KNOSYS LIMITED — Capital/Financing Update 2017

May 11, 2017

==> picture [146 x 31] intentionally omitted <==

Knosys Limited ABN 96 604 777 862 Suite 9.08, Level 9, 2 Queen St Melbourne Vic 3000 www.Knosys.it (ASX: KNO)

ASX Announcement

12 May 2017

KNOSYS RAISES $1.5 MILLION THROUGH CONVERTIBLE NOTE ISSUE

Knosys Limited (ASX: KNO) ( “Knosys” ) is pleased to announce that it has closed a convertible note fundraising process, whereby it has received cash and commitments from investors for $1.5 million.

• The key terms of the convertible notes to be issued to sophisticated investors are as follows:

  • Face value per note: 12 cents

  • Conversion ratio: 1 note = 1 ordinary share

  • Attaching option: 1:1 attaching option received on note conversion.

  • Maturity date of convertible note: 31 May 2018.

  • Conversion date of convertible note: Maturity date or earlier at the option of the noteholder

  • Interest payment date: At the earlier of maturity date or conversion date

  • Interest rate: 10% per annum

  • Exercise price of an attaching option: 15 cents

  • Expiry date of an attaching option: 31 May 2018

The company has undertaken this fundraising initiative for the purpose of supporting its current business plans and its working capital needs.

Knosys CEO, John Thompson commented, “We are extremely pleased with the response received from a range of new and existing investors for this fundraising initiative. Knosys appreciates the support this provides for our business plans, operations and sales initiatives”.

General Meeting of shareholders

Knosys will shortly be issuing a notice of general meeting, for the purposes of ASX Listing Rule 7.4, to refresh the company’s 15% annual placement capacity.

-------------------------------------------

ABOUT KNOSYS

The Knosys Platform is an enterprise-grade, knowledge management solution that enables companies to better capture, manage and access information across often disparate business units, divisions and information technology (IT) platforms. Knosys augments a company’s IT platforms, by virtualizing both internal and external information repositories without the need to disrupt existing processes or force migration of data.

The Knosys knowledge management platform provides an open and expandable framework, which can extend into a fully integrated digital workcentre, becoming the window into a company’s applications environment. It becomes the #1 used app a day in the life of an information worker and drives productivity and optimizes processes by incorporating process wizards, decision guidance, collaboration & feedback and UI veneers to integrated systems.

==> picture [146 x 31] intentionally omitted <==

For more information please visit: www.knosys.it

For further information please contact: Rod North , Managing Director, Bourse Communications Pty Ltd T: (03) 9510 8309 M: 0408 670 706 E: rod@boursecommunications.com.au