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INVESTOR PRESENTATION OCTOBER 2016 BUSINESS UPDATE AND PROPOSED ACQUISITION OF PLUS CONNECT LTD For personal use only

INVESTOR PRESENTATION OCTOBER 2016 · INNOVATIVE, DEFENSIBLE MOBILE GIVING -A HUGE MARKET MICRO-PAYMENTS PLATFORM ... For personal use only engagement using 21st century technologies

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Page 1: INVESTOR PRESENTATION OCTOBER 2016 · INNOVATIVE, DEFENSIBLE MOBILE GIVING -A HUGE MARKET MICRO-PAYMENTS PLATFORM ... For personal use only engagement using 21st century technologies

INVESTOR PRESENTATION – OCTOBER 2016

BUSINESS UPDATE AND

PROPOSED ACQUISITION

OF PLUS CONNECT LTD

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Page 2: INVESTOR PRESENTATION OCTOBER 2016 · INNOVATIVE, DEFENSIBLE MOBILE GIVING -A HUGE MARKET MICRO-PAYMENTS PLATFORM ... For personal use only engagement using 21st century technologies

Disclaimer

This presentation (“Presentation”) has been

prepared by Activistic Limited (“Activistic” or

“Company”). You must read and accept the

conditions in this notice before considering the

information set out in or referred to in this

Presentation. If the you do not agree, accept

or understand the terms on which this

Presentation is supplied, or if you are subject

to the laws of any jurisdiction in which it would

be unlawful to receive this Presentation or

which requires compliance with obligations

that have not been complied with in respect of

it, you must immediately return or destroy this

Presentation and any other confidential

information supplied to you by Activistic. By

accepting this document, you acknowledge

and agree to the conditions in this notice and

agree that you irrevocably release Activistic

from any claims you may have (presently or in

the future) in connection with the provision or

content of this Presentation.

NO OFFER

This Presentation is not a prospectus, product

disclosure statement or other offering

document under Australian law (and will not

be lodged with ASIC) or any other law. This

Presentation is for information purposes only

and is not an invitation or offer of securities for

subscription, purchase or sale in any

jurisdiction (and will not be lodged with the

U.S Securities Exchange Commission). This

Presentation does not constitute investment or

financial product advice (nor tax, accounting

or legal advice) or any recommendation to

acquire shares of Activistic and does not and

will not form any part of any contract for the

acquisition of shares of Activistic.

SUMMARY INFORMATION

This Presentation contains summary

information about Activistic, its subsidiaries

and their activities which is current as at the

date of this Presentation. The information in

this Presentation is of a general nature and

does not purport to be complete nor does it

contain all the information which a prospective

investor may require in evaluating a possible

investment in Activistic or that would be

required in a prospectus or product disclosure

statement prepared in accordance with the

requirements of the Corporations Act. While

Activistic has taken every effort to ensure the

accuracy of the material in the presentation,

neither the Company nor its advisers have

verified the accuracy or completeness of the

information, or any statements and opinion

contained in this Presentation.

NOT INVESTMENT ADVICE

Each recipient of this Presentation should

make its own enquiries and investigations

regarding all information in this Presentation

including but not limited to the assumptions,

uncertainties and contingencies which may

affect future operations of Activistic and the

impact that different future outcomes may

have on Activistic. This Presentation has been

prepared without taking account of any

person's individual investment objectives,

financial situation or particular needs. Before

making an investment decision, prospective

investors should consider the appropriateness

of the information having regard to their own

investment objectives, financial situation and

needs and seek legal, accounting and taxation

advice appropriate to their jurisdiction.

Activistic is not licensed to provide financial

product advice in respect of Activistic shares.

Cooling off rights do not apply to the

acquisition of Activistic shares.

INVESTMENT RISK

An investment in Activistic shares is subject to

known and unknown risks, some of which are

beyond the control of Activistic. Activistic does

not guarantee any particular rate of return or

the performance of Activistic nor does it

guarantee any particular tax treatment.

FINANCIAL DATA

All dollar values in this Presentation are in

Australian dollars (A$ or AUD).

FORWARD-LOOKING STATEMENTS

This Presentation may contain forward looking

statements. The words 'anticipate', 'believe',

'expect', 'project', 'forecast', 'estimate', 'likely',

'intend', 'should', 'could', 'may', 'target', 'plan'

and other similar expressions are intended to

identify forward-looking statements.

