However, due to the short term nature of this investment, the 
provisions of IFRS 5 - Net Asset Held For Resale applies to the disclosure of this investment.

The results of the above discontinued operations included in the Group's results for the period ended 31 March 2019, are detailed below:

Condensed consolidated statement of comprehensive income from discontinued operations

                                                                                                                                   2019         2018
                                                                                                                                  R'000        R'000

Total revenue                                                                                                                   348 057      719 686
Operating expenses                                                                                                            (290 707)    (647 857)
Profit from operations                                                                                                           57 350       71 829
Net interest received                                                                                                            78 013       91 798
Share of profits from equity accounted investees                                                                                 13 636       33 699
Profit before taxation and capital items                                                                                        148 999      197 326
Capital items                                                                                                                   116 500            -
Profit before taxation                                                                                                          265 499      197 326
Taxation                                                                                                                       (89 061)     (44 942)

Profit for the year from discontinued operations                                                                                176 438      152 384

Discontinued operations profit for the year attributable to:
Equity holders of the company                                                                                                   135 850      103 064
Non-controlling interests                                                                                                        40 588       49 320
                                                                                                                                176 438      152 384

Discontinued operations profit for the year attributable to equity holders                                                      135 850      103 064
Adjustment relating to earnings attributable to participating treasury shares                                                   (3 961)      (1 858)
Discontinued operations profit attributable to ordinary shareholders                                                            131 889      101 206
Gain on disposal of interest in subsidiary                                                                                     (56 668)            -
Headline earnings from discontinued operations                                                                                   75 221      101 206

Basic earnings per ordinary share (cents)                                                                                          63.4         47.9
Headline earnings per ordinary share (cents)                                                                                       36.1         47.9

The effect of the discontinued operations on the statement of financial position of the Group is detailed below:

The assets and liabilities reflected below have been recognised at 31 March 2019 at the lower of their carrying value and fair value 
less costs to sell or using measurement principles of IFRS 9 in accordance with IFRS 5.


Assets held for resale                                                                                                                       241 931
 Financial investments                                                                                                                       150 148
 Trade and other receivables                                                                                                                   2 314
 Cash and cash equivalents                                                                                                                    89 469

Liabilities held for resale                                                                                                                (160 068)
  Financial instrument liabilities                                                                                                         (159 275)
  Trade and other payables                                                                                                                     (486)
  Taxation                                                                                                                                     (307)

Attributable surplus net assets                                                                                                               81 863

The effect of the discontinued operations on the statement of cash flows of the Group is detailed below:

                                                                                                                                    2019        2018
                                                                                                                                   R'000       R'000

Cash flow from discontinued operations
Net operating cash flows from discontinued operations                                                                          (526 410)     157 060
Net investing cash flows from discontinued operations                                                                          (529 172)     (8 411)
Net financing cash flows from discontinued operations                                                                             21 990   (166 179)

Net decrease in cash and cash equivalents from the discontinued operations                                                   (1 033 592)    (17 530)

Shareholders are referred to previous announcements released on SENS indicating that with effect from 1 October 2018 the Group disposed 
of its investment in the Broking & Structuring division, comprising Peregrine SA Holdings Proprietary Limited's 65% shareholding in both 
Peregrine Securities Proprietary Limited and in Peregrine Fund Platform Proprietary Limited and Peregrine International Holdings Limited's 
65% shareholding in Peresec International Limited.

