CROMWELL PROPERTY GROUP — Capital/Financing Update 2017

Dec 10, 2017

ASX Announcement 11 December 2017

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CROMWELL ANNOUNCES $170 MILLION STRATEGIC PLACEMENT

Cromwell Property Group (ASX:CMW) (Cromwell) has today announced a $170 million strategic placement to SingHaiyi Group Ltd. and Haiyi Holdings Pte. Ltd., which are entities associated with Mr Gordon Tang and Mrs Celine Tang.

Mr Gordon Tang and Mrs Celine Tang are cornerstone investors in the Cromwell European REIT (CEREIT), which listed on the Main Board of the Singapore Stock Exchange Limited (SGX-ST) on 30 November 2017.

SingHaiyi Group Ltd. is also listed on the Main Board of the SGX-ST and specialises in property development, real estate investment, real estate co-investing and real estate management services.

Haiyi Holdings Pte. Ltd. is the private holding company of Mr Gordon Tang and Mrs Celine Tang.

Mr Gordon Tang and Mrs Celine Tang are sophisticated, experienced and well regarded global real estate investors. With interests that span Singapore, US and Europe they have considerable expertise in real estate development, investment and management across both listed and unlisted vehicles, principally held through Haiyi Holdings Pte. Ltd.

Proceeds from the strategic placement will be used to repay short term debt associated with Cromwell’s investment in CEREIT and for general corporate purposes including investment in value adding opportunities in the portfolio and potential acquisition opportunities.

“I highlighted last week that the successful IPO of CEREIT was a transformative deal,” said Cromwell CEO Paul Weightman.

“Mr Gordon Tang and Mrs Celine Tang’s investment in Cromwell, following on from their cornerstone stake in CEREIT, signals a strong belief in our platform, investment philosophy and management team.”

“Their investment reaffirms Cromwell’s standing as a global real estate investment manager and highlights our ability to access capital from across the globe, in particular from Asia. We are delighted to have them on board,” Mr Weightman added.

CEREIT and the strategic placement are transformative transactions that will position Cromwell to capitalise on future growth opportunities. They will also enhance diversity of earnings and capital sources, and help the business manage any possible downside market risk over the next few years.

“We are also committed to ensuring our retail securityholders are given the opportunity to participate in the transformation of our global funds platform on similar terms, and expect to offer a security purchase plan to eligible Cromwell securityholders in Q1 2018,” said Mr Weightman.

Approximately 175 million new Cromwell stapled securities (New Securities) will be issued under the strategic placement at an issue price of $0.9691 per New Security. The issue price represents a 4.9% discount to the 30 day VWAP of $1.02 to 8 December 2017.

The New Securities will be allotted on 15 December 2017 and will rank for and be entitled to distributions from Cromwell for the quarter ending 31 December 2017 pro rata to the number of days the New Securities have been on issue during the quarter. Thereafter, the New Securities will rank

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Cromwell Property Group (ASX:CMW) ASX Announcement 11 December 2017

equally in all respects with existing Cromwell stapled securities on issue. The New Securities will be issued within Cromwell's 15% placement capacity under ASX Listing Rule 7.1 and will not require securityholder approval.

Ends.

Media Enquiries:

Honner Media Paul Cheal / Jessica Effeney +61 (0) 427 755 296 / +61 (0) 400 998 373 paul@honner.com.au / jessica@honner.com.au

ABOUT CROMWELL PROPERTY GROUP

Cromwell Property Group (ASX:CMW) is a Global Real Estate Investment Manager. The Group is included in the S&P/ASX 200. As at 30 June 2017, Cromwell had a market capitalisation of $1.7 billion, a direct property investment portfolio in Australia valued at $2.3 billion and total assets under management of $10.1 billion across Australia, New Zealand and Europe.

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