Trading Statement KAP INDUSTRIAL HOLDINGS LIMITED (Incorporated in the Republic of South Africa) (Registration number: 1978/000181/06) Share code: KAP ISIN: ZAE000171963 (“the Company”) TRADING STATEMENT In terms of the JSE Limited Listings Requirements (“JSE Listings Requirements”), a listed company is required to publish a trading statement as soon as it becomes reasonably certain that the financial results for the next period to be reported on will differ by 20% or more from the financial results for the previous corresponding period. The Company has performed well for the first ten months of the 2021 financial year, despite the continued impact of Covid-19 (“Covid”) on social and economic conditions. While there are still two months to report before financial year end, a reasonable degree of certainty now exists that headline earnings per share (“HEPS”) is expected to be at least 100% higher than in the prior year. The Company expects positive earnings per share (“EPS”) compared to a loss in the prior year, which resulted from impairments to intangible and fixed assets. The uncertainty presented by Covid continues to influence the Company’s financial forecasts, especially in view of a possible third wave of infections in South Africa, and as a result, the Company is not yet in a position to provide a likely range of the expected increase in HEPS and EPS. As per the JSE Listings Requirements, a further trading statement will be issued as soon as there is a reasonable degree of certainty as to the likely range. The financial information on which this trading statement is based has not been reviewed or reported on by the external auditor of the Company. Stellenbosch 20 May 2021 Sponsor PSG Capital Date: 20-05-2021 02:00:00 Produced by the JSE SENS Department. The SENS service is an information dissemination service administered by the JSE Limited ('JSE'). The JSE does not, whether expressly, tacitly or implicitly, represent, warrant or in any way guarantee the truth, accuracy or completeness of the information published on SENS. The JSE, their officers, employees and agents accept no liability for (or in respect of) any direct, indirect, incidental or consequential loss or damage of any kind or nature, howsoever arising, from the use of SENS or the use of, or reliance on, information disseminated through SENS.