The net assets at the date of effective disposal were:


Identifiable assets                                                                                                                       17 842 866
  Property, plant and equipment                                                                                                               14 503
  Intangible assets                                                                                                                           25 460
  Investment in equity accounted investees                                                                                                   109 999
  Deferred taxation                                                                                                                           21 994
  Loans and receivables                                                                                                                       11 818
  Trade and other receivables                                                                                                                 83 187
  Amounts receivable in respect of stockbroking activities                                                                                15 997 940
  Cash and cash equivalents                                                                                                                1 577 965

Identifiable liabilities                                                                                                                (16 553 417)
  Loans and other payables                                                                                                                  (17 330)
  Financial instruments liabilities                                                                                                         (16 120)
  Trade and other payables                                                                                                                 (223 191)
  Amounts payable in respect of stockbroking activities                                                                                 (16 287 893)
  Taxation                                                                                                                                   (8 883)

Attributable surplus net assets                                                                                                            1 289 449
Other assets (Intercompany assets)                                                                                                          (46 829)
Non-controlling interest                                                                                                                   (399 153)
Net assets disposed of                                                                                                                       843 467
Cash consideration received                                                                                                                  958 673
Agreed purchase price                                                                                                                        910 000
Profit after tax and non-controlling interest for the six months ended 30 September 2018                                                      80 785
Less: Portion received in the form of a dividend                                                                                            (32 112)

Gain on disposal                                                                                                                             115 206
Foreign exchange gain                                                                                                                          3 547
Cost of disposals                                                                                                                            (2 253)
Capital profit                                                                                                                               116 500
Taxation                                                                                                                                    (53 293)
Net capital profit per statement of comprehensive income                                                                                      63 207
Attributable to participating treasury shares and non-controlling interest                                                                   (6 539)
Net capital profit headline earnings adjustment                                                                                               56 668

Net cash flow from Broking & Structuring disposal:                                                                                         (574 716)
 Consideration received                                                                                                                      958 673
 De-recognition of cash and cash equivalents on disposal                                                                                 (1 577 965)
 Other assets settled (Intercompany assets)                                                                                                   46 829
 Cost of disposals                                                                                                                           (2 253)

Represented on the cash flow statement as follows:                                                                                         (574 716)
 Net disposal of interest in equity accounted investee companies                                                                              88 357
 Disposal of subsidiary companies                                                                                                          (658 030)
 De-recognition on loss of control of hedge fund                                                                                             (5 043)

Critical accounting estimates and judgements

On 1 July 2014 the Group subscribed for 50% of Java Capital (Pty) Ltd ("Java") for a total subscription price of R205 million. Java is 
accounted for as an equity accounted investee and the carrying value of the investment in Java had grown to R241 million as at
31 March 2019 (2018: R231 million). Java Capital's attributable earnings for the year decreased over that of the prior year driven 
by significantly reduced deal flows in both the general corporate finance arena as well as in equity capital markets during the year. 
Given current market conditions in the property sector as well as the level of activity in the equity market as a whole, management has 
identified the impairment indicator and assessed its investment in Java for impairment.

In performing the assessment, management have used a price earnings multiple to determine the fair value of the business to estimate the net 
realisable value. As Java is an unlisted entity, the valuation of Java required the use of management's estimates and judgement in the determination 
of the recoverable amount of the investment. In determining the recoverable amount the following estimates and judgements were applied in the price 
earnings multiple calculation:

1. Five years of historical profit after tax
2. A price earnings multiple of 6
3. An industry discount of 30%

The outcome of the impairment assessment revealed that the carrying value of the Group's investment in Java of R241 million at 31 March 2019 exceeded 
the estimated recoverable amount of R141 million by R100 million. As such, an impairment of R100 million before tax and non-controlling interest was 
recognised in the current year in profit or loss ("Capital items" on the face of the Condensed consolidated statement of comprehensive income). 
The deferred tax effect was not recognised as the likelihood of a future capital gain arising against which a capital loss may be offset is remote. 
The portion attributable to participating treasury shares and non-controlling interest amounted to R17 million.

Restatement of prior year financial statements

1. Adoption of IFRS 9- Financial Instruments (IFRS 9)

The Group adopted IFRS 9 for the first time in the current year. The classification of the Group's financial instruments have been reassessed 
in accordance with IFRS 9.

