448 393 5 665 049

LIABILITIES
Non-current liabilities 218 304 462 983 492 457 1 486 862
Other financial liabilities 117 909 241 925 276 292 208 392
Deferred tax 90 662 218 227 210 528 1 278 257
Other non-current liabilities 9 733 2 831 5 637 213

Current liabilities 853 158 377 642 210 478 210 365
Trade and other payables 604 738 229 939 112 753 105 993
Other financial liabilities 49 227 21 665 25 254 18 328
Current tax payable 90 288 34 718 11 482 21 969

Provisions 63 437 21 806 21 272 27 392
Other current liabilities - 330 1 910 900
Bank overdraft 45 468 69 184 37 807 35 783
Non-current liabilities held for sale 120 815 - - -

Total equity and liabilities 9 735 109 7 237 967 2 151 328 7 362 276

Net asset value per share (cents) 1082.66 14.86 279.65 999.25
Number of ordinary shares in issue (000's) 491 022 491 339 491 339 491 339

Condensed Group Statement of Profit and Loss
and Other Comprehensive Income
Unaudited Unaudited Unaudited Audited
Restated
Group to Group to Group to Group to
28 February 28 February 28 February 31 August
2019 2018 2017 2018
6 months 6 months 6 months 12 months

R'000 R'000 R'000 R'000
Revenue 791 538 604 391 454 878 700 691
Cost of sales (456 618) (379 184) (287 912) (410 192)
Gross profit 334 920 225 207 166 966 290 499
Other income 10 585 60 431 5 390 11 467
Other operating expenses (185 684) (224 533) (136 668) (256 060)
Net impairments, impairment reversals and write off - (1 651) (352) (140 319)
Fair value adjustments 4 588 70 180 551 437 (5 414)
Gain on deemed disposal of subsidiaries - - - 6 049 029
Gain on bargain purchase - - - 952
Loss on deemed disposal of associate (795 451) - - -
Shared based payment (B-BBEE) - (11 809) - -
Profit from equity accounted investments 86 494 29 377 9 070 57 914
Investment revenue 60 248 53 854 2 119 33 421
Finance cost (13 848) (12 091) (12 580) (30 839)
Profit/ (Loss) before taxation (498 148) 188 965 585 382 6 010 650
Taxation 1 044 363 (30 631) (136 781) (1 062 789)
Profit from continuing operations 546 215 158 335 448 601 4 947 861
Discontinued operations
Profit from discontinued operations - - - 159 533

Profit and total comprehensive income for the period 546 215 158 335 448 601 5 107 394

Total comprehensive income
attributable to:
Equity holders of the parent 470 526 139 133 455 232 4 992 064
Non-controlling interest 75 689 19 202 (6 631) 115 330
546 215 158 335 448 601 5 107 394
Basic and diluted earnings per ordinary share (cents) 95.77 28.32 92.65 1016.01

Headline and diluted earnings per ordinary share (cents) 38.67 28.32 92.71 24.24

Weighted (and fully diluted) average number of ordinary
shares in issue (000s) 491 329 491 339 491 339 491 339

Condensed Group Statement of Changes in Equity
For the period ended 28 February 2019
Attributable Non- Total
To Controlling Equity
Parent interest
R'000 R'000 R'000
Balance at 01 September 2016 916 452 84 583 1 001 035
Profit for the period 455 232 (6 631) 448 601
Dividends paid (16 221) (5 455) (21 676)
Changes in ownership interest
control not lost 18 550 (11 150) 7 400
Business combinations - 13 033 13 033
Restated balance at 28 February 2017 1 374 013 74 380 1 448 393
Profit for the period 21 857 58 214 80 071
Other comprehensive income (4) - (4)
Dividends paid (9 583) (530) (10 113)
Changes in ownership interest - control not lost (109 905) 631 694 521 789
Business combinations 1 115 (3 131) (2 016)
Balance at 31 August 2017 1 277 493 760 627 2 038 120
Profit for the period 139 133 19 202 158 335
Other comprehensive income 11 808 - 11 808
Changes in ownership interest
- additional shares acquired (4 826) (1 705) (6 531)

Changes in ownership interest (dilution) -
control not lost (1 323 596) 5 576 377 4 252 781

Dividends paid (27 024) (30 147) (57 171)
Balance at 28 February 2018 72 988 6 324 354 6 397 342

