PEET LIMITED — Capital/Financing Update 2006

Dec 3, 2006

Enriching lives since 1895 Asset Manager Land Syndicator Fund Manager www.peet.com.au

Perth Level 7, 200 St Georges Terrace, Perth WA 6000 PO Box 7224 Cloisters Square WA 6850 Telephone (08) 9420 1111 Facsimile (08) 9481 4712 Email perth@peet.com.au

4 December 2006

Australian Stock Exchange Limited Exchange Centre Level 4 20 Bridge Street SYDNEY NSW 2000

Dear Sir / Madam

SHARE PURCHASE PLAN ("SPP")

Please find enclosed a copy of the SPP offer that is being forwarded to Peet Limited shareholders with an address in Australia or New Zealand.

Yours sincerely PEET LIMITED

fets-D

DOM SCAFETTA COMPANY SECRETARY

Enriching lives since 1895 Asset Manager Land Syndicator Fund Manager www.peet.com.au

Perth Level 7, 200 St Georges Terrace, Perth WA 6000 PO Box 7224 Cloisters Square WA 6850 Telephone (08) 9420 1111 Facsimile (08) 9481 4712 Email perth@peet.com.au

4 December 2006

Dear Shareholder

PEET LIMITED - SHARE PURCHASE PLAN A$4.10 PER SHARE

On 13 November 2006 Peet Limited ("Peet") announced to the Australian Stock Exchange ("ASX") the completion of a placement to institutional investors ("Placement") that raised A$82 million at A$4.10 per share.

The Board of Directors of Peet is now pleased to provide an opportunity for all eligible shareholders to participate in the capital raising initiatives of Peet through a Share Purchase Plan ("SPP").

The equity raised will further strengthen Peet's balance sheet and enable it to accelerate growth of its funds management business, grow new profit streams and allow Peet to consider larger acquisition opportunities.

At the AGM on November 15, 2006 earnings guidance of 21.2 cents per share ("EPS") for FY06/07 was confirmed, reflecting growth of 15% - exceeding Peet's stated underlying long-term target growth of 10% per annum. Dividends for the 2007 financial year are forecast to be 19.1 cents per share and, as with the EPS quidance, is subject to a continuation of prevailing market conditions.

Under the terms of the SPP all eligible shareholders will have the opportunity to acquire up to 1,210 fully paid ordinary shares in Peet at the issue price of A$4.10 each. This price is the same offered to institutional investors under the Placement and represents a discount of approximately 5.09% to the five day volume weighted average price of A$4.32 for the shares on ASX for the period up to and including 13 November 2006, the day of the announcement of the SPP.

Other key terms of the SPP include:

• Only registered holders of Peet shares as at 5.00pm (Perth time) on 1 December 2006 with $\bullet$ addresses either in Australia or New Zealand are eligible to participate;
• Shares purchased under the SPP will not attract brokerage, stamp duty or any other transaction ۰ costs:
• The new shares issued under the SPP will rank equally with existing Peet shares. $\bullet$

In deciding whether to take up the enclosed offer of shares, you should read the full Terms and Conditions enclosed and seek your own independent advice.

Enriching lives since 1895 Asset Manager Land Syndicator Fund Manager www.peet.com.au

Perth Level 7, 200 St Georges Terrace, Perth WA 6000 PO Box 7224 Cloisters Square WA 6850 Telephone (08) 9420 1111 Facsimile (08) 9481 4712 Email perth@peet.com.au

The key dates* in relation to the SPP are set out in the table below:

lavani	Date
Record date	5pm (Perth time), 1 December 2006
Offer opens	5 December 2006
Offer closes	5pm (Perth time), 18 December 2006
Allotment date	22 December 2006

*Peet has the discretion to change these dates without prior notice to shareholders.

The market price of shares in Peet may rise or fall between the date of this offer and the date that the shares are allocated to you. This means that the subscription price you pay for the shares may exceed the market price of the shares at the date of allotment of the shares under this offer. You should therefore seek your own financial advice in relation to your participation in the SPP.

