SORTED GROUP HOLDINGS PLC — Capital/Financing Update 2014

Jun 2, 2014

Date of Announcement: 2 June 2014 Reference: 58/2014

The following is a Company Announcement issued by Island Hotels Group Holdings p.l.c. (the "Company") pursuant to the Malta Financial Services Authority Listing Rules.

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The Company is pleased to announce the allocation policy to be applied to applications received in respect of its €35,000,000 6% Bonds 2024 (the "Bonds") issued by the Company in terms of the Prospectus and which opened for subscription on 26 May 2014.

In terms of the Prospectus, an aggregate amount of €12,500,000 of the Bonds was reserved as follows:

• (a) €5,000,000 of the Bonds respectively to each of: (i) Curmi & Partners Limited, of Finance House, Princess Elizabeth Street, Ta' Xbiex XBX 1102; and (ii) Rizzo, Farrugia & Co (Stockbrokers) Limited, of Airways House, Third Floor, High Street, Sliema SLM 1549 ("Private Placement"); and
• (b) Up to an aggregate amount of €2,500,000 of the Bonds was reserved to existing shareholders and Island Hotels Group employees as at close of business on the 9 May 2014 (the "Shareholder/Employee Offer").

Following such allocations, any remaining Bonds were to be allocated to applications submitted by the general public without priority or preference ("Issue to the General Public").

5,767 applications representing a total value of €84,158,700 were received for participation in the Private Placement, the Shareholder/Employee Offer and the Issue to the General Public.

Curmi & Partners Ltd. and Rizzo, Farrugia & Co (Stockbrokers) Ltd. were each allocated €5,000,000 of the Bonds.

The Company received 114 applications for participation in the Shareholder/Employee Offer representing a total value of €5,049,300. In this respect, the Company shall be satisfying all applications under the Shareholder/Employee Offer for amounts up to €100,000 in full and in the case of applications for amounts of over €100,000 the Company will likewise be satisfying the first

Registered Address: Radisson Blu Resort St. Julians, Louis V. Farrugia Street, St. George's Bay, St. Julians STJ 3391, Malta

Telephone: +356 2137 4894

Company Registration No.: C44855

Island Hotels Group Holdings p.l.c. is a public limited company registered in terms of the Companies Act (Cap.386 of the Laws of Malta) - 1 -

€100,000 and allocating a further 4.423% of the remaining balance of all such applications. The amount that was not allocated under the Shareholder/Employee offer amounts to €2,549,300.

The remaining unreserved balance of the Bonds available for subscription during the Issue to the General Public amounted to €22,500,000. By the closing of the subscription lists (26 May 2014 - Company Announcement 57/2014 refers), the Company had received a total of 5,336 applications for participation in the Issue to the General Public representing a total value of €69,109,400. In addition, the €2,549,300 that were not allocated under the Shareholder/Employee offer, will also be participating in the Issue to the General Public. The Company shall be satisfying all applications under the Issue to the General Public for amounts up to €3,000 in full and in the case of applications for amounts of over €3,000 the Company will likewise be satisfying the first €3,000 and allocating a further 12.4468% of the remaining balance of all such applications.

All amounts being allocated have been rounded to the nearest €100.

Refunds of unallocated monies will be affected by not later than 4 June 2014. The Bond will be admitted to listing on the Malta Stock Exchange on Monday 9 June 2014 and trading will commence on Tuesday 10 June 2014. Interest on the Bonds will accrue as from 9 June 2014.

The Board of Directors would like to thank the existing shareholders, bondholders, financial intermediaries and investing public for the remarkable support shown towards this bond issue.

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Signed:

_____________________

Kenneth Abela Company Secretary