Profit for the period 4 852 917 94 780 4 947 697
Dividends paid (16 214) - (16 214)
Changes in ownership interest- control lost - (5 715 462) (5 715 462)
Business combinations and additional share purchased - 51 686 51 686
Balance at 31 August 2018 4 909 691 755 358 5 665 049
Business combinations - 20 451 20 451
Change in ownership interest (deemed disposal)
- control gained 41 2 371 922 2 371 963
Shares repurchased (937) - (937)
Profit for the period 470 526 75 689 546 215

Dividends paid (59 909) - (59 909)
Balance at 28 February 2019 5 319 412 3 223 420 8 542 832

Condensed Group Statement of Cash Flows
Unaudited Unaudited Audited
Restated
28 February 28 February 31 August
2019 2018 2018
R'000 R'000 R'000
Cash generated by operations 114 049 (56 211) 174 263
Investment revenue 65 244 60 280 64 855
Finance cost (13 848) (12 091) (31 217)
Other operating activities (42 286) (19 466) (77 087)
Net cash flows from operating activities 123 159 (27 448) 130 814
Cash flows from investing activities
Net movement in property, plant and equipment (67 357) (52 733) (120 059)
Net movement in intangible assets (55 678) (747) (8 059)
Net movement in biological assets (2 994) - -
Business combination 3 307 077 - (77 217)
Deemed disposal of businesses and sale of business - - (4 303 642)
Movement in other investing activities (115 775) (30 933) 671
Sale/(Purchase)of financial assets 287 425 - (85 056)
Movement from investment in associates 108 034 - 18 746
Net cash flows from investing activities 3 460 732 (84 413) (4 574 616)
Cash flows from financing activities
Repayment of other financial liabilities (10 572) (34 378) (80 573)
Proceeds from other financial liabilities 37 417 - 20 492
Proceeds from share issue - 4 265 280 -
Change in ownership - - 4 322 111
Dividends paid including minorities (59 909) (57 171) (71 795)
Net cash flows from financing activities (33 065) 4 173 731 4 190 235
Total cash movement for the period 3 550 827 4 061 870 (253 567)
Cash and cash equivalent at the beginning of the period 326 935 580 502 580 502

Cash and cash equivalents at the end of the period 3 877 762 4 642 372 326 935

Condensed Group Segmental Report 2019

Condensed Group Segmental Report - 28 February 2019

Combined
Combined corporate
technology and
Fishing and Health Events strategic
and Telecommu- telecommu- and Bio- and invest-
brands Technology nications nication beauty technology tourism Corporate Food ments Group
Unaudited Unaudited Unaudited Unaudited Unaudited Unaudited Unaudited Unaudited Unaudited Unaudited Unaudited
R'000 R'000 R'000 R'000 R'000 R'000 R'000 R'000 R'000 R'000 R'000
Revenue 286 920 358 736 - 358 736 22 996 - 25 072 96 336 5 247 101 583 795 307
External revenue 286 180 355 707 - 355 707 22 996 - 25 072 96 336 5 247 101 583 791 538
Internal revenue 740 (3 029) - 3 029 - - - - - - 3 769

Segment results
Profit/(Loss) before
tax 69 019 171 021 41 793 212 814 4 956 (4 547) (5 180) (775 572) 362 (775 210) (498 148)
Profit/(Loss) after
tax 50 945 146 626 41 793 188 419 4 607 (2 727) (2 501) 307 110 362 307 472 546 215
Included in
segment results:
Loss on deemed
disposal of
subsidiary - - - - - - - (795 451) - - (795 451)
Depreciation
and amortisation (7 157) (1 496) - (1 496) (89) (1 100) (710) (36) - (36) (10 589)
Fair valuation
of investments - 14 877 - 14 877 - - - ( 10 289) - (10 289) 4 588
Non-current assets 488 480 551 653 818 918 1 370 571 40 221 191 243 19 587 2 047 984 - 2 047 984 4 158 086
Current assets 522 828 4 666 215 20 4 666 235 19 322 2 496 39 337 192 466 45 192 532 5 442 730
Non-current
liabilities 129 792 29 249 - 29 249 12 095 46 846 7 122 (127 616) 120 815 (6 800) 218 304
Current liabilities 107 867 508 852 18 508 871 4 405 614 37 178 194 223 - 194 223 853 159
Profit from associates - 63 527 22 967 86 494 - - - - - - 86 494
Capital expenditure 116 400 8 459 - 8 459 - - 70 224 - 224 125 153

Notes
The Events and Tourism division excludes Magic 828 Proprietary Limited ("Magic 828") as the company was managed under the corporate office
for the first six months. Additionally, the investment in BT Communications Services South Africa Proprietary Limited was previously
disclosed under Corporate has and is now disclosed under the Technology segment.

