ALCIDION GROUP LIMITED — Capital/Financing Update 2021

Dec 13, 2021

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14 December 2021

MR SAM SAMPLE 1 SAMPLE RD SAMPLETOWN WA 1234

SRN/HIN: 00000000000

Dear Shareholder

Accelerated Non-renounceable Entitlement Offer – Now Open

As announced on 7 December 2021, Alcidion Group Limited ( Alcidion ) is offering eligible shareholders the opportunity to participate in an Accelerated Non-renounceable Entitlement Offer ( Entitlement Offer ). The Entitlement Offer allows eligible shareholders (who are residents of Australia or New Zealand and held ALC shares at 7:00pm (AEDT) on Thursday, 9 December 2021) to take up an offer of 1 new fully paid ordinary share in Alcidion for every 10.5 existing shares without incurring brokerage or transaction costs. The issue price per New Share will be $0.25 per New Share (being the same price paid by institutional and professional investors under the recent share placement).

Participation under the Entitlement Offer is optional. Full details of the Entitlement Offer are contained in the Entitlement Offer Booklet. Eligible shareholders should read the Alcidion Entitlement Offer Booklet in its entirety and consult with their financial or other professional adviser before deciding whether or not to participate in the Entitlement Offer.

You can obtain your Alcidion Entitlement Offer Booklet through either of the following means:

1. ONLINE – an electronic version of the Entitlement Offer Booklet and personalised Application Form (including BPAY® payment details) can be accessed via the Company's offer website:

https://alcoffer.thereachagency.com

You will need your holder ID (SRN or HIN) shown on this letter to access the documents.

2. PAPER - Request a paper copy of the Entitlement Offer Booklet and the personalised Application Form by calling the Alcidion Entitlement Information Line : 1300 556 161 (within Australia) or +61 3 9415 4000 (outside Australia) between 8.30am and 5.00pm (AEDT)

The Entitlement Offer is planned to close at 5:00pm (AEDT) on 23 December 2021 (although Alcidion reserves the right to vary the closing date without further notice).

If you require any information about the Entitlement Offer, do not hesitate to contact the Alcidion Entitlement Offer Information Line on 1300 556 161.

Yours sincerely,

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Melanie Leydin Company Secretary Alcidion Group Limited

Alcidion Group Limited | Level 10 9 Yarra Street SOUTH YARRA VIC AUSTRALIA 3141 | ABN 77 143 142 410 T 1800 767 873 | E info@alcidion.com | W www.alcidion.com