RURAL FUNDS GROUP — Capital/Financing Update 2017

Jun 6, 2017

Notice reference number: #0614.17.06. Notice date: 7/06/2017

What's this about?	Effective date: 7/06/2017
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Title

Rural Funds Group – Accelerated Non-renounceable Entitlement Offer

Description

On Wednesday 7 June 2017, Rural Funds Group (ASX Code: RFF) (Group) announced a fully underwritten 2 for 9 pro rata accelerated non-renounceable entitlement offer of new units at an issue price of $1.70 per new unit to raise approximately A$78.6 million (Entitlement Offer).

The Entitlement Offer has the following two components.

• An institutional entitlement offer, where offers have been made to qualifying institutional securityholders for them to apply for their pro-rata entitlement (Institutional Entitlement Offer).
• A retail entitlement offer, where offers will be made to qualifying retail securityholders for them to apply for their pro-rata entitlement (Retail Entitlement Offer).

New units issued under the Entitlement Offer will rank equally with existing units.

The anticipated timetable in relation to the Entitlement Offer is set out below.

Event	Date
Trading halt commencesInstitutional Entitlement Offer opens and closes	Wednesday, 7 June 2017
Announcement of results of Institutional Entitlement OfferTrading halt liftedTrading in units resumes on an ex-entitlement basis (ASX Code: RFF)	Thursday, 8 June 2017
Record date for Entitlement Offer	Friday, 9 June 2017
Retail Entitlement Offer opensDespatch of Retail Entitlement Offer booklet	Wednesday, 14 June 2017
Closing date for early retail acceptances	Tuesday, 20 June 2017
Settlement of Institutional Entitlement Offer and early retail acceptances	Wednesday, 21 June 2017

Issue of new units under the Institutional Entitlement Offer and early retailacceptances and commencement of trading in new units on a normalsettlement basis (ASX Code: RFF)	Thursday, 22 June 2017
Retail Entitlement Offer closes	Monday, 26 June 2017
Issue of new units under the Retail Entitlement Offer	Friday, 30 June 2017
New units issued under the Retail Entitlement Offer commence trading on anormal settlement basis (ASX Code: RFF)	Monday, 3 July 2017

Settlement issues

Despite the fact that securities are trading 'ex entitlement' on ASX Trade, CHESS will not recognise for settlement purposes the 'ex entitlement' or the 'cum entitlement' tag on CHESS messages and CHESS will not maintain cum balances during the deemed 'CHESS ex-period', i.e. the period commencing on the deemed CHESS ex-date up to and including the record date. However, a record date cum balance will be available the business day following the record date, which will be equal to the registered holding balance at CHESS end of day on the record date. As a result any transfer that occurs prior to record date will be effectively transferred on a 'cum entitlement' basis.

Therefore, Participants must ensure that any transfer, including the priming of Broker Entrepot Accounts, is conducted in accordance with the basis of quote. For example, a transfer in relation to a transaction conducted on an 'ex entitlement' basis should ordinarily only occur post record date.

CHESS will perform automatic diary adjustments to 'cum entitlement' settlement obligations outstanding as at the record date.

Trading issues

ASX will not price a 'cum entitlement' market with respect to trading in the Company's securities. Persons who acquire the Company's securities after the commencement of the trading halt on Wednesday, 7 June 2017 are not entitled to participate in the Entitlement Offer.

What do I need to do and by when?

For further details, please refer to the Company's announcements on Wednesday, 7 June 2017.

Need more information?

For further details, please contact RFM Investor Services on 1800 026 665 (from within Australia) or +61 2 6203 9700 (from outside Australia) between 8:30am and 5:00pm (AEST), Monday to Friday.

Issued by Stephanie So

Contact Details (02) 9227 0000

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