DTI GROUP LTD — Capital/Financing Update 2019

Aug 19, 2019

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ASX announcement

20 August 2019

DTI announces approx. $3 million fully underwritten

Entitlement Offer

DTI Group Ltd (ASX: DTI) ( DTI ) today announced it proposes to make a 5 for 9 nonrenounceable entitlement offer to raise approximately $3 million via the issue of approximately 119.6 million new shares at 2.5 cents per share ( Entitlement Offer ).

The Entitlement Offer will be underwritten by Finico Pty Ltd and UIL Limited who are major shareholders of the Company.

The proceeds of the capital raising will provide necessary working capital and to strengthen the Company’s balance sheet for future growth.

Underwriting

The Company has entered into the Underwriting Deeds with the Underwriters, pursuant to which UIL and Finico have each agreed to underwrite up to 50% of the shortfall of the proposed Entitlement Offer, being $604,311 or 24,172,457 New Shares, a combined underwriting of $1,208,623 or 48,344,914 New Shares (Underwritten Shares). Pursuant to the Underwriting Deeds, the Underwriters also agreed to advance the Underwriter Loans ($810,552 from UIL and $971,684 from Finico) to the Company on or about 20 August 2019, the repayment of which will be satisfied and offset by the Company via the issue of 32,422,088 New Shares to UIL and 38,867,358 New Shares to Finico under the proposed Entitlement Offer.

The Company agrees to pay each Underwriter an underwriting fee of 1% of the above underwriting commitment.

Timetable

The Entitlement Offer documents are intended to be lodged with ASX on 2 September 2019, although this date is subject to change. A timetable will be lodged at this time setting out the key dates for Shareholders.

About DTI Group

DTI provides sophisticated surveillance systems, solutions and services to the mobile security industry worldwide. DTI’s clients are transit agencies, transit operators, freight operators, law enforcement authorities and taxi organisations which utilise a range of professional products and services that encompass on-board recording equipment, fleet management systems, back-end mass storage and retrieval facilities and end-to-end managed services. DTI is a recognised supplier to the mass transit surveillance market. Core technology development and system design activities are undertaken from the Company’s headquarters in Perth Australia.

DTI Group Ltd | ABN 15 069 791 091 31 Affleck Rd | Perth Airport WA 6105 T +61 8 9479 1195 | F +61 8 9479 1190 www.dti.com.au