Simavita Announces Up to A$2.93 Million Financing Program

SYDNEY, AUSTRALIA--(Marketwired - May 3, 2017) - Simavita Limited (Simavita or the Company) (ASX:SVA) today announced a financing program of up to A$2.93 million split between a Placement to institutional and sophisticated investors for A$1.5million together with a Non-Renounceable Rights Issue of 1 new CDI for 7 existing CDI's held by holders which may raise up to a further A$1.43 million.

Commitments have now been received for a placement to raise A$1.5 million before expenses via a placement to institutional and sophisticated investors (Placement). The Placement represents the maximum capacity allowable under ASX Listing Rule 7.1.

As a result of excess demand from interested investors in the Placement, the Company also announced a partially underwritten 1 for 7 Non-Renounceable Rights Issue to raise up to approximately A$1.43 million (Entitlement Offer). This facility will enable all Simavita CDI holders to participate in the financing program.

Lodge Partners acted as Lead Manager, whilst Lodge Corporate Pty Ltd is acting as Underwriter to the Entitlement Offer. The Entitlement Offer is partially underwritten to an amount of A$700,000.

The funds from the Placement and Entitlement Offer will be used for working capital to achieve the Company's key objectives. In particular, Simavita will focus upon delivering its strategy of cheap, easy to use, continence sensor technology, particularly to mass markets in key geographies. Simavita will similarly aim to enter into partnership arrangements with large manufacturing firms to deliver this technology to market. The Company will continue to actively manage its cost structure and will reduce operating costs where possible.

Details of Placement

Pursuant to the terms of the Placement, the Company has agreed to issue 37,500,000 new CDIs in the Company at an issue price of A$0.04 per CDI to raise A$1.5m before costs. The CDIs will be placed to institutional and sophisticated investors. Settlement of the Placement will occur on 5 May 2017 and CDIs will be issued on 8 May 2017. CDI holder approval is not required as the Placement comes within the Company's existing capacity pursuant to ASX listing rule 7.1. All CDIs issued under the Placement will rank the same as existing CDIs on issue.

Entitlement Offer

In conjunction with the Placement, the Company has resolved to undertake an Entitlement Offer to eligible CDI holders to participate at the same price as the Placement. Existing CDI holders that have a registered address in Australia and New Zealand which are on the register as at the Record Date of 7.00 pm (Sydney time) on 8 May 2017 (Record Date) will be eligible to participate in the Entitlement Offer. The Entitlement Offer will allow eligible CDI holders to subscribe for 1 new CDI for every 7 CDIs held at the Record Date. If eligible CDI holders do not accept their full entitlement pursuant to the Entitlement Offer, there will be a shortfall under the Entitlement Offer. The shortfall will be placed pursuant to the terms of the Entitlement Offer booklet. Further information in relation to the Entitlement Offer, including the terms and conditions, are outlined in the Entitlement Offer booklet lodged with ASX today and which will be dispatched to eligible CDI holders on or around 11 May 2017.

Transaction Timetable*

Event		Date
Announcement of the Offer		Wednesday, 3 May 2017
Lodgement of cleansing Notice, Appendix 3B and Offer Document with ASX
Notice sent to Eligible CDI holders		Thursday, 4 May 2017
"Ex" date for the Offer (being the date that CDIs start trading without the Entitlements to participate in the Offer)		Friday, 5 May 2017
Record Date to determine Entitlements under the Offer		Monday, 8 May 2017
Opening Date of Offer		Thursday, 11 May 2017
Despatch of the Offer Document and Entitlement & Acceptance Form to Eligible CDI holders
Closing Date for acceptances under the Offer		5.00pm (AEST) on Monday, 22 May 2017
New CDIs quoted on a deferred settlement basis		Tuesday, 23 May 2017
ASX notified of under subscriptions under the Offer		Thursday, 25 May 2017
Issue of the New CDIs (Deferred settlement trading of New CDIs ends)		Monday, 29 May 2017
Trading of New CDIs expected to commence		Tuesday, 30 May 2017

* The above dates are indicative only and subject to change. The Company reserves the right, subject to the Corporations Act and the Listing Rules, to extend the Closing Date or to withdraw the Offer at any time without prior notice, in which case all Application Monies will be refunded (without interest) as soon as practicable. Any extension of the Closing Date will have a consequential effect on the issue date of New CDIs.

For further information, please check our website (www.simavita.com).

About Simavita

Simavita (ASX:SVA) develops and markets advanced systems associated with smart, wearable and disposable sensors for the health care industry. Our first products focus on major unmet needs for the assessment and management of incontinence. The annual global economic burden is billions of dollars for incontinence diapers alone and is increasing rapidly.

Simavita operates in Australia, Europe and North America where there is a significant and growing demand for products that deliver real clinical and cost benefits to the health care industry.

With the support of our shareholders, customers and employees, Simavita is absolutely committed to the business at hand; creating a commercially successful and growing corporation. www.simavita.com

Forward-Looking Information

This document may contain "forward-looking information" within the meaning of Canadian securities laws ("forward-looking information"). This forward-looking information is given as of the date of this document.

Forward-looking information relates to future events or future performance and reflects Simavita management's expectations or beliefs regarding future events. Assumptions upon which such forward-looking information is based include that Simavita will be able to successfully execute on its business plans, including licensing agreements, signing new customers, growth plans, cost reductions and entry into new markets. Many of these assumptions are based on factors and events that are not within the control of Simavita and there is no assurance they will prove to be correct.