Ann: Appendix 4C, page-9

I agree that CertainID is one of the reasons Isity is interested in KKL @whallm.

I did some research on this earlier in the year & came to the following conclusions @Cyberguy.

This whole deal IMO has been brought together by Charles Hunting, lets look at the timeline:

- 20/01/2015 Patent's for CertainID are granted in USA & China.
- 13/02/2015 Charles Hunting becomes a board member.
- July 2015 Isity founded & funding sourced by Charles (Charles & Paul worked together at Genpac).
- 30/05/2016 New CEO appointed - David Matthews (Charles & David both worked at Accenture for many years).
- David accepts shares as payment for services as CEO which ultimately would last 12 months.
- 28/11/2016 Isity acquisition is announced.

Isity requires additional capital to get the Changchun deal financially closed, this would have always been known. There would have been a few options for funding, IPO, continue to raise VC funding, RTO or acquisition.

I suggest IPO & VC funding would have been the more expensive options, so we need to compare RTO with the acquisition.

It seems a no brainer to me that looking at the difference of a shell & KKL, that KKL has something interesting to offer, especially when considering the synergies between the technologies.

There is an additional added benefit; if Isity can meet their goals & quickly become profitable, then any profits directed to the development of CertainID will be matched by the CSIRO, this creates massive value both in the short & long run, as I believe CertainID could be a game changer!

Interestingly Charles has opted to take all of his shares in performance, which says to me that he has great faith in achieving these milestones or he doesn't care either way; but he doesn't seem that type of guy to me.

As Managing Partner for Tsing Capital, I suggest Charles has an extensive network throughout Asia & a-lot of those connections look like they could benefit from KKL technologies (RFID, Isity & CertainID).

These are just a few of my thoughts on why Isity would merge with KKL, hope this helps