Indications of, and guidance on, future

earnings and financial position and

performance are also forward-looking

statements. Forward-looking statements are

subject to risk factors associated with the

Company’s business, many of which are

beyond the control of the Company. It is

believed that the expectations reflected in

these statements are reasonable but they may

be affected by a variety of variables and

changes in underlying assumptions which

could cause actual results or trends to differ

materially from those expressed or implied in

such statements. There can be no assurance

that actual outcomes will not differ materially

from these statements. You should not place

undue reliance on forward-looking statements

and neither Activistic nor any of its directors,

employees, advisers or agents assume any

obligation to update such information.

DISCLAIMER

None of Activistic’s respective advisers or any

of their respective affiliates, related bodies

corporate, directors, officers, partners,

employees and agents, have authorised,

permitted or caused the issue, submission,

dispatch or provision of this Presentation and,

except to the extent referred to in this

Presentation, none of them makes or purports

to make any statement in this Presentation

and there is no statement in this Presentation

which is based on any statement by any of

them. To the maximum extent permitted by

law, Activistic and its respective advisers,

affiliates, related bodies corporate, directors,

officers, partners, employees and agents

exclude and disclaim all liability, including

without limitation for negligence or for any

expenses, losses, damages or costs incurred

by you as a result of your participation in an

investment in Activistic and the information in

this Presentation being inaccurate or

incomplete in any way for any reason, whether

by negligence or otherwise. To the maximum

extent permitted by law, Activistic and its

respective advisers, affiliates, related bodies

corporate, directors, officers, partners,

employees and agents make no

representation or warranty, express or implied,

as to the currency, accuracy, reliability or

completeness of information in this

Presentation. Statements made in this

Presentation are made only as the date of this

Presentation. The information in this

Presentation remains subject to change

without notice.

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Page 3: INVESTOR PRESENTATION OCTOBER 2016 · INNOVATIVE, DEFENSIBLE MOBILE GIVING -A HUGE MARKET MICRO-PAYMENTS PLATFORM ... For personal use only engagement using 21st century technologies

CONTENTS

Company overview and intended acquisition

Activistic overview and business update

Plus Connect overview and business model

The acquisition

The transaction

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Page 4: INVESTOR PRESENTATION OCTOBER 2016 · INNOVATIVE, DEFENSIBLE MOBILE GIVING -A HUGE MARKET MICRO-PAYMENTS PLATFORM ... For personal use only engagement using 21st century technologies

ACTIVISTIC & PLUS CONNECT ACQUISITON

“Creating the 21st century solution to charity fundraising through direct donations

and traditional lotteries”

The proposed acquisition of Plus Connect Limited and its services complements the Activistic model

• Complementary market landscape – charity & fundraising

• Ability to operate in Australia

• Leverage from existing technology

STRATEGIC SYNERGIES

• Leverage from two revenue engines to fast track to substantial revenue and break even point

• Ability to consolidate expenses providing cost synergies

FINANCIAL SYNERGIES

• Existing marketing and financial expertise

• Ability to utilise the marketing and sales team by cross-sell products

OPERATIONAL SYNERGIES

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Page 5: INVESTOR PRESENTATION OCTOBER 2016 · INNOVATIVE, DEFENSIBLE MOBILE GIVING -A HUGE MARKET MICRO-PAYMENTS PLATFORM ... For personal use only engagement using 21st century technologies

CORPORATE SNAPSHOT

TRADING INFORMATION BOARD OF DIRECTORS

ASX ticker ACU

Share price $0.021

Shares on issue¹ 359 M

Market cap¹ $7.5 M

1.Closing price as at 19 Oct 2016

ADVISORY BOARD

Peter Wall

Non-Executive Chairman

Nigel Lee

Non-Executive Director

Evan Cross

Non-Executive Director

Michael Hughes

Non-Executive Director

Jonathan

Fassberg

John ZaccariaJohn

Zaccaria

Howard

Lake

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Page 6: INVESTOR PRESENTATION OCTOBER 2016 · INNOVATIVE, DEFENSIBLE MOBILE GIVING -A HUGE MARKET MICRO-PAYMENTS PLATFORM ... For personal use only engagement using 21st century technologies

