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- C Y B E R S E C U R I T Y - - I N F O R M A T I O N S H A R I N G - - C O L L A B O R A T I O N - IPO INVESTOR PRESENTATION JULY 2018 1 D I S C L A I M E R No Warranties This Information Memorandum/Presentation contains material provided
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archTIS INVESTOR PRESENTATION – JULY 2018
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No Warranties This Information Memorandum/Presentation contains material provided to archTIS Ltd ACN 123 098 671 (“archTIS”) by various sources. No representation or warranty is made or should be implied as to the accuracy or completeness of the material contained herein and no responsibility or liability will be accepted by archTIS or its directors for any loss or damage, howsoever arising, which results from an action or reliance in whole or in part on such material. The information in this Information Memorandum is not complete and may be changed. In particular, various contracts referred to in this Information Memorandum have not yet been executed. Prospective investors should independently verify the material contained in this Information Memorandum/Presentation. No person has been authorised to give any information or to make any representations other than as contained in this Information Memorandum/Presentation and any representation or information not contained herein must not be relied upon as having been authorised by archTIS or its Directors. This Information Memorandum/Presentation is issued by the Company and it has not been issued by any other person or their agents, officers, employees or affiliates. Neither archTIS , nor its Directors, their agents, officers, employees or affiliates may make any express or implied representation, warranty or undertaking with respect to this Information Memorandum/Presentation, and none of them accepts any responsibility or liability as to its accuracy or completeness or as to the suitability of the proposed investment for any particular investor. This Information Memorandum/Presentation should not be considered as a recommendation by archTIS or its Directors or any of their agents, officers, employees or affiliates in relation to any proposed investment. Confidentiality This Memorandum is strictly confidential. By receiving this Memorandum, the recipient agrees:
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LODGMENT OF PROSPECTUS 19 JULY 2018 EXPOSURE PERIOD BEGINS 19 JULY 2018 OPENING DATE OF THE OFFER 26 JULY 2018 CLOSING DATE OF THE OFFER 16 AUGUST 2018 ISSUE OF SHARES UNDER THE OFFER 19 AUGUST 2018 DESPATCH OF HOLDING STATEMENTS 19 AUGUST 2018 EXPECTED DATE FOR QUOTATION OF SHARES 23 AUGUST 2018 3
* Indicative dates only
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Award winning Australian based company, established in 2006.
Already developed technology platform that provides security, collaboration and content management.
Unique document sharing platform (“Kojensi”) currently in use by the Department of Defence. First secure content and collaboration software accredited to “TOP SECRET” by the US and Australian Departments of Defence to use attribute based access control (ABAC).
Core patents pending.
Further development of the platform into a government cloud and commercial cloud-based offering.
Health, legal, accounting, investment banking and critical infrastructure.
archTIS INVESTOR PRESENTATION – JULY 2018
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Stephen Smith, Independent Chairman Stephen Smith was Federal Member for Perth for the Australian Labor Party from March 1993 until September 2013. In a career spanning 20 years in the Australian Federal Parliament, he served as the Minister for Defence, and as Minister for Foreign Affairs. Stephen completed his Bachelor of Arts and Bachelor of Laws at the University of Western Australia and a Master of Laws in Public International Law at London University. Daniel Lai, Managing Director Daniel is a Founder and Managing Director of archTIS. He has extensive industry experience in successfully delivering outcomes as part of a senior executive team to both government and commercial
Customs Service. Daniel is a regular speaker at industry events and has been featured in the Australian Financial Review and CIO magazine. Bruce Talbot, Executive Director & Chief Technology Officer Bruce is a Principal Consultant, Director and Founder of archTIS. He holds a Master Degree in Business Technology (MBT), Advanced Diplomas in Computing and Radar Engineering and a Diploma of Advanced Electronics. He also has over 20 years in the Australian Defence Force and a further 20 years in the commercial sector working for Computer Associates, Hitachi Data Systems, Airservices Australia and the Australian Federal Police. Leanne Graham, Independent Non- Executive Director Leanne Graham brings over 30 years of executive sales and technology experience, having founded a number of successful software businesses. Leanne was the highly successful former New Zealand General Manager and global head
Executive Chair of Velpic, Non-Executive Director of Bid Energy both ASX listed fast growth companies as well as Non- Executive Chair of APE Mobile. Wayne Zekulich, Independent Non- Executive Director Wayne has a broad range of experience covering advice
mergers and acquisitions, arranging and underwriting project financings, privatisations, and debt and equity capital markets. Wayne has held the role of Chief Financial Officer of Gindalbie Metals Ltd, Chief Development Officer of Oakajee Port and Rail, Executive Vice President Commonwealth Bank (WA, SA, NT) and Head of the Perth office of NM Rothschild & Sons. He is currently Head of Perth for Deutsche Bank.
