Complii FinTech Solutions Ltd Annual Report 2018

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FY2018 Annual Report · Complii FinTech Solutions Ltd

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ANNUAL REPORT
30 June 2018

INTIGER GROUP LIMITED
AND CONTROLLED ENTITIES
ABN 71 098 238 585

Corporate directory

Current Directors

Mark Fisher

Patrick Canion

Tony Chong

Company Secretary

Stephen Buckley

Executive Director

Non-executive Chairman

Non-executive Director

Registered Office

Street:

Barringtons House

283 Rokeby Road

SUBIACO WA 6008

Share Registry

Automic

Street:

Level 2, 267 St Georges Terrace

PERTH WA 6000

Postal:

PO Box 52

Postal:

PO Box 2226

WEST PERTH WA 6872

STRAWBERRY HILLS NSW 2012

Telephone:

+61 (0)8 6141 3500

Facsimile:

+61 (0)8 9481 1947

Email:

info@wolfstargroup.com.au

Website:

www.intigergrouplimited.com.au

Auditors

HLB Mann Judd (Vic Partnership)

Level 9, 575 Bourke Street

MELBOURNE VIC 3000

Telephone:

+61 (0)3 9606 3888

Facsimile:

Website:

+61 (0)3 9606 3800

www.hlb.com.au

Telephone:

1300 288 664 or +61 2 9698 5414

Website:

www.automic.com.au

Solicitors to the Company

Squire Patton Boggs

Level 21, 300 Murray Street

Perth WA 6000

Securities Exchange

Australian Securities Exchange

Level 40, Central Park, 152-158 St Georges Terrace
Perth WA 6000
Telephone:
Telephone:

131 ASX (131 279) (within Australia)
+61 (0)2 9338 0000

Facsimile:

Website:

ASX Code

+61 (0)2 9227 0885

www.asx.com.au

IAM

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ANNUAL REPORT
30 June 2018

Contents

INTIGER GROUP LIMITED
AND CONTROLLED ENTITIES
ABN 71 098 238 585

Operations review ................................................................................................................................................................. 1

Directors' report .................................................................................................................................................................... 2

Remuneration report ............................................................................................................................................................. 7

Auditor's independence declaration .................................................................................................................................... 14

Consolidated statement of profit or loss and other comprehensive income ...................................................................... 15

Consolidated statement of financial position ..................................................................................................................... 16

Consolidated statement of changes in equity ..................................................................................................................... 17

Consolidated statement of cash flows ................................................................................................................................. 18

Notes to the consolidated financial statements .................................................................................................................. 19

Directors' declaration .......................................................................................................................................................... 49

Independent auditor's report .............................................................................................................................................. 50

Corporate governance statement ........................................................................................................................................ 55

Additional Information for Listed Public Companies ........................................................................................................... 63

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INTIGER GROUP LIMITED
AND CONTROLLED ENTITIES
ABN 71 098 238 585

Operations review

ANNUAL REPORT
30 June 2018

Intiger Group Limited (ASX: IAM) (Intiger or the Company), is pleased to present its full year results for the year ending 30 June
2018 (FY18).

During the full year ending 30 June 2018, The Company successfully completed the following operation and financial activities:

On 31 July 2017, Intiger announced the launch of ‘BOOM’, an industry leading Back Office Online Management Portal, to
aggressively reduce the cost & improve the efficiency of core administrative and paraplanning processes for the financial planning
profession. Created in response to overwhelming industry demand fuelled by the crippling time and cost of compliance,
paraplanning and administration that practice owners face, BOOM is designed and developed to deliver profession-changing cost
reductions and profit growth to financial planning practice owners. Intiger Group Limited informed the market on 24 November
2017 of its progress in the development of BOOM2, its latest generation of back office management software. The software,
created by the Company and currently under development, will increase the range of tasks and Statements of Advice that are
delivered to our customers using software robotics1 (robotics) and including a component of Artificial Intelligence2 (AI).

BOOM2 will advance the Company’s value proposition by:

Enabling financial planners to spend more time with clients.

Significantly reducing administrative and processing costs for our customers.

Increase margins for the Company.

Providing greater leverage for the Company by reducing reliance on human resources.

BOOM2 is an integration of previous Intiger software products LiLLY, KLiP & BOOM and has been developed with input from the
financial planning industry.

On 2 February 2018, the Company announced that it had entered into pilot agreements with three financial planning licensees
(collectively ‘The Licensees’):

1. Commonwealth Financial Planning Limited

2. Financial Wisdom Limited

3. Count Financial Limited

These agreements pertain to each of these companies conducting a pilot program trialling the provision of Intiger’s services.
Subsequent agreements may be entered into between the parties as the pilot program develops and the parties agree to
progress.

On 7 February 2018, the Company confirmed that core functionality of BOOM2 is complete with testing currently being
undertaken by Licensees and Practices nationally.

On 28 March 2018, the Company announced the appointment of Mr George Jaja to the role of Global Head of Productivity &
Optimisation. Mr Jaja has circa 15 years wealth management experience and has held pivotal management and advisory roles
across the industries most respected tier 1 institutions.

