DOTZ NANO LIMITED — Capital/Financing Update 2020

Oct 18, 2020

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ASX and MEDIA RELEASE

19 October 2020

Dotz receives new order from UEG for medical gown authentication

Key highlights

• Dotz has expanded its initial commercial agreement with Universal Exports Group (UEG), receiving a new PPE purchase order for medical gown authentication, its second with the Hong Kong-based wholesale distributor

• Under the agreement, Dotz will use its advanced “Secured by Dotz” solution to authenticate an initial quantity of protective medical gowns for US$255,000, with delivery due in Q1 2021

• Agreement also outlines authentication of further gowns and/ or other PPE products, subject to UEG customer demand

• Follows US$1 million face mask commercial agreement with UEG in May 2020 to authenticate up to 100 million medical face masks for government stockpiles and national health service

• Phase 1 of the initial agreement with UEG, whereby Dotz authenticated 30 million medical face masks, has been completed

• Agreement represents Dotz’s first PPE authentication agreement beyond face masks, reflecting ongoing demand for authentication technology within this essential sector.

Dotz Nano Limited (ASX:DTZ) (“Dotz” or “The Company”) , an advanced technology company developing, manufacturing and commercialising marking, tracing and verification solutions, is pleased to announce that it has expanded its initial commercial agreement with Hong Kong-based Universal Exports Group (UEG) for PPE authentication.

UEG will use Dotz’s ‘Secured by Dotz’ authentication solution to mark protective medical gowns for government stockpiles and the national health service.

An initial purchase order of US$255,000 to authenticate a specified quantity of medical gowns has been received and is due for delivery in Q1 2021. The agreement also outlines authentication for further medical gowns and/ or other PPE products, subject to UEG customer demand. The total contract value range of this agreement is between US$255,000 and US$765,000.

The expanded agreement marks Dotz’s first PPE authentication sales orders beyond face masks and builds on Dotz’s US$1 million face mask commercial agreement with UEG, as announced on 11 May 2020. Phase 1 of the initial agreement, whereby Dotz authenticated 30 million medical face masks, has been completed and payment received, and the Company expects to receive a follow-on order from UEG to authenticate further masks within the next six months.

Headquartered in Hong Kong, UEG is a wholesale distributor that services the South African and Chinese markets. Its customers include some of the world’s largest retail chains, industrial and medical facilities, and government science and health departments.

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As part of Dotz’s initial agreement with UEG, UEG has exclusive distribution rights to the ‘Secured by Dotz’ authentication solution for PPE in South Africa and China for a two-year period. This includes face masks, medical gowns, gloves and other medical protective gear.

The ‘Secured by Dotz’ authentication solution includes ValiDotz™ security taggants, Inspec™ readers and smart trackable QR codes, providing UEG with verification capabilities throughout the supply chain.

Dotz Chairman & Interim-CEO Bernie Brookes AM said: “This second order from UEG validates the value of Dotz’s authentication capabilities, particularly for producers and distributors of high-quality PPE products – whether that be face masks, medical gowns, medical gloves, and other medical protective gear. Our industry-leading authentication technology enables distributors, such as UEG, to offer best-in-class supply chain management for the PPE industry. It also provides end-users, such as essential workers, the ability to quickly verify if they are using genuine PPE on-site and in real time.”

“This agreement also highlights the significant market opportunity for Dotz to expand its PPE anticounterfeiting solution beyond respiratory face masks, particularly in countries where we are already supplying authenticated PPE”, added Mr Brookes.

This announcement has been authorised for release by the Board of Dotz Nano Limited.

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For further information, please contact:

Investors: Media: Eric Kuret Tristan Everett Market Eye Market Eye E: eric.kuret@marketeye.com.au E: tristan.everett@marketeye.com.au P: +61 417 311 335 P: +61 403 789 096

About Dotz Nano Limited

Dotz Nano Limited (ASX: DTZ) is a technology leader in research, production and marketing of anticounterfeiting, authentication and tracing solutions. Dotz has strong, established distributors in North America, Europe, Japan, China and Australia as well as scientific collaborations and partnerships with leading academic institutes.

Its unique products ValiDotz™, BioDotz™, Fluorensic™ and InSpec™ are exceptional solutions for numerous applications, such as anti-counterfeiting, brand & reputation protection, oil & gas industry, liquids tagging, lubricants, polymers tagging and bio imaging.

Recently the company has harnessed its technology to mark personal protective gear including face masks

To learn more about Dotz, please visit the website and corporate video via the following link www.dotz.tech

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About Universal Exports Group (UEG)

Universal Exports Group (“UEG”) Is a Hong Kong based holding company with subsidiaries specialising in product design and engineering, manufacturing, supply chain management and China import and export trading.

Since its inception in 2009, UEG has evolved into a dynamic & forward-thinking organisation that today encompasses manufacturing facilities and offices in countries across the globe, including Hong Kong, China, South Africa, Mauritius & the United Kingdom.