Slovar Limited — Board/Management Information 2015

Aug 19, 2015

money3

20th August 2015

The Shareholders,
Money3 Corporation Ltd

Dear Shareholder,

The former Managing Director of Money3 Mr Robert Bryant has requisitioned a meeting of shareholders seeking the removal of Vaughan Webber, Bettina Evert and Miles Hampton as directors and the appointment of himself and Mr Patrick Tapper as directors.

Resignation of Robert Bryant

On the 22nd July 2015, Mr Bryant resigned as Managing Director after he was informed that he no longer had the confidence of the Board.

The Board had determined that whilst Mr Bryant had done an excellent job in building the business, it was time for a change in leadership. In part this was influenced by Mr Bryant’s unwillingness to engage in meaningful discussion about the future direction of the company.

The Board had formed the view that whilst the successful roots of the business were in unsecured lending, if the company were to maximize shareholder value it was time to re-assess the extent to which Money3 was perceived as a payday lender.

In summary the returns from the perceived payday lending part of the business did not justify;

• the regulatory risk,
• the compliance risk,
• the funding risk, and
• the negative perception.

Further, the secured lending business had grown to such an extent that it was contributing more than 64% of the group profitability and any funds released from ceasing some of the current unsecured business, could be effectively re-deployed to further growth of the secured lending business.

Taking all these factors into account the Board determined that it was time to change the future direction of the company and it needed to do so with a new leader.

Proposal to Remove Directors Vaughan Webber, Bettina Evert and Miles Hampton

Mr Bryant has attacked the credibility of Directors Vaughan Webber, Bettina Evert and Miles Hampton.

Vaughan Webber with a background in accounting has been in leadership positions in corporate finance businesses for over 15 years. In his roles Mr Webber has advised multiple listed businesses on their funding requirements and strategic needs. Mr Webber is also an experienced director of public companies and currently holds two other Non-Executive Director positions.

Money3 Corporation Limited | ABN 63 117 296 143 | Australian Credit Licence: 389 782
Registered Office C/o BBA Fitzroy Pty Ltd, Level 1, 48 High Street, Northcote, Victoria, 3070

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money3

Bettina Evert has been a director of Money3 Corporation Ltd since the 28th February 2006 and is a legal practitioner with degrees in Law and the Arts. She chairs and is a member of number of committees at the Law Institute of Victoria and advises a number of public companies on strategy and debt management. Bettina is also a member of the Australian Institute of Company Directors.

Miles Hampton was Managing Director of public company Roberts Limited for 20 years and has been a director of a number of public and large private companies. He is currently Chairman of MyState Limited. Mr Hampton has a first class degree in Economics, is a qualified accountant and is a Fellow of the Australian Institute of Company Directors.

The above are well-qualified and experienced company directors, whose sole focus is the maximisation of returns to the shareholders of Money3 Corporation Ltd.

The Board (with the exception of Kang Tan who has abstained from this recommendation) supports the retention of the directors Vaughan Webber, Bettina Evert and Miles Hampton and recommends that you vote against their removal.

Proposal to appoint Robert Bryant and Patrick Tapper as Directors

The Board (with the exception of Kang Tan who has abstained from this recommendation) does not support the appointment of Mr Bryant as a director for the reasons detailed above.

Patrick Tapper is currently a director of Silver Chef. In setting a new direction for Money3 Corporation it is likely that Silver Chef and Money3 will become direct competitors, and it is therefore inappropriate for him to be appointed a director.

The Board (with the exception of Kang Tan who has abstained from this recommendation) does not support the appointment of Robert Bryant and Patrick Tapper as directors and recommends that you vote against their appointment.

Vaughan Webber
Chairman

Bettina Evert
Director

Miles Hampton
Director

Scott Baldwin
Director

Money3 Corporation Limited | ABN 63 117 296 143 | Australian Credit Licence: 389 782
Registered Office C/o BBA Fitzroy Pty Ltd, Level 1, 48 High Street, Northcote, Victoria, 3070