If you wish to participate in the SPP, please complete your Application Form and return it, together with your cheque made payable to "Peet Limited - SPP Account" to Computershare Investor Services("Computershare"), in the enclosed reply paid envelope. Please ensure the Application Form and cheque are received by Computershare no later than 5.00pm (Perth time) on Monday, 18 December 2006.

If you do not wish to participate in the SPP you do not need to take any action in respect to this letter.

This letter together with the attached Terms and Conditions and Application Form set out all the details of the SPP offer. However, should you have any questions in relation to the SPP, please contact Computershare on 1300 557 010.

Yours sincerely PEET LIMITED

Jong Jenner.

TONY LENNON CHAIRMAN

Willmaler

WARWICK HEMSLEY MANAGING DIRECTOR

PEET - SHARE PURCHASE PLAN

Pursuant to the Peet Limited ("Company") Share Purchase Plan ("SPP"), the Company offers eligible Shareholders the ability to acquire between 250 and 1,210 fully paid ordinary Shares in the Company ("Shares") at A$4.10 per Share which represents a discount of approximately 5.09% to the five day volume weighted average price of A$4.32 for Shares on ASX for the period up to and including 13 November 2006, the day of the announcement of the SPP ("Offer").

Please carefully read the full Terms and Conditions relating to the Offer and the terms below, as you will be bound by them.

TERMS AND CONDITIONS

1. Opening and closing date of the Offer

The Offer opens on 5 December 2006. The offer closes at 5pm (Perth time) on Monday, 18 December 2006.

2. Eligibility

You are eligible to participate in the SPP only if you were a holder of Shares at 5.00pm (Perth time) on 1 December 2006 (Record Date) with a registered address in either Australia or New Zealand. The Company's Board has determined that it is not practical for holders of Shares resident, or with registered addresses, in other jurisdictions to participate in the SPP. Each offer to eligible shareholders is made on the same terms and conditions. The offer is non-renounceable (i.e. you may not transfer your right to apply for SPP Shares to anyone else.)

3. Issue Price

The purchase price for each SPP Share offered for issue under the SPP is A$4.10 (SPP Price).

The SPP Price represents a discount of 5.09% to the five-day volume weighted average price of A$4.32 for Shares on ASX for the period up to and including 13 November 2006, the day of the announcement of the SPP.

You should note that the market price of Shares may rise or fall between the date of this offer and the date when the SPP Shares are issued to you. Any such change in the share price will not affect the SPP Price. This means that the SPP Price may be either higher or lower than the price of Shares at the time the SPP Shares are issued to you. Accordingly, you should seek your own financial advice in relation to this offer.

4. Rights Attaching to Shares

All SPP Shares once issued will rank equally with existing Shares.

5. No Transaction Costs

No brokerage, commissions or other transaction costs are payable by shareholders in respect of the acquisition of SPP Shares.

6. Anticipated Issue and Quotation Dates

The SPP Shares are expected to be issued and quoted on the ASX on or around 22 December 2006. As soon as practicable after that date, you will then receive a holding statement confirming the number of Shares that have been issued to you.

7. Number of SPP Shares Offered

If you are eligible to apply for shares under the SPP, you may select one of the following offers:

250 Shares for a total cost of	$1.025
500 Shares for a total cost of	$2.050
750 Shares for a total cost of	$ 3.075
1,000 Shares for a total cost of	$4.100
1.210 Shares for a total cost of	$4.961

8. Maximum Applications

The offer under the SPP needs to comply with the requirements of ASIC Class Order 02/831. Under those requirements, the maximum number of SPP Shares which may be applied for (namely 1,210 Shares) applies irrespective of how many Shares you hold on the Record Date.

This limit also applies to you even if you receive more than one offer from the Company (for example, if you are both a sole and joint eligible shareholder, or if you are a shareholder with more than one holding under a separate account, you can only apply for SPP Shares once). To the extent that you hold Shares on behalf of another person resident outside Australia or New Zealand, it is your

responsibility to ensure that any acceptance is in compliance with all applicable foreign laws.