On 31 May 2018, the Company announced a temporary restructure of Management of the Company with Mr Mark Fisher having
to step aside for a period of several months whilst he recovers from surgery. Mark Fisher continues on as an Executive Director
though he is not performing any operational duties.

The Board of Directors would like to thank all investors for their continued support of Intiger, and express their optimism that
the business is well-positioned to reward investors’ faith in the year ahead.

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ANNUAL REPORT
30 June 2018

Directors' report

INTIGER GROUP LIMITED
AND CONTROLLED ENTITIES
ABN 71 098 238 585

Your directors present their report on the consolidated entity, consisting of Intiger Group Limited (Intiger or the Company) and
its controlled entities (collectively the Group), for the financial year ended 30 June 2018.

Intiger is listed on the Australian Securities Exchange.

1. Directors
The names of Directors in office at any time during or since the end of the year are:

Mr Mark Fisher
Mr Patrick Canion
Mr Tony Chong
Mr Mathew Walker

Executive Director

Non-executive Chairman

Non-executive Director (Appointed 7 August 2017)

Non-executive Director (Resigned 7 August 2017)

Directors have been in office since the start of the financial year to the date of this report unless otherwise stated. For additional
information of Directors including details of the qualifications of Directors please refer to paragraph 6 Information relating to the
directors of this Directors Report.

Company Secretary

2.
The following person held the position of Company Secretary at the end of the financial year:

Mr Stephen Buckley

Appointed 4 April 2018

Qualifications

Experience



GAICD



Mr Buckley has more than 35 years’ experience in financial markets having worked in both
Australia and New Zealand. He is a Graduate of the Australian Institute of Company Directors
and is the Managing Director of a company which specialises in providing company
secretarial, corporate governance and corporate advisory

3. Dividends paid or recommended
There were no dividends paid or recommended during the financial year ended 30 June 2018.

Significant Changes in the state of affairs

4.
There were no significant changes to the state of affairs of the Group.

5. Operating and financial review

5.1. Nature of Operations Principal Activities

Intiger operates an Australian software development house dedicated to supporting professional Financial Planners to
meet the needs of their clients. This is done through reducing back office and operational costs. Intiger has developed and
launched proprietary software platform BOOM2, which has been designed to digitalise and automate care components of
the financial planning process including the production of automated statements of advice. BOOM2 also tracks key
performance indicators of a financial planning practice and delivers oversight and control to both licensees and financial
planning practices nationally.

5.2. Operations Review (refer Operations review of page 1)

5.3. Financial Review

Operating results

a.
For the 2018 financial year the Group delivered a loss before tax of $3,687,035 (2017: $4,355,291 loss), representing an
impact in financial performance.

The financial statements have been prepared on a going concern basis, which contemplates the continuity of normal
business activity and the realisation of assets and the settlement of liabilities in the ordinary course of business. Details of
the Company's assessment in this regard can be found in Note 1a.ii Statement of significant accounting policies: Going
Concern on page 19.

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INTIGER GROUP LIMITED
AND CONTROLLED ENTITIES
ABN 71 098 238 585

Directors' report

Financial position

ANNUAL REPORT
30 June 2018

The net assets of the Group have decreased from 30 June 2018 by $1,033,845 to $2,564,199 at 30 June 2018 (2017:
$3,598,044).

As at 30 June 2018, the Group's cash and cash equivalents decreased from 30 June 2017 by $959,617 to $1,078,563 at 30
June 2018 (2017: $2,038,180) and had working capital of $579,848 (2017: $1,662,394 working capital), as noted in Note
18d.

5.4. Events Subsequent to Reporting Date

There are no other significant after balance date events that are not covered in this Directors' Report or within the financial
statements at Note 28 Events subsequent to reporting date.

5.5. Future Developments, Prospects and Business Strategies

Likely developments, future prospects and business strategies of the operations of the Group and the expected results of
those operations have not been included in this report as the Directors believe that the inclusion of such information would
be likely to result in unreasonable prejudice to the Group.

5.6. Environmental Regulations

The Group's operations are not subject to significant environmental regulations in the jurisdictions it operates in, namely
Australia.

The Directors have considered the enacted National Greenhouse and Energy Reporting Act 2007 (the NGER Act) which
introduced a single national reporting framework for the reporting and dissemination of information about the greenhouse
gas emissions, greenhouse gas projects, and energy use and production of corporations. At the current stage of
development, the Directors have determined that the NGER Act has no effect on the Company for the current, nor
subsequent, financial year. The Directors will reassess this position as and when the need arises.

Information relating to the directors

Mr Mark Fisher



Executive Director

Experience and
qualifications



For the last twenty years Mark has worked globally in senior executive roles for the world’s
most respected Tier 1 investment, retail and commercial banking and management consulting
firms, including Barclays International Retail and Commercial Bank, Lloyds of London, HSBC
Merchant and Capital Markets, GE Capital Bank Europe, Barclays Capital Investment Bank,
Nationwide Bank UK, Navigant Consulting Europe, Cembra Money Bank Switzerland and
Budapest Bank Hungary.

