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Franklin Templeton Investments Announces Agreement to Acquire Rensburg Fund Management

November 18, 2010
From: Franklin Resources, Inc.
Contact: Bill Weeks
Telephone: (212) 632-3204

London, 18 November 2010 - Franklin Resources, Inc. [NYSE:BEN], a global investment management organisation operating as Franklin Templeton Investments, today announces that its subsidiary Franklin Templeton Global Investors Limited (UK) has entered into a conditional agreement to acquire Rensburg Fund Management Limited, a subsidiary of Investec plc, in an all cash transaction for GBP 45 million (approximately USD 72 million (1) ). The agreement is subject to regulatory approval and is expected to be completed in early 2011.

Greg Johnson, CEO of Franklin Resources, Inc. said: “We are pleased to announce the planned acquisition of Rensburg Fund Management, an established UK Equity manager with over 25 years’ experience of managing unit trusts. This acquisition makes strategic sense for us and fits very well with our overall corporate strategy of building the best investment products in markets such as the UK, where local asset management expertise is important to meet local investors’ needs.”

Based in Leeds, UK, Rensburg Fund Management is a specialist UK Equity manager with a track record of managing unit trusts dating back to 1985. The team of six investment professionals is highly regarded within the UK asset management industry, with a combined tenure of 43 years managing six distinctive strategies: UK Equity Income; UK Blue Chip Growth; UK Midcap Growth; UK Select Growth; UK Smaller Companies and UK Managers’ focus.

The group manages approximately GBP 880 million (as of 01 November 2010) in UK equities and is well positioned to take advantage of favourable growth drivers in the local market with its broad range of UK equity funds.

"Rensburg Fund Management possesses tremendous expertise and a proven track record in managing UK equities, a key area of focus for our UK clients and important complement to our existing capabilities," said John Lusk, Executive Vice President, investment management for Franklin Templeton. "We look forward to having them join our strong lineup of investment teams."

Commenting on this acquisition, Alex Brotherston, Joint Chief Executive of Rensburg Fund Management, said: “The management and investment team of Rensburg Fund Management have been fully involved in discussions from the outset and are delighted with the company’s acquisition by Franklin Templeton. Importantly, this transaction ensures complete continuity for clients in terms of investment team and process.”

Jamie Hammond, Managing Director Europe, Franklin Templeton Investments added: “We are best known in the UK for our global and specialist funds, and we are looking to develop core UK equity products, which are an important asset class for UK investors. Rensburg Fund Management brings a very strong track record and reputation and I am confident that this new partnership will strengthen Franklin Templeton’s position in the UK market as we introduce Rensburg Fund Management’s products to our key partners and clients, such as large cross-border banks and institutions. This is an exciting and important development, which underscores Franklin Templeton’s commitment to further enhancing its local presence in the UK.”

Franklin Templeton Global Investors Limited (UK) is a subsidiary of Franklin Resources, Inc. [NYSE:BEN], a global investment management organisation operating as Franklin Templeton Investments. Franklin Templeton Investments provides global and domestic investment management solutions managed by its Franklin, Templeton, Mutual Series, Fiduciary Trust, Darby and Bissett investment teams. The San Mateo, CA-based company has more than 60 years of investment experience and over USD 644 billion in assets under management as of 30 September 2010. For more information, please visit www.franklinresources.com .

Investec plc is an international specialist bank and asset manager that provides a diverse range of financial products and services to a niche client base in three principal markets, the United Kingdom, South Africa and Australia, as well as certain other countries. The group was established in 1974 and currently has approximately 6,600 permanent employees. Investec focuses on delivering distinctive profitable solutions for its clients in six core areas of activity, namely Asset Management, Wealth and Investment, Property Activities, Private Banking, Investment Banking and Capital Markets. In July 2002 the Investec group implemented a dual listed company structure with listings on the London and Johannesburg Stock Exchanges.

(1) Calculated on 17 November 2010 on the basis that FX rate of 1 GBP = 1.60005 USD