STRAKER LIMITED — Capital/Financing Update 2018

Oct 18, 2018

ASX ANNOUNCEMENT

Date: 18 October 2018

Straker Translations Limited: ASX:STG – Pre-Quotation Disclosure

In accordance with item 2.2 of the decision letter issued by ASX Limited (ASX) to Straker Translations Limited (Straker) on 10 October 2018, the following information is provided to ASX for release to the market in connection with the official quotation of the fully paid ordinary shares (Shares) in Straker.

1. Distribution Schedule of Shares in Straker

Category	Number of holders
1-1000	0
1,001-5,000	119
5,001-10,000	71
10,001-100,000	152
100,001 and over	49
TOTAL	391

2. 20 largest holders of Shares in Straker

Number	Name	Number of Sharesheld	Percentage holding
1	BailadorTechnology InvestmentsLimited	7,404,201	14.08%
2	Angelina Hunter, Merryn Strakerand Grant Straker (no.1 account)	4,163,470	7.92%
3	Angelina Hunter, Merryn Strakerand Grant Straker (no.2 account)	3,165,910	6.02%
4	Forsyth Barr Custodians Limited	3,013,060	5.73%
5	Telstra Super Pty Limited	2,560,160	4.87%
6	National Nominees Limited	2,312,630	4.40%
7	Merrill Lynch (Australia) NomineesPty Limited	1,655,630	3.15%
8	Leonard Douglas Light	1,560,000	2.97%

9	Sandra Donovan, StephenDonovan and Julie Ullness	1,533,870	2.92%
10	Soul Pattinson	1,462,950	2.78%
11	JP Morgan Nominees AustraliaLimited	1,324,504	2.52%
12	Skyone Fund Management Pty Ltd	1,324,504	2.52%
13	Nimmo Investments Limited	1,322,290	2.51%
14	Glenda Lauraine Bailey and IanHarold Bailey	1,306,540	2.48%
15	Tea Custodians (Milford) Limited	1,049,000	1.99%
16	David Sowerby	918,810	1.75%
17	BNP Paribas Noms Pty Ltd	833,067	1.58%
18	HSBC Custody Nominees(Australia) Limited	793,044	1.51%
19	Dopast Holdings Limited	764,100	1.45%
20	8IP Emerging Companies Limited	731,480	1.39%
	TOTAL	39,199,220	74.53%

3. Updated statement of commitments (ASX Listing Rule 1.3.2(b))

In satisfaction of ASX Listing Rule 1.3.2(b), set out below is a statement of the committed use of funds raised by Straker under the offer in the next 12-24 month period:

Use of Funds	AU$
Costs of capital raising	3,100,000
Deferred consideration under prior acquisitions	3,000,000
R&D / product development	2,100,000
Sales and marketing	3,200,000
Customer acquisition expenses (integration of prior acquisitions)	500,000

The above table is a statement of current intentions of Straker as at the date of this document. Investors should note that the total funds and/or the allocation of funds set out in the above table is subject to change depending on various factors, including:

• the risks noted in Section 5 of the prospectus lodged by Straker with the Australian Securities and Investments Commission on 26 September 2018 (Prospectus);
• the outcome of Straker's operational activities;

• regulatory developments; and
• market conditions and general and economic conditions.

4. Shares subject to voluntary escrow

As at the date that this document was provided to the ASX, a total of 27,682,121 Shares in Straker are subject to voluntary escrow arrangements as follows:

Shareholder	Number of Shares subject toescrow on completion of theoffer	Escrowed period
Grant Straker, MerrynStraker and Angelina Hunter	3,664,690	Until the release to ASX ofStraker's half year FY20financial results
Grant Straker, MerrynStraker and Angelina Hunter	3,664,690	Until the release to ASX ofStraker's half year FY21financial results
Other senior management	1,271,540	Until the release to ASX ofStraker's half year FY20financial results
Tim Williams	114,760	Until the release to ASX ofStraker's half year FY20financial results
Steve Donovan	2,297,970	Until the release to ASX ofStraker's half year FY20financial results
BailadorTechnologyInvestments Limited	1,645,378	Until the release to ASX ofStraker's full year FY19financial results
Bailador TechnologyInvestments Limited	5,758,823	Until the release to ASX ofStraker's half year FY20financial results
Tea Custodians (Milford)Limited	1,049,000	Until the release to ASX ofStraker's half year FY20financial results
Blackpeak Capital Pty Ltd	80,360	Until the release to ASX ofStraker's half year FY20financial results
Other existing shareholders	8,134,910	Until the release to ASX ofStraker's full year FY19financial results

TOTAL	27,682,121

Each of the escrowed shares in the table above are eligible for early release from escrow as summarized in section 9.5.2.1 of the Prospectus.

Straker Translations Limited ARBN: 628 707 399

About Straker Translations Limited

Based in New Zealand and founded in 1999, Straker has established itself as a leading global technology driven translation services platform. Straker has developed a hybrid translation platform that utilizes a combination of machine translation and a crowd-sourced pool of freelance translators.

Straker's cloud-based platform manages the end-to-end translation process, leveraging machine translation technology (comprising both third-party owned engines and engines within Straker's platform) to create a first draft translation and subsequently matching the customer's content with one or more of the approximately 13,000 crowd-sourced human freelance translators for refinement. This process is managed using Straker's proprietary "RAY Translation Platform", which has been developed over eight years and is an enterprise grade, end-to-end, cloud-based platform. By leveraging machine translation and its big data assets, the RAY Translation Platform enables the delivery of faster and more accurate translations, lowering the time and cost to deliver versus traditional translation services.

The platform can be integrated directly into customers' systems and consists of a customer dashboard, machine translation integration and modules for assisting and managing translators.

For more information visit www.strakertranslations.com