SPACETALK LTD — Capital/Financing Update 2019

Aug 5, 2019

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ASX Announcement

MGM Wireless Limited (ASX:MWR)

6 August 2019

SKY TO SELL SPACETALK IN THE UK

Highlights:

• Sky, Europe’s leading media, entertainment and telecommunications company, to sell SPACETALK in the UK

• Agreement signed, sales to commence today August 6, 2019

• Significant milestone in the SPACETALK’s UK and European expansion plans

6 August 2019 – Technology company MGM Wireless Limited (ASX:MWR) (‘MGM’ or ‘the Company’) is pleased to announce that Sky, Europe’s leading media, entertainment and communications company, has signed an Agreement with the Company to sell the Company’s SPACETALK children’s smartwatch mobile phone in the UK.

Sales will commence today at 9:00am London UK time, August 6 2019 through Sky Mobile.

Sky will sell SPACETALK on a £10 per month plan for 36 months, which includes the SPACETALK watch, mobile services and accompanying AllMyTribe App. The Company will receive full wholesale payment and will recognise full revenue when the device is sold to Sky.

MGM Wireless CEO Mark Fortunatow says “We are thrilled to have Sky selling SPACETALK in the UK. This launch with Sky in the UK represents another major milestone for the Company and represents the second major mobile network operator to stock SPACETALK. As a responsible business, Sky is focussed on ensuring its products and services are safe for families and kids, something that we are also committed to at MGM Wireless. At the highly attractive price of £10 per month, SPACETALK now becomes very affordable to families with young children. I think we will see a new mass market emerge with very large sales volumes generated indeed.”

About Sky

Sky is Europe's leading media, entertainment and telecommunications company with 23 million retail subscribers and 61% market share in UK and Ireland. Sky operates in 7 territories including 4

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out of 5 of the largest entertainment markets in Western Europe. It is the #1 brand in entertainment with substantial reach of more than 120 million people across Europe.

Sky Mobile is the most recent addition to the group with 1 million subscribers and 79% market awareness of its services across its customers. Sky mobile enjoys a 41% share of iPhone XS handset sales

Sky is part of the Comcast group listed on the NYSE with over US$100 billion in revenue and over 54 million customers worldwide.

About SPACETALK

SPACETALK is regarded as the market leader in the new and emerging product category of children’s smartwatch + mobile phones. SPACETALK is an all-in-one children’s smartwatch, mobile phone and GPS device that allows parents and children to be in constant contact without exposing their kids to the dangers of social media apps and unrestricted access to the Internet.

Specifically designed for young children between the ages of 5 and 12, SPACETALK allows parents to be in constant contact with their children without exposing them to the dangers of social media, apps and unrestricted Internet access. It’s considered to be a safe and responsible, parent controlled mobile phone specifically for young children before they get a smartphone for adults.

Developed in Australia, and one of the first mobile devices of its type worldwide, the child can make or receive calls from a list of contacts parents choose in the AllMyTribe® smartphone app. If the child needs help, a special SOS alert function can be customised to call parents and other guardians. Parents can see their child's location on their smartphone and the AllMyTribe App features alerts so whenever children leave designated safe spaces such as school or home, parents are notified. A step counter tracks the wearer’s physical activity.

SPACETALK has been independently verified by leading international cyber security experts as using best in class, world’s best practice security and privacy features built in. It also meets European GDPR Data Privacy regulations. All data is hosted in Australia or UK in highly secure data centres and protected by European GDPR Privacy and Data Security regulations, so privacy and security are assured. To learn more please visit: www.spacetalkwatch.com

About MGM

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 all-in-one smartphone, watch and GPS device called SPACETALK, which allows two-way 3G phone calls and SMS messaging to a

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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.

MGM Wireless built its track record with school communication solutions after discovering in 2002 the SMS as a powerful method for parent engagement. The Company went on to create the world’s first SMS based Automated Student Absence Notification Solution and many other innovations since then. It is recognised as a global leader and pioneer in socially responsible and technology-enabled 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

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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@mgmwireless.com M: +61 407 215 292

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