DATAWORKS GROUP LIMITED — Capital/Financing Update 2022

Aug 28, 2022

29 August 2022

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Pro-rata Non-renounceable Entitlement Offer

IXUP Limited (ASX: IXU) (“ IXUP ” or the “ Company ”) advises that it is undertaking a pro-rata non-renounceable entitlement offer to existing eligible shareholders. The Company is seeking to raise up to approximately $5.15 million (before costs) through the offer of one new fully paid ordinary share in the capital of the Company ( Share ) for every seven shares held by eligible shareholders registered as at Thursday, 1 September 2022 ( Record Date ), at an issue price of $0.04 per Share ( Offer ). The Offer is not underwritten and there is no minimum subscription.

The issue price for the Offer represents a 13.04% discount to the closing price of the Company’s shares on 26 August 2022, being the last trading day before this announcement.

Cygnet Capital Pty Limited have been appointed as Lead Manager of the Offer.

Indicative Use of Proceeds of Offer

The Company proposed to use the proceeds of the Offer as follows:

Use of Funds	Full Subscription ($)
Costs of Offer (estimated)1	$353,155
Development	$2,412,283
Sales and Marketing Activities	$1,206,141
General Working Capital	$1,183,141
Total	$5,154,720

Summary of the Offer

1. The offer comprises one new Share every seven Shares held by existing eligible shareholders at 5:00pm (AWST) on 1 September 2022 ( Record Date ) at $0.04 per Share.

2. Eligible shareholders will comprise of those shareholders with a registered address in Australia, New Zealand, the United Kingdom and Singapore at the Record Date ( Eligible Shareholders ).

3. The Offer is not underwritten and there is no minimum subscription.

4. Share entitlements are non-renounceable and will not be tradable on the ASX or otherwise transferable.

5. Up to approximately 128,868,004 Shares ( New Shares ) will be issued pursuant to the Offer. Shareholders who do not take up all or any part of their entitlement will not receive any payment or value in respect of the entitlement not taken up and their equity interest in the Company will be diluted.

7. Any fractional entitlement arising from the Offer will be rounded up.

8. Shares issued under the Offer will rank equally with existing Shares on issue on the Record Date. The Company

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will make application for official quotation of the new Shares proposed to be issued under the Offer.

1. Eligible Shareholders will be able to apply for additional Shares over and above their entitlements under a shortfall facility, with Cygnet (in consultation with the Company) reserving the right to place and issue other Shortfall Shares.

Timetable

Further details of the Offer, including details on how to accept and key risks associated with investment, are set out in the Prospectus which will be released to ASX shortly and is expected to be despatched to Eligible Shareholders on Tuesday, 6 September 2022.

Outline below is a timetable of relevant events and dated relating to the Offer. These events and dated are indicative only and subject to change. Subject to the ASX Listing Rules, the Corporations Act 2001 (Cth) and other applicable laws, the Company’s Board reserves the right to modify all dates, including the Offer closing date.

Event	Date
Announce Offer and lodgement of Appendix 3B with ASX	Monday, 29 August 2022
Lodgement of the Prospectus with ASIC and ASX	Monday, 29 August 2022
Ex-Date for Offer	Wednesday, 31 August 2022
Record Date	Thursday, 1 September 2022
Prospectus despatched to Shareholders/Opening Date	Tuesday, 6 September 2022
Closing Date (5:00pm WST)	Thursday, 15 September 2022
Deferred settlement trading commences (if agreed by ASX)	Friday, 16 September 2022
Announce results of issue	Thursday, 22 September 2022
Issue date – Deferred settlement trading ends	Thursday, 22 September 2022
Commencement of trading of New Shares	Friday, 23 September 2022
Last date to issue Shortfall Shares	Thursday, 15 December 2022

Applications for New Shares under the Offer may only be made by following the instructions on the Entitlement and Acceptance Form which accompanies the Prospectus. Shareholders eligible to participate in the Offer should the Prospectus carefully and consult their professional advisers as necessary.

Enquiries

Any enquiries regarding the Offer should be directed to the Company on 1300 363 917 or by contact@ixup.com

This announcement has been approved for release by the Board of IXUP.