Finalisation announcement in respect of an election to receive either a cash dividend or a scrip dividend

STENPROP LIMITED
(Registered in Guernsey)
(Registration number 64865)
LSE share code: STP JSE share code: STP
ISIN: GG00BFWMR296
("Stenprop" or the "Company")


FINALISATION ANNOUNCEMENT IN RESPECT OF AN ELECTION TO RECEIVE EITHER A CASH DIVIDEND OR A SCRIP DIVIDEND


16 July 2019

Stenprop shareholders are referred to the circular ("circular") and the announcement issued on Tuesday, 9 July 2019 in
respect of an election to receive the final dividend of 3.375 pence per share (the "dividend") for the six months ended
31 March 2019, either as a cash dividend (the "cash dividend") or as a scrip dividend (the "scrip dividend"). Shareholders
are now advised that the dividend will be paid as follows:

    -   1.36 pence (40.30%) will comprise a property income distribution ("PID"). The PID will be subject to a deduction
        of a 20% United Kingdom ("UK") withholding tax unless exemptions apply.
    -   2.015 pence (59.70%) will comprise a non-PID. The non-PID will be treated as an ordinary UK company dividend,
        with no UK withholding tax deducted.

(i) Shareholders receiving the dividend in cash:

South African ("SA") shareholders are advised that the exchange rate for the dividend will be 17.4200 ZAR to 1.00 GBP
(the "exchange rate"), as obtained by the Company on Monday, 15 July 2019, resulting in a gross local dividend amount
of 58.7925 ZAR cents per share. Accordingly, shareholders who do not elect to receive new ordinary shares pursuant to
the scrip dividend will be paid a cash dividend per share as follows:

                                                                                       UK Shareholders                SA Shareholders

  PID                                                                                      (GBP pence)                    (ZAR cents)

  Gross amount of PID                                                                          1.36000                       23.69120
  Less 20% UK withholding tax *                                                                0.27200                        4.73824
  Net PID dividend payable**                                                                   1.08800                       18.95296
  Less effective 5% SA dividends tax for SA Shareholders***                                        n/a                        1.18456
  Net PID dividend payable***                                                                      n/a                       17.76840

 * Certain categories of UK shareholders may apply for exemption, in which case the PID element will be paid gross of UK withholding tax.
 ** Net position after deducting UK withholding tax for both UK and SA Shareholders, but before SA shareholders have claimed back 5% from
 HMRC under the double tax agreement between the United Kingdom and South Africa in respect of the UK withholding tax.

 *** SA dividends tax applies to SA Shareholders who do not qualify for an exemption from SA dividends tax (SA tax resident companies and certain
 exempt institutions are, amongst others, exempt from SA dividends tax) at the rate of 20%, reduced by the UK withholding taxes suffered, which
 cannot be recovered from the UK (which is effectively 15%, after taking into account the 5% refund which may be obtained from the UK).
                                                                                       UK Shareholders                SA Shareholders

  Non-PID*                                                                                 (GBP pence)                    (ZAR cents)

  Non-PID element                                                                              2.01500                       35.10130
  Less 20% SA dividends tax for SA Shareholders**                                                  n/a                        7.02026
  Net Non-PID dividend payable                                                                 2.01500                       28.08104

  * Non-PID – taxed as a normal dividend for UK purposes, i.e. no UK withholding tax applicable.
  ** Certain categories of SA shareholders are exempt from SA dividends tax, e.g. SA resident companies.

(ii) Shareholders who elect to take shares:
The scrip dividend reference price for UK shareholders is 107.53700 pence ("scrip dividend reference price"), being the
average closing price of Stenprop shares traded on the London Stock Exchange ("LSE") over a period of five days as at
Friday, 12 July 2019, less the dividend. The scrip dividend reference price for SA shareholders is 18.73295 ZAR, being the
scrip dividend reference price for UK shareholders, converted to Rand at the exchange rate.

The number of new ordinary shares to be allocated to shareholders electing to participate in the scrip dividend will be
calculated by dividing the net value of the dividend otherwise receivable by a shareholder by the scrip dividend reference
price and rounding down to the nearest whole number. As no fraction of a new share will be issued, any entitlement
which results in a fractional share will be rounded down to the nearest whole number, with a cash payment to be made
to the relevant shareholder in respect of the fraction ("cash payment").