Condensed Group Segmental Report 2018

Condensed Group Segmental Report 28 February 2018
Combined
Combined corporate
technology and
Fishing and Health Events strategic
and Telecommu- telecommu- and Bio- and invest-
brands Technology nications nication beauty tourism Corporate Food ments Group
Unaudited Unaudited Unaudited Unaudited Unaudited Unaudited Unaudited Unaudited Unaudited Unaudited Unaudited
R'000 R'000 R'000 R'000 R'000 R'000 R'000 R'000 R'000 R'000 R'000

Revenue 184 580 348 672 - 348 672 24 171 - 41 845 38 755 4 675 43 430 642 698
External revenue 183 428 348 665 - 348 665 24 171 - 38 956 4 495 4 675 9 170 604 391
Internal revenue 1 151 7 - 7 - - 2 889 34 260 - 34 260 38 301
Segment results
Profit/ (Loss) before
taxation 35 853 83 814 29 377 113 191 2 674 (7 968) (5 755) 43 611 7 360 50 971 188 965
Profit/(Loss) after
taxation 23 528 68 648 29 353 98 002 1 948 (31 075) (5 544) 64 116 7 360 71 477 158 335

Included in segment results:
Net (impairments)/
impairment reversals
and write offs - - - - - - - (1 651) - (1 651) (1 651)
Depreciation and
amortisation (7 534) (1 894) - (1 894) (76) (1 131) (106) (619) - (619) (11 360)
BBBEE Share based
payment - (11 809) - (11 809) - - - - - - (11 809)
Fair valuation of
investments - - - - 62 716 7 464 70 180 70 180

Non-current assets 199 032 83 508 809 936 893 443 40 313 368 342 10 056 305 480 216 555 522 035 2 033 221
Current assets 664 895 4 442 078 5 4 441 989 21 530 549 38 926 36 761 96 36 857 5 204 746
Non-current
liabilities 96 316 21 001 - 21 001 15 923 89 367 753 116 427 123 290 239 624 462 983
Current liabilities 104 341 153 890 24 153 913 11 385 1 033 40 415 66 555 - 66 555 377 642

Profit from associates - 29 377 - 29 377 - - - - - - 29 377
Capital expenditure 51 549 2 277 - 2 277 - - 39 22 - 22 53 887

Determination of headline earnings
Unaudited Restated Unaudited Audited
28 February 29 February 28 February 31 August
2019 2018 2017 2018
R'000 R'000 R'000 R'000

Earnings attributable to ordinary equity holders
of parent entity IAS 33 470 526 139 133 455 232 4 992 064
Adjusted for:
Impairment of intangible assets IAS 38 - - - 95 625
Impairment of goodwill IAS 36 - - - 11 937
Loss on disposal of property, plant and equipment IAS 16 143 - 284 3 541
Gain on disposal of associates IAS 28 - - - (1 491)
Loss on disposal of subsidiaries IFRS 3 - - - 1 985
Gain on bargain purchase IFRS 3 - - - (952)
Gain/Loss on deemed disposal of associate/subsidiary IFRS 10 617 270 - - (4 953 624)
Deferred tax effect on deemed disposal of associate IAS 12 (897 920) - - -

Headline earnings 190 019 139 133 455 516 119 085
Normalised headline earnings 186 459 84 673 27 601 123 297

Headline earnings and diluted headline earnings per
ordinary share (cents) 38.67 28.32 92.71 24.24
Normalised headline earnings per ordinary share (cents) 37.95 17.23 5.62 25.09

Reconciliation of reportable segments profit or loss
Unaudited Restated Unaudited Audited
28 February 29 February 28 February 31 August
2019 2018 2017 2018
R'000 R'000 R'000 R'000

Total loss before tax for reportable segments (498 148) 105 152 585 382 6 010 650

Taxation 1 044 363 (15 465) (136 781) (1062 789)
Profit from continuing operations 546 215 89 687 448 601 4 947 861
Profit from discontinued operations - 68 648 - 159 533
Profit for the period and total comprehensive income 546 215 158 335 448 601 5 107 394

Divisional performance

Fishing and brands

The fishing and brands division delivered a strong performance for the period under review with revenue increasing by 56% and operating
profit increasing by 92% compared to the prior period. The increase in operating profit is mainly attributable to the excellent catches
and strong sales performance of the squid division, which was offset by the lower operational performance of the lobster division with low
landings being experienced and the expected performance from pelagic division.

The abalone division continued to focus on its expansion plans and have already increased its spat production from an average of 100 000
spat per month to approximately 200 000 spat. Sales volumes remained constant to that of the prior period, as the abalone farm continues to
strategically grow out it's abalone to larger sizers in order to meet market demand, thereby maximising the value received for their abalone.
The farm expansion project is on track as planned.

