VINYL GROUP LTD — Capital/Financing Update 2019

Mar 11, 2019

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ASX RELEASE

Jaxsta Signs Digital Product Agreement with Universal Music Group

12 March 2019 - Jaxsta Limited ( Jaxsta or the Company , ASX: JXT) advises that it has entered into a digital product agreement ( DPA ) with Universal Music Group ( UMG ) granting it a licence and authorisation to use UMG's data worldwide for which Jaxsta will compensate UMG via an ongoing license fee.

The DPA provides Jaxsta with the ability to gain access to relevant music data from UMG for ingestion to its platform ( Jaxsta Platform ).

The direct data feed provided by Jaxsta’s data partners (record labels, publishers, industry associations) provides the Jaxsta Platform with official authoritative data sources as opposed to crowd sourced information. This improves the accuracy of the data used in the Jaxsta Platform.

A summary of the Jaxsta Platform can be found in the Investor section of Jaxsta.com: http://www.jaxsta.com/investor.

In addition to the UMG DPA, Jaxsta has now entered into 26 licensing data agreements in the past 18 months including The Recording Academy and Sony Music Entertainment.

Jaxsta’s product schedule remains on track with the Jaxsta.com Beta site set to launch in the first half of 2019, Jaxsta Pro subscription product scheduled for the first half of 2019 and the commercial API scheduled for the last quarter of 2019.

The initial term of the DPA is 2 years. After the first year of the agreement, UMG may terminate the DPA with the provision of at least 30 days’ notice.

In connection with the DPA, the Company will issue to UMG 2,852,420 warrants each to subscribe for one new ordinary share in Jaxsta. The warrants will have an exercise price of $0.01 per warrant, and will be exercisable in multiple tranches for a period of 7 years subject to certain vesting conditions, with the first tranche of warrants vesting on the first anniversary of the date of the issue of the warrants.

The unlisted warrants will be issued within Jaxsta’s existing placement capacity under ASX Listing Rule 7.1.

Jaxsta Ltd.

Level 1, 113‐115 Oxford Street, DARLINGHURST, NSW, 2010 , AUSTRALIA Ph: +61 2 8317 1000 Jaxsta.com ABN 15 106 513 580

[6998159: 23663450_1]

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ABOUT UNIVERSAL MUSIC GROUP :

UMG is part of the Vivendi group of companies and is currently one of the largest record labels globally with significant market share.

Universal Music Group is a world leader in music-based entertainment, with a broad array of businesses engaged in recorded music, music publishing, merchandising and audiovisual content in more than 60 countries. Featuring the most comprehensive catalog of recordings and songs across every musical genres, UMG identifies and develops artists and produces and distributes the most critically acclaimed and commercially successful music in the world. Committed to artistry, innovation and entrepreneurship, UMG fosters the development of services, platforms and business models in order to broaden artistic and commercial opportunities for our artists and create new experiences for fans. Universal Music Group is a Vivendi company.

www.universalmusic.com

ABOUT JAXSTA:

Jaxsta (ASX: JXT) is a music technology company developing an online platform to hold global official music data. Through direct industry partnerships, the Company aims to credit the ‘who, what, when and where’ of music. The Company’s core platform, Jaxsta.com, is expected to launch in 2019.

www.jaxsta.com

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Further Details:

Jacqui Louez Schoorl Chief Executive Officer

Jaxsta Ltd. Level 1, 113‐115 Oxford Street, DARLINGHURST, NSW, 2010 , AUSTRALIA Ph: +61 2 8317 1000 Jaxsta.com

ABN 15 106 513 580

[6998159: 23663450_1]