DATAWORKS GROUP LIMITED — M&A Activity 2021

Aug 3, 2021

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4[th] August 2021

COMPLETION OF DATAPOWA ACQUISITION POSITIONS IXUP FOR GROWTH IN GLOBAL SPORTS DATA MARKETS

HIGHLIGHTS:

• The acquisition of DataPOWA Limited ( DataPOWA ) received overwhelming shareholder support at the recently held EGM, with formal completion occurred on the evening of 3[rd] August 2021.

• IXUP is now leveraged to the global sports sponsorship markets estimated to be worth US$90 billion by 2027, with forecast growth rate of >65% between 2020 and 2027 (Source: Statista 2021)

• This leverage comes via the deployment of DataPOWA’s revolutionary POWA Index sports sponsorship valuation and ranking tool as well as the co-developed POWA Index 2.0 product

• POWA Index technology also has application to a large number of additional international markets beyond sports sponsorship

• Tekkorp Capital, strategic advisor to IXUP and the introducer of the DataPOWA acquisition, is now in discussions with IXUP regarding other potential M&A opportunities that would further expand IXUP’s operations in the global sports data and related wagering and gaming sectors.

IXUP Limited (“ IXUP ” or “the Company ”) (ASX:IXU) is pleased to announce the completion of its acquisition of DataPOWA, concluding IXUP’s first business acquisition in the exciting global sports data/sponsorship industry.

The DataPOWA transaction was approved by shareholders at an Extraordinary General Meeting ( EGM ), which was held Friday 30[th] July 2021. At the EGM, all resolutions relating to the DataPOWA transaction were passed with overwhelming support, with a total of 54% of all eligible votes cast, and 100% of the votes being cast in favour of the acquisition. The formal completion of the transaction subsequently occurred on the evening of 3[rd] August 2021.

This concludes the DataPOWA acquisition process, which commenced on 19[th] May 2021, when IXUP announced it had entered into a Binding Share Purchase Agreement to acquire 100% of UK-based SaaS technology company DataPOWA Limited. The acquisition followed on from collaboration initiatives between DataPOWA and IXUP, which led to the recent commercial deployment of the ‘POWA Index 2.0’ product. This product combines DataPOWA’s revolutionary AI-driven sports sponsorship asset valuation tool (the “POWA Index”) with IXUP’s secure data collaboration engine (the “IXUP Secure Data Engine”).

IXUP’s Managing Director Marcus Gracey said : “We are thrilled to formally welcome DataPOWA and its employees to the rapidly growing IXUP group. With this acquisition wrapped up, we can now focus on realising the potential for DataPOWA’s POWA Index to disrupt and revolutionise the global sports sponsorship market. Along the way, we will be targeting strong technical and commercial synergies between the DataPOWA product offering and IXUP’s suite of secure data collaboration products, which together provide an unparalleled offering to customers in this market. From a longerterm perspective, we are excited about the scalability of the POWA Index and the associated revenue potential the DataPOWA business brings to IXUP in the years ahead. We look forward to working closely with the DataPOWA management team to rapidly expand POWA Index 2.0’s presence in sports sponsorship markets and beyond”.

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POWA Index opens the door to analysis of real time data

DataPOWA’s POWA index is a revolutionary development in the sports sponsorship segment. It takes the measurement of sponsorship spend and valuation beyond traditional and dated data sources, such as free-to-air television and pay/cable TV. The POWA index means sources including real time social media reach and audience analysis are now also accessible, opening the way for real time analysis and insights. It incorporates “new-media” data points that more accurately value sponsorship assets in today’s world.

DataPOWA’s POWA Index is effectively a SaaS-based sports sponsorship valuation tool, sold to customers under an annual license agreement, with additional bespoke analysis reports sold for additional cost. Customers of the POWA Index are generally owners of sports sponsorship assets (sports club owners, stadium owners, sporting federations), media and marketing groups and sponsors. These clients utilise the POWA Index to provide valuable and timely insights into the real-time valuation of sponsorship assets and the effectiveness of sponsorship spend.

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Figure 1 - Sources of real time data collected and analysed by the POWA Index

POWA Index 2.0 incorporates IXUP’s Secure Data Engine

The recently developed POWA index 2.0, combines the DataPOWA technology with the IXUP Secure Data Engine. This more powerful product offering delivers insights to clients across disparate datasets not previously capable of being shared and analysed. It also facilitates cross-referencing opportunities with other enrichment data and first-party data sets which can provide customers with a more comprehensive set of co-marketing opportunities. The IXUP encryption technology represents an enabler of data set sharing opportunities, which were previously considered too risky due to the potential for inadvertent or malicious data exposures while the enrichment and first-party data was being analysed.

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Figure 2 – Schematic showing operation of the POWA Index 2.0

The POWA Index 2.0 achieved its first commercial customer in April 2021, with the signing of an agreement with Concacaf, the prestigious US-based international FIFA football confederation.

Tekkorp Capital helps IXUP identify further potential acquisition targets

The DataPOWA corporate opportunity was introduced to IXUP by its strategic adviser, Tekkorp Capital, which was founded by US-based Australian-born online wagering entrepreneur Mr. Matt Davey. Discussions between IXUP and Tekkorp regarding other potential acquisition opportunities in the global sports data and gaming and wagering sectors have now commenced, with further updates to be provided in due course.

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

-ENDS-

For enquiries regarding this release please contact:

IXUP Investor relations Marcus Gracey Julia Maguire CEO – IXUP Limited Executive Director – The Capital Network contact@ixup.com julia@thecapitalnetwork.com.au +61 02 8999 3699

About IXUP

IXUP Limited (ASX:IXU) (pronounced ‘eyes up’) is a pioneering technology company that has developed world class software facilitating the secure sharing and analysis of sensitive information using advanced encryption technology. The Company’s Secure Data Engine is the missing ‘key’ to organisations ‘unlocking’ their information assets previously unable to be shared or commercialised due to concerns around privacy, cyber security, and compliance considerations. IXUP’s Secure Data Engine is being commercialised at a crucial junction when the need to share and drive revenue from sensitive data and dormant data assets is becoming more important yet more difficult to achieve.

To learn more, please visit: www.ixup.com. IXUP’s registered address is Level 3, 223 Liverpool Street, Darlinghurst NSW 2010.