Specialising in large scale global change programs, offshore processing, cost reduction
strategies and institutional restructuring, Mark has lived and worked in a variety of global
locations including the US, UK, Switzerland, Nigeria, Spain, France, Portugal, Italy, France,
Ecuador, Colombia, India, Philippines, Latvia, Romania, Poland and Hungary.

In 1999 Mark was Program Lead under Jack Welch at GE Capital Bank USA. At the time, Mr
Welch made one of the first attempts by any Western commercial institution to transfer white
good/administrative processes offshore.

Interest in Shares and
Options



220,000,000 Class A Performance Shares
220,000,000 Class B Performance Shares
15,000,000 Options

Directorships held in
other listed entities



None

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ANNUAL REPORT
30 June 2018

Directors' report

Mr Patrick Canion



Non-executive Chairman

INTIGER GROUP LIMITED
AND CONTROLLED ENTITIES
ABN 71 098 238 585

Qualifications

Experience



MAppFin, CFP, GAICD, FFPA
Patrick has over 30 years’ experience in financial services and is nationally recognised in the
media and financial services for his leadership and innovation in financial planning. He is a
Certified Financial Planner and holds a Masters of Applied Finance and Investment. He is also
a Fellow of the Financial Services Institute of Western Australia and a Graduate member of the
Australian Institute of Company Directors.

Patrick is a Fellow of the Financial Planning Association and was recently presented with their
Distinguished Service Award. Patrick is also a former director of the Financial Planning
Association Ltd and past-President of the Western Australian Club Inc. Currently his
directorships include being a director/trustee of the Future 2 Foundation Ltd and director of
Pajoda Investments Pty Ltd.

Interest in Shares and
Options



1,455,215 Ordinary Shares
17,500,000 Options

Directorships held in
other listed entities



None

Mr Tony Chong



Non-executive Director (Appointed 7 August 2017)

Qualifications

Experience



LLB(Hons), BCom, MTax



Tony Chong is a partner of Squire Patton Boggs. As a corporate and tax law specialist (with CPA
and Tax Institute accreditation), Tony focuses on mid-market corporate advisory and mergers
and acquisitions. He has specialist knowledge in corporate, tax and fund structures, foreign
investment issues particularly from Asia (including FIRB) and regularly advises clients on funds
establishment and management particularly in the technology, agriculture and property
sectors. Tony provides advice in the technology sector including crowd funding and the
regulatory framework concerning cryptocurrencies. He also advises on AFSL and regulatory
matters relating to the financial services sector.

Previously, Tony spent a number of years as Group Counsel at the Griffin Group, a diversified
conglomerate with more than AU$3 billion in assets internationally.

Since returning to private practice, he has undertaken a range of leadership roles, including as
group lead of a corporate team and head of an Asia desk. Tony also holds a number of non-
executive board positions.

A recognised mentor to ethnic leaders, Tony has been an active participant in the WA State
Government’s Diversification of Boards program and is the Vice President of the WA Chinese
Chamber of Commerce.

Interest in Shares and
Options



Nil

Directorships held in other
listed entities

Mr Mathew Walker

Qualifications

Experience



Former Chairman of TV2U International Limited (2016)



Non-executive Director (Resigned 7 August 2017)
B Bus

Mathew is a businessman and entrepreneur with extensive experience in the management of
public and private companies, corporate governance and in the provision of corporate advice.
In a management career spanning three decades, Mathew has served as executive Chairman or
Managing Director for public companies with operations in North America, South America,
Africa, Eastern Europe, Australia and Asia.

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INTIGER GROUP LIMITED
AND CONTROLLED ENTITIES
ABN 71 098 238 585

Directors' report

ANNUAL REPORT
30 June 2018

For twenty-five years Mathew has served as Managing Director of his family livestock business,
which was sold in part to Australia’s largest beef cattle producer the Australian Agricultural
Company Limited (ASX:AAC) in 2006, described by AAC at the time as “the world’s largest and
most credentialed full blood herd outside of Japan and is viewed as Australia’s premier Wagyu
Business”. He remains active in the agricultural industry, with extensive family beef cattle
interests in both New South Wales and Western Australia, is one of Western Australia’s leading
grain producers and a known industry advocate for animal welfare.

Mathew holds a Bachelor of Business from the University of Technology, Sydney, and is an
Economic Development Ambassador for World Vision Australia.

Interest in Shares and
Options



105,000,000 Ordinary Shares (at date of resignation)
20,000,000 Options (at date of resignation)

7. Meetings of directors and committees
During the financial year four meetings of Directors (including committees of Directors) were held. Attendances by each Director
during the year are stated in the following table.

DIRECTORS'
MEETINGS

REMUNERATION AND
NOMINATION COMMITTEE

FINANCE AND OPERATIONS
COMMITTEE

AUDIT
COMMITTEE

Number
eligible to
attend

Number
Attended

Number
eligible to
attend

Number
Attended

Number
eligible to
attend

Number
Attended

Number
eligible to
attend

Number
Attended

Mark Fisher

Patrick Canion

Tony Chong

Mathew Walker

Indemnifying officers or auditor

8.1.