archTIS INVESTOR PRESENTATION – JULY 2018 0.50% CuEq cut-off
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www.prnewswire.com, 2018
H A L F O F A L L C L O U D S E C U R I T Y S E R V I C E R E V E N U E W I L L C O M E F R O M C O N T E N T S E C U R I T Y B Y 2 0 1 9
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Departments of Defence
Department of Finance and Department of Foreign Affairs and Trade
enterprises
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content and collaboration
collaboration services for the commercial sector
and collaboration services for remote and isolated areas.
management system that underpins Kojensi
collaboration cloud service for government agencies
archTIS INVESTOR PRESENTATION – JULY 2018
Defence
commercial off the shelf products augmented with proprietary archTIS intellectual property
can be sold directly to Enterprises as a System Integration sale and is the core underlying technology in other archTIS product lines
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Field will be a Secure Content and Collaboration appliance (pre-configured turnkey solution)
product that can service up to 250 users
disaster relief efforts
archTIS INVESTOR PRESENTATION – JULY 2018
1. The UI/UX has been designed after extensive market research and consultation with our clients. It has been developed as a REST Graphic User Interface so is independent of the underlying technology. 2. DataKloak is the command centre for Attribute Based Access Control. From here you publish and populate policies and attributes for information, devices, identities and systems for access control. 3. DataKloak is designed to be vendor agnostic so it can work with different ABAC products. At present, interfaces have been developed for Oracle Content Manager and Microsoft Active Directory.
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Da DataKloak UI / / UX UX
(User Centric Interface) Enterprise Content Management System
ABAC eng ngine
(Attribute Based Access Control)
1. Single interface to multiple products 2. Simplifies configuration 3. Reduces administrative
4. Decreases security risk
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Governments
5.0, NIST SP 800-5, WCAG 2.0
market, with other providers determined unsuitable or not authorised to provide for government agencies
defence/government/intelligence
media attention and causing increased concerns from community and organisations
agencies
archTIS INVESTOR PRESENTATION – JULY 2018
active use of competitor products
clients who are assisting in product design
classified information and a competitive advantage in accessing this market. We are the only company that offers a solution with the benefits of ABAC security to a content and collaboration product
Secure Content market include SIgBox and Objective - both were evaluated by the Department
however neither are certified to handle highly classified material
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archTIS INVESTOR PRESENTATION – JULY 2018
Company Name Ticker Share Price Market Cap Description A$/share A$m Senetas Corporation SEN.AX 0.12 124.4 Develops fingerprint technologies used in security for license identification, Internet use and smart cards. Covata CVT.AX 0.02 15.5 Protects data over untrusted networks and insecure devices in the cloud and mobile
Department 13 D13.AX 0.08 41.4 Department 13’s expertise in wireless and cellular technologies, cyber security, drone threat modeling and forensics forms the cornerstone of their counter UAS solutions. Firstwave FCT.AX 0.26 57.3 Offers services in the areas of cloud content security, content analytics, and data loss
Flamingo AI FGO.AX 0.04 43.8 Provides a software platform with assets which offers financial services and products
