DOTZ NANO LIMITED — Capital/Financing Update 2021

Sep 14, 2021

ASX and MEDIA RELEASE

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15 September 2021

Dotz signs Dotz Test Kits distribution agreement with Paraguay-based El Alamo SA, receives intital US$220,000 purchase order

Key highlights

• Dotz has entered into an initial two-year distribution agreement granting Paraguay based El Alamo the right to sell the Dotz Test Kits in Paraguay with conditional exclusivity subject to minimum purchase orders.

• Under the distribution agreement, El Alamo will promote, sell and distribute the Dotz Test Kits to laboratories and private medical organisations in Paraguay.

• Dotz has received a US$220,000 initial purchase order from El Alamo for its Dotz Test Kits.

• El Alamo is a leading supplier of medical solutions in Paraguay with strategic relationships with laboratories and private medical organisations.

Dotz Nano Limited (ASX:DTZ) (“ Dotz ” or the “ Company ”) an advanced technology company developing, manufacturing and commercialising marking, tracing and verification solutions, has entered into a distribution agreement with, and received an initial US$220,000 purchase order from, Paraguay-based El Alamo S.A (“ El Alamo ”) to promote, sell and distribute its SARS-CoV-2 virus detection technology (the “ Dotz Test Kits ”) in Paraguay.

A leading supplier of medical solutions and technologies in Paraguay, El Alamo has strategic relationships with laboratories and private medical organisations throughout the country. El Alamo has more than two decades experience importing, packaging and distributing international medical products in Paraguay and is the exclusive distributor of medical brands radiometer, Ortho and Spinreact.

The distribution agreement is for an initial two-year term and grants El Alamo the right to sell the Dotz Test Kits in Paraguay with conditional exclusivity provided minimum annual purchase orders equating to approximately US$200,000 in 2021 and at least US$420,000 in each of 2022 and 2023 are met. Under the agreement, El Alamo may appoint sub-distributors subject to Dotz’s approval and either party can terminate the agreement on 90 days notice. Unless terminated by either party, the distribution agreement provides for its automatic renewal for additional one year periods on a non-exclusive basis.

Dotz is to receive a US$80,000 payment prior to delivery from the initial US$220,000 purchase order with the balance to be paid prior to delivery and subject to customer demand. Subsequent orders require 50% paid upfront and the remaining 50% prior to delivery.

El Alamo is Dotz’s second distributor for its SARS-CoV-2 virus detection technology, following a recent distribution agreement with UAE-based Hygiene Links for Egypt, Sudan and the UAE[1] .

Dotz has obtained CE Mark authorisation and a Certificate of Free Sale (CFS) for Paraguay for both its nasopharyngeal swab and saliva-based Dotz Test Kits, which clears the product for sale in the European Union[2] and to the private sector in Paraguay. There are additional regulatory requirements for El Alamo to sell the Dotz Test Kits to the public sector in Paraguay, including registration and validation by the local authorities.

1 Refer to Dotz’s ASX announcement dated 14 July 2021 for further information.

2 Some countries in the European Union have additional import regulatory requirements that Dotz will need to comply with if it intends to sell the Dotz Test Kits in those countries.

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As previously announced, Dotz has also applied for a US FDA Emergency Use Authorisation for its nasopharyngeal swab and saliva-based Dotz Test Kits, following a successful blind clinical trial of the nasopharyngeal swab Dotz Test Kits on 73 subjects in the US[3] .

Dotz’s nasopharyngeal swab and saliva-based Test Kits will be exported to Paraguay by Dotz’s US-based manufacturer Systaaq Diagnostic Products, noting Systaaq has the relevant export permits to do so.

Dotz Chairman Bernie Brookes said, “In line with our long term growth strategy, we continue to commercialise our SARS-CoV-2 virus detection technology. Our second distribution agreement within the diagnostic domain cost-effectively increases our global target market while providing public and private facilities with access to an effective and timely testing method.”

-ENDS-

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

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 3 9591 8904 P: +61 403 789 096

About Dotz Nano Limited

Dotz Nano Limited (ASX: DTZ) is a technology leader in research, production and marketing of anti-counterfeiting, authentication and tracing solutions.

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

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

About El Alamo SA

Incorporated in 1997, privately owned and based in Asunción, Paraguay, El Alamo SA is the representative and strategic ally of leading laboratories worldwide, and has more than five decades of successful commercial history. El Alamo has been dedicated to importing, dividing, packaging and distributing internationally prestigious products for the development of human health. El Alamo’s mission is to offer Paraguay products made with the highest quality and technology to continue improving people’s lives. For more information visit the El Alamo website: www.elalamo.com.py

3 Refer to Dotz’s ASX announcement on 7 April 2021 for further information about this clinical trial, and Dotz’s ASX announcements on 1 and 22 March 2021 for a summary of the features of the nasopharyngeal swab and saliva-based sampling Dotz Test Kits.

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