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INVESTSMART GROUP LIMITED Capital/Financing Update 2013

Sep 24, 2013

65130_rns_2013-09-24_1db835f8-38ed-473b-91f1-b673eb273d2c.pdf

Capital/Financing Update

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Australasian Wealth Investments Limited

ACN 111 772 359

Level 4, 1 Alfred Street Sydney NSW 2000 Australia

25 September 2013

Telephone +612 9080 2377 Fax +612 9080 2378

Attention: Company Announcements ASX Limited Sydney NSW 2000

Dear Shareholder

NON-RENOUNCEABLE RIGHTS ISSUE

This notice is provided to inform you that on 25 September 2013 Australasian Wealth Investments Limited (Australasian Wealth Investments or the Company) lodged an Offer Document with the Australian Securities Exchange (ASX) in respect of a pro-rata, non-renounceable Rights Issue of shares at an issue price of 35 cents per share. The Offer Document is available on the ASX website under the ASX Code AWI and on the Company’s website.

A copy of the Offer Document together with an Entitlement and Acceptance Form will be mailed to eligible shareholders on 9 October 2013 .

Under the Rights Issue, shareholders with a registered address in Australia or New Zealand (Eligible Shareholders) are being invited to subscribe for two New Shares for every existing share held as at the Record Date.

The Rights Issue will raise up to A$13.3 million before costs. The Rights Issue is not underwritten. Directors reserve the right, at their discretion, to place any New Shares not taken up by Eligible Shareholders, at a price not less than 35 cents per share.

The proceeds of the Rights Issue will be primarily applied to the advancement of the Company’s projects in Papua New Guinea, to be acquired upon the acquisition of Sturt Resources Ltd (Sturt Resources), as well as for corporate overheads, expenses of the issue and working capital. The acquisition of Sturt Resources and associated projects require approval by Australasian Wealth Investments shareholders at a general meeting, which will be held on 17 May 2013.

Eligible Shareholders’ entitlements pursuant to this Rights Issue are non-renounceable and accordingly, Eligible Shareholders may:

  • take up their Rights in full or in part; or

  • do nothing, in which case their Rights will lapse.

No action is required to be taken at this stage. If you intend to take up your Rights in full or in part, then you should take appropriate action when you receive a copy of the Offer Document together with an Entitlement and Acceptance Form , which will be mailed to Eligible Shareholders on 9 October 2013 .

Shareholders with a registered address outside of Australia or New Zealand are not eligible to participate in the Rights Issue.

  • 2 -

Key information and indicative dates in respect of the Rights Issue are as follows:

Offer Document lodged with ASX 25 September 2013
Existing Shares are quoted on an “Ex” basis 27 September 2013
Record Date(date for determining entitlements of Eligible Shareholders toparticipate in the Offer) 3 October 2013
Offer Document Despatched to Eligible Shareholders(expected date of despatch ofOffer Document and Entitlement and Acceptance Forms) 9 October 2013
Opening Date 9 October 2013
Closing Date 23 October 2013
Securities quoted on a deferred settlement basis 24 October 2013
Company to notify ASX of under-subscriptions (if any) 28 October 2013
Allotment Date and deferred settlement trading ends 31 October 2013
Anticipated despatch date of holding statements for New Shares 31 October 2013
Trading commences for New Shares on ASX 1 November 2013

Further details on the Rights Issue are contained in the Offer Document.

For further information please contact the undersigned.

Yours faithfully Australasian Wealth Investments Limited

Richard Matthews Company Secretary