COMPANY OVERVIEW

ASX listed entity

Established micro-payments platform

Two operating products and rapidly advancing into

additional verticals and new fundraising solutions

Presence in the U.S and U.K markets

Proposed acquisition of Plus Connect Ltd

Acquisition to provide additional revenue streams

Acquisition will allow Activistic to enter the Australian market

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Page 7: INVESTOR PRESENTATION OCTOBER 2016 · INNOVATIVE, DEFENSIBLE MOBILE GIVING -A HUGE MARKET MICRO-PAYMENTS PLATFORM ... For personal use only engagement using 21st century technologies

DONATIONS FOR

THE 21ST CENTURY

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Page 8: INVESTOR PRESENTATION OCTOBER 2016 · INNOVATIVE, DEFENSIBLE MOBILE GIVING -A HUGE MARKET MICRO-PAYMENTS PLATFORM ... For personal use only engagement using 21st century technologies

INNOVATIVE, DEFENSIBLE MOBILE GIVING - A HUGE MARKET

MICRO-PAYMENTS PLATFORM

Providing a seamless micro-donation experience via

mobile phones

A HUGE AND GROWING MARKET

Over USD $373 billion donations made in the US

alone in 2015 over 90% off-line and one time

OPEN TO EVERYONE

Uses Direct Carrier Billing to enable small

monthly donations without the need for credit

cards, bank accounts or complications

TRANSPARENT AND EFFECTIVE

Enables the lowest cost of raising funds and

donating is truly simple and creates 1-1

engagement using 21st century technologiesFor

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Page 9: INVESTOR PRESENTATION OCTOBER 2016 · INNOVATIVE, DEFENSIBLE MOBILE GIVING -A HUGE MARKET MICRO-PAYMENTS PLATFORM ... For personal use only engagement using 21st century technologies

THE THIRD SECTOR - USAWHO IS GIVING

WHERE DONATIONS GO

+$373 BILLION

Total giving to charitable

organizations in 2015 –

America’s most generous

year ever

Source: Giving USA Foundation | GIVING USA 2015

+$264 BILLION

Donated by individuals

in 2015

Indiv

idua

lsR

elig

ion

He

alth

71%

32%

15%

8%

16% 9%

12%

7%

5%

11%13%

Fou

nd

atio

ns

Ed

uca

tion

Be

qu

est

Hu

ma

nS

erv

ice

s

Pu

blic

-So

cie

tyBenefit

Co

rpo

ratio

ns

To

Fou

nd

atio

ns

Oth

er C

ause

sOver U$ 373 billion

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Page 10: INVESTOR PRESENTATION OCTOBER 2016 · INNOVATIVE, DEFENSIBLE MOBILE GIVING -A HUGE MARKET MICRO-PAYMENTS PLATFORM ... For personal use only engagement using 21st century technologies

THE PROBLEM WITH DONATING

1 Source: Blackbaud Charitable Giving Report 2013, published in February 2014

LACK OF

TRANSPARENCY

USUALLY ONE

OFF PAYMENTS

INCONVENIENCE

OVER 90%

OFFLINE1

HIGH

ADMIN COSTS

LACK OF

ACCOUNTABILITY

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Page 11: INVESTOR PRESENTATION OCTOBER 2016 · INNOVATIVE, DEFENSIBLE MOBILE GIVING -A HUGE MARKET MICRO-PAYMENTS PLATFORM ... For personal use only engagement using 21st century technologies

THE SOLUTION

ACTIVISTIC IS CHANGING THE

LANDSCAPE OF FUNDRAISING -

FAST, EFFICIENT, ANYWHERE, ANY

TIME DONATING

THE TECHNOLOGY PROVIDES:

• Accessibility

• Low barriers to entry

• Convenience

• Engagement

• Operating leverage

2.5 - 7% OF

FUNDS

8 -12.5% RETAINED

(NET REVENUE)

15% OF FUNDS

(GROSS REVENUE)

100% OF

FUNDS

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Page 12: INVESTOR PRESENTATION OCTOBER 2016 · INNOVATIVE, DEFENSIBLE MOBILE GIVING -A HUGE MARKET MICRO-PAYMENTS PLATFORM ... For personal use only engagement using 21st century technologies

