Shareholder Correspondence

The Board and management of Gemfields Group Limited’s (“GGL”) welcome input and views from shareholders. Given that transparency is a key Gemfields’ tenet, Gemfields believes it is important for all shareholders to have access to relevant correspondence concerning material matters.

To that end, GGL has obtained the permission of Groundswell Holdings (Pty) Ltd (“Groundswell”) to provide copies of the correspondence exchanged to date between Groundswell and GGL in relation to various matters.

Groundswell is supported in this correspondence by GGL shareholders holding together approximately 7.5% of GGL’s issued shares, being:

  1. Afrika Avontuur Kapitaal (Pty) Ltd
  2. Afrika Avontuur Trust
  3. Groundswell Holdings (Pty) Ltd
  4. Peter D Wimsey & Associates (Pty) Ltd
  5. Rational Expectations (Pty) Ltd
  6. Rozendal & Associates Holdings Ltd
  7. Rozendal Partners (Pty) Ltd

Key letter correspondence to date comprises:

  1. On 26 May 2020, GGL received a letter from Groundswell (dated 21 May 2020) raising perceived concerns on the part of those shareholders relating to the Company’s corporate governance and performance.
  2. On 8 June 2020, GGL replied to Groundswell with a letter advising, inter alia, that GGL had since communicated directly with GGL shareholders representing more than 50% of GGL’s shares who supported the approach and timing of GGL’s proposed approach to the issues raised by Groundswell.
  3. On 16 June 2020, Groundswell sent a further letter (dated 15 June 2020) to GGL proposing the appointment of Mr William Marshall-Smith of Groundswell to the board of GGL.
  4. On 3 July 2020, GGL replied to Groundswell’s letter received on 16 June 2020 relating to an 8th director on the GGL board and the ongoing review of the articles of association.
  5. On 9 July 2020, GGL received a further letter from Groundswell (dated 6 July 2020) regarding various matters.

GGL shareholders with comments or queries in respect of the above correspondence are welcome to write to [email protected]