IXUP IXU.AX 0.27 42.8 Encryption software that allows a data matching process to expose insights and commonalities in the encrypted data sets without exposing the actual data. Whitehawk WHK.AX 0.07 5.0 Operates an Internet based cybersecurity marketplace. archTIS AR9.AX 0.20 24.6 archTIS developed attributed based access control products and services to solve content and collaboration sharing challenges for classified information. 16
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archTIS INVESTOR PRESENTATION – JULY 2018
ENTERPRISE CUSTOMERS PAYING PER USER CYBER SECURITY THREAT PROVIDES GROWTH DRIVERS HIGHLY VALUED BY STRATEGIC INDUSTRY PLAYERS GLOBALLY SCALABLE RECURRING REVENUE 18
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archTIS INVESTOR PRESENTATION – JULY 2018
archTIS INVESTOR PRESENTATION – JULY 2018
Min Subscription ($8m raise) % of Funds Existing cash reserves $1,100,000 12% Funds raised from the Offer $8,000,000 88%
TOTAL $9,100,000 100%
Ongoing Product development $2,200,000 24% Sales and marketing $1,500,000 17% Repayment of existing banking facility $300,000 3.30% Expand customer support capability $1,000,000 11% Working capital and other expenses $3,300,000 36% Costs of the Offer $790,000 9%
TOTAL $9,100,000 100%
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archTIS INVESTOR PRESENTATION – JULY 2018
Existing shareholders: 60,702,042 (50.68%) IPO Investors: 40,000,000 (32.5%) Directors & Management: 22, 394, 940 (16.82%) Existing shareholders: 60,702,042 (50.68%) IPO Investors: 40,000,000 (32.5%) Directors & Management: 22, 394, 940 (16.82%) Existing shareholders: 60,702,042 (50.68%) IPO Investors: 40,000,000 (32.5%) Directors & Management: 22, 394, 940 (16.82%)
Shares Currently on Issue: 83,096,982 shares Options Currently on Issue (1): 14,589,880 Partly Paid Shares on Issue: 720,000 Minimum Raise: A$8,000,000 Share Price: A$0.20 No of Shares Issued Under the IPO: 40,000,000 Options Issued to Advisors (2): 5,000,000 Issued Capital: 123,096,982 shares Market Cap (@ A$0.20): $24.6m Cash at Bank ex fees: ~$9.0m Enterprise Value: ~$15.5m Existing Shareholders: 60,702,042 (50.68%) IPO Investors: 40,000,000 (32.5%) Directors & Management: 22,394,940 (16.82%) 21
1 4,289, 880 Options @ $0.10 on or before 10 October 2022 1 7,500,000 Options @ $0.12 on or before 1 February 2021 1 1,200,000 Options @ $0.20 on or before 1 July 2023 1 1,600,000 Options @ $0.20 three years from date of issue 2 5,000,000 Options @ $0.24 four years from date of issue
archTIS INVESTOR PRESENTATION – JULY 2018
PROVEN TECHNOLOGY Kojensi secure content and collaboration platform in use by Department of Defence CRITICAL DEMAND Governments and organisations need to secure and share sensitive information MARKET OPPORTUNITY Developing Kojensi into a cloud based service for government and commercial sectors TRENDING ISSUE Cyber security and the global movement towards cloud based computer services are key market drivers INTELLECTUAL PROPERTY Patent application submitted for DataKloak STRONG TEAM Security clearances in place to work within the highest levels in government. Significant IT and government experience
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@ A R C H T I S
Daniel Lai, Managing Director Daniel.lai@archTIS.com Tel: 1300 ARCHTIS - +61 2 6162 2792 www.archtis.com Level 3, 10 National Circuit Barton ACT 2600 Australia Lead Manager Contact Jason Peterson, Director/Head of Corporate/CEO Tel: +61 413 261 972 Jason.Peterson@cpscapital.com.au Level 45, 108 St Georges Terrace Perth WA 6000 Australia Harry Karelis, Director hkarelis@jindaleepartners.com Tel: +61 413 056 328 hkarelis@jindaleepartners.com Level 5 235 St Georges Terrace Perth WA 6000