ATTRACTIVE FOR DONORS AND BENEFICIARIES

ADVANTAGES TO DONORS

ADVANTAGES TO BENEFICIARIES

SAVINGS

Beneficiary receives a

minimum of 85% compared

to a majority of cases ~32%

in the traditional model

FLEXIBLE

Complete flexibility

in cause choice or

donation amount

MORE DONATIONS

Recurring nature of

donations through

Activistic platforms

NO TIES

No contracts or fixed

commitment, credit

cards or bank

information

LESS ADMIN

Reduced need

for fundraising

administration

ALERTS

Donors receive alerts

when their chosen

cause is funded

FREE

100% free to use

for charity

partners

OPTIONS

Ability to donate to

any cause and

any region

EASE

Simplified gateway

process makes it easier

for worthwhile charities

to receive funding

SIMPLE

Ease and simplicity

of donating – 2

minute set up time

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Page 13: INVESTOR PRESENTATION OCTOBER 2016 · INNOVATIVE, DEFENSIBLE MOBILE GIVING -A HUGE MARKET MICRO-PAYMENTS PLATFORM ... For personal use only engagement using 21st century technologies

PRODUCTS AND REVENUE

Over 150,000 downloads of the app

12 partnerships currently in place

New version launched in August 2016

Partners fully engaged in promoting the app

Positive feedback and high rating in Google Play and

App Store

Successful marketing campaigns already completed

Strong brand awareness and reputation created by

Activistic

Gearing up for Veterans Day campaigns with charity

partners leading

VETERANS CALL

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Page 14: INVESTOR PRESENTATION OCTOBER 2016 · INNOVATIVE, DEFENSIBLE MOBILE GIVING -A HUGE MARKET MICRO-PAYMENTS PLATFORM ... For personal use only engagement using 21st century technologies

Beta version launched in

the UK

Over 50 charities currently

represented on the platform

10 key charities signed as

co-marketing partners

WHITE LABELS

Successful delivery of

political app

Advanced discussions with

National and International

Charities

Opportunities with global

festival and concert

organisations

Direct discussions with

influential celebrities and their

management teams

Activistic patent pending

trademark

“PayPal" of Mobile Giving

Easily added to any apps

or websites and minimum

costs

PRODUCTS AND REVENUEF

or p

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Page 15: INVESTOR PRESENTATION OCTOBER 2016 · INNOVATIVE, DEFENSIBLE MOBILE GIVING -A HUGE MARKET MICRO-PAYMENTS PLATFORM ... For personal use only engagement using 21st century technologies

GROWTH PATH

DOWNLOADSAggressive paid

marketing campaigns

aimed to generate

downloads

DONATIONSIncreased number of

donations due to

improved conversion

rates

DEALSBring home deals in

the pipeline to create

increased distribution

for VC and White Label

launches

ADDITIONAL SOLUTIONSDonateMate™ -

“PayPal” of Mobile Giving

ENGAGEMENTApp enhancements

dramatically improved user

experience and engagement

RETENTIONLong retention periods ensure

higher LTV and ARPU

SPEEDReduced re-skin time from

months to weeks/days

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Page 16: INVESTOR PRESENTATION OCTOBER 2016 · INNOVATIVE, DEFENSIBLE MOBILE GIVING -A HUGE MARKET MICRO-PAYMENTS PLATFORM ... For personal use only engagement using 21st century technologies

COMPETITIVE ADVANTAGE

HIGH DEFENSIBILITY MGF,

TXTNATION CONTRACTS

PATENT PENDING PROTECTION

US, UK, AUS, EUROPE

STRONG IP DEVELOPED OVER 4

YEARS

STICKINESS – ONCE

DOWNLOADED THE APP

ENSURES HIGH RETENTION %

SCALABLE

LOW CAPEX / HIGH MARGIN

BUSINESS MODEL WITH MASS

MARKET APPEAL

FIRST MOVER ADVANTAGE

KEY RELATIONSHIPS ALREADY

IN PLACE

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Page 17: INVESTOR PRESENTATION OCTOBER 2016 · INNOVATIVE, DEFENSIBLE MOBILE GIVING -A HUGE MARKET MICRO-PAYMENTS PLATFORM ... For personal use only engagement using 21st century technologies

UNDERVALUED OPPORTUNITY

ACTIVISTIC’S ACCELERATED GROWTH WILL RAPIDLY CLOSE THE VALUATION GAP

Market Cap¹: $7.5 M

First Year: 2015

Sectors:

Charities

Entertainment and celebrities

Political

Religion

Cash flow: Negative

Market Cap¹: $438 M

First Year: 2011

Sectors:

Religion

Enterprises

Charities

Cash flow: Negative

Activistic is has been operating since May 2015 and actively

marketing from 2016 only.