The Company reserves the right to reject any application for SPP Shares to the extent it considers that the application (whether alone or in conjunction with other applications) does not comply with these requirements.

9. No underwriting

The SPP is not underwritten.

10. Participation Optional

Participation in the SPP is entirely at your option. If you are in any doubt as to whether you should participate in the SPP or how such participation will affect you (including taxation implications), you should contact a professional adviser. We make no recommendations as to the Suitability or otherwise of your participation in the SPP.

11. Change of Offer

The Company may change, suspend or terminate the SPP or these Terms and Conditions at any time whether because of a change of law, ASIC requirements or policy or any other circumstance relevant to the SPP or the Company. If the Company does this, it will post a notice on the Company's website. Failure to notify shareholders of changes to, suspension or termination of the SPP or these Terms and Conditions will not invalidate the change, suspension or termination. The Company reserves the right to issue no SPP Shares or fewer SPP Shares than an eligible shareholder applies for under the SPP if the Company believes the issue of those SPP Shares would contravene ASIC requirements or policy, any law or any ASX Listing Rule. No interest will be paid on any money refunded. The Company's rights to change, suspend or terminate the SPP may be exercised by the Board or any delegate of the Board.

12. Dispute Resolution

The Company may settle any dispute in relation to the SPP or the Terms and Conditions of the SPP in any manner it thinks fit, whether generally or in relation to any shareholder, applications or Shares. The Company's decision will be conclusive and binding.

13. How to Apply for SPP Shares

If you would like to apply for SPP Shares, you must:

• Complete the enclosed Application Form and detach;
• Prepare a cheque for the appropriate amount, in Australian dollars, payable to "Peet Limited - SPP Account"; and
• Send the Application Form and cheque to the Share Registry in the enclosed reply paid envelope.

Do not forward cash. Receipts for payment will not be issued. Cheques will only be accepted if they are drawn in Australian currency on an Australian financial institution.

Applications must be received by 5:00pm (Perth time) on Monday, 18 December 2006. Applications received after that time may not be accepted.

By completing an Application Form to purchase SPP Shares, you agree to be bound by these terms and conditions and the Company's Constitution. Applications and payments may not be withdrawn once the Company has received them. Application money will not bear interest as against the Company under any circumstances.

14. Enquiries

If you have any questions in respect of the SPP, please contact the Share Registry, Computershare Investor Services by phone on 1300 557 010

Peet Limited | ACN 008 665 834

Computershare

Please return completed form to: Computershare Investor Services Pty Limited GPO Box D182 Perth Western Australia 6840 Australia Enquiries (within Australia) 1300 557 010 (outside Australia) 61 3 9415 4000 Facsimile 61 8 9323 2033 web.queries@computershare.com.au www.computershare.com

Securityholder Reference Number (SRN)

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Share Purchase Plan Application Form

IMPORTANT:

This is an important document which requires your immediate attention. If you are in any doubt as to how to deal with this form please consult a professional advisor.

Securityholders eligible to participate in the Share Purchase Plan ("SPP") may select one only of the following offers to purchase shares in Peet Limited ("Peet") on the Terms and Conditions of the SPP.

Offer Closes: 5.00pm WST on 18 December 2006

By making your payment, you agree to be bound by the Constitution of Peet and the Termsand Conditions of the SPP and agree that the submission of this payment constitutes an irrevocable offer by you to Peet to subscribe for Peet Shares on the Terms and Conditions of the SPP. In addition, by submitting this Application Form you certify that the aggregate of the application price paid by you for:

• the Shares the subject of this Application Form; and
• any other shares and interests in the class applied for by you under the Share Purchase Plan or any similar arrangement in the 12 months prior to the date of submission of this Application Form (including through joint and/or beneficial holdings), does not exceed $5,000.00.

