ARCHTIS LIMITED — Capital/Financing Update 2021

Oct 24, 2021

Proposed issue of securities

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Announcement Summary

Entity name

ARCHTIS LIMITED

Announcement Type

New announcement

Date of this announcement

25/10/2021

The Proposed issue is:

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A placement or other type of issue

Total number of +securities proposed to be issued for a placement or other type of issue

		Maximum Number of
ASX +security code	+Security description	+securities to be issued
New class-code to be	Options - AR9O11	1,750,000
confirmed

Proposed +issue date

29/11/2021

Refer to next page for full details of the announcement

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Part 1 - Entity and announcement details

1.1 Name of +Entity

ARCHTIS LIMITED

We (the entity named above) give ASX the following information about a proposed issue of +securities and, if ASX agrees to +quote any of the +securities (including any rights) on a +deferred settlement basis, we agree to the matters set out in Appendix 3B of the ASX Listing Rules.

If the +securities are being offered under a +disclosure document or +PDS and are intended to be quoted on ASX, we also apply for quotation of all of the +securities that may be issued under the +disclosure document or +PDS on the terms set out in Appendix 2A of the ASX Listing Rules (on the understanding that once the final number of +securities issued under the +disclosure document or +PDS is known, in accordance with Listing Rule 3.10.3C, we will complete and lodge with ASX an Appendix 2A online form notifying ASX of their issue and applying for their quotation).

1.2 Registered Number Type

ABN

Registration Number

79123098671

1.3 ASX issuer code

AR9

1.4 The announcement is

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New announcement

1.5 Date of this announcement

25/10/2021

1.6 The Proposed issue is:

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A placement or other type of issue

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Part 7 - Details of proposed placement or other issue

Part 7A - Conditions

7A.1 Do any external approvals need to be obtained or other conditions satisfied before the placement or other type of issue can proceed on an unconditional basis? Yes

7A.1a Conditions

Approval/Condition Date for determination Is the date estimated or ** Approval actual? received/condition met? +Security holder approval 24/11/2021 Actual

Comments

Subject to shareholder approval at the Company's 2021 AGM, the Company has agreed to issue 1,750,000 options to Directors, Miles Jakeman and Leanne Graham, as part of their remuneration packages.

Part 7B - Issue details

Is the proposed security a 'New Will the proposed issue of this class' (+securities in a class that is +security include an offer of not yet quoted or recorded by ASX) attaching +securities? or an 'Existing class' (additional No securities in a class that is already quoted or recorded by ASX)? New class

Details of +securities proposed to be issued

ISIN Code (if Issuer is a foreign company and +securities are non CDIs)

Have you received confirmation from Will the entity be seeking quotation ASX that the terms of the proposed of the 'new' class of +securities on +securities are appropriate and ASX? equitable under listing rule 6.1? No No ASX +security code +Security description New class-code to be confirmed Options - AR9O11

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+Security type
Options
Number of +securities proposed to be issued
1,750,000
Offer price details
Are the +securities proposed to be issued being issued for a cash consideration?
No
Please describe the consideration being provided for the +securities The securities are being issued for nil cash consideration, and are being issued as part of the Directors' remuneration packages. The valuation per Option noted below is based on a Black and Scholes valuation (mid case volatility assumption), which is detailed in the Notice of Annual General Meeting released on the ASX on 25 October 2021.
Please provide an estimate of the AUD equivalent of the consideration being
provided for the +securities
0.138000
Will all the +securities issued in this class rank equally in all respects from
their issue date?
Yes
Options details
+Security currency Exercise price Expiry date
AUD - Australian Dollar AUD 0.4422 24/11/2025
Details of the type of +security that will be issued if the option is exercised
AR9 : ORDINARY FULLY PAID
Number of securities that will be issued if the option is exercised One fully paid ordinary share (ASX:AR9)
Please provide a URL link for a document lodged with ASX setting out the material terms of the +securities
proposed to be issued or provide the information by separate announcement. Please refer to Schedule 4 of the Notice of Annual General Meeting released on 25 October 2021. The exercise price noted above is indicative only and is calculated based on a 45% premium to the closing price of $0.305 on 22 October 2021. The exercise price will be determined by calculating 145% of the 5-day VWAP leading up to and including 23 November 2021.

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Part 7C - Timetable

7C.1 Proposed +issue date 29/11/2021

Part 7D - Listing Rule requirements

7D.1 Has the entity obtained, or is it obtaining, +security holder approval for the entire issue under listing rule 7.1? No

7D.1b Are any of the +securities proposed to be issued without +security holder approval using the entity's 15% placement capacity under listing rule 7.1? No

7D.1c Are any of the +securities proposed to be issued without +security holder approval using the entity's additional 10% placement capacity under listing rule 7.1A (if applicable)? No

7D.2 Is a party referred to in listing rule 10.11 participating in the proposed issue? Yes 7D.3 Will any of the +securities to be issued be +restricted securities for the purposes of the listing rules? No

7D.4 Will any of the +securities to be issued be subject to +voluntary escrow? No

Part 7E - Fees and expenses

7E.1 Will there be a lead manager or broker to the proposed issue? No

7E.2 Is the proposed issue to be underwritten? No

7E.4 Details of any other material fees or costs to be incurred by the entity in connection with the proposed issue None.

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Part 7F - Further Information

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7F.01 The purpose(s) for which the entity is issuing the securities

The Securities are to be issued to Non-Executive Directors, Miles Jakeman and Leanne Graham, as part of their remuneration packages.

7F.1 Will the entity be changing its dividend/distribution policy if the proposed issue proceeds? No

7F.2 Any other information the entity wishes to provide about the proposed issue

The issue is subject to shareholder approval, which the Company proposes to seek at its 2021 Annual General Meeting on 24 November 2021.

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