SPACETALK LTD — Capital/Financing Update 2019

Sep 25, 2019

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ASX Announcement

MGM Wireless Limited (ASX:MWR)

26 September 2019

OFFICEWORKS TO SELL SPACETALK IN AUSTRALIA

Highlights:

• New retail store agreement with Officeworks to sell SPACETALK

• Officeworks will range SPACETALK in stores and online

• Sales to begin early October 2019

• Increases the number of Australian retail stores selling SPACETALK to 483

– 26 September 2019 Technology company MGM Wireless Limited (ASX:MWR) (‘MGM’ or ‘the

Company’) today announced that Officeworks, Australia’s leading supplier of office products and services for micro, small and medium business, students and households, has signed a retail sales agreement to sell the SPACETALK all-in-one smartphone, watch and GPS device.

Officeworks will stock the SPACETALK watch on its website from the 1[st] of October, with a launch across its national store network the following week.

MGM Wireless CEO Mark Fortunatow said: “It’s fantastic to have another 167 physical retail locations for parents to see and have SPACETALK explained to them by a highly trusted retailer across Australia. In addition, large numbers of parents shop at Officeworks for their children’s school stationery, computer and other supplies. Especially during the back-to-school January, February and March months, many parents will be in Officeworks stores – so to have SPACETALK on display, explained to parents and available to purchase will be just brilliant.”

“The Officeworks agreement increases the number of stores selling SPACETALK in Australia to 483, taking overall distribution in Australia and New Zealand to a total of 672 stores.”

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In recent months, the Company has significantly increased retail store distribution of SPACETALK in New Zealand, adding 118 Harvey Norman, JB Hi-Fi and Noel Leeming stores to its existing distribution through 71 Spark stores. There are now 189 stores in New Zealand selling SPACETALK.

Mr Fortunatow continued: “SPACETALK has become an important new product that’s driving new sales to a large new market sector, 5-12 year old children. That’s getting retailers and mobile network providers very excited.”

“Kid’s smartwatch mobile phones are becoming a successful category in their own right and we continue to be amazed by SPACETALK’s market acceptance in Australia, New Zealand and UK.”

Gartner, the world’s leading research and advisory company for the technology sector, predicts that the global wearables market will grow 26% in 2019, with smartwatches representing about a third of the USD$42 billion market[1] .

About MGM Wireless

MGM Wireless Limited is a technology company designing, developing and commercialising a smartphone + watch wearables device for children, and software for school communication and student absence management. The Company’s AllMyTribe division has developed a children’s allin-one smartphone, watch and GPS device called SPACETALK, which allows two-way 3G phone calls and SMS messaging to a parent-controlled list of contacts. Other features include GPS tracking to alert parents whenever children leave designated safe spaces, such as school or the home.

Importantly – a key safety feature of SPACETALK is that it doesn’t give children access to social media, apps, open internet, YouTube or other such services dangerous to young children. In addition, during school hours, the device can operate in ‘School Mode’ whereby all communication features are disabled to ensure children won’t be distracted.

MGM Wireless built its track record with school communication solutions after discovering in 2002 the application of SMS communication in schools. The Company went on to create the world’s first SMS based Automated Student Absence Notification Solution and many other innovations

1 Gartner.com, Gartner Says Worldwide Wearable Device Sales to Grow 26 Percent in 2019, November 2018.

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since then. It is recognised as a global leader and pioneer in socially responsible and technologyenabled school communication.

MGM Wireless products include student absence notifications ‘messageyou’, absence analytics software ‘Watchlists’, school news and messaging app ‘School Star’, a content management and messaging platform for mobile school communication called Outreach+, and student attendance management solution ‘RollMarker’.

Used by over 1400 schools and 1.7 million parents, the Company’s school communication solutions empower schools to effectively communicate and engage parents and caregivers through SMS, mobile in-app and other means to improve student attendance and safety, help schools reduce operating costs and increase parent engagement. To learn more please visit: www.mgmwireless.com

About Officeworks:

Established 25 years ago in Richmond, Victoria, Officeworks is committed to making bigger things happen for its customers, team, the community and stakeholders. It operates 167 stores across Australia, a website that is home to more than 40,000 products, a national call centre, and a business team that helps micro, small and medium-sized businesses start, run and grow. Officeworks offers customers a wide range of office supplies, technology, furniture, art supplies, education resources and helpful services like print & copy and on-site tech support through Geeks2U –delivering an experience that is easy and engaging, no matter how customers choose to shop. Officeworks is focused on the safety, wellbeing and career progression of the 8,000 team members it employs. It’s also dedicated to operating in a sustainable manner, including building and maintaining meaningful connections with the communities in which it operates, fundraising for its national partners and local community groups, continuing to reduce its impact on the environment and source responsibly.

-Ends-

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Investor Enquiries:

Ashley Rambukwella, FCR

a.rambukwella@fcr.com.au

M: +61 407 231 282

Media Enquiries

Anthony Black

anthonyblack3@bigpond.com

M: +61 418 543 330

MGM Wireless Limited:

Megan Coleman – Marketing and E-Commerce Sales Manager

mcoleman@spacetalkwatch.com

M: +61 407 215 292

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