Technology

The information and communications technology ("ICT") subsidiary, AYO Technology Solutions Limited ("AYO") is one of the largest
Broad-Based Black Economic Empowerment ("B-BBEE") information and communications technology ("ICT") companies in South Africa. AYO delivers
end-to-end ICT solutions to multiple industries in South Africa's public and private sectors through strategic partnerships. These
partnerships enable them to service customers across the African continent, North America, Europe and Mauritius.

The ICT subsidiary achieved significant growth in profit after tax and for the first four months of the interim period, this contributed
significantly to the Group's profit from equity accounted investments. In addition to that, due to the change in control (as referred to
under "Significant Events"), the ICT investment was treated as a subsidiary from the 21st of December 2018 and two months of trading
revenue and expenses was consolidated into the Group's results. AYO achieved significant organic growth in its various businesses and its
acquisition growth is strong as it builds on its platforms driven by its "Go to Market" strategy.

AEEI's associate investment in BT Communication Services SA Proprietary Limited continually produces consistent earnings and it contributed
positively to the Group's profit from equity accounted investments.

Health and beauty

The companies in the health and beauty division, focuses on the importation and distribution of cosmetic brands as well as the manufacturing,
sales and marketing of an extensive range of natural products that are human, animal and plant safe and internationally recognised in the
food, agriculture, hygiene, beauty and general health sectors.

The revenue from the health and beauty business slowed down in the first half of the year due to subdued customer and consumer demand in the
current economic climate. Management expects an improvement in the businesses in the second half of the year.

Biotechnology

Genius Biotherapeutics, one of Africa's largest medical biotechnology companies, in collaboration with research partners at the University
of Cape Town strive to start the clinical trials on breast cancer in the next few months.

The dendritic cell vaccine project progressed with the completion of the clean rooms at the University of Cape Town in preparation for the
upcoming human clinical trials.

Events and tourism

The events and tourism division manages and owns an events planning and production company, espAfrika Proprietary Limited ("espAfrika"),
a travel services company, Tripos Travel Proprietary Limited ("Tripos Travel") and a radio station Magic 828 Proprietary Limited
("Magic 828")(managed under the corporate division).

espAfrika a Group subsidiary, hosted a very successful 20th Cape Town International Jazz Festival post interim period. The company's
performance for the six months is as expected as espAfrika hosts most of its events during the second half of the financial year.

Magic 828 which has been in existence for just over 3 years and contributed to the Group's gross revenue for the period and with its
extensive marketing campaign has seen its listenership consistently increasing over the interim period.

Under the current economic climate, Tripos Travel managed its cost structure under declining revenue and remains positive that it will
achieve break even in the second half of the year.

Strategic investments

The Group's strategic investments consist of: Pioneer Foods Group Limited ("Pioneer"), Sygnia Limited ("Sygnia"), Saab Grintek Defence
Proprietary Limited ("SGD") and BT Communications Services South Africa Proprietary Limited ("BT") which is now reported under the
technology division / segment.

AEEI has minority equity stakes in SGD, Sygnia and Pioneer. These investments have shown improvement in its investment value since the date
of the acquisitions. Consistent growth in earnings and regular dividends are received from all the strategic investments.All of The Pioneer
Food Limited Food's shares were disposed of on the 15th of March 2019 and all of the Quantum Food shares are expected to be disposed of on
or before the 31 May 2019. Refer to Events after Reporting period for full details.

Significant events

Change in control - associate becomes a subsidiary

During the interim period, the Group regained control over AYO as defined by IFRS 10, and subsequently consolidated AYO from the date of
control being 21 December 2018. The change in control stemmed from AEEI ability to direct the relevant activities of AYO based on the
IFRS 10 assessment.

The fair value calculation of the rights to customer contracts, work force, and assets are provisional. The provisional fair values of
the identifiable assets and liabilities are show below:

Property, plant and equipment 95 633
Goodwill 90 871
Intangible assets 22 369
Investment in associate 145 211
Other financial assets 918 377
Deferred tax 48 010
Inventories 111 642
Trade and other receivables 326 627
Cash and cash equivalents 3 341 216
Trade and other payables (285 844)
Other financial liabilities (53 686)
Provisions (18 669)
Current tax payable (57 867)
Total identifiable net assets 4 683 890

Non-controlling interests (2 371 922)
Fair value of previously held interest (4 008 857)
Goodwill 1 696 889
Total -

Net cash outflow on acquisition date:
Cash consideration paid -
Cash acquired 3 308 684
Net cash inflow 3 308 684

Goodwill is attributable to the strong position and profitability in AYO Technology Solutions trading in the technology market and
additional customer contracts and are additional acquisitions are expected to arise in the future.

