Connexion Telematics : CXZ Less than marketable parcel share sale facility

For personal use only

ASX Announcement

14 June 2022

Less than marketable parcel share sale facility

Connexion Telematics Ltd (ACN 004 240 313) (Company) is pleased to announce a share sale facility for holders of less than a marketable parcel (defined in the ASX Listing Rules as a parcel of securities with a market value of less than $500) (Less Than Marketable Parcel) of the Company's shares.

As at 5:00 pm (AEST) on Friday 10 June 2022 (Record Date), a Less Than Marketable Parcel of shares is any shareholding of 49,999 ordinary shares or less, based on the closing price of $0.01 on the Record Date (Closing Price). This represented 8,056,714 ordinary shares, held by 389 Shareholders (Minority Members).

By offering this sale facility, the Company is assisting holders of a Less Than Marketable Parcel to sell shares without having to use a broker or pay brokerage. The Company will pay for all the costs of the sale for Shareholders who use this facility, excluding tax consequences from the sale, which remains the shareholder's responsibility.

The Company values all of its Shareholders, however, it incurs additional administrative costs maintaining a relatively large number of Less Than Marketable Parcels. By facilitating this sale, the Company expects to reduce the administrative costs associated with maintaining a relatively large number of very small holdings. Shareholders who own 50,000 shares or more will not be eligible to participate.

If Minority Members wish to sell shares through this facility, they do not need to take any action. If Minority Members do notwish to sell shares through this facility, they mustcomplete and return the notice of retention form to the Company's share registry, Automic Pty Limited by 5:00pm (AEST) on 22 July 2022 (Retention Date).

Upon the sale of the Less Than Marketable Parcel shares by the Company, proceeds shall be forwarded to eligible Shareholders as soon as practicable.

Attached is a copy of the letter and the notice of retention form that is currently being mailed to Shareholders that hold a Less Than Marketable Parcel on the Record Date.

Ends

Issued by: Connexion Telematics Ltd.

Authorised by: The Board of Connexion Telematics Ltd

Queries:

1. [e-mail]

ASX Code: CXZ

Connexion Telematics Ltd

www.connexionltd.com

For personal use only

[insert date] 2022

[insert name] [insert company] [insert address]

Dear Shareholder

IMPORTANT NOTICE - SALE OF YOUR LESS THAN MARKETABLE PARCEL OF CONNEXION TELEMATICS LTD SHARES

We are writing to advise you that Connexion Telematics Lid (CXZ or the Company) has established a share sale facility (Facility) for holders of parcels of CXZ shares with a market value of less than A$500 as at close of trade on 10 June 2022 (Less Than Marketable Parcel). The Facility is being established in accordance with the ASX Listing Rules and the Company's Constitution.

The Company is offering the Facility to assist holders of Less Than Marketable Parcels to sell their shares. Holders of Less Than Marketable Parcels who take advantage of the Facility will have their shares sold without having to act through a broker or pay brokerage fees. The Company will also organize payment of the other costs associated with the sale and transfer (although any tax consequences from the sale of your shares will be your responsibility).

By facilitating the sale of Less Than Marketable Parcels, the Company expects to reduce the administrative costs associated with maintaining a relatively large number of small shareholdings.

Our records show that you held a Less Than Marketable Parcel of 49,999 shares or less based on the CXZ share price of A$0.01 as at close of trade on 10 June 2022 (Record Date). Unless you advise the Company that you do NOT wish to sell your shares through the Facility by 5:00pm (AEST) on 22 July 2022, CXZ intends to sell your shares through the Facility. Payment will be sent to you following settlement of the sale or otherwise as soon as is practicable.

Please also note that the Company will not sell your shares in the event that a third party announces a takeover offer for the Company. Consistent with its continuous disclosure obligations. The Company may release to the ASX information that may be material to a shareholder's decision as to whether they wish to retain their shares. This information will, if released, be available on the ASX website www.asx.com.au(ASX code "CXZ") and on the Company's website www.connexionltd.com

What should you do?

If you do NOT wish to sell your shares through the Facility, you must complete and return the attached form to the address on the form so that it is received by 5:00pm (AEST) on 22 July 2022. Please read the instructions on your personalized Share Retention Form carefully before completing it.

If you want to sell your shares through the Facility, you do not need to take any action. By refraining from taking any action, after the expiration of the time prescribed in the ASX Listing Rules, you will be deemed to have irrevocably appointed the Company as your agent:

1. to sell all of your shares at a price to be determined by when and how the shares are sold and without any cost being incurred by you; and
2. to deal with the proceeds of the sale as set out in the attached information sheet.

If you need help deciding what to do, or if you require information regarding the financial, legal or tax consequences of participating in the Facility you should consult your legal, financial or taxation adviser.

ASX Code: CXZ

Connexion Telematics Ltd

www.connexionltd.com

For personal use only

The attached information sheet sets out further details of the Facility, which you should read before making any decision.

