Globalworth Regulatory News (GWI)

The information communicated within this announcement is deemed to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014. Upon the publication of this announcement, this information is considered to be in the public domain.

8 June 2018

Globalworth Real Estate Investments Limited

("Globalworth" or the "Company")

Update on Poland

Further to its announcement of 28 February 2018, Globalworth is pleased to announce the execution of a commitment letter regarding the planned capital raise by Globalworth Poland Real Estate N.V. ("GPRE"), in which the Company has a 71.7% shareholding, which has also been launched today.

GPRE today announced that it is proceeding with the launch of an offering through which it targets to raise at least €450 million through the issue of new ordinary shares by way of private placement, which is expected to close on 11 June 2018 (the "GPRE Placing"). The net proceeds from the GPRE Placing will be used for the purchase of certain new properties, the repayment of certain loans (including those granted by the Company and its affiliates) and for general corporate purposes. A further announcement will be provided in due course.

In relation to this, the Company has agreed to subscribe for new ordinary shares by placing a subscription of a minimum of €300 million. Following the conclusion of the GPRE Placing, GPRE will repay equivalent amounts outstanding (including the principal, interest and any other amounts due) under the loans entered into between GPRE and the Company and its affiliates. As a result, the net investment in GPRE remains the same. The subscription will be made by one of the wholly owned subsidiaries of the Company. A further announcement will be provided in due course confirming the final subscription amount.

The commitment described above is subject to the following conditions: (a) the receipt by the Company of an underwriting fee equal to 1.5% of its respective equity investment for the commitment; and (b) the new ordinary shares being allotted and validly issued to the Company at the offer price of €1.57, as fully paid ordinary shares in the capital of GPRE (subject only to the admission to listing on the Warsaw Stock Exchange, which shall occur on or before 31 July 2018).

Globalworth's commitment as set out above also effectively satisfies one of the conditions to the commitment by Growthpoint Properties Limited ("Growthpoint") to participate in the GPRE placing, as announced on 12 April 2018, namely that Growthpoint would subscribe for no less than €120 million and no more than €150 million subject to Growthpoint's and its associates' total direct or indirect shareholding being less than 30.0% of the fully diluted share capital of GPRE.

Under Rule 13 of the AIM Rules for Companies, an issue of ordinary shares to a related party which exceeds 5% in any of the class tests would be treated as a related party transaction and is subject to certain disclosure and confirmation requirements.

To the extent that the board of directors of GPRE determines to go ahead with the GPRE Placing, the participation by Growthpoint (of a maximum amount of €150 million) will constitute a related party transaction under Rule 13 of the AIM Rules for Companies. As such, the Directors (other than Mr Sasse, Mr Muchanya and Mr Fechter, who are each directors of Growthpoint) consider, having consulted with the Company's nominated adviser, Panmure Gordon (UK) Limited ("Panmure Gordon"), that the terms of Growthpoint's participation in the GPRE Placing are fair and reasonable insofar as the Company's shareholders are concerned.

This transaction also represents a substantial transaction pursuant to the AIM Rules.

For further information visit www.globalworth.com or contact:

Enquiries

Andrew Cox Tel: +44 20 3026 4027

Head of Investor Relations & Corporate Development

Jefferies (Joint Broker) Tel: +44 20 7029 8000

Stuart Klein

Panmure Gordon (Nominated Adviser and Joint Broker) Tel: +44 20 7886 2500

Andrew Potts

Milbourne (Public Relations) Tel: +44 7903 802545

Tim Draper

About Globalworth / Note to Editors:

Globalworth is a listed real estate company active in Central and Eastern Europe, quoted on the AIM-segment of the London Stock Exchange. It has become the leading office investor in the Romanian real estate market and now has established a significant platform in Poland, through a 72% shareholding in Globalworth Poland, a pure-play Polish real estate platform listed on the Warsaw Stock Exchange. Globalworth acquires, develops and directly manages high-quality office and logistics/light-industrial real estate assets in prime locations, through which it benefits from a strong rental income profile from high quality tenants from around the globe. Managed by approximately 110 professionals across Romania and Poland, the combined value of its portfolio is €1.9 billion, of which over 90% is in income-producing assets, predominately in the office sector, and leased to some 440 national and multinational corporates from 28 countries and 37 different sectors. In Romania, Globalworth is present in Bucharest, Timisoara and Pitesti, whilst assets in Poland span Warsaw, Wroclaw, Lodz, Krakow, Gdansk and Katowice. For more information, please refer to http://www.globalworth.com/.

IMPORTANT NOTICE: This announcement has been prepared for the purposes of complying with the applicable laws and regulations of the United Kingdom and the information disclosed may not be the same as that which would have been disclosed if this announcement had been prepared in accordance with the laws and regulations of any jurisdiction outside of the United Kingdom. This announcement may include statements that are, or may be deemed to be, "forward-looking statements". These forward-looking statements may be identified by the use of forward-looking terminology, including the terms "targets", "believes", "estimates", "plans", "projects", "anticipates", "expects", "intends", "may", "will" or "should" or, in each case, their negative or other variations or comparable terminology, or by discussions of strategy, plans, objectives, goals, future events or intentions. These forward-looking statements include all matters that are not historical facts and involve predictions. Forward-looking statements may and often do differ materially from actual results. Any forward-looking statements reflect the Company's current view with respect to future events and are subject to risks relating to future events and other risks, uncertainties and assumptions relating to the Company's business, results of operations, financial position, liquidity, prospects, growth or strategies and the industry in which it operates. Forward-looking statements speak only as of the date they are made and cannot be relied upon as a guide to future performance. Save as required by law or regulation, the Company disclaims any obligation or undertaking to release publicly any updates or revisions to any forward-looking statements in this announcement that may occur due to any change in its expectations or to reflect events or circumstances after the date of this announcement.