The outcome of the reassessment is as follows:

IAS 39 classification and measurement approach                               IFRS 9 classification and measurement approach
Loans and receivables at amortised cost                                      Debt instruments at amortised cost
Financial assets held for trade or designated at fair value through profit   Financial assets at FVTPL
or loss (FVTPL)
Available for sale - equity instruments                                      Equity instruments at Fair Value through Other
                                                                             Comprehensive Income (FVOCI)
Financial liabilities designated at FVTPL                                    Financial liabilities designated at FVTPL
Financial liabilities at amortised cost                                      Financial liabilities at amortised cost

The adoption of an expected credit loss approach for impairment had no impact on the Group due to the nature of the Group's debt instruments. 
The impact of adoption is concentrated to the treatment of Nala PGR SA Holdings Proprietary Limited's (Nala) (in which the Group has a 30% equity 
accounted interest) underlying listed equity investment which is designated at FVOCI and which is explained in more detail below.

The Group has elected to restate its financial statements for the adoption of IFRS 9.

2. Accounting treatment of non-controlling interests (NCIs)

Nala holds 20% of the ordinary shares of Peregrine SA Holdings Proprietary Limited (PSAH). Peregrine Holdings Limited holds 30% of the ordinary 
shares of Nala and thus the effective NCI percentage held in PSAH is 14%.

Both IFRS 10 - Consolidated Financial Statements and IAS 28 - Investments in Associates and Joint Ventures are silent on the appropriate accounting 
treatment to be applied to a situation in which the Group holds an investment in an associate that in turn holds an investment in a subsidiary of 
the Group. There are two options that are considered appropriate for the accounting of NCIs in this structure: either the NCI is determined after 
considering the associates ownership of the subsidiary (the look through approach), or based on the holdings of the Group in the subsidiary only. 
The treatment of NCI in this scenario is complex and judgemental. The Group upon advice has to date consistently and appropriately applied the '
look through approach' in accounting for the allocation of profit to Nala at its effective shareholding of 14%.

As and when dividends were declared and paid by PSAH, 20% was paid to Nala and recognised as a reduction in NCI (with 80% being paid to 
Peregrine Holdings Limited). Other than an aggregate of R12.5 million declared in May 2017 by Nala to its shareholders (in order to facilitate a 
distribution to the beneficiaries of the Employee Portfolio Trust), no dividends have been declared or paid by Nala to Peregrine Holdings Limited 
(or any of its other shareholders), with all the remaining dividends received by Nala (being in aggregate R405 million) having been utilised, in 
accordance with the terms of the debt facility, to repay and partially retire Nala's external debt funding commitments. The dividend payment to 
Nala was correctly paid at the full contractual 20% as opposed to the effective 14%. The 6% differential between the shareholding and the effective 
interest is akin to an increase in Peregrine's associate interest in Nala and as a result should have been, and has subsequently been, accounted 
for as an increase in Peregrine's investment in Nala, with a corresponding increase in NCI. The Group undertook an extensive evaluation of all NCI 
treatment to identify any other potential errors in the accounting treatment of NCIs. The Group identified one other accounting treatment error 
between NCI and equity attributable to ordinary shareholders which has been incorporated into the restatement. It needs to be noted that neither of 
these prior period errors have had a material impact on earnings or headline earnings and no impact at all on dividends declared and paid to 
ordinary shareholders in any of the previous years.

Excluding Nala's investment in PSAH, Nala has incurred losses in the last three financial years, primarily arising from its investment in a listed 
equity instrument which has been designated as FVOCI under IFRS 9, the effective carrying amount of which is R11 million as at 31 March 2019.

The increase in the carrying amount of the investment in Nala as a result of the above mentioned treatment, means that the Group must recognise its 
attributable share of Nala's losses through other comprehensive income, subject to the limitation set out by IAS 28. Consequently, the Group has 
reflected their share of these losses in other comprehensive income. Nala's other income and expenses are not material to the Group.

