NEXTED GROUP LIMITED — Investor Presentation 2015

Mar 26, 2015

==> picture [614 x 170] intentionally omitted <==

ASX:ICT

investor presentation, march 2015

1

disclaimer

This Presentation has been prepared by iCollege Limited (“Company”). The material contained in this Presentation has been prepared for information purposes only, and is not an offer, invitation or recommendation for subscription or purchase of securities in the Company

employees or advisers give any representations or warranties (express or limited) as to the accuracy, reliability or completeness of the information in this Presentation, or of any other written or oral information made or to be made available to any interested party or its advisers (all such information being referred to as “Information”) and liability therefore is expressly disclaimed to the full extent permitted by law. Accordingly, to the full extent permitted by law, neither the Company nor any of its directors, officers, agents, employees or advisers take any responsibility for, or will accept any liability, whether direct or indirect, express or limited, contractual, tortious, statutory or otherwise, in respect of the accuracy or completeness of the Information or for any of the opinions contained in this Presentation or for any errors, omissions or misstatements or for any loss, howsoever arising, from the reliance on or use of this Presentation.

Neither the issue of this Presentation nor any part of its contents is to be taken in any form with any inaccuracies in, or omissions from, this Presentation which may become apparent.

The Company reserves its right to terminate any discussions or negotiations with any person.

In no circumstances will the Company be responsible for any costs, losses or expenses incurred in connection with any commitment on the part of a third party to proceed appraisal or investigation of the Company.

In furnishing this Presentation, the Company does not undertake or agree to any obligation to provide the recipient with access to any additional information or to update this Presentation or to correct any errors.

or advisers. In particular, any estimates or projections or opinions contained in this Presentation necessarily involve significant elements of subjective judgment, analysis and assumptions and each recipient should satisfy itself in relation to such matters.

The Presentation contains reference to certain intentions, expectations and plans of the Company. These intentions, expectations and plans may or may not be achieved. They are based on certain assumptions which may not be met or on which views may differ. The performance and operations of the Company may be influenced by a number of factors, many of which are outside of its control. No representation or warranty, express or implied, is made by the Company or any of its respective directors, officers, employees, advisers or agents that any intentions, expectations or plans will be achieved either totally or partially or that any particular rate of return will be achieved.

2

==> picture [574 x 406] intentionally omitted <==

==> picture [542 x 150] intentionally omitted <==

We are a training organisation that provides practical and comprehensive nationally-recognised and accredited specialist education to students from all over Australia. Our mission is to give students a flexible and more engaging learning experience while improving their knowledge and skills.

3

we offer

==> picture [204 x 204] intentionally omitted <==

==> picture [204 x 204] intentionally omitted <==

==> picture [204 x 204] intentionally omitted <==

==> picture [204 x 205] intentionally omitted <==

A user-friendly Learning Integration of traditional Management System that education businesses with our delivers a better student technology to improve experience and tablet outcomes and efficiencies optimised

Growth spurred by acquisitions of businesses and portfolio of courses

A diverse range of accredited and non-accredited courses to be delivered by our online platform worldwide

why us

demand than ever before. We provide the technology and infrastructure to meet those needs in an ever-changing marketplace.

4

corporate

board of directors

capital structure

Victor Hawkins - operational and implementation Ross Cotton - corporate and strategy Phil Re - CA and ASX corporate advisor Hans de Back - chairman

key information (ASX:ICT) as march 2015	key information (ASX:ICT) as march 2015
share price	$0.135
shares on issue	58,887,959
market cap	$7,949,874
listed options	22,673,174
performance shares not issued	10,000,002

executive management

Chris Watts - CFO and auditing background Travis Latter - implementation manager

share register distribution	share register distribution
top 20 Shareholders (excl board)	35%
board	18%
others	47%

for full bios on directors please refer to icollege.net

5

==> picture [665 x 567] intentionally omitted <==

our strategy

“iCollege is positioned to become one of Australia’s leading online educators.”

Our strategy is to fuel the growth of these businesses via the use of our learning management platform, an innovative technology designed to make the student experience more flexible, dynamic and mobile. Each education provider will be fully integrated into our existing corporate structure, accounting and management systems, organically increasing earnings before interest and taxes margins and market opportunities. We will offer a range of accredited and non-accredited courses and units across the business, community, hospitality, finance and health industries on completion of these acquisitions. Providing a strong base for revenue growth, the successful integration of these businesses will be our focus this year. By laying a solid foundation through the addition of these companies to our portfolio, we are paving the way for robust development and profitability in 2016.

6

our schools

The dynamic nature of modern schooling means students need the flexibility to study on their own terms. Acquiring education providers to increase our training options is part of this process.

7

==> picture [904 x 169] intentionally omitted <==

RTO ID: 32219 Based in Gold Coast, QLD.

Bookkeeping School was established May 2010.

