CHALLENGER LIMITED — Major Shareholding Notification 2011

30 August 2 011

The Manager Company A nnouncements Office ASX Limite d 20 Bridge S treet

==> picture [7 x 42] intentionally omitted <==

==> picture [55 x 42] intentionally omitted <==

==> picture [54 x 42] intentionally omitted <==

==> picture [55 x 42] intentionally omitted <==

==> picture [54 x 59] intentionally omitted <==

==> picture [53 x 59] intentionally omitted <==

Sydney

Level 15 , 255 Pitt Street Sydney N SW 2000 Aus t ralia GPO Bo x 3698 Sydney N SW 2001 www.ch a llenger.com.au Telepho n e 02 9994 700 0 Facsimil e 02 9994 7777

SYDNEY N SW 2000

By electron i c lodgemen t

Dear Sir

Re: Notice of initial substantial holder ~ G8 Education Limited (GEM)

We enclos e notice of in i tial substan t ial holder in G8 Educati o n Limited. T his notice is given by C h allenger Limited an d each of its s ubsidiaries named in A n nexure 1 to this notice. Yours faithfully

==> picture [7 x 39] intentionally omitted <==

==> picture [55 x 39] intentionally omitted <==

==> picture [55 x 39] intentionally omitted <==

==> picture [55 x 39] intentionally omitted <==

==> picture [4 x 39] intentionally omitted <==

Suzie Koeppenkastrop Company S ecretary

attach

Melbourne Le v el 33, 101 Collin s Street PO Box 2 97, Flinders Lan e , Melbourne VIC 3000 Telephone 02 9994 7000 Faccsimile 02 9994 7777 Brisbane Le v el 7, 320 Adelai d e Street GPO Box 3234, Brisbane QLD 4001 Telep h one 07 3136 54 0 0 Facsimile 07 31136 5407 Perth Le v el 2, 168 St Geor g es Terrace PO B o x Z5065, St Geor g es Terrace, Perth W A 6831 Telepho n e 08 9261 7412 FFacsimile 08 9241 0 571 Adelaide Le v el 3, 97 Pirie Stre e t Adelaide SA 50 0 0 Telephone 08 7 1 29 4402 Facsimil e 08 8232 4446 Challenger Limit e d ABN 85 106 84 2 371 Challenger G roup Services Pty Limited ABN 91 0 8 5 657 307 Challenger Life Company Limited A B N 44 072 486 93 8 AFSL 234670 C hallenger Comm e rcial Lending Limited ABN 65 000 0333 143 Challenger Mana g ed Investments Limited ABN 94 00 2 835 592 AFSL 2 3 4668 Challenger Listed Investment s Limited ABN 94 0055 293 644 AFSL 236 887 CIF Investment Trust 1 ARSN 114 139 703 CIF Inves t ment Trust 2 ARS N 114 139 632 C h allenger Wine Tru s t ARSN 092 960 0060 Challenger Diver s ified Property Tru s t 1 ARSN 121 48 4 606 Challenger D iversified Propert y Trust 2 ARSN 121 484 713 Challenger Mana g ement Services L imited ABN 29 09 2 382 842 AFSL 2 3 4 678 Challenger Retir e ment Services Pty Limited ABN 80 1 1 5 534 453 AFSL 2 95642 RSE Licen c e No. L0001304 Challenger Mort g age Manageme n t Pty Ltd ABN 72 087 271 109 Ch a llenger Securitisation Manageme n t Pty Ltd ABN 56 100 346 898 AF S L 244593 Challenger Inve s tment Services Limited ABN 44 119 605 373 AFSL 3 20505

603 page 1/2 15 July 2001

Form 603

Corporations Act 2001

Section 671B

Notice of initial substantial holder

To Company Name/Scheme

ACN/ARSN

G8 Education Limited

123 828 553

1. Details of substantial holder (1) Name Challenger Limited (and entities listed in Annexure 1) ACN / ARSN (if applicable) 106 842 371

The holder became a substantial holder on

26 / 08 / 11 .

2. Details of voting power

The total number of votes attached to all the voting shares in the company or voting interests in the scheme that the substantial holder or an associate (2) had a relevant interest (3) in on the date the substantial holder became a substantial holder are as follows:

3. Details of relevant interests

The nature of the relevant interest the substantial holder or an associate had in the following voting securities on the date the substantial holder became a substantial holder are as follows:

4. Details of present registered holders

The persons registered as holders of the securities referred to in paragraph 3 above are as follows:

5. Consideration

The consideration paid for each relevant interest referred to in paragraph 3 above, and acquired in the four months prior to the day that the substantial holder became a substantial holder is as follows:

603 2/2 15 July 2001

6. Associates The reasons the person s named in par a graph 3 above are associate s of the substan t ial holder are as follows: Name and A CN/ARSN (if a p plicable) Nature o f association N/A N/A

7. Addresses

The add r esses of perso n s named in thi s form are as f o llows:

Name Address Challenger Limited and each Level 15, 255 Pitt Street, Sydney entity named in Annexure 1

Signature

print name Suzie Koeppenkastrop capacity Company Secretary sign here date 30/08/2011

DIRECTIONS

(1) If t h ere are a num b er of substanti a l holders with s imilar or relate d relevant inter e sts (eg. a corporation and its r elated corpora t ions, or the manager and trust e e of an equity trust), the nam e s could be included in an ann e xure to the for m . If the relev a nt interests of a group of pers o ns are essentially si m ilar, they may b e referred to throughout the form as a specifi c ally named group if the memb e rship of each g roup, with the na m es and addre s ses of membe r s is clearly set o ut in paragrap h 7 of the form. (2) Se e the definition o f “associate” i n section 9 of the Corporations Act 2001.