3. Presentation of Investec Revolving Credit Facility (RCF)

In the prior year, a classification error between non-current and current liabilities occurred with regards to the RCF with Investec Bank Limited, 
whereby R253 million was incorrectly classified as non-current. In order to align to the contractual terms of the RCF the comparative period has 
been restated by reclassifying the R253 million from non-current to current liabilities. This reclassification had no other effect on the reported 
results of the Group as at 31 March 2018.

4. Quantification of above mentioned matters

These matters have been quantified, and the financial statements restated, with the financial effects of these restatements being as follows:

                                                                                                     Recognition of
                                                                                              attributable share of   
                                                                                                   losses in equity  Recognition of    As previously
                                                          Restated as at   Representation of              accounted             NCI   reported as at 
                                                           31 March 2018                 RCF              associate      adjustment    31 March 2018
                                                                   R'000               R'000                  R'000           R'000            R'000
                                                                 Dr/(Cr)             Dr/(Cr)                Dr/(Cr)         Dr/(Cr)          Dr/(Cr)
4.1 Statements of financial position
Non-current assets
Investment in equity accounted investee                          414 520                   -               (67 440)         108 366          373 594

Equity and liabilities
Equity *                                                     (2 558 779)                   -                 67 440       (108 366)      (2 517 853)
Equity attributable to equity holders of the company         (2 007 376)                   -                 67 440          31 550      (2 106 366)
Non-controlling interest                                       (551 403)                   -                      -       (139 916)        (411 487)

Non-current liabilities
Interest bearing borrowings - non-current                      (170 428)             252 830                      -               -        (423 258)

Current liabilities
Interest bearing borrowings - current                          (305 298)           (252 830)                      -               -         (52 468)

4.2 Statements of comprehensive income
Profit for the year                                            (684 333)                   -                      -               -        (684 333)
Other comprehensive income for the year net of taxation           42 542                   -                 67 440               -         (24 898)

Total comprehensive income for the year                        (641 791)                   -                 67 440               -        (709 231)

Profit for the year attributable to:
Equity holders of the company                                  (513 176)                   -                      -               -        (513 176)
Non-controlling interests                                      (171 157)                   -                      -               -        (171 157)

                                                               (684 333)                   -                      -               -        (684 333)

Total comprehensive income for the year attributable to:
Equity holders of the company                                  (469 343)                   -                 67 440               -        (536 783)
Non-controlling interests                                      (172 448)                   -                      -               -        (172 448)
                                                               (641 791)                   -                 67 440               -        (709 231)

* Please refer to the statements of changes in equity for the financial effects of the above mentioned matters.

Events subsequent to reporting date

The directors are not aware of any other matters or circumstances arising since the end of the reporting period which significantly affect the 
financial position of the Group or the results of its operations.

Contingent liabilities and guarantees issued

There were no contingent liabilities and no new guarantees issued during the reporting period.


Operating lease commitments as at 31 March 2019 amounted to R365 million (2018: R389 million).

Supplementary information
Applicable exchange rates
                                                                                                                       Average rates   Closing rates
31 March 2019                                                                                                                  13.76           14.42
31 March 2018                                                                                                                  13.00           11.85

31 March 2019                                                                                                                  18.04           18.79
31 March 2018                                                                                                                  17.22           16.62

This announcement does not include the information required pursuant to paragraph 16A(j) of IAS 34. The full provisional report is available on 
Peregrine's website, at Peregrine's offices and upon request.

Date of release of this announcement on SENS: 20 June 2019

Date: 20/06/2019 07:05:00 Produced by the JSE SENS Department. The SENS service is an information dissemination service administered by the JSE Limited ('JSE'). 
The JSE does not, whether expressly, tacitly or implicitly, represent, warrant or in any way guarantee the truth, accuracy or completeness of
 the information published on SENS. The JSE, their officers, employees and agents accept no liability for (or in respect of) any direct, 
indirect, incidental or consequential loss or damage of any kind or nature, howsoever arising, from the use of SENS or the use of, or reliance on,
 information disseminated through SENS.