Launch of Renounceable Rights Issue

Allied Farmers Rights Issue On behalf of the directors of Allied Farmers Limited (Allied Farmers), we are pleased to offer Eligible Shareholders the opportunity to participate in our renounceable rights issue of 1 New Share for every 3 Existing Shares held, at an issue price of 50 cents per New Share, to raise up to approximately $2,975,788. We intend to use the proceeds from the Offer to execute on our strategy to invest in the growth of our rural-focused finance business, innovation initiatives, and investment in digital technologies. As highlighted in our recent FY20 financial results commentary, our intention is to continue to evaluate and potentially invest in profitable and innovative technologies either by strategic partnership or through direct investment within a disciplined and ethical investment framework. Eligible Shareholders are entitled to take up 1 New Share for every 3 Existing Shares held, and to apply for additional shares at the same price. If you choose not to invest, and the offer is fully subscribed, you will experience dilution of around 25% in your percentage interest in Allied Farmers*. Key Dates Announcement of the Offer 23 November 2020 Ex-Date and Rights trading commences on the NZX Market 30 November 2020 Record Date for determining eligibility 7:00 p.m. on 1 December 2020 Opening Date and mailing/emailing of Offer documentation 2 December 2020 Rights trading ends on the NZX market 14 December 2020 Closing Date (last day for receipt of a renunciation or the completed Entitlement and Acceptance Form, with payment), unless extended 18 December 2020 Allotment and issue of New Shares 24 December 2020 Anticipated date of quotation of New Shares 24 December 2020 Statements mailed 31 December 2020 Allied Farmers Placement At our annual meeting on 24 November 2020 (Annual Meeting) Shareholders approved the Placement of up to 10 million shares to investors at the same price of 50 cents per share. We indicated in the explanatory notes to the notice of meeting for the Annual Meeting that investors would likely be a combination of high net worth persons, institutions and others whose interest in Allied Farmers has been heightened by the proposed investment in NZ Rural Land Management Limited Partnership (discussed below). However, we received feedback from some existing shareholders that they would like, in addition to participation in the rights issue, to also invest in the Placement. Please contact our Company Secretary Ross O'Neill, by email at ross.oneill@alliedfarmers.co.nz if you would like to discuss participating in the Placement. Management Company Investment and New Zealand Rural Land Company IPO At our Annual Meeting, Shareholders also approved the issue of 5 million shares at 50 cents per share in consideration for the conditional purchase of a 50 percent interest in NZ Rural Land Management Limited Partnership (the Manager), the manager of NZ Rural Land Company Limited (NZRLC). NZRLC is currently raising funds in an initial public offering to invest in rural New Zealand land. Notwithstanding that the purchase of an interest in the Manager did not require shareholder approval, at the Annual Meeting shareholders provided feedback that they would like to understand more about our proposed investment in the Manager. Now that the NZRLC offer has been made public, and the Management Agreement between the Manager and NZRLC (Management Agreement) is also public, we have provided this information in the question and answer sheet accompanying this Offer. In addition, a copy of the Management Agreement can be found at www.disclose-register.companiesoffice.govt.nz by searching offer number 'OFR12993'. If you would like to learn more about NZRLC's public offering, a copy of its product disclosure statement and application form can be found at www.disclose-register.companiesoffice.govt.nz by searching offer number 'OFR12993', or you can alternatively visit: www.nzrlcshareoffer.co.nz. Richard Perry, Chairperson *Based on the number of ordinary shares on issue at the date of this Offer, being 17,854,729 shares Mr. Perry can be contacted for investor and media enquiries on 06 765 6199 End CA:00364305 For:ALF Type:CORPACT Time:2020-12-02 08:30:51