To be completed by Securityholder

I/We wish to apply for the number of shares set out below in accordance with the Terms and B Conditions of the Share Durabase Dian as est out in the assemption inter dated & Describer 2008

	OORGROSS OF HIS OHBIST BIGHGS FRAH, AS SCEULETTERS ACCOUNDATING ISSUED GALGE # DOCCHIDST & DUO.
	Please mark one box onlyOffer A	Offer B	Offer C	Offer D	Offer E
	250 SharesA$1,025	500 SharesA$2.050	750 SharesA$3,075	1,000 SharesA$4.100	1.210 SharesA$4,961lin.
	the holder(s) of the Shares allotted to me/us, and I/we agree to be bound by the Constitution of the company.				I/We enclose my/our payment for the amount shown above being payment of A$4.10 per new Share. I/We hereby authorise you to register me/us as
	Enter your contact detailsTelephone Number - Business Hours / After HoursContact Name
D	Cheque details - Make your cheque or bank draft payable to Peet Limited - SPP AccountDrawer	Cheque Number	BSB Number	Account Number	Amount of cheque
					IAS.
	Drawer	Cheque Number	BSB Number	Account Number	Amount of cheque
					As
					See back of form for completion guidelines
	PPC	1 S P P			W#2 13/12/05

I 1234567890

Securityholder Entitlement details

Subregister

Record Date

Entitlement Number

ntitlement Number:

How to complete this form

	Acceptance of the Share Purchase Plan offer
$\mathbf{A}$	Registration Name(s)	D	Payment
Your name and address as it appears on the Register of Peet. Thisoffer is not transferable and is non renounceable			Make your cheque or bank draft payable to Peet Limited - SPPAccount in Australian currency and cross it Not Negotiable. Your
The OfferB		cheque or bank draft must be drawn on an Australian Bank.
provided.	You can apply for shares to a value of A$4,961 in the denominations.		Complete the cheque details in the boxes provided. The total amountmust agree with your selection made in section B.
$\mathbf{C}$	Contacts Details		Cheques will be processed on the day of receipt and as such,
	Enter your contact details. These are not compulsory but will assist usif we need to contact you.		sufficient cleared funds must be held in your account as chequesreturned unpaid may not be re-presented and may result in yourShare Purchase Plan Form being rejected. Pin (do not staple) yourcheque(s) to the Share Purchase Plan Form where indicated. Cashwill not be accepted. Receipt for payment will not be forwarded.
	Lodgement of Share Purchase Plan
	Return the Share Purchase Plan Form:		Share Purchase Plan Forms must be received at the Perth office of Computershare Investor Services Pty Limited by no later than 5.00pm WST on 18 December 2006.
By Mail:Peet Limited	OR	In Person:
	Computershare Investor Services Pty Limited	Level 2	Computershare Investor Services Pty Limited
GPO Box D182		45 St Georges Terrace
PERTH WA 6840		PERTH WA 6000
Privacy Statement
			Personal information is collected on this form by Computershare Investor Services Pty Limited ("CIS"), as registrar for securities issuers ("the issuer"), for the purpose ofmaintaining registers of securityholders, facilitating distribution payments and other corporate actions and communications. Your personal information may be disclosed toour related bodies corporate, to external service companies such as print or mail service providers, or as otherwise required or permitted by law. If you would like detailsof your personal information held by CIS, or you would like to correct information that is inaccurate, incorrect or out of date, please contact CIS. In accordance with theCorporations Act 2001, you may be sent material (including marketing material) approved by the issuer in addition to general corporate communications. You may electnot to receive marketing material by contacting CIS. You can contact CIS using the details provided on the front of this form or E-mail privacy@computershare.com.au
	If you have any enquiries concerning the Share Purchase Plan Offer please contact CIS on telephone 1300 557 010.
Sponsored Holders Only).			This form may not be used to notify your change of address. For information, please contact CIS on 1300 557 010 or visit www.computershare.com (Certificated/Issuer
	CHESS holders must contact their controlling participant to notify a change of address.
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Please return the completed form in the envelope provided or to the address opposite: Computershare Investor Services Pty LimitedGPO Box D182 Perth Western Australia 6840 Australia