Indemnification

At the date of this report, the Remuneration, Audit, Nomination, and Finance and
Operations Committees comprise the full Board of Directors. The Directors believe
the Company is not currently of a size nor are its affairs of such complexity as to
warrant the establishment of these separate committees. Accordingly, all matters
capable of delegation to such committees are considered by the full Board of
Directors.

The Company has entered an Indemnity, Insurance and Access Deed with each Director. Pursuant to the Deed:

The Director is indemnified by the Company against any liability incurred in that capacity as an officer of the
Company to the maximum extent permitted by law subject to certain exclusions.

The Company must keep a complete set of company documents until the later of:

a. The date which is seven years after the Director ceases to be an officer of the Company; and

b. The date after a final judgment or order has been made in relation to any hearing, conference, dispute, enquiry or
investigation in which the Director is involved as a party, witness or otherwise because the Director is or was an officer
of the Company (Relevant Proceedings).

The Director has the right to inspect and copy a Company document in connection with any relevant proceedings during
the period referred to above.

Subject to the next sentence, the Company must maintain an insurance policy insuring the Director against liability as a
director and officer of the Company while the Director is an officer of the Company and until the later of:
a.
b.

The date any Relevant Proceedings commenced before the date referred to above have been finally resolved.

The date which is seven years after the Director ceases to be an officer of the Company; and

The Company may cease to maintain the insurance policy if the Company reasonably determines that the type of coverage
is no longer available.

The Company has not entered into any agreement with its current auditors indemnifying them against any claims by third
parties arising from their report on the financial report.

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ANNUAL REPORT
30 June 2018

Directors' report

INTIGER GROUP LIMITED
AND CONTROLLED ENTITIES
ABN 71 098 238 585

8.2.

Insurance premiums
During the year the Company paid insurance premiums to insure directors and officers against certain liabilities arising out
of their conduct while acting as an officer of the Group. In accordance with the policy, the amount of premium cannot be
disclosed.

9. Options

9.1. Unissued shares under option

At the date of this report, the un-issued ordinary shares of Intiger Group Limited under option (listed and unlisted) are as
follows:

Grant Date

Date of Expiry

Exercise Price

31 August 2016

30 June 2020

21 April 2017

30 June 2020

22 June 2018

30 June 2020

22 August 2018

31 October 2020

$0.020

$0.025

$0.015

Number under
Option

100,000,000

40,000,000

55,000,000

105,000,000

300,000,000

No person entitled to exercise the option has or has any right by virtue of the option to participate in any share issue of any
other body corporate.

9.2. Shares issued on exercise of options

260,275,421 ordinary shares were issued by the Company as a result of the exercise of options during the financial year
but there have been no exercises since the end of the financial year.

10. Non-audit services
During the year, HLB Mann Judd, the Company’s auditor, did not perform any services other than their statutory audits (2017:
$nil). Details of remuneration paid to the auditor can be found within the financial statements at Note 6 Auditor's Remuneration.

In the event that non-audit services are provided by Bentleys, the Board has established certain procedures to ensure that the
provision of non-audit services are compatible with, and do not compromise, the auditor independence requirements of the
Corporations Act 2001. These procedures include:

non-audit services will be subject to the corporate governance procedures adopted by the Company and will be reviewed

by the Board to ensure they do not impact the integrity and objectivity of the auditor; and

ensuring non-audit services do not involve reviewing or auditing the auditor's own work, acting in a management or
decision-making capacity for the Company, acting as an advocate for the Company or jointly sharing risks and rewards.

11. Proceedings on behalf of company
No person has applied for leave of Court to bring proceedings on behalf of the Company or intervene in any proceedings to which
the Company is a party for the purpose of taking responsibility on behalf of the Company for all or any part of those proceedings.

The Company was not a party to any such proceedings during the year.

12. Auditor's independence declaration
The lead auditor's independence declaration under section 307C of the Corporations Act 2001 (Cth) for the year ended
30 June 2018 has been received and can be found on page 14 of the annual report.

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INTIGER GROUP LIMITED
AND CONTROLLED ENTITIES
ABN 71 098 238 585

Directors' Report

13. Remuneration report (audited)

ANNUAL REPORT
30 June 2018

The information in this remuneration report has been audited as required by s308(3C) of the Corporations Act 2001.

13.1. Key management personnel (KMP)

KMP have authority and responsibility for planning, directing and controlling the activities of the Group. KMP comprise the
directors of the Company and key executive personnel:

Mr Mark Fisher
Mr Patrick Canion
Mr Tony Chong
Mr Mathew Walker

Executive Director

Non-executive Chairman

Non-executive Director (Appointed 7 August 2017)

Non-executive Director (Resigned 7 August 2017)

13.2. Principles used to determine the nature and amount of remuneration

The remuneration policy of the Company has been designed to ensure reward for performance is competitive and
appropriate to the result delivered. The framework aligns executive reward with the creation of value for shareholders,
and conforms to market best practice. The Board ensures that Director and executive reward satisfies the following key
criteria for good reward government practices:

Competitiveness and reasonableness;
Acceptability to the shareholder;
Performance;
Transparency; and
Capital management.

