Princess amends management fee

News Release

Guernsey, 23 August 2012

Amendment to management fee to reflect direct investment focus

The Board of Princess Private Equity Holding Limited (Princess or the Company) hereby announces that, based on its new focus on direct investments, it has agreed with the Investment Manager to lower the Company's operating expenses over time by standardizing on a management fee of 1.5% per annum across the Company's entire portfolio. Standardizing the management fee will also simplify the Company for investors and analysts. The new management fee will be effective as of the beginning of the Company's next fiscal year on 1 January 2013.

The existing management fee structure, which was put in place at the time of Princess' first listing on the Frankfurt Stock Exchange in December 2006, assumes an integrated investment strategy with different fee levels for primary, secondary and direct investments. However, given Princess' new investment objective (approved by shareholders at the 2011 Annual General Meeting) to build up a diversified portfolio of private equity and private debt direct investments, the Board deems a single management fee across Princess' entire portfolio as being the most appropriate fee structure for the Company.

Brian Human, Chairman, comments: "This gradual reduction of costs to the Company is integral to our phased repositioning towards direct investments. This fee amendment is another step to simplifying Princess' structure, following the recently announced consolidation of the Company's listing into a single listing on the London Stock Exchange. A further reduction in total management fee charges will be achieved over time by eliminating the fee layer associated with third party fund investments."

Ends.

About Princess

Princess is an investment holding company founded in 1999 and domiciled in Guernsey. It invests, inter alia, in private equity and private debt investments. Princess is advised in its investment activities by Partners Group AG, a global private markets investment management firm with over EUR 25 billion in investment programs under management in private equity, private debt, private real estate and private infrastructure. Princess aims to provide shareholders with long-term capital growth and an attractive dividend yield. Princess is traded on the Frankfurt Stock Exchange (ticker symbol: PEY1) and on the London Stock Exchange (ticker symbol: PEY). Further information: www.princess-privateequity.net

Contacts

Princess Private Equity Holding Limited:

[email protected]

www.princess-privateequity.net

Registered Number: 35241

Investor relations contact:

Jan-Frederik Modell

Phone: +44 (0)20 7575 2753

E-mail: [email protected]

Media enquiries:

Partners Group AG

Dr. Anna Hollmann

Communications

Tel.: +41 41 768 83 72

[email protected]

www.partnersgroup.com

This document does not constitute an offer to sell or a solicitation of an offer to buy or subscribe for any securities and neither is it intended to be an investment advertisement or sales instrument of Princess Private Equity Holding Limited. The distribution of this document may be restricted by law in certain jurisdictions. Persons into whose possession this document comes must inform themselves about, and observe any such restrictions on the distribution of this document. In particular, this document and the information contained therein is not for distribution or publication, neither directly nor indirectly, in or into the United States of America, Canada, Australia or Japan.

This document may have been prepared using financial information contained in the books and records of the product described herein as of the reporting date. This information is believed to be accurate but has not been audited by any third party. This document may describe past performance, which may not be indicative of future results. No liability is accepted for any actions taken on the basis of the information provided in this document. Neither the contents of Princess' website nor the contents of any website accessible from hyperlinks on Princess' website (or any other website) is incorporated into, or forms part of, this announcement.