With recent changes to legislation, all bookkeepers now must be qualified. This provides The Bookkeeping School with an excellent pipeline future revenue.

It is an online Registered Training Organisation (RTO) that delivers:

FNS40211 - Cert IV in Bookkeeping

==> picture [10 x 10] intentionally omitted <==

FNSBKG404A - Carry out Business Activity and Instalment Activity Statement tasks FNSBKG405A - Establish and Maintain a Payroll System

==> picture [10 x 10] intentionally omitted <==

==> picture [10 x 10] intentionally omitted <==

• MYOB Training - Online & 2 Day Classroom Courses Manual Bookkeeping

==> picture [10 x 10] intentionally omitted <==

==> picture [10 x 10] intentionally omitted <==

Bookkeeping School objective is to Offer genuine interest and encouragement to students through training.

Each student is allocated a trainer who will work with them throughout the training process. Their trainer will act as a mentor, contact person and will work with the student to ensure they stay on track with their training program.

Bookkeeping School strives for excellence, and that means being there for the student when the student needs any assistance. They will receive as much help as they need one on one, to complete their course.

Historical Results FY14 (unaudited)

BKS	2014 ($)
Sales	170,025
COGS	97,254
Gross Proft	72,771
%	43%
Expenses	48,280
EBIT	24,498

The next 12 months will see expansion into other regional areas and states, a new website and a marketing drive centred on accountants. There is significant funding available to students and this is an area that has not been explored in the business to date.

==> picture [674 x 268] intentionally omitted <==

RTO ID: 91297 Based in Sydney, NSW. With 18 locations around Australia

One of Australia’s most diverse RTO. With a combined scope of 70 Accredited and nationally recognised courses and many more non-accredited courses MIA has been positioned for national and international expansion.

The company established its RTO operations in 2005.

In 2011 Management Institute of Australia set up a unique model in the Australian VET sector. This model involved not setting up one or more teaching organisations, but developing a sophisticated, systems-driven RTO model which has been adopted by a range of private education business owners. The model is predicated by having a flexible training delivery utilising online platforms.

Management Institute of Australia is committed to the continuous development and transfer of knowledge to enhance professional performance for our students, corporate partners and stakeholders.

The 4 strategic directions are:

• Steady and continuous growth in the number, geographic spread and disciple interests of franchisees.

==> picture [10 x 10] intentionally omitted <==

• Maintain a focus on nurturing learner engagement through the education process of franchisees.

==> picture [10 x 10] intentionally omitted <==

• Develop a suitable model to take the RTO franchisee model to selected international markets.

==> picture [10 x 10] intentionally omitted <==

Establish articulated pathways for our VET students into Higher Education.

==> picture [10 x 10] intentionally omitted <==

All up there are 22 industries covered and range from entry level (Certificate II) through to senior management training (Advanced Diploma).

This includes

• Commercial cookery

• • Childcare

• • Aged Care

• • Disability services

• • Tourism and travel

• • Retail

• • Learning management

• • Bookepping

• • Accounting

• • Quality auditing

• • Workplace Health and Safety

• Business

• • Training

• • Warehousing

• • Logistics

• • Beauty

• • Massage

• • Fitness

• • Automotive

• • Rural

• • Hospitality

• • Project Management

Management Institute of Australia does not rely on one form of Government funding and its diversity acts as a risk mitigator.

Historical Results FY14

MIA	2014 ($)
Sales	8,076,762
COGS	4,932,835
Gross Proft	3,143,927
%	39%
Expenses	903,568
EBIT	2,242,859

The next 12 months will see further growth in senior management training across the industry sectors and the development of Higher Education programs (Bachelor Degree programs).

==> picture [664 x 134] intentionally omitted <==

(English translation of the Greek word – learning) RTO ID: 31946 Based in Brisbane, QLD

Mathisi is a well established Brisbane based RTO specialising in Business and Retail qualifications, delivering Nationally Recognised Training throughout Queensland. The fully accredited business has been operating for 5 years and has established a position in the market through the delivery of high quality training using proven course materials, resulting in a 99% completion rate and excellent student feedback.

Currently has an ability to train in the following Sectors:

• •

• Business Community

• • • Business – Legal Education Support

• • • Marketing Financial Services

• • • Human Resources Accounting and Bookkeeping

• • • Work, Health and Safety Health Services

• • • Quality Auditting Retail

• • • Aged Care Retail Management

• • • Diasability Childcare

Delivers training under a Government funded program designed to up-skill the community.

	Historical Results FY14
MATHISI		2014 ($)
Sales		1,282,969
COGS		604,902
Gross Proft		678,067
%		53%
Expenses		93,116
EBIT		584,951

Mathisi is well positioned to take advantage of the variety of Government initiatives whilst increasing their corporate business. The next two years will see continued growth and profitability.

ross cotton executive director

ross@icollege.net

+61 419 870 363

==> picture [376 x 105] intentionally omitted <==

14