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SPACETALK LTD Capital/Financing Update 2019

Oct 16, 2019

65842_rns_2019-10-16_36fc711d-adc4-408f-b18c-11f3cc3add9f.pdf

Capital/Financing Update

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Manager ASX Market Announcements ASX Limited 20 Bridge Street SYDNEY NSW 2000

ASX Release

MGM Wireless Ltd

17 October 2019

ASX LISTING RULE 7.1A.4 AND 3.10.5A DISCLOSURE

17 October 2019 –Technology company MGM Wireless Limited (ASX:MWR) ( MGM Wireless or Company ) provides the following supplementary information in accordance with ASX Listing Rules 7.1A.4 and 3.10.5A to the announcement dated 27 September 2019, regarding the placement of 1,617,648 shares to investors at an issue price of $3.40 per share ( Placement Shares ).

The Company provides the following disclosure under ASX Listing Rules 7.1A.4(b) and 3.10.5A.

(a) The details of the dilution to existing holders of ordinary securities after the issue of Placement Shares is as follows:

Number of
ordinary
shares on issue
Ordinary shares on issue prior to 27 September 2019 12,514,500
Placement Shares issued under ASX Listing Rule 7.1A 1,248,250
Placement Shares issued under ASX Listing Rule 7.1 369,398
Total ordinary shares on issue after issue of Placement Shares on 27 September
2019
14,132,148
Dilution of existing holders of ordinary securities caused by the issue of Placement
Shares
11%

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  • (b) The Company issued the Placement Shares to investors under ASX Listing Rules 7.1 and 7.1A because funds could be raised in a short timeframe and on a cost effective basis.

  • (c) The Company confirms that no underwriting agreements were entered into in respect of the issue of Placement Shares.

  • (d) The fee paid by the Company in connection with the Placement Shares comprised a management fee of 2.0% of gross proceeds raised pursuant to the issue of the Placement Shares, a selling fee of 4.0% of the gross proceeds raised by the issue of the Placement Shares, 300,000 options with an exercise price of $5.50 expiring on 30 June 2022 and 300,000 options with an exercise price of $6.50 expiring on 30 June 2022.

Justin Nelson Company Secretary

For more information please contact: MGM Wireless Limited – (ASX:MWR) Mark Fortunatow, CEO Mobile: 0421 328 984 Phone: 08 8104 9508 Email: [email protected] / web: www.mgmwireless.com

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