ARCHTIS LIMITED — Capital/Financing Update 2020

May 10, 2020

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11 May 2020

ASX Announcement: AR9

Successful Capital Raising and Announcement of Share Purchase Plan

• $1.65 million raised via a Placement to new and existing shareholders at A$0.055 per share

• archTIS will conduct a Share Purchase Plan (SPP) to existing shareholders at the same price of A$0.055 to raise approximately another A$500,000

• All Directors have participated in the Placement, subject to shareholder approval at the next General Meeting of archTIS

• Funds will be used to pursue the execution of archTIS’ sales pipeline across both Enterprise and Government

Daniel Lai, archTIS CEO, said: “archTIS appreciates the support we have received from our existing shareholders and we are delighted to welcome a number of new institutional investors to the register. With new threats emerging every week, protecting sensitive information is increasingly critical for companies and Governments alike. This new capital will be used to execute and convert on a significant pipeline of customer opportunities for our Kojensi data security product.”

For further enquiries please contact:

Investors Media Daniel Lai Chris Shopov Managing Director E: investors@archTIS.com E: investors@archTIS.com

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Placement

archTIS Limited (archTIS or the Company ) (ASX: AR9) is pleased to announce that binding commitments have been received from investors with respect to a Placement ( Placement ) to raise gross proceeds of approximately A$1.65 million.

The Placement comprises approximately 30 million archTIS shares ( Shares ) to be issued at A$0.055 per Share. The Placement will be completed using archTIS’s existing placement capacity under ASX Listing Rule 7.1.

The issue price of A$0.055 per Share represents a discount of 27% to the last traded price of the Company’s shares prior to the trading halt of 7 May 2020, and a 31% and 22% discount to the volume weighted average price over the last five and ten trading days respectively prior to 7 May 2020.

Share Purchase Plan

The Company will also be undertaking a Share Purchase Plan to existing eligible shareholders to raise approximately A$500,000 ( SPP ).

Eligible shareholders (being those holders of fully paid ordinary shares with an address in Australia and New Zealand as at 5:00pm WST on 8 May 2020) will have the opportunity to apply for up to A$30,000 worth of Shares in the Company at A$0.055 per Share, being the same issue price as the Placement.

Shares purchased in the SPP will be free of brokerage and other related transaction costs. Further details on the SPP, including an offer document, will be released to ASX and are expected to be mailed to eligible archTIS shareholders.

An indicative timetable for the Placement and SPP is set out in Appendix 1. The timetable remains subject to change at the Company’s discretion, compliance with applicable laws and the ASX Listing Rules.

The Shares issued under the Placement and SPP will rank equally with the Company’s existing fully paid ordinary shares.

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Appendix 1 – Indicative Timetable for Placement and SPP

Key Event	Date
Trading halt request and launch of Placement	Thursday, 7 May 2020
Record Date for participation in the SPP	5:00pm (WST), Friday, 8 May 2020
Announcement of Placement, Trading halt lifted and archTIS shares resume trading	Monday, 11 May 2020
SPP Offer opens	Monday, 11 May 2020
Settlement of Placement Shares	Monday, 18 May 2020
Issue and Request for Quotation of Placement Shares	Tuesday, 19 May 2020
SPP Acceptance Period Closes	Tuesday, 9 June 2020
Announce results of SPP	Friday, 12 June 2020
Issue and Quotation of Shares under SPP	Tuesday, 16 June 2020

About archTIS Limited

archTIS Limited (ASX:AR9) is an award winning, Canberra-based technology company focused on protecting sensitive information. Leveraging its strong pedigree with government and Defence, the company has developed an industry-leading information security platform (Kojensi) for sharing and collaborating on sensitive or classified information.

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