In the case of shareholders on the SA register, such fractions of shares will be sold in the market on behalf of the
shareholders entitled to the fractions of shares and the cash payment in respect of the fractions will be paid to those
shareholders. The cash payment is calculated by multiplying the fractional entitlement by the scrip dividend reference
price. Shareholders are only entitled to the proceeds for their fractional entitlements, which are sold on their behalf,
equal to the amount of the cash payment.

The cash payment will be made on the payment date, being Friday 16 August 2019.

By way of illustration, a shareholder who holds 1,000 shares, and who elects to receive new ordinary shares pursuant
to the scrip dividend, will receive a number of new ordinary shares calculated as follows:

                                                                                         UK Shareholders                  SA Shareholders

  In respect of the PID                                                                          (GBP £)                            (ZAR)

  PID dividend net of UK withholding tax entitled to receive*
  (As per (i) above x 1,000):                                                                  £10.88000                 189.52960 ZAR
  Scrip dividend reference price                                                                £1.07537                  18.73295 ZAR
  Calculated number of new shares to which shareholder is
  entitled                                                                                      10.11745                       10.11745
  Actual number of new shares received                                                                10                             10
  Gross Cash Balance (multiply fractional entitlement by scrip
  dividend reference price)                                                                     £0.12630                    2.20018 ZAR

  * A scrip dividend is not subject to SA dividends tax, therefore no SA dividends tax is deducted for SA Shareholders in this instance, only UK
    withholding tax. SA shareholders may claim back 5% from HMRC under the double tax agreement between the United Kingdom and South Africa
    in respect of the UK withholding tax
                                                                           UK Shareholders             SA Shareholders

  In respect of the non-PID element                                                 (GBP £)                       (ZAR)

  Gross amount of non-PID dividend entitled to receive
  (Gross Non-PID per (i) above x 1,000):                                         £20.15000              351.01300 ZAR
  Scrip dividend reference price                                                   £1.07537               18.73295 ZAR
  Calculated number of new shares to which shareholder is                          18.73774                   18.73774
  entitled
  Actual number of new shares received                                                    18                         18
  Gross cash payment (multiply fractional entitlement by scrip
  dividend reference price)                                                        £0.79334               13.82004 ZAR


TIMETABLE

The salient dates and times announced on Tuesday, 9 July 2019 remain unchanged.

TAX IMPLICATIONS

The receipt of the cash dividend or electing to receive the scrip dividend may have tax implications for shareholders.

With regards to shareholders on the SA register, the scrip dividend (including the cash payment relating to fractions of
shares) does not constitute a "foreign dividend" as defined in section 1(1) of the South African Income Tax Act 58 of
1962 ("ITA") and accordingly does not give rise to any dividends tax. However, the shares issued in terms of the scrip
dividend are deemed to be acquired at a base cost or tax cost of nil in terms of section 40C of the ITA. As the cash
payment relating to fractions of shares arises pursuant to the disposal of shares on behalf of shareholders, such cash
payment must be disclosed by South African shareholders in their tax returns as proceeds for capital gains tax purposes,
or gross income, (depending on whether the shareholder holds his/her shares on income or capital account) in relation
to the disposal of shares which have no base cost or tax cost.

Shareholders are also referred to the general summary of certain limited aspects of the taxation treatment of
distributions paid by the Company for SA resident shareholders and UK resident shareholders included in paragraph 6
of the circular. Shareholders are advised to obtain appropriate advice from their professional advisors regarding the tax
consequences of the cash dividend, scrip dividend and cash payment.



For further information:

Stenprop Limited                                                          44(0)20 3918 6600
Paul Arenson
James Beaumont
Julian Carey

Numis Securities Limited (Financial Adviser)                              44(0)20 7260 1000
Hugh Jonathan
Vicki Paine

Java Capital                                                              27(0)11 722 3050

(JSE Sponsor)
About Stenprop:

Stenprop is a Guernsey-registered UK REIT. The objective of the Company is to deliver sustainable growing income to its
investors. Stenprop's investment policy is to invest in a diversified portfolio of UK multi-let industrial (MLI) properties
with the strategic goal of becoming the leading MLI business in the UK. For further information, go to
www.stenprop.com.

Date: 16/07/2019 11:47:00
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