ION VIDEO LTD — Capital/Financing Update 2020

Apr 23, 2020

LINIUS TECHNOLOGIES LIMITED (ASX: LNU) SUITE 13, LEVEL 3, 299 TOORAK ROAD, SOUTH YARRA, VIC 3141 AUSTRALIA t: +61 3 8672 7186 / e: info@linius.com

Linius Raises $1.7 Million

Melbourne, Australia – April 24, 2020: Linius Technologies Limited (ASX: LNU) – the only cloud-based solution that transforms static video into hyper-personalized video[i] experiences with its world-first Video Virtualization Engine™ (VVE)[ii] – has received firm commitments from professional and sophisticated investors to raise $1.7 million, before costs (Placement).

The Placement includes an approximately $250,000 investment from Linius directors, subject to shareholder approval, which will be sought at a General Meeting of shareholders to be held as soon as practicable.

The Placement received strong support from new investors together with existing shareholders.

The Placement will result in the issue of 154,545,450 fully paid ordinary shares at $0.011 per share to raise $1.7 million, before costs. The Placement will be conducted within the Company’s existing Listing Rules 7.1 placement capacity for 131,818,180 shares and pursuant to LR 10.11 for 22,727,270 shares in respect of share subscribed for by directors. The issue price represents a discount of 20% to the 30-day VWAP.

The Company will use the proceeds of the Placement to drive revenue growth.

The Company is specifically focused on converting existing clients and near-term opportunities to immediate and sustainable revenues.

In the current economic and social conditions, the recent LiveTiles win is an important factor. Video conferencing has become a critical requirement, enabling working from home and Business Continuity Planning (BCP) strategies. Assisting LiveTiles in selling their Intelligent Meeting Solution, of which Linius is the backbone OEM provider, represents a significant opportunity for Linius, as does the broader video conferencing industry.

The Company believes it has the technology suite in place, with the IP protected by granted patents, to deliver recurring revenue growth. At the same time as the Company is focussed on execution of its go to market strategy, it has continued to reduce monthly expenditure.

These funds provide the Company with additional runway to execute on its strategy. The Placement (excluding director participation) is scheduled to settle on 4 May 2020.

Blue Ocean Equities Pty Limited (AFSL 412765) acted as lead manager for the Placement.

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DATE OF RELEASE: 10:00AM AEST, FRIDAY 24 APRIL 2020

LINIUS RAISES $1.7 MILLION

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About Linius Technologies Limited:

Linius Technologies Limited (ASX: LNU) has invented and patented the Video Virtualization Engine™ (VVE) , which is available on Amazon Web Services, Microsoft Azure and IBM Cloud.

Amazon, Microsoft and IBM are investing billions in virtualizing ‘video services’ (technologies) and Artificial Intelligence in the cloud[iii] . It is arguably the biggest battle on the internet, given that video accounts for nearly 80 percent of internet traffic[iv] .

Only Linius can expose the data that makes up the video file, making cumbersome video as flexible as all other forms of data. Accessing the data within the video file is the missing link for video cloud service providers, creating unparalleled value across the internet video industry.

Linius’ VVE-powered Video Hyper-Personalization and Search Solution enables anyone to instantly search the data within video, from across an infinite number of sources, and automatically assemble the results in a single stream on-the-fly. No human hands required.

Linius is revolutionizing the way organizations and individuals across the globe produce, deliver and consume video, enabling previously impossible hyper-personalized video experiences.

It’s a breakthrough set to disrupt entire multi-billion-dollar industries. Linius is initially focused on delivering its Video Hyper-Personalization and Search Solution to six core markets: News and Media, Sports Broadcasters and Rights Holders, Education, Corporate Communications, Security and Defense, and Sports Betting.

For more on Linius Technologies, visit www.linius.com

Sign-up for regular news and updates on Linius Technologies: https://www.linius.com/investor_updates/

Follow Linius Technologies on Twitter (@linius_tech), LinkedIn (Linius Technologies Ltd), Vimeo (Linius Technologies) and Facebook (@linius).

For further information, please contact:

Linius Technologies:

Gerard Bongiorno, Executive Chairman, +61 (0)3 8672 7186 or info@linius.com

i Linius Technologies Limited, Hyper-Personalized Video Solutions: https://www.linius.com/hyper-personalized-videosolutions/

ii Linius Technologies Limited, Linius Technology Overview : https://www.linius.com/video/

iii RS Components, The Race for AI : https://uk.rs-online.com/web/generalDisplay.html?id=i/race-for-ai

iv Cisco, Cisco Visual Networking Index : https://www.cisco.com/c/en/us/solutions/service-provider/visual-networkingindex-vni/index.html