The remuneration policy has been tailored to increase the direct positive relationship between shareholders' investment
objectives and Directors' and Executives' performance. Currently, this is facilitated through the issues of options to the
majority of Directors and Executives to encourage the alignment of personal and shareholder interests. The Company
believes this policy will be effective in increasing shareholder wealth. The Board's policy for determining the nature and
amount of remuneration for Board members and Senior Executive of the Company is as follows:

a. Executive Directors and other Senior Executives

The Company’s remuneration policy for executive directors and senior management is designed to promote superior
performance and long-term commitment to the Company. Executives receive a base remuneration which is market
related and may receive performance-based remuneration. The Board reviews Executive packages annually by
reference to the Company's performance, executive performance, and comparable information from industry sectors
and other listed companies in similar industries. Executives are also entitled to participate in employee share and option
schemes.

b. Non-Executive Directors

The Company's Constitution provides that Directors are entitled to be remunerated for their services as follows:
 The total aggregate fixed sum per annum to be paid to the Directors (excluding salaries of executive Directors) from
time to time will not exceed the sum determined by the Shareholders in general meeting and the total aggregate
fixed sum will be divided between the Directors as the Directors shall determine and, in default of agreement
between them, then in equal shares.

 The Directors' remuneration accrues from day to day.
 The total aggregate fixed sum per annum which may be paid to non-executive Directors is $300,000. This amount

cannot be increased without the approval of the Company's Shareholders.

The Directors are entitled to be paid reasonable travelling, accommodation and other expenses incurred by them
respectively in or about the performance of their duties as Directors.

c. Fixed Remuneration

Other than statutory superannuation contribution, no retirement benefits are provided for Executive and Non-Executive
Directors of the Company. To align Directors' interests with shareholder interests, the Directors are encouraged to hold
shares in the company.

d. Performance Based Remuneration – Short-term and long-term incentive structure

The Board will review short-term and long-term incentive structures from time to time. Any incentive structure will be
aligned with shareholders' interests

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ANNUAL REPORT
30 June 2018

Directors' Report

13. Remuneration report (audited)

 Short-term incentives

INTIGER GROUP LIMITED
AND CONTROLLED ENTITIES
ABN 71 098 238 585

No short-term incentives in the form of cash bonuses were granted during the year.

 Long-term incentives

The Board has a policy of granting incentive options to executives with exercise prices above market share price.
As such, incentive options granted to executives will generally only be of benefit if the executives perform to the
level whereby the value of the Group increases sufficiently to warrant exercising the incentive options granted.

The executive Directors will be eligible to participate in any short term and long-term incentive arrangements operated
or introduced by the Company (or any subsidiary) from time to time.

e. Service Contracts

In accordance with the re-compliance prospectus for the purposes of satisfying Chapter 1 and 2 of the ASX Listing Rules
and to satisfy ASX requirements for re-listing following a change to the nature and scale of the Company’s activities, the
Company entered into an executive services agreement with Mark Fisher, pursuant to which Mr Fisher is engaged as
Executive Director of the Company from the date of settlement.

Remuneration and other terms of employment for the directors, KMP and the company secretary are formalised in
contracts of employment.

f. Engagement of Remuneration Consultants

During the financial year, the Company did not engage any remuneration consultants.

g. Relationship between Remuneration of KMP and Earnings

In considering the Group’s performance and benefits for shareholders wealth, the Board has regard to the following indices
in respect of the current financial year and the previous four financial years:

As at 30 June

Profit/(Loss) per share (cents)

Share price ($)

2018

(0.29)

0.016

2017

(0.40)

0.042

2016

(0.22)

0.026

2015

(0.26)

0.007

2014

(0.26)

0.007

13.3. Directors and KMP remuneration

Details of the remuneration of the Directors and KMP of the Group (as defined in AASB 124 Related Party Disclosures) are
set out in the following table.

2018 – Group

Group KMP

Mark Fisher

Patrick Canion

Tony Chong(1)

Mathew Walker(2)

Short-term benefits

Salary, fees
and leave
$

228,125

54,795

35,833

5,000

323,753

Profit share
and bonuses

Non-
monetary
$

Post-
employment
benefits
Super-
annuation
$

19,000

5,205

1,187

25,392

Other

Long-term
benefits

Termination
benefits

Equity-settled share-
based payments

Total

Other

Equity

Options

247,125

60,000

37,020

5,000

349,145

(1)
(2)

Appointed 7 August 2017
Resigned 7 August 2017

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INTIGER GROUP LIMITED
AND CONTROLLED ENTITIES
ABN 71 098 238 585

Directors' report

13. Remuneration report (audited)

ANNUAL REPORT
30 June 2018

Short-term benefits

Profit share
and bonuses

Non-
monetary
$

Post-
employment
benefits
Super-
annuation
$

4,772

5,965

10,737

Other

Long-term
benefits

Termination
benefits

Equity-settled share-
based payments

Total

Other

Equity

Options

251,042

55,000

68,750

180,000

5,000

564,792

2017 – Group

Group KMP

Mark Fisher

Patrick Canion

Mark Rantall (1)

Salary, fees
and leave
$

251,042

50,228

62,785

Mathew Walker(2)

180,000

Sonu Cheema (3)

Loren King (3)

5,000

554,055

(1)
(2)
(3)

Resigned 7 April 2017
Resigned 7 August 2017
Resigned 17 August 2016

13.4. Service Agreements

a. Executive Services Agreement (ESA) with Mr Mark Fisher

The Company has entered into an executive services agreement with Mark Fisher, pursuant to which Mr Fisher will be
engaged as Managing Director of the Company on and from the date of Settlement occurred under the ESA.

