Princess publishes annual report 2011 with 6.6% NA

News Release

Guernsey, 7 March 2012

Princess publishes annual report 2011 with 6.6% NAV growth

Princess Private Equity Holding Limited (Princess or the Company) today published its Annual Report for 2011. The key items were:

n Princess increased its net asset value (NAV) by 6.6% in 2011, closing the year at EUR 8.81 per share, adjusted for the two dividend payments in 2011.

n Positive valuation developments were responsible for the bulk of this performance, adding 9.7% to the Company's NAV growth, as strong improvements in operating results and successful exits supported positive company revaluations.

n One key development was the payment of a total dividend of EUR 0.45 per share, which translated to an annualized dividend yield of 5.0% based on the NAV per share as of 30 September 2011.

n Distribution proceeds from realized investments increased significantly in 2011 and amounted to EUR 115.4 million in 2011 compared to EUR 95.2 million in 2010. For Princess the fourth quarter 2011 proved to be the most lucrative quarter for distributions since the same period of 2007, with EUR 35.1 million received from realized investments.

n Princess invested EUR 23.4 million in six new direct investments as it began to implement the policy of redirecting its investment focus towards direct investments.

Brian Human, Chairman, comments: "In 2011 considerable progress was made with the strategic repositioning of Princess, including the completion of six direct investments and the payment of two interim dividends to shareholders translating into a dividend yield of 7.4% based on yesterday's closing share price. On the portfolio level, the company witnessed very strong distributions in 2011 supporting Princess' healthy net liquidity position. For 2012, Princess' focus will be on paying out semi-annual dividends to shareholders with a dividend yield objective of 5-8% p.a. on NAV per share and on further increasing the allocation to direct investments. I am confident that the continuing transition towards a direct investment company with a high dividend yield objective will ensure that Princess is well-placed to continue creating value for its shareholders."

A detailed analysis and commentary on the developments of Princess during 2011 is presented in the Annual Report published today, which can be accessed via: http://www.princess-privateequity.net/financialreports

A copy of the report has also been submitted to the National Storage Mechanism and will shortly be available for inspection at: http://www.Hemscott.com/nsm.do

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 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

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.