Update on realisation of portfolio and liquidation

22 February 2018

ABERDEEN PRIVATE EQUITY FUND LIMITED

(the "Company")

Update on proposals for the realisation of the Company's portfolio and the liquidation of the Company

The Company issued a circular to shareholders on 1 February 2018, outlining proposals for the realisation of the Company's portfolio and the liquidation of the Company. Since then it has become apparent that the new Tax Cuts and Jobs Act, recently enacted in the US, means that some of the proceeds of the portfolio realisation may be caught by a new requirement that the buyer of an interest in an entity that is treated as a partnership for US tax purposes has to withhold 10% of proceeds in certain circumstances and pay the withheld amounts to the US Internal Revenue Service. To the extent any amounts withheld exceed the actual US tax liability of the Company in respect of a particular transfer, the excess should be refunded to the Company by the US Internal Revenue Service.

While it is not possible to confirm definitively, and work continues to quantify this with the Buyer, the Manager's estimate, at this stage, is that this withholding is only likely to represent c.5% of the sale proceeds. The expectation is that refunds due to the Company will be accrued for by the Company and paid out in due course to Shareholders by the Company's liquidator. Whilst this is expected to mean a longer liquidation period and, therefore, a longer period until the full proceeds are distributed to shareholders, it is still expected that most, if not all of this amount will ultimately be available to be distributed to shareholders. It is still expected that the majority of proceeds will be returned to investors in early April. Everything else as outlined in the Circular remains the same.

Enquiries:

Company Secretary and Administrator

Ipes (Guernsey) Limited

Nicholas Robilliard

01481 713843