where did we go wrong?, page-3

22 April 2014

Dear Shareholders

MINIMUM HOLDING SHARE BUY-BACK
Zicom Group Limited (“ZGL” or “the Company”) curren
tly has many shareholders on its share
register who holds parcels of less than $500 in val
ue (“Unmarketable Parcels”) based on the current
share market price. By divesting small holdings, t
he Company reduces its administration and share
registry costs.
As at 7.00pm AEST on 15 April 2014 ("Record Date"),
our records indicate that you are such a
shareholder. Based on the closing price of the Com
pany’s shares on the Australian Securities
Exchange ("ASX") on the Record Date of 19 cents, an
Unmarketable Parcel is any holding of 2,631
shares or less. As at the Record Date, the Company
has 1,952 shareholders of which 499 hold an
Unmarketable Parcel.
The Company has decided to offer to buy-back these
ordinary shares from holders of Unmarketable
Parcels of shares at a price of 19.2 cents per shar
e, being the Volume Weighted Average Price
(“VWAP”) for the 10 day trading period from 2 April
2014 to 15 April 2014 (“Buy-Back”). Shares
purchased by the Company under the Buy-Back will be
cancelled in accordance with the
Corporations Act 2001
.
The Buy-Back will allow you to sell your shares wit
hout incurring brokerage and other expenses
(excluding any tax consequences resulting from the
sale of the shares, which will remain your
responsibility), and to reduce the administrative a
nd registry costs for the Company that are
associated with Unmarketable Parcels.
If you want the Company to purchase your Unmarketab
le Parcel for 19.2 cents per share
under the Buy-Back, you do not need to do anything
.
You are under no obligation to sell your shares und
er the Buy-Back. If you
do not
want your
Unmarketable Parcel to be purchased by the Company
for 19.2 cents per share under the Buy-
Back, you
MUST
complete the enclosed Share Retention Form and retu
rn it so that it is received by
our Share Registry no later than 5.00pm (AEST) on 6
June 2014 (“Closing Date”). If the Share
Retention Form is not received by this date, your s
hares will be purchased under the Buy-Back.
Please return the Share Retention Forms by either:
- posting them to Link Market Services Limited Lock
ed Bag A14, Sydney South, NSW 1235;
or
- faxing them to Link Market Services Limited +61 2
9287 0303
If your shares remain in a CHESS holding at the Clo
sing Date and you have not returned the Share
Retention Form, the Company may, without further no
tice, move those shares to an Issuer
Sponsored Holding or a certificated holding and wil
l be purchased by the Company under the Buy-
Back.