Pushpay is at a very advanced stage as it has been operating

since 2011. Official launch date was January 2014.

Veterans Call White Labels DonateMate™

1.Closing prices as at 19 Oct 2016

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Page 18: INVESTOR PRESENTATION OCTOBER 2016 · INNOVATIVE, DEFENSIBLE MOBILE GIVING -A HUGE MARKET MICRO-PAYMENTS PLATFORM ... For personal use only engagement using 21st century technologies

POSITIONED FOR RAPID GROWTH

PRODUCT TODAY

• Technology and products built

• Two operating apps in the U.S market

• Presence in charity and political sectors

• Advanced negotiations for white labels in new

verticals

• Additional products - DonateMate™

PRODUCT ROADMAP

• Improving conversion, re-marketing and

retention tools and virality

• White Labels: “cut and paste” new apps

reducing costs / time to revenue

• DonateMate™ : add to any app or website

at minimum cost – SDK distribution model

REDUCED USER ACQUISITION COSTS

• Marketing efforts delivered downloads and

brand awareness

• Improved user experience resulted in higher

conversion rates

• Partner charities to promote the product

resulting in reduced acquisition costs

REVENUE GENERATION

• Revenue growth through existing apps

• New white labels to provide rapid user

acquisition and revenue

• Additional products – DonateMate™ – to

become the “PayPal” of mobile giving

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Page 19: INVESTOR PRESENTATION OCTOBER 2016 · INNOVATIVE, DEFENSIBLE MOBILE GIVING -A HUGE MARKET MICRO-PAYMENTS PLATFORM ... For personal use only engagement using 21st century technologies

PLUS CONNECT

A DISRUPTIVE MARKETING

MODEL TARGETING TRADITIONAL

LOTTERY CUSTOMERS WHILE

SUPPORTING CHARITIES AND

NOT-FOR-PROFITS

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Page 20: INVESTOR PRESENTATION OCTOBER 2016 · INNOVATIVE, DEFENSIBLE MOBILE GIVING -A HUGE MARKET MICRO-PAYMENTS PLATFORM ... For personal use only engagement using 21st century technologies

INDUSTRY OVERVIEW

KEY STATS:

INTERNET LOTTERY TICKETS

• Revenue 2016: $6.1 billion

• Annual growth – past 5 years: 1.2%

• Over 50% of adult Australians participate in

lotteries

• Convenient

• Quick

• Repetitive model

• 10% of Australian lottery tickets are sold on the internet

• This accounts for over 28% in other countries

INTERNET LOTTERIES – WIDE AUDIENCE:

GROWING MARKET – CLOSING THE GAP

OPPORTUNITY:

• Local and international lotteries in Australia

• Lottery products overseas

• Fully insured – de-risked model

10%

Australia

28%

Overseas

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Page 21: INVESTOR PRESENTATION OCTOBER 2016 · INNOVATIVE, DEFENSIBLE MOBILE GIVING -A HUGE MARKET MICRO-PAYMENTS PLATFORM ... For personal use only engagement using 21st century technologies

REVENUE MODEL

NOW – TODAY’S PRODUCTS FUTURE –ADDITIONALPRODUCTS

Charity and Sports Lotto-style Products

Products Overview

• Products operate under Northern Territory

license

• 20% of sales goes to charity or sporting groups

Status

• Charity lottery established and growing

• Sports lottery ‘live’ pending launch

• Advanced negotiations with high profile sporting

clubs

Commercial Lotto-style Products

Products Overview

• European and US lotteries and substitute

products sold into the Australian market

• Asian lottery products offered in Australia

• Lottery products offered overseas

Status

• Technology delivered

• Zeal Network products ready for integration

($60 - $100m jackpot)