The principal terms of the ESA are as follows:

Initial term of 3 years commencing on the date of settlement.

Salary of $250,000 per annum plus superannuation which will be reviewed annually by the Company in accordance

with the policy of the Company for the annual review of salaries.

The Company will reimburse Mr Fisher for all reasonable travelling, accommodation and general expenses incurred

in the performance of his duties.

b. Non-Executive Chairman appointment letter with Mr Patrick Canion

The Company has entered into a Non-Executive Director letter agreement with Mr Patrick Canion. The Company has agreed
to pay Mr Patrick Canion a director fee of $60,000 including superannuation per year for services provided to the Company
as Non-Executive Chairman.

c. Non-executive Director appointment letter with Mr Tony Chong

The Company has entered into a Non-Executive Director letter agreement with Mr Tony Chong on 2 August 2017. The
Company has agreed to pay Mr Tong Chong a director fee of $40,000 including superannuation per year for services
provided to the Company as Non-Executive Director.

d. Non-executive Director - Mr Mathew Walker

The Company had previously appointed Mr Walker as a Non-Executive Director and has agreed to pay a director fee of
$60,000 per year for services provided to the Company as Non-Executive Director. The agreement terminated when Mr
Mathew Walker resigned on 7 August 2017.

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ANNUAL REPORT
30 June 2018

Directors' report

13. Remuneration report (audited)

13.5. Share-based compensation

INTIGER GROUP LIMITED
AND CONTROLLED ENTITIES
ABN 71 098 238 585

No options were granted to the Directors during the year ended 30 June 2018 as part of their remuneration.

There were no equity instruments issued during the year to Directors as a result of options exercised that had previously
been granted as compensation.

a. Securities Received that are not performance-related

No members of KMP are entitled to receive securities that are not performance-based as part of their remuneration package.

b. Options and Rights Granted as Remuneration

No options or rights were granted as remuneration during 2018 (2017: nil).

13.6. KMP equity holdings

a. Fully paid ordinary shares of Intiger Group Limited held by each KMP

2018 – Group

Group KMP

Mark Fisher

Patrick Canion

Tony Chong(1)

Balance at
start of year
No.

Received during
the year as
compensation
No.

Received during
the year on
the exercise of
options
No.

Received during
the year on
conversion of
performance
shares
No.

Other changes/
resignation
during the year

No.(3)

(105,000,000)

1,455,215

Balance at
end of year
No.

1,455,215

Mathew Walker(2)

105,000,000

106,455,215

(1) Appointed 7 August 2017

(2) Resigned 7 August 2017

(3) Other changes during the year relate to acquisitions and disposals for Directors and their related parties.

2017 – Group

Group KMP

Mark Fisher

Patrick Canion

Mark Rantall(1)

Mathew Walker(2)

Sonu Cheema(2)

Loren King(2)

Balance at
start of year
No.

105,000,000

2,000,000

107,000,000

Held at the
date of
reverse
acquisition
No.

Received during
the year as
compensation
No.

Received during
the year on
the exercise of
options
No.

Other changes/
resignation
during the year

No.(3)

Balance at
end of year
No.

1,455,215

105,000,000

(2,000,000)

(544,785)

106,455,215

(1) Resigned 7 April 2017

(2) Resigned 17 August 2016

(3) Other changes during the year relate to acquisitions and disposals for Directors and their related parties.

P a g e | 10

INTIGER GROUP LIMITED
AND CONTROLLED ENTITIES
ABN 71 098 238 585

Directors' report

13. Remuneration report (audited)

ANNUAL REPORT
30 June 2018

b. Performance shares in Intiger Group Limited held by each KMP

2018 – Group

Group KMP

Balance at
start of year
No.

Granted as
Remuneration
during the year
No.

Converted
during the year
No.

Other changes
during the year
No.

Balance at
end of year
No.

Vested and
convertible
No.

Mark Fisher (3)

440,000,000

Patrick Canion

Tony Chong (1)

Mathew Walker (2)

440,000,000

(1)

(2)

Appointed 7 August 2017
Resigned 7 August 2017

440,000,000

(3) Mr Fisher’s Performance Shares comprise the following: 220,000,000 Class A and 220,000,000 Class B

2017 – Group

Group KMP

Mark Fisher (3)

Patrick Canion

Tony Chong

Mark Rantall (1)

Mathew Walker

Sonu Cheema (2)

Loren King (2)

Balance at
start of year
No.

Granted as
Remuneration
during the year
No.

Converted
during the year
No.

Other changes
during the year
No.