If you have any queries about lodging your form or the practical operation of the Facility, please contact the undersigned on telephone: [phone] or by email to [e-mail]

Yours sincerely

For and on behalf of Connexion Telematics Ltd

Ben Stanyer

Company Secretary

Ph [phone]

ASX Code: CXZ

Connexion Telematics Ltd www.connexionltd.com

For personal use only

1. WHAT IS A MINIMUM HOLDING OF SHARES?

A Less Than Marketable Parcel of shares is a holding of CXZ shares valued at less than A$500 as at close of trade on the Record Date. Based on the price of CXZ shares at the Record Date, this is a holding of 49,999 shares or less.

2. WHAT PRICE WILL I RECEIVE FOR SHARES SOLD THROUGH THE FACILITY?

The price that you receive for your shares under the Facility will be determined by when and how the shares are sold. The Company may sell your shares on market or in any other way they consider fair and reasonable in the circumstances. If the shares are sold on market the price will depend on a number of factors, including market conditions at the time of sale. You will not have control over the time at which your shares are sold, the price you receive may be different from the price appearing in the newspaper or quoted by ASX on any day, may not be the best price on the day that your shares are sold and may be an average price per share based on the price obtained for all the shares sold under the Facility. If the Company sells your shares other than on market, the price will be the price that the Company has been able to negotiate with the acquirer or acquirers. In any event, the sale price will not be less than that price equal to the simple average of the last sale prices of the shares quoted on ASX for each of the ten trading days immediately preceding the date of any offer received by the Company.

3. WHAT IS THE PRICE OF CONNEXION TELEMATICS LIMITED SHARES?

The last sale price of CXZ shares on 10 June 2022 was A$0.01. The share price changes frequently, and more recent prices are available from the ASX website (www.asx.com.au) under the ASX code "CXZ".

4. WHEN WILL THE PROCEEDS FROM THE SALE OF SHARES BE SENT TO ME?

Payment will be sent to you following settlement of the sale or otherwise as soon as is practicable. Payment will be made in Australian dollars and will be paid into the bank account that you have nominated for your shareholding or by cheque to the postal address you have registered for your shareholding. You can update your bank account details by visiting https://www.automicgroup.com.au/ or by contacting Automic on 1300 288 664 (from within Australia) or [phone] (from outside Australia), between the hours of 9.00 AM to 5.00 PM Monday to Friday (Sydney-time). You will be notified by way of a transaction confirmation statement of the number of your shares sold, and the price and total sale proceeds. If you have a CHESS sponsored holding and need to update your address, you will need to contact your controlling participant. If you participate in the Facility and would like your updated address or bank account details to be used when remitting proceeds and sending documentation to you, please ensure that these details are updated by the Closing Time.

5. IF I BUY MORE SHARES, WILL I RETAIN MY HOLDING?

Yes, the Company will treat any purchase of additional shares that increases the value of a CXZ shareholding to more than A$500 as an indication that you do not want your shares to be sold through the Facility. For a purchase to be an effective notification that you wish to retain your shares, any additional shares purchased must be registered by 5:00pm (AEST) on 22 July 2022 under the same name and address and with the same holder number (SRN or HIN) as set out in this letter.

6. WHAT IF MY SHARES ARE HELD IN A CHESS HOLDING?

If your Shares remain in a CHESS holding at 5:00pm (AEST) on 22 July 2022, the Company may move those Shares to an issuer sponsored holding and the shares will be

sold through the Facility.

ASX Code: CXZ

Connexion Telematics Ltd

www.connexionltd.com

For personal use only

1. WHERE CAN I GET FURTHER INFORMATION?
   If you have any questions concerning your shareholding or how the Facility will be administered, please contact the Company Secretary on telephone [phone], or by email to [e-mail]
2. IMPORTANT NOTES
   The Company reserves the right to change any of the dates referred to in this letter by notice to the ASX.
   The letter does not constitute advice nor a recommendation to buy, sell or hold shares nor that the Facility is the best way to sell CXZ shares.
   If you are in any doubt about what to do, you should consult your legal, financial or taxation adviser.
   NOTE:
   If you currently have more than one holding on the CXZ share register, you may wish to consider amalgamating them. This may result in your amalgamated holding no longer being a Less Than Marketable Parcel. Under these circumstances your shares will not be sold as part of this Facility.

About Connexion Telematics

Connexion Telematics Ltd is a developer and owner of Software as a Service (SaaS) solutions for the global Automotive industry, notably its proprietary OnTRAC and Connexion platforms. OnTRAC is used by General Motors (GM) to exclusively manage the largest Courtesy Transportation Program (CTP) in the US, whilst the Connexion platform is built with OEM-agnostic functionality.

Connexion continues to expand its proprietary SaaS solutions. With its software used by over 1 in 5 Franchised Light-Vehicle Dealerships in the US, Connexion holds a strong strategic position from which to grow its industry-leading B2B software platform.

ASX Code: CXZ

Connexion Telematics Ltd www.connexionltd.com