• Asian lotteries to be implemented

• Keno products to be implemented

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Page 22: INVESTOR PRESENTATION OCTOBER 2016 · INNOVATIVE, DEFENSIBLE MOBILE GIVING -A HUGE MARKET MICRO-PAYMENTS PLATFORM ... For personal use only engagement using 21st century technologies

REVENUE MODEL

1 European lotteries have a total fixed cost of 70%

2 COGS decrease as volume of transactions grow

FUTURE – ADDITIONAL PRODUCTS

Commercial Lotto-style Products

Win COGS Charity Margin

Charity Lottery 30% 20% 20% 30%

Sports Lottery 30% 20% 20% 25%

Win COGS2 Charity Margin

European Lotteries¹ - 27% - 30%

Asian Lotteries 40% 20% - 40%

Keno PLUS 30% 20% - 50%

NOW – TODAY’S PRODUCTS

Charity and Sports Lotto-style Products

• Target products to discrete

market segments

• High margins

• Complementary with charity and

sports offering

• Drive community acceptance

• Rapid and Low-cost customer

acquisition

• Government lobbying power

• Key revenue drivers

• Number active customers

• Frequency of participation

and retention period

• Yield per product

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Page 23: INVESTOR PRESENTATION OCTOBER 2016 · INNOVATIVE, DEFENSIBLE MOBILE GIVING -A HUGE MARKET MICRO-PAYMENTS PLATFORM ... For personal use only engagement using 21st century technologies

TODAY’S PRODUCTS

• Product trialed and commissioned

• User base constantly growing

• Strong support from charity partners

• ≈ 800 active users playing everymonth

• Product developed and operating

• Advanced discussions with high profile

sporting clubs

• Emerging sports funding industry

• Discussions underway with major codes and

sporting bodies

CHARITY LOTTERY

CustomersMonthly

SpendMargin

Net revenue /

month

95,000 $25 30% $712,500

CustomersMonthly

SpendMargin

Net revenue /

month

122,000 $25 25% $762,500

SPORTS LOTTERY

Targets – 36 months

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Page 24: INVESTOR PRESENTATION OCTOBER 2016 · INNOVATIVE, DEFENSIBLE MOBILE GIVING -A HUGE MARKET MICRO-PAYMENTS PLATFORM ... For personal use only engagement using 21st century technologies

LOTTERIES –A SUCCESSFUL AND ACCEPTED MODEL

Postcode Lottery - UK Zeal Networks

CHARITY AND SPORTS LOTTERIES COMMERCIAL PRODUCTS

• 6.1 million players in 2015

• Revenue: €1.5 Billion

• Contribution for charities: €613 Million

• 1990-2015 contribution: €7.2 Billion

• 2015 sales in excess of €280 Million

• Continuous strong and stable performance

• History of dividend distribution

Lotto Network (Football

Lotto) - UK

• 2.5 million registered users

• Annual revenue of £120 Million

Jumbo Interactive

• ASX listed – market cap ≈A$79 Million (13 Oct 16)

• FY 2016 sales: A$156 Million

• History of dividend distribution

Lottoland Australia

• 2015 sales in excess of A$100 Million

• Provision of Australian and International lottery

products to Australian customers

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Page 25: INVESTOR PRESENTATION OCTOBER 2016 · INNOVATIVE, DEFENSIBLE MOBILE GIVING -A HUGE MARKET MICRO-PAYMENTS PLATFORM ... For personal use only engagement using 21st century technologies

ASSETS

A Northern Territory license Agreements with four reputable

charities

A Norfolk Island license Advanced negotiations with high profile

sporting clubs

Two existing products An established management

team

A socially responsible

modelExtensive experience

High operating leverage Exclusive license with Lloyds for Lottery betting

in Australia

Head of agreement with MyLotto24

for commercial lotto supply

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Page 26: INVESTOR PRESENTATION OCTOBER 2016 · INNOVATIVE, DEFENSIBLE MOBILE GIVING -A HUGE MARKET MICRO-PAYMENTS PLATFORM ... For personal use only engagement using 21st century technologies