Revenue of R356m has been included in the Group`s trading results since the effective date.

Acquisition of subsidiary during the period
On 9 February 2019, the AEEI Group concluded the acquisition of an effective 80% shareholding in Saab Grintek Technologies Proprietary
Limited, now known as SGT Solutions Proprietary Limited ("SGT Solutions") via a special purpose vehicle, Main Street 1653 Proprietary
Limited for a purchase consideration of R100m. The consideration includes a cash portion of R60m and a contingent consideration of R40m,
if the company achieves profit warranties for the next two years.

SGT Solutions is a turnkey solutions integrator specialising in the design, supply, deployment, commissioning and maintenance of multi-
technology telecommunication systems for mobile broadband and converged solutions, through partnerships with their customers and
technology providers. The company specialises in integrated, leading-edge and comprehensive solutions across the entire spectrum of
telecommunications. The company earns annual revenue in excess of R450m for the full year commencing 1 January 2018 and generates
profit of R26m annually.

The fair value calculation of the acquired rights to customer lists, work force, brand and assets are provisional. The provisional fair
values of the identifiable assets and liabilities are shown below:

Property, plant and equipment 3 179
Intangible assets 26 594
Deferred Tax Assets 14 186
Inventories 65 090
Trade and other receivables 53 028
Other financial assets 3 845
Current tax payable 765
Cash and cash equivalents 25 861
Other financial liabilities (8 550)
Trade and other payables (85 389)
Provisions (15 159)
Total identifiable net assets 83 451

Non-controlling interests (16 691)
Goodwill 21 514
Total purchase price 88 274

Consideration paid
Cash 60 000
Present value of contingent consideration 28 274

Net cash outflow on acquisition date:
Cash consideration paid (60 000)
Cash acquired 25 861
Net cash outflow (34 139)

The acquisition related costs of R1.3m have been included in the operating expenses in the statement of profit and loss and other
comprehensive income.

Goodwill is attributable to the strong position and profitability in SGT Solutions trading in the telecommunications market and synergies
are expected to arise after the Company's acquisition of the new subsidiary.

Revenue of R41.2m has been included in the Group`s trading results since the effective date.

Restatement of the prior period

The Group held an 80% equity interest in AYO as at 31 August 2017. On 21 December 2017 AYO listed on the main board of the Johannesburg
Stock Exchange (JSE), whereby AYO issued shares under a private placement resulting in a further dilution of the Group's shareholding to
49.36%. For the interim financial statements for the period ended 28 February 2018 management was of the view that the Group lost control
of its subsidiary. The effective date of this loss of control was 21 February 2018. Subsequent to 28 February 2018, it was assessed that
the effective date of this loss of control was 24 August 2018. Therefore, for the six months period ending 28 February 2018, AYO was still
a subsidiary within the Group and not an associate as previously stated. This error of judgment has been classified as a prior period error,
requiring a retrospective restatement of the interim financial statements for the period ended 28 February 2018. The above restatement had
an effect on the reported earnings per the statement of profit and loss and other comprehensive income, statement of financial position and
statement of cash flows as detailed in the table below:

Restatement of
investment in
As previously associate to
R'000 stated subsidiary Restated
28 February 2018
Consolidated Statement of Financial Position

Assets
Non-current assets 8 932 902 (6 899 681) 2 033 221
Property, plant and equipment 189 584 6 729 196 313
Goodwill 41 216 41 724 82 940
Intangible assets 371 284 13 276 384 560
Investment in associate 7 774 204 (6 964 268) 809 936
Other financial assets 494 597 1 122 495 719
Deferred tax 8 306 2 066 10 372
Current assets 762 762 4 441 984 5 204 746
Inventory 57 679 37 546 95 225
Other loans receivable 11 297 2 558 13 855
Current tax receivable 231 680 911
Trade and other receivables 168 407 158 919 327 326
Cash and cash equivalents 469 275 4 242 281 4 711 556
Total assets 9 695 664 (2 457 687) 7 237 967

Equity and liabilities
Reserves 8 029 11 809 19 838
Retained earnings 7 915 389 (8 265 416) (350 027)
Non-controlling interest 684 321 5 640 033 6 324 354
Equity attributable to equity holders of parent 8 326 595 (1 929 253) 6 397 342

