STREAMPLAY STUDIO LIMITED — Capital/Financing Update 2020

Jan 12, 2020

ASX RELEASE

13 January 2020

Kagiso Media Marketing Agreement Demonstrates Confidence in ArcadeX

Highlights:

• Emerge has launched ArcadeX in South Africa with marketing support to commence in January

• ArcadeX to be marketed to a captive audience of millions of South Africans by Kagiso Media

• Kagiso Media to invest a minimum of A$240k into the marketing of ArcadeX

Emerge Gaming Limited (ASX: EM1) (“Emerge” or the “Company” ), the operator of online eSports and casual gaming tournament platform and lifestyle hub “ ArcadeX ”, is pleased to advise that it has concluded a marketing agreement with Kagiso Media (Pty) Ltd (“ Kagiso Media ”) to market ArcadeX in South Africa.

Agreement with Kagiso Media

Expedite, a division of the Kagiso Media Radio Portfolio have agreed to invest a minimum of R2,400,000 (~A$240,000) of marketing services to market ArcadeX in South Africa. Kagiso Media will provide an initial 15-week marketing campaign from January 2020 to April 2020, comprising above the line marketing through various channels reaching millions of audience through radio, and other channels. In return Emerge and Kagiso Media share the revenue earned from the platform arising from Kagiso Media marketing campaigns. The investment by Kagiso Media on a risk basis is a testament to their belief in the ArcadeX platform.

The parties can mutually agree to extend the marketing agreement beyond April 2020.

About Expedite

Expedite is a business accelerator and a division of the Kagiso Media Radio Portfolio focused on innovations in media.

Kagiso Media

Kagiso Media is media conglomerate with interests in new media, content production, specialised publishing, radio broadcasting and television production.

It has interests in substantial media assets through its subsidiaries, joint ventures and associates. Assets include Jacaranda FM, East Coast Radio, Mediamark, Urban Brew Studios, Juta and Company. It has interests in other radio stations such as OFM, Heart FM, Gagasi 99.5 and Kaya FM. Kagiso Media provides potential access to millions of South Africans.

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Included in the Kagiso Media product stable, Narrative (formerly Effective Measure), ECR.co.za and jacarandafm.com together attract almost two million unique South African visitors per month (Jacaranda FM — 1,042,000, East Coast Radio — 900,378, Narrative November 2019) — significantly outperforming competitors.

In addition to website growth (driven predominantly by 70% mobile access), the stations have deployed successful apps and are now attracting audiences listening via streaming, with as many as 6,000 people listening concurrently at the peak of any given day and over 1,000,000 streams per month.

Marketing and Monetisation Strategy

Additionally, Emerge have engaged digital marketing experts Tiburon Media Group (“Tiburon”) with the objective of generating paid digital leads to the ArcadeX site in South Africa. The engagement starts in January 2020. The Kagiso Media agreement will complement the digital marketing through above the line marketing on radio and through other channels with the objective of directing paid subscribers to the ArcadeX platform.

ArcadeX subscribers will be billed through WorldPlay’s direct carrier billing and subscriber management services. WorldPlay offers a sophisticated mobile billing platform with direct links to South Africa’s three largest MNOs; Vodacom, MTN and Cell C . Its strong relationship with these networks enables Emerge to directly debit consumer mobile accounts in exchange for Emerge’s mobile gaming services. WorldPlay provides ArcadeX with potential access to the ~88 million subscribers in South Africa.

CEO, Gregory Stevens commented: “Kagiso is one of South Africa’s largest and most influential media houses and we are excited to enter into an agreement with them. This marketing agreement demonstrates Kagiso’s confidence in the ArcadeX platform.“

For further information:

Australia

Bert Mondello Chairman E: bmondello@illustrialcapital.com P: +61 8 6380 2555

South Africa

Gregory Stevens CEO E: greg@emergegaming.com.au P: +27 72 420 4811

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About Emerge Gaming

Emerge Gaming Limited (ASX:EM1) is a leading eSports and casual gaming tournament company. Emerge Gaming operates the online eSports and casual gaming tournament platform and lifestyle hub “ArcadeX”. Via this platform, casual, social and hardcore gamers can play hundreds of gaming titles against each other via their mobile, console or PC.

The platform uses its unique IP, advanced analytics tracking and proprietary algorithms to deliver an optimum tournament gaming experience for users while providing advertisers with the perfect vehicle for delivery of their messaging to a fully engaged audience.

More information: www.emergegaming.com.au and view the ArcadeX platform at www.ArcadeX.co

ASX release authorised by the Board of Directors of Emerge Gaming Limited.