• (3) Se e the definition o f “relevant interest” in section s 608 and 671 B (7) of the Corp o rations A.

• (4) Th e voting shares of a company c onstitute one c l ass unless divi d ed into separ a te classes.

• (5) Th e total number o f votes attached to all the voti n g shares in th e company or v o ting interests i n the scheme (i f any) that the p erson or an as s ociate has a relevant interest in.

• (6) Th e person’s vote s divided by the total votes in t h e body corpor a te or scheme m ultiplied by 10 0 .

• (7) Include details of:

• (a) any relevan t agreement or o ther circumstances by which t he relevant int e rest was acquired. If subsecti o n 671B(4) ap p lies, a copy of a ny document s e tting out the terms of any rele v ant agreemen t , and a statem e nt by the pers o n giving full an d accurate det a ils of any contr a ct, scheme or a rrangement, must accompany this form, toge t her with a writt e n statement c e rtifying this co n tract, scheme o r arrangement; and

• (b) any qualific a tion of the po w er of a person to exercise, control the exercis e of, or influenc e the exercise o f, the voting p o wers or dispos a l of the securiti e s to which the r elevant interes t relates (indica t ing clearly the particular securities to which t h e qualification a pplies).

• See the definition of “relevant ag r eement” in sec t ion 9 of the Co r porations Act 2 001.

• (8) If t h e substantial h o lder is unable to determine the identity of th e person (eg. If t he relevant int e rest arises bec a use of an opti o n) write “unkn o wn”.

(9) De t ails of the con s ideration must i nclude any an d all benefits, m o ney and other , that any person from whom a relevant intere s t was acquired has, or m ay, become e n titled to receiv e in relation to that acquisition. Details must b e included eve n if the benefit i s conditional o n the happening or not of a contingen c y. Details mu s t be included o f any benefit p a id on behalf of t he substantial h older or its as s ociate in relati o n to the ac q uisitions, even if they are not p aid directly to the person from whom the rele v ant interest w a s acquired.

Annexure 1

This is page 1 of 4 pages of Annexure 1 referred to in Form 603 signed by me and dated 30/08/2011

==> picture [182 x 39] intentionally omitted <==

Suzie Koeppenkastrop

Company Secretary

Annexure 1

This is page 2 of 4 pages of Annexure 1 referred to in Form 603 signed by me and dated 30/08/2011

==> picture [182 x 39] intentionally omitted <==

Suzie Koeppenkastrop

Company Secretary

Annexure 1

This is page 3 of 4 pages of Annexure 1 referred to in Form 603 signed by me and dated 30/08/2011

==> picture [182 x 39] intentionally omitted <==

Suzie Koeppenkastrop

Company Secretary

Overseas Companies Appia Europe Limited Appia Finance 2 Limited Appia Finance Limited Appia Group Limited (Jersey) Appia Investments Limited CDPG Luxembourg Holdings SARL CDPG Luxembourg II SARL CDPG Luxembuorg SARL CDPG Malta Limited Challenger Connections Limited Challenger Connections Mid Company Limited Challenger DPG France II SAS Challenger DPG France SAS Challenger Group Services (UK) Limited Challenger Harbourmasters Holdings Jersey Limited Challenger Holding (Vagyonkezelo) KFT Challenger Hungary International Capital Investment and Management Ltd Liability Company Challenger Jersey I3 Limited Challenger Jersey Management Limited Challenger Jersey Trustee Limited Challenger LBC Terminals Holding Company Limited Challenger LBC Terminals Jersey Limited Challenger LBC Terminals Limited Challenger Life (UK) Limited Challenger Luxembourg Holding No. 1A SARL Challenger Luxembourg Holding No. 1B SARL Challenger Luxembourg Holding No. 2 SARL Challenger Management Services (UK) Limited Challenger MBK Emerging Market Infrastructure Fund Pte. Ltd Challenger MBK Fund Management Pte. Ltd Challenger Northern Gas Ltd (Jersey) Challenger SCR LLP Member Limited Challenger SkyBridge Fund (LP) Limited Challenger SkyBridge Fund (SLP) Limited Challenger Southern Water Limited Challenger Structured Credit Management Limited

Annexure 1

This is page 4 of 4 pages of Annexure 1 referred to in Form 603 signed by me and dated 30/08/2011

==> picture [182 x 39] intentionally omitted <==

Suzie Koeppenkastrop

Company Secretary

Overseas Companies Challenger Towers Ltd (Jersey) Challenger UK Tank Storage Limited Challenger UK Terminals Ltd Challenger Wales and the West Gas Ltd (Jersey) Challenger Welcome Break Limited Clashfern Investments (UK) Limited CMS (UK) Pty Limited GasValpo Jersey Holding Company Limited Greensands Holdings Jersey Limited GV Cayman Company Limited GV Chile Holding Limitada GV Chile Limitada GV Jersey Trustee Company Limited GV Jersey Trustee Company No. 2 Limited Inexus Group Holdings Inexus Group Limited Interstar Home Loan Corporation NZ Limited (Foreign) Kabushiki Kaisha C & K Lazor Mangro Namroc Oikos Limited Oikos Storage Limited Rozal Rozalia Park Sabrand Limited SCI Aulnay Invest SCI Gennevilliers Invest Structured Credit Research LLP

Annexure 2

This is page 1 of 2 pages of Annexure 2 referred to in Form 603 signed by me and dated

30/08/2011

==> picture [161 x 35] intentionally omitted <==

Suzie Koeppenkastrop

Transactions: G8 Education Limited (GEM) Ordinary Fully Paid As at 26/08/2011