Liabilities
Non-current liabilities 460 998 1 985 462 983
Other financial liabilities 241 887 38 241 925
Deferred tax 218 323 (96) 218 227
Other non-current liabilities 788 2 043 2 831
Current liabilities 223 750 130 006 377 642
Trade and other payables 99 932 153 893 229 939
Other financial liabilities 16 947 4 718 21 665
Current tax payable 30 563 4 155 34 718
Provisions 10 073 11 733 21 806
Other current liabilities 78 252 330
Bank overdraft 66 157 3 027 69 184
Total equity and liabilities 9 695 664 (2 457 697) 7 237 967
Net asset value per share (cents) 1694.67 (1 679.82) 14.86

Consolidated Profit and Loss and Other Comprehensive Income
Other operating expenses (166 834) (57 697) (224 544)
Gain on deemed disposal of subsidiaries 8 195 907 (8 195 907) -
Profit before tax 8 442 571 (8 253 605) 188 968
Taxation (30 633) - -
Profit from continuing operations 8 411 938 (8 253 603) 89 687
Profit from equity accounted investments 29 377 - 29 377
Profit for the year 8 411 938 (8 253 603) 158 335
Total comprehensive income 8 411 933 (8 253 603) 158 335
Basic and diluted earnings per ordinary share (cents) 1 708.13 (1 679.81) 28.32
Headline earnings per ordinary share (cents) 40.06 (11.74) 28.32

Condensed Group Statement of Cash Flows
Cash generated by operations 13 823 (70 034) (56 211)
Net cash flows from operating activities 42 545 (69 993) (27 448)
Deemed disposal of business and sale of business (4 239 253) 4 239 253 -
Net cash flows from investing activities (4 323 666) 4 239 253 (84 413)

Change in ownership 4 195 286 (4 195 286) -
Proceeds from share issue - 4 265 280 4 265 280
Net cash flows from financing activities 4 103 737 69 994 4 173 731

Cash and cash equivalents at the end of the period 403 118 4 239 254 4 642 372

Investment in BT associate

The objective of a fair value measurement is to estimate the price at which an ordinary transaction to sell the asset or to transfer the
liability would take place between market participants at the measurement date under current market conditions. This is a difficult
process as it requires making judgments about future expectations. When management originally considered the fair value of the investment
in BT, they relied on what they deemed to be reliable information.

During the financial year-end period ending 31 August 2018, it came to management's attention that the information was not reliable as
initially applied. Management obtained an external independent valuation which reflected a much higher amount than what was disclosed in
the interim financial statements as at 28 February 2018. This error of judgment has been classified as a prior period error, requiring a
retrospective restatement of the interim financial statements for the period ended 28 February 2018. The annual financial statements at
31 August 2018 were corrected after the valuation was adjusted.

Events after reporting period

Acquisition of subsidiary
On 13 December 2018, AEEI acquired 76% of the ordinary share capital in Global Command and Control Technologies Proprietary Limited
("GCCT"). GCCT purchased the command, control, training and simulation business as a going concern from Saab Grintek Defence Proprietary
Limited for a cash consideration of R23m. The effective date of the transaction when the conditions precedent was fulfilled is 1 March
2019. AEEI acquired this business to strengthen its intellectual asset base and to expand its footprint into Africa as part of its
strategic objectives.

A reasonable estimate cannot be made on the financial effects on the AEEI Group as it is impracticable to obtain provisional financial
information.

Disposal of the Pioneer Foods Group Limited investment
On 26 February 2019, the AEEI Board of directors accepted the non-binding offer by Pioneer Foods Group Limited to repurchase 1 589 998
Pioneer Foods shares in Pioneer Foods Limited and 1 598 998 Quantum Foods shares in Quantum Foods Holding Limited for the purchase
consideration of R78.19 and R3.30 per share respectively. The proceeds will be used to redeem all outstanding liabilities in respect
of the A preference shares and B preference shares as well as settle all outstanding dividends on the latter shares.

The financial impact on AEEI is the net proceeds received from the disposal of the Pioneer Foods shares, before any tax liability,
amounts to R12 750 856 on the effective date, being 15 March 2019. The regulatory approval of the repurchase of the Quantum Foods
shares has not yet been obtained as at the reporting date and the disposal effective date is expected to be before 31 May 2019.
The Pioneer transaction has been disclosed as Non-current assets held for sale in the Group Statement of Financial Position.

Share repurchases

During the interim period, and as approved at the AGM relating to general share repurchase, the Company bought back 317 000 shares
representing 0.06% of the total shares in issue prior to the repurchase. The shares were purchased at an average price of R2.95 per
share for a total cash consideration of R 936 887.