PLUS CONNECT SUMMARY

Entertainment with charity

component

Commercial products available to be

implemented and commercialised

High ARPU and margins

Potential to replicate successful UK

charity and sports lottery model

Strong cash flow potential

Great growth potential for online

lottery products in Australia

Advanced negotiations with high

profile sporting clubs for

commercialization of Sports Lottery

Two operating products ready

for aggressive commercialisation

Strong support from partner charities High retention business

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Page 27: INVESTOR PRESENTATION OCTOBER 2016 · INNOVATIVE, DEFENSIBLE MOBILE GIVING -A HUGE MARKET MICRO-PAYMENTS PLATFORM ... For personal use only engagement using 21st century technologies

THE ACQUISITION: 1+1=5

Same market landscape – charity +

fundraising

Plus Connect allows Activistic to

operate in Australia

Different propositions –

same outcome

Leverage with Activistic’s existing charity

partners in Australia

Existing technologyPlus Connect can leverage Activistic’s

international footprint

STRATEGIC SYNERGIES

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Page 28: INVESTOR PRESENTATION OCTOBER 2016 · INNOVATIVE, DEFENSIBLE MOBILE GIVING -A HUGE MARKET MICRO-PAYMENTS PLATFORM ... For personal use only engagement using 21st century technologies

THE ACQUISITION: 1+1=5

Two revenue engines

Increased volume and liquidity

Low and high ARPU

Short and long term

revenue profiles Cost synergies

Exposure to new investors

Low volume and high

margins vs high volume

and low margins

Fast track to substantial revenue

and break even point

FINANCIAL SYNERGIES

$F

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THE ACQUISITION: 1+1=5

Cross-sellingShared support services and

compliance costs and experience

Existing marketing and

finance expertiseGeographic complements

E-Commerce and M-Commerce

complements

Single experienced Board

of Directors

OPERATIONAL SYNERGIES

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Page 30: INVESTOR PRESENTATION OCTOBER 2016 · INNOVATIVE, DEFENSIBLE MOBILE GIVING -A HUGE MARKET MICRO-PAYMENTS PLATFORM ... For personal use only engagement using 21st century technologies

THE TRANSACTION

Total consideration of 180,000,000

Activistic ordinary shares

Pre-bid acceptance: 19.04% of

Plus Connect shareholders

Additional 12,500,000 Activistic shares to be

issued to a Plus Connect creditor in satisfaction

of a $250,000 debt

Shareholder Intention Statements: 45.12% of

Plus Connect shareholders

Each Plus Connect shareholder will receive

3.0779 Activistic ordinary shares for each Plus

Connect share held

Activistic to loan up to $500,000 to Plus Connect

in the period between signing the BIA and

settlement of the acquisition for working capital

and marketing expenditure

56.4% of Plus Connect shareholders have agreed

to voluntarily escrow their Activistic shares for a

period of 12 monthsPaul Crossin – Plus Connect MD – to join the

Activistic Board as an Executive Director

OFF MARKET TAKEOVER OFFER TO ACQUIRE

PLUS CONNECT

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THE TRANSACTION

INDICATIVE TIMETABLE

EVENT DATE

Execution of Bid Implementation Agreement 21 Sep 2016

Bidder’s Statement and Target Statement lodged with ASIC and ASX 20 Oct 2016

Bidder’s Statement and Target Statement dispatched to Plus Connect shareholders 27 Oct 2016

Takeover offer closes 28 Nov 2016

Issue of ACU shares to accepting Plus Connect shareholders 05 Dec 2016

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• Charities and other non-profit organisations

have not kept up with technology.

• This represents a growing market opportunity

for Activistic

• Revenue generated through direct donations

• Revenue generated through socially

responsible entertainment products

• Two operating products in the US market

• Charity and Political sector

• Advanced negotiations for white labels in

entertainment and celebrity sectors

• Two charity products in Australia

• Strategic geographic locations

• Strong brand awareness in US market

• User growth through existing apps and new

verticals and products

• Growing Australian user base through

entertainment products

• Potential for commercial lottery products and

overseas expansion

SUMMARY

LARGE MARKET WITHOUT SUITABLE

TECHNOLOGY

TWO REVENUE STREAMS

ALREADY GAINED TRACTIONSTRONG FOUNDATIONS

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INVESTOR PRESENTATION – OCTOBER 2016

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