MelodyVR : Corporate Governance

The Board of Directors of MelodyVR Group PLC are committed to developing and applying high standards of corporate governance appropriate to the Company's size and stage of development. The Board of Directors has adopted the QCA Code as devised by the Quoted Companies Alliance. MelodyVR Group PLC's corporate governance is under review in conjunction with the proposed acquisition of Rhapsody Inc (trading as Napster). Further information will be released in due course and the website will be updated alongside this.

The Quoted Companies Alliance is the independent membership organisation that champions the interests of small to mid-size quoted companies. The QCA Code takes key elements of good governance and applies them in a manner which is workable for the different needs of growing companies.

A revised version of the QCA Code (the "Revised Code") was published in April 2018, based on the 'comply or explain' principle.

The QCA Code is constructed around ten broad principles (accompanied by an explanation of what these principles entail, under 'application') and a set of disclosures. The Code states what is considered to be appropriate arrangements for growing companies and asks companies to provide an explanation about how they are meeting the principles through the prescribed disclosures.

The table below sets out the principles, the application recommended by the QCA code. It then sets out how MelodyVR Group complies with the requirements and if there are any departures from the code, providing links to appropriate disclosures where applicable. These are based upon the recommended disclosures provided in the QCA code.

These disclosures were last reviewed on the 15 October 2020.

QCA PRINCIPLE

APPLICATION

HOW MELODYVR GROUP COMPLIES

DEPARTURES AND REASONS

LINKS

DELIVER GROWTH

1. Establish a	The board must be able to express a
strategy and	shared view of the company's
business model	purpose, business model and
which promote	strategy. It should go beyond the
long-term value	simple description of products and
for shareholders	corporate structures and set out
	how the company intends to deliver
	shareholder value in the medium to
	long-term. It should demonstrate
	that the delivery of long-term
	growth is underpinned by a clear set
	of values aimed at protecting the
	company from unnecessary risk and
	securing its long-term future.

The Board of Directors has clearly set	None	Annual Report pg. 3-4
out the vision for MelodyVR Group PLC
for the medium to long term
communicating this with stakeholders
through regulatory announcements as
well as interim and annual financial
reports.
The Board of Directors meet on a
regular basis to discuss the strategic
direction of the Company and progress
in achieving against its aims.
MelodyVR Group PLC provides detailed
disclosure on the Company's business
model and strategy in the Annual
Report and regulatory announcements.
Strategic objectives and risks are
disclosed here as well.

2. Seek to	Directors must develop a good
understand and	understanding of the needs and
meet shareholder	expectations of all elements of the
needs and	company's shareholder base. The
expectations	board must manage shareholders'
	expectations and should seek to
	understand the motivations behind
	shareholder voting decisions.

MelodyVR Group PLC has a Board of Directors with experience in understanding the needs and expectations of its shareholder base. It supplements this board by inviting experienced advisors to Board meetings and discussions as well as consulting professional advisers in the form of NOMAD and Broker, and Auditor who provide advice and recommendations in various areas of its communications with shareholders.

MelodyVR Group PLC engages with shareholders in the following way:

• The Company website has been designed as an information hub providing up to date information to shareholders. The website is reviewed on a regular basis to ensure the information is up to date, relevant and contains copies of all Company communications and public documents.
• The Company provides regular updates to the market via the Regulatory News Service.

The Company does not currently have a dedicated investor relations role nor corporate PR firm. The Board feels that this is appropriate given the size and stage of development of the Company.

Contact details: https://melodyvr.group/conta ct/

Copies of the Company's annual report:

Annual Report

Copies of regulatory announcements: https://melodyvr.group/news

/

• The Company's Annual Report provides the required information with regard to historical performance, strategy and objectives of the Company.
• An Annual General Meeting is held to which all shareholders are invited and may engage with the Board of Directors.
• The Executive management team meet with shareholders regularly to discuss the Company's performance and business model and strategy and feedback from these meetings is reported to the Board.
• Contact details for the Company are provided on the Company website along with public documents.