Balance at
end of year
No.

Vested and
convertible
No.

440,000,000

(1)

(2)

Resigned 7 April 2017
Resigned 17 August 2016

(3) Mr Fisher’s Performance Shares comprise the following: 220,000,000 Class A and 220,000,000 Class B

c. Options in Intiger Group Limited held by each KMP

Not Vested
No.

440,000,000

Not Vested
No.

440,000,000

2018 – Group

Group KMP

Mark Fisher

Patrick Canion

Tony Chong (1)

Balance at
start of year
No.

15,000,000

17,500,000

Mathew Walker (2)

20,000,000

52,500,000

(1)

(2)

Appointed 7 August 2017

Resigned 7 August 2017

Granted as
Remuneration
during the year
No.

Exercised
during the year
No.

Other changes/
resignation
during the year
No.

Balance at
end of year
No.

15,000,000

17,500,000

(20,000,000)

32,500,000

Vested and
Exercisable
No.

Not Vested
No.

15,000,000

17,500,000

32,500,000

P a g e | 11

ANNUAL REPORT
30 June 2018

Directors' report

13. Remuneration report (audited)

INTIGER GROUP LIMITED
AND CONTROLLED ENTITIES
ABN 71 098 238 585

2017 – Group

Group KMP

Mark Fisher

Patrick Canion

Tony Chong

Mark Rantall (1)

Mathew Walker

20,000,000

Sonu Cheema (2)

Loren King (2)

20,000,000

Balance at
start of year
No.

Granted as
Remuneration
during the year
No.

Exercised
during the year
No.

Other changes
during the year

No. (3)

Balance at
end of year
No.

Vested and
Exercisable
No.

15,000,000

17,500,000

20,000,000

Not Vested
No.

15,000,000

17,500,000

32,500,000

52,500,000

20,000,000

32,500,000

(1) Resigned 7 April 2017
(2) Resigned 17 August 2016
(3) Other changes during the year relate to acquisitions and disposals for Directors and their related parties.

13.7. Other Equity-related KMP Transactions

There have been no other transactions involving equity instruments other than those described in the tables above relating
to options, rights and shareholdings.

13.8. Other transactions with KMP and or their Related Parties

During the 2018 financial year, the Group incurred the following amounts to related parties:

Included in accruals are amounts payable to Mr Fisher in respect to accrued salary
package. Accrued salary is included in the Remuneration Report contained in the
Directors' Report on page 8.

Cicero Corporate Services Pty Ltd (Cicero), formerly an entity controlled by Mr
Walker, provided financial services and company secretarial services to Intiger
Group Limited. These services were provided indirectly by Mr Walker and were
therefore not included in the Remuneration Report contained in the Directors'
Report on page 8. Cicero ceased to be a related party in August 2017.

Lavan Legal (Lavan), a law firm where Mr Chong was a partner, provided general
legal services to the Group. These services were not provided by Mr Chong and
were therefore not included in the Remuneration Report contained in the
Directors' Report on page 8. Lavan ceased to be a related party in May 2017.
Squire Patton Boggs, a law firm where Mr Chong is a partner, provided general
legal services to the Group. These services were not provided by Mr Chong and
were therefore not included in the Remuneration Report contained in the
Directors' Report on page 8.

Refer also Note 23 Related party transactions.

END OF REMUNERATION REPORT

2018
$

2017
$

253,188

251,042

22,078

90,532

63,122

5,719

P a g e | 12

INTIGER GROUP LIMITED
AND CONTROLLED ENTITIES
ABN 71 098 238 585

Directors' report

ANNUAL REPORT
30 June 2018

This Report of the Directors, incorporating the Remuneration Report, is signed in accordance with a resolution of directors made
pursuant to s.298(2) of the Corporations Act 2001 (Cth).

PATRICK CANION

Chairman

Dated this Thursday, 27 September 2018

P a g e | 13

ANNUAL REPORT
30 June 2018

INTIGER GROUP LIMITED
AND CONTROLLED ENTITIES
ABN 71 098 238 585

Auditor's independence declaration
Under Section 307c Of The Corporations Act 2001 (Cth)
To The Directors Of Intiger Group Limited

I declare that, to the best of my knowledge and belief, during the year ended 30 June 2018 there have been:

i. No contraventions of the auditor independence requirements as set out in the Corporations Act 2001 in relation to the

audit; and

ii. No contraventions of any applicable code of professional conduct in relation to the audit.