Fair value information

The Group uses the following hierarchy for determining and disclosing the fair value of financial instruments by valuation technique:
Level 1: Quoted prices (unadjusted) in active markets for identical assets and liabilities.
Level 2: Other techniques for all inputs which have a significant effect on the recorded fair value and are observable, either directly
or indirectly.
Level 3: Techniques which use inputs which have a significant effect on the recorded fair value that are not based on observable market
data.

As at 28 February 2019, the Group held the following instruments measured at fair value:
Level 1 Level 2 Level 3 Total
2019 R'000 R'000 R'000 R'000
Listed shares 186 671 - - 186 671
Unlisted shares - - 250 367 250 367
Biological assets - - 68 021 68 021
Total 186 671 - 318 388 505 059

Level 1 Level 2 Level 3 Total
2018 R'000 R'000 R'000 R'000
Listed shares 250 100 - - 250 100
Unlisted shares - - 244 857 244 857
Biological assets - - 55 873 55 873
Total 250 100 - 300 730 550 830

Refer to fair value adjustments in the Group's Statement of Comprehensive Income

Reporting entity

African Equity Empowerment Investments Limited ("AEEI") is a Company domiciled in South Africa. These condensed consolidated interim
financial statements as at and for the six months ended 28 February 2019 comprises AEEI the Company and its subsidiaries ("The Group")
and its interest in associates and joint ventures. AEEI is a majority black-controlled entity, which holds interests in six sectors
and promotes Broad-Based Black Economic Empowerment and sound corporate governance and ethical practices.

Use of judgments and estimates

In preparing these condensed interim financial statements, management has made judgements, estimates and assumptions that affect the
application of accounting policies and the reported amounts of assets and liabilities, income and expenses. Actual results may differ
from these estimates.

The significant judgements made by management in applying the Group's accounting policies and the key sources of estimation uncertainty
were the same as those that applied to the audited consolidated financial statements as at and for the year ended 31 August 2018.

Measurement of fair values

The Group has an established control framework with respect to the measurement of fair values. The fair valuation calculations are
performed by the Group's finance department and operational team on an annual basis. The finance department reports to the Group's
Chief Financial Officer. The valuation reports are approved by the investment committee in accordance with the Group's reporting
policies.

Basis of preparation

The condensed interim consolidated financial statements are prepared in accordance with the JSE Limited ("JSE") Listings Requirements
and the requirements of the Companies Act of South Africa, 2008 as amended, applicable to summarised financial statements. The JSE
Listings Requirements require financial reports to be prepared in accordance with the framework concepts, the measurement and
recognition requirements of International Financial Reporting Standards ("IFRS"), the SAICA Financial Reporting Guides as issued by
the Accounting Practices Committee and Financial Reporting Pronouncements as issued by the Financial Reporting Standards Council and
also that they, as a minimum, contain the information required by IAS 34 'Interim Financial Reporting'. The accounting policies
applied in the preparation of the unaudited interim results for the period ended 28 February 2019 are in terms of IFRS and are
consistent with the accounting policies applied in the preparation of the previous consolidated annual financial statements, except
for adoption of accounting policies below.

The unaudited interim financial results were prepared by Christo Botes, financial manager, CA(SA), and Rufaro Chanakira, CA(SA),
financial controller, under the supervision of Chantelle Ah Sing, chief financial officer and were not reviewed or audited by the
Group's external auditors, BDO Cape Incorporated.

Accounting policies

During the current reporting period, the Group adopted the following newly effective standards for the first time which did not have
a material impact on the annual financial statement:
-IFRS 9 Financial instruments
-IFRS 15 Revenue from contracts with customers

IFRS 9 Financial Instruments

The Group has assessed the impact of IFRS 9, including the application of the expected credit loss ("ECL") model for the measurement
of the impairment allowance of our trade and other receivables (through the application of the simplified approach) as well as other
loans receivable using the provision matrix for measuring the loss allowance for receivables. For financial assets and financial
liabilities, the existing classification and measurement requirements of IAS 39 will remain the same under IFRS 9, except the loans
and receivables will be classified as financial assets at amortised cost.

The impairment of trade and other receivables are recognised under lifetime expected credit loss basis did not result in
a change in IAS 39 allowances due to the short-term nature of trade and other receivables.

Based on the detailed impact assessment performed in the various divisions, the application of IFRS 9 had no significant
impact on the reported earnings or the financial position for the reporting period under review.

