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SEQUOIA FINANCIAL GROUP LTD Capital/Financing Update 2008

Nov 17, 2008

65767_rns_2008-11-17_61af7feb-8740-4162-b877-884da78553a1.pdf

Capital/Financing Update

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ACN 091 744 884 Level 4, 72 Pitt Street Sydney NSW, 2000 Australia

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ASX Announcement

18 November 2008

Extension to close date of Information Memorandum

On 31 October 2008 MDS Financial Group Limited (“the Company”) announced that it had appointed BoxRED Pty Ltd and Matilda Partners Pty Limited as Lead Managers (“Lead Managers”) in a Capital Raising of $2,000,000 by the way of an offer of the issue of up to 50,000,000 new Shares. For details of the offer, potential sophisticated investors and shareholders may visit either:

http://www.mdsfinancial.com.au/InvestorRelations.aspx

or

http://www.boxred.com.au/pdf/Information-memorandum-MDS-Capital-Raise-31-Oct2008.pdf

The Company advises that it has extended the expiry date and other dates of the Information Memorandum dated 31 October 2008 (“IM”) as follows:

Event Date
Information Memorandum date 31 October 2008
Offer opens 3 November 2008
Offer closes (was 17 November 2008) 1 December 2008
Anticipated date of allotment (was 19 November 2008) 3 December 2008
Shareholding statements expected to be dispatched(was 20 November 2008) 5 December 2008

The Company advises that current adverse market trends and sentiment have made the raising difficult for the Lead Managers however, notwithstanding the diminished number of investors who will actually invest at present, the Company currently has a number of parties who have expressed strong interest in the issue under the IM but have requested further time in undertaking their due diligence.

About MDS Financial Group Limited

The Company offers an alternative to big end of town financial services, providing general securities and financial advice and technology solutions to investors, traders, financial service providers and corporations with an emphasis on independence and choice. Services include:

  • Education

  • Online stock recommendations

  • Information and tools

  • Online trading

  • Client phone advice and execution

  • • Corporate advisory services

Clients have total control over their blend of self directed investment and general advice, which is thoroughly independent and supported by the best in investment technology. www.mdsfinancial.com.au

About Box Red Pty Ltd

Box Red is a Noosa based boutique corporate advisory firm. Since 1985 Box Red’s principals have completed a wide range of transactions for both clients and associated investment portfolios. Box Red provides advice and solutions from start up ventures to complex public company listings and their subsidiaries.

In addition to Box Red’s corporate experience they are also a private investment company which over the last 18 months has invested in a number of IT based companies that are at varying levels of their business cycle. www.boxred.com.au

About Matilda Partners Pty Ltd

Matilda Partners provides advisory services to a network of media companies. Matilda Partners is a subsidiary of Matilda Capital Pty Ltd. The company is a media rights investment and advisory house, and specialist media funds manager in addition to more mainstream capital markets advisory activities. Alex Hartman of Matilda Partners has previously provided services to companies including Telstra, Commonwealth Bank of Australia, FilmOn.com and Gresham Advisory Partners.

www.matildacapital.com

For more information please contact:

Sean Rothsey Chairman MDS Financial Group Limited

Allan Shek Director and Company Secretary MDS Financial Group Limited

Phone: +61 7 5442 6080 Phone: +61 2 9300 3500 Mobile: +61 (0)419 712 685