Ann: Further information on Ausway acquisition, page-6

From what i can see the share price has consolidated recently in this .92c to $1.03 range in the last month after a massive debut on listing back in May only 3 months ago.

Their was a lot of hype on listing that moved the share price to a massive $2.03 before the expected retrace to a more realistic share price in the mid ninety cent range with a $70 million MC.

With so few shares on issue and the Top 20 holding over 88% of stock and much of those held by management in escrow, it's not surprising that the stock runs hard.

So now we have had a savage end of financial year tax loss sell down to .85c followed by a period of consolidation in the mid ninties as new investors come onboard before the Company makes it's next growth move. There is however a lot of stale holders who bought in the $1 to $1.50 range in late May sitting on losses and getting impatient to sell whilst waiting on news.

The key driver that the market is waitting for are the 2018 Financial Report to verify that rhe Company is infact becoming a more profitable business now with the roll out of Living Health products across 500 Terry White Chemists and more importantly first online sales into the vertly lucrative Chinese market. So until we have confirmation of increased annual profits expect the share to continue to consolidate around $1.

The Company has stated Financial will be released in August. With the release of news of this Ausway Group acquisition i would expect to see those Financials released most likely next week as management will be keen to boost the share price to keep the 30 day VWAP as high as possible to minimise dilution in the acquisition of the Ausway deal which is 50% cash and 50% Script. Higher the share price the less amount of shares to issue as part of the deal.

This Ausway deal valued at $10 Million is very good value for the Company that is going to add at least $ 1 Million in after tax profit to the Company each year and also create synergistic savings to the combined group as well as diversify the product range and more importantly open up established sales routes into the lucrative Chinese and European market places for S66. That can only be good for business and long term profits IMO!