AR9 Top 100, page-37

For those who have not received the email, the raise is for "Working capital investment to support strategic partnerships and expansion into new markets" . I have a discomfort about how management has gone about this process and I sense that we are not told the full story.
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PAC Partners are helping archTIS with their $1.5m raise to fund the launch of Kojensi into the US (after their success in Aus). More details below.

Would you like to participate?

Regards,

James

James Holyman

Equity Sales/Operations Manager| PAC Partners

Phone:+61 2 9134 9133Mobile:+61 437 456 407

PAC Partners has been invited to bid into a small placement forarchTIS Limited (AR9)raising $1.5m* at $0.1050 per Share (*ability to take oversubscriptions up to $1m).

In addition, AR9 intends to undertake a non-underwritten SPP capped at $0.5m on the same terms as the Placement

**NOTE; the company is leading this transaction**

archTIS Limited (AR9) raising $1.5m(ability to take oversubscriptions up to $1m).

archTIS Limited (AR9)designs, develops, and marketssoftware solutions for secure sharing and collaboration of sensitive information globally. The company’s flagship products, Kojensi and NC Protect, enables organisations to share and collaborate on files in a secure space. Kojensi is an Accredited multi-level security classified file sharing and document collaboration platform for defence, military and government applications. NC Protect provides dynamic access and data protection for Microsoft 365 applications and file shares

·Term Sheet:AR9 Term Sheet

Key Terms

Summary Offer details below. *for distribution to s708 investors only*

 

	Issuer	archTIS Limited(ASX:AR9)
1	Offer Type	Capital Raising to raise $1.5m (theOffer),comprising: Placement to raise $1.5m (14.3m shares) under the Company’s LR 7.1 & 7.1A placement capacity; Each investor will also be allocated an attaching unlisted option on a 1-for-2 basis, at a strike price of $0.20 (90% premium to the placement price), with a 3-year term (Options); archTIS retains the right to accept oversubscriptions up to $1.0m; The Company also intends to undertake a non-underwritten Share Purchase Plan capped at $0.5m on the same terms as the Placement (SPP); and In conjunction with the capital raise archTIS will announce a $1.5m Debt Facility with the Commonwealth Bank of Australia (Debt Facility).
2	Offer Price	$0.1050 per Share. Represents a discount of: 16.0% to last traded price of $0.1250 per share 14.8% to the 5-day VWAP of $0.1232 per share 19.0% discount to the 15-day VWAP of $0.1296 per share 21.8% discount to the 30-day VWAP of $0.1343 per share
3	Use of Proceeds	Working capital investment to support strategic partnerships and expansion into new markets Costs of the Offer

 Highlights

	Unique Proprietary Technology	AR9 differentiates itself from other cyber-security companies through a patent protected security platform utilising Attribute Based Access Control (ABAC) security that allows individuals to define rules to control who accesses information, and under what conditions.
1	Global Network & Strategic Partnerships to Drive Growth	archTIS’s distribution strategy is based on a solid foundation of direct and indirect sales through key channel partners, and strategic alliances including Microsoft, Thales S.A., KPMG, Cirrus and Northrop Grumman.
2	Large & Expanding Target Market	Data-centric security market is expected to be worth $39.3B by 2030, registering a CAGR of 30.6%. Driving growth is an increasing number of high-cost data breaches and an increase in cloud-based security needs.
3	Ability to Leverage Opportunities From Current Contracts	AR9 is positioned to leverage further opportunities from prior contract successes with Australian Government Agencies and Defense industrial entities
4	Positioned For Financial Growth	Licensing revenue and ARR increased 126% and 70% respectively year-on-year for FY 22. FY 23 outlook expected to maintain a minimum of 60% year-on-year revenue growth Forecasted minimum cash receipts of $9.5m for FY23, with cash burn expected to halve compared to FY22
5	Board & Management	Highly experienced board and management, with a strong track-record of driving growth in software security and technology focused businesses

ProposedTimetable

	·Trading Halt	·Wednesday, 30 November
1	·Bids Due for Placement Shares	·1pm Thursday, 1 December
2	·Commitment letters Due	·4pm Thursday, 1 December
3	·AR9 recommences trading	·Friday, 2 December
4	·Settlement	·Wednesday, 7 December
5	·Allotment of new Shares and Options	·Thursday, 8 December