IFRS 15 Revenue from contracts with customers

IFRS 15 replaces all existing revenue requirements in IAS 18 and applies to all revenue arising from contracts with customers,
unless the contracts are in the scope of the standards on leases, insurance contracts and financial instruments.
However, given the nature of revenue streams and contracts with customers, the adoption of the standard did not materially affect
the manner of revenue recognition, and therefore no transitional adjustment is required to the opening retained income at the date
of the initial application. The Group will include enhanced revenue disclosures related to the nature and timing of the service
obligations.

Transition Method
The Group has transitioned to IFRS 9 and IFRS 15 retrospectively, by using the cumulative effect of initial application as an
adjustment to the opening retained income. Comparative information has therefore not been restated and continues to be reported
under the previous applicable IAS 39 & IAS 18 standards. Based on the impact assessment above, no adjustment was required to adjust
the retained earnings or any financial statement items by the application of IFRS 9 and 15 on 1 September 2018.

Prospects

The Group will continue with its strategic focus to grow the value of our core operational investments and improve the value add to
our strategic and associate investments.

The AEEI Group continues to build on its solid platform for further organic growth and has positioned itself well to further increase
its investments by acquisition. Management continues to focus on the last year of its five-year strategic plan ("Vision 2020 Vision")
and has firmed up its acquisition pipeline for both the fishing and brands and the technology division.

The Group's auditors have not reviewed nor reported on any comments relating to future prospects.

Changes in the directorate

At the Annual General Meeting ("AGM") held on 18 January 2019, Messrs AM Salie, TT Hove, JM Gaomab and Ms Barends did not make
themselves available for re-election at the AGM and voluntary elected to step off the Board and accordingly the requisite resolutions
were withdrawn.

Ms CF Hendricks voluntary elected to step off the Board as a director of the Company but continues her role as an executive in the
capacity of Corporate Affairs and Sustainability.

Accordingly, Messrs AM Salie, TT Hove, JM Gaomab, Ms Z Barends and Ms CF Hendricks are therefore no longer directors to the Board
effective 18 January 2019.

Mr I Amod was appointed as an independent non-executive director to the Board of AEEI effective 21 January 2019.

Reverend Dr VC Mehana resigned as an independent non-executive director and Chairman of the Board effective 14 March 2019, due to his
commitments as a director of other boards and is no longer a director of the AEEI Board.

The Board further advises that Aziza Amod has been appointed as the acting chairperson and Advocate Dr Ngoako Ramatlhodi as the acting
audit chairman.

Dividends

The Board of directors are pleased to announce that it has approved and declared an interim dividend of 11.00 cents per share for the
six-month period ended 28 February 2019 from income reserves. The interim dividend amount, net of South African dividend tax of 20%
which equates to 2.20 cents per share, is therefore 8.80 cents per share for those shareholders that are not exempt from dividend tax.

The number of ordinary shares in issue at declaration date is 491 022 434 and the income tax number of the Company is 9314001034.

The salient dates of this dividend distribution are:

Gross dividend (cents per share) 11.00
Dividend net of dividend withholding tax 8.80
Last day to trade cum dividend Tuesday, 28 May 2019
Trading ex-dividend commences Wednesday, 29 May 2019
Record date Friday, 31 May 2019
Date of payment Monday, 3 June 2019

Share certificates may not be dematerialised or rematerialised between Wednesday, 29 May 2019 and Friday, 31 May 2019, both days inclusive.

Appreciation

We wish to thank our employees, Group executives, management, our Board of directors as well as our strategic partners, stakeholders
and business partners for their loyalty and dedication in contributing to the success of the Group.

Mrs Aziza Amod Mr Khalid Abdulla
Acting non - executive chairman Chief executive officer

Cape Town
9 May 2019

Directors
*Khalid Abdulla (chief executive officer); Aziza Amod (acting non-executive Chairman); *Chantelle Ah Sing; Ismet Amod (appointed
18 January 2019) and Advocate Dr Ngoako Ramatlhodi *Executive directors*

Company secretary: Damien Terblanche
Registered address: 1st Floor, North Block, Waterway House, 3 Dock Road, Victoria and Alfred Waterfront, Cape Town 8001
Email: damien@aeei.co.za
Transfer secretaries: Link Market Services South Africa Proprietary Limited 19 Ameshoff Street,13th Floor, Rennie House,
Braamfontein, Johannesburg 2001
Auditors: BDO Cape Incorporated
6th Floor, 123 Hertzog Boulevard, Cape Town, 8001
Sponsor: Vunani Capital Proprietary Limited
Vunani House, Vunani Office Park, 151 Katherine Street, Sandown, Johannesburg, 2196

Date: 09/05/2019 03:10:00
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