TITOMIC LIMITED — Capital/Financing Update 2020

Feb 25, 2020

==> picture [560 x 88] intentionally omitted <==

==> picture [560 x 89] intentionally omitted <==

• Titomic successfully raises $19 million (before costs) at $0.80 per share

• Placement to existing and new institutional and international long-term funds

• Share Purchase Plan to be offered to shareholders to raise up to additional $1 million

• Composite Technology cornerstones capital raise.

Melbourne, Australia, Wednesday 26[th ] February: Australian Industrial Scale Additive Manufacturing Company, Titomic Limited (ASX: TTT) (“Titomic or “Company”), is pleased to announce it has successfully closed an oversubscribed $19 million capital raising via a private placement (Placement).

This private placement, to new and existing institutional funds and international long-term investors, will see the company issue 23,750,000 new fully paid ordinary share at an issue price of $0.80 per share utilising the Company’s available Listing Rule 7.1 and 7.1A placement capacities.

E&P Corporate Advisory Pty Limited and PAC Partners Securities Pty Ltd acted as Joint Lead Managers to the Placement.

The net proceeds raised will be used to:

• provide additional capabilities to the existing TKF Melbourne Bureau production facility which will allow the development of further innovative additive manufacturing solutions, technology and techniques;

• secure additional human resources and business capabilities, to support the expansion of the scale and scope of the business operations. This will include technical, business development, and operations management personnel;

• establishment of Titomic’s offshore operations, including staffing, marketing and other key launch costs; and

• additional working capital to support sales growth in TKF systems and powder inventory.

The Company also intends to offer a Share Purchase Plan (SPP) to eligible shareholders, being a registered holder of shares as at 7.00pm (Melbourne time) on 21 February 2020 (the Record Date) whose address are in Australia, as recorded in the Titomic register of members, at the same $0.80 price per share as the Placement, to raise up to a further $1 million before costs.

Page 1 of 3

Due to the strong interest received from institutional funds for the placement resulting in an oversubscription, the founders and IPO broker of Titomic assisted key strategic investors to secure parcels of shares by releasing a further 1.45 million shares from their shareholdings which they had previously advised they would only make available to facilitate a future major investment in Titomic by a key strategic investor[1] .

Commenting on the successful Placement, Managing Director of Titomic, Mr. Jeff Lang, stated:

“I would like to thank our new investors for their strong support for this capital raise, as well as our existing shareholders for providing the ‘patient funds’ that have allowed Titomic to be the transformational leader in commericalising industrial scale metal additive manufacturing.

Today’s earlier announcement of the $25.5M Equipment Sale Agreement with Composite Technology, is a considerable milestone in our Company’s realisation of sales revenue.

We were pleased that Composite Technology, and its related parties, cornerstoned this raise highlighting their strategic alignment to Titomic for defence product manufacturing. This capital raising enables Titomic to pursue the many commercial opportunities in our path to significant revenue.”

Ongoing E&P Capital Markets Advisory Services

E&P Corporate Advisory Pty Ltd has also been engaged by Titomic to provide ongoing capital market advisory services. Under the agreement, E&P Corporate Advisory Pty Ltd will receive two tranches of 500,000 options (1 million total), each having an 18-month term and an exercise price of $0.88 per option. The first tranche will be issued under the Company’s available Listing Rule 7.1 placement capacity, and the second tranche will be issued subject to shareholder approval at the Company’s next general meeting of shareholders. These options cannot be exercised within the first 6 months, and each tranche has a variety of additional vesting performance hurdle conditions.

1 Shares to be Released from Escrow – Founders Agree to Extend: https://www.asx.com.au/asxpdf/20190910/pdf/448dv1mp0kz918.pdf

• • • END - - -

Contacts:

Peter Vaughan Company Secretary & COB Ph: +61 (0)3 9822 2222 peter.v@titomic.com

Media Enquires:

Trish Nicklin Titomic Media Manager +61 (0)413 992 909 Trish.Nicklin@shedconnect.com

About Titomic Limited:

Titomic Limited (ASX:TTT) is an Australian public company specialising in digital manufacturing solutions for industrial scale metal additive manufacturing using its patented Titomic Kinetic Fusion® (TKF) technology. The TKF technology provides unique capabilities for producing commercially viable additively manufactured metal products competing directly with traditional manufacturing methods. Titomic

Page 2 of 3

provides OEM production and R&D services from their TKF Smart Production Bureaus to the global Aerospace, Defence, Shipbuilding, Oil & Gas, Mining and Automotive industries. Titomic also provides an extensive range of metal powders for 3D Printing especially Titanium and super alloys whilst providing sales and support services for their TKF production systems.

For more information please visit: www.titomic.com

Forward-looking statements:

Certain statements made in this release are forward-looking statements and are based on Titomic’s current expectations, estimates and projections. Words such as “anticipates,” “expects,” “intends,” “plans,” “believes,” “seeks,” “estimates,” “guidance” and similar expressions are intended to identify forward-looking statements. Although Titomic believes the forward-looking statements are based on reasonable assumptions, they are subject to certain risks and uncertainties, some of which are beyond Titomic’s control, including those risks or uncertainties inherent in the process of both developing and commercialising technology. As a result, actual results could materially differ from those expressed or forecasted in the forward-looking statements. The forward-looking statements made in this release relate only to events as of the date on which the statements are made. Titomic will not undertake any obligation to release publicly any revisions or updates to these forward-looking statements to reflect events, circumstances or unanticipated events occurring after the date of this release except as required by law or by any appropriate regulatory authority.

==> picture [562 x 89] intentionally omitted <==

==> picture [562 x 89] intentionally omitted <==

==> picture [562 x 89] intentionally omitted <==

==> picture [562 x 89] intentionally omitted <==

==> picture [562 x 89] intentionally omitted <==

Page 3 of 3