TO BE PROVIDED BY AUDITORS

(insert date)

P a g e | 14

INTIGER GROUP LIMITED
AND CONTROLLED ENTITIES
ABN 71 098 238 585

ANNUAL REPORT
30 June 2018

Consolidated statement of profit or loss and other comprehensive income
for the year ended 30 June 2018

Continuing operations
Revenue

Other income

Compliance costs

Consulting fees

Debt-to-equity conversion

Depreciation and impairment

Employment costs

Finance costs

Impairment

Legal expenses

Occupancy costs

Professional fees

Other expenses

Loss before tax

Income tax expense

Net loss for the year

Note

2018
$

624,065

21,018

645,083

(69,530)

(82,927)

(489)

2017
$

472,281

16,420

488,701

(182,944)

(526,561)

(750,000)

(1,872,861)

(824,455)

(852)

(61,454)

(354,159)

(305,615)

(39,149)

(561,983)

(981,031)

(4,491)

(151,767)

(112,519)

(1,252,491)

(1,038,764)

(3,684,967)

(4,355,291)

(2,068)

(3,687,035)

(4,355,291)

Public relations, marketing and advertising

Net share-based payments expensed / (lapsed)

Other comprehensive income, net of income tax

Items that will not be reclassified subsequently to profit or loss

Items that may be reclassified subsequently to profit or loss

 Foreign currency movement gain/(loss)

Other comprehensive income for the year, net of tax

9,004

(18,872)

Total comprehensive income attributable to members of the parent entity

(3,678,031)

(4,374,163)

Loss for the period attributable to:

Non-controlling interest

Owners of the parent

Total comprehensive income attributable to:

Non-controlling interest

Owners of the parent

Earnings per share:

Basic and diluted loss per share (cents per share)

(3,687,035)

(4,355,291)

(3,678,031)

(4,374,163)

₵

(0.29)

₵

(0.40)

The consolidated statement of profit or loss and other comprehensive income is to be read in conjunction with the accompanying notes.

P a g e | 15

ANNUAL REPORT
30 June 2018

INTIGER GROUP LIMITED
AND CONTROLLED ENTITIES
ABN 71 098 238 585

Consolidated statement of financial position
as at 30 June 2018

Current assets
Cash and cash equivalents

Trade and other receivables

Other financial assets

Other current assets

Total current assets

Non-current assets
Trade and other receivables

Intangible assets

Property plant and equipment

Total non-current assets

Total assets

Current liabilities

Trade and other payables

Provisions

Total current liabilities

Total liabilities

Net assets

Equity

Issued capital

Reserves

Accumulated losses

Total equity

Note

2018
$

2017
$

1,078,563

2,038,180

120,529

49,848

89,239

39,297

1,248,940

2,166,716

47,253

1,935,650

1,448

1,984,351

1,935,650

3,233,291

4,102,366

606,249

62,843

669,092

489,463

14,859

504,322

669,092

504,322

2,564,199

3,598,044

18a

43,322,215

40,583,804

2,980,941

3,421,625

(43,738,957)

(40,407,385)

2,564,199

3,598,044

The consolidated statement of financial position is to be read in conjunction with the accompanying notes.

P a g e | 16

INTIGER GROUP LIMITED
AND CONTROLLED ENTITIES
ABN 71 098 238 585

Consolidated statement of changes in equity
for the year ended 30 June 2018

Note

ANNUAL REPORT
30 June 2018

Balance at 1 July 2016

39,803,481

1,011,671

(36,052,094)

4,763,058

Issued
Capital

Reserves
(Note 19)

Accumulated
Losses

Total

Loss for the year attributable owners of the parent

Other comprehensive income for the period attributable
owners of the parent

Total comprehensive income for the year attributable
owners of the parent

Transaction with owners, directly in equity

Shares issued during the year

Options granted during the year

Transaction costs

Balance at 30 June 2017

(4,355,291)

(18,872)

(4,355,291)

(4,374,163)

18a

18c

994,017

2,428,826

18a

(213,694)

994,017

2,428,826

(213,694)

40,583,804

3,421,625

(40,407,385)

3,598,044

Balance at 1 July 2017

40,583,804

3,421,625

(40,407,385)

3,598,044

Loss for the year attributable owners of the parent

Other comprehensive income for the year attributable
owners of the parent

Total comprehensive income for the year attributable
owners of the parent

Transaction with owners, directly in equity

Shares issued during the year

Options granted during the year

Options exercised or expired during the year

(3,687,035)

9,004

(3,687,035)

(3,678,031)

18a

18c

18c, 21

2,738,411

561,983

(1,011,671)

355,463

2,738,411

561,983

(656,208)

Balance at 30 June 2018

43,322,215

2,980,941

(43,738,957)

2,564,199

The consolidated statement of changes in equity is to be read in conjunction with the accompanying notes.

P a g e | 17

ANNUAL REPORT
30 June 2018

Consolidated statement of cash flows
for the year ended 30 June 2018

Cash flows from operating activities

Receipts from customers

Interest received

INTIGER GROUP LIMITED
AND CONTROLLED ENTITIES
ABN 71 098 238 585

Note

2018
$

562,021

16,005

2017
$

446,750

16,420

Payments to suppliers and employees

(3,617,909)

(2,961,812)

Net cash used in operating activities

9d(ii)

(3,039,883)

(2,498,642)

Cash flows from investing activities

Purchase of plant and equipment

Payments for subsidiary, net of cash acquired

Net cash (used in)/provided by investing activities

Cash flows from financing activities

Proceeds from issue of shares and options

Payments for capital raising costs

Net cash provided by financing activities

(1,937)

20,589

2,082,203

244,016

(213,694)

2,082,203

30,322

Net decrease in cash held

(959,617)

(2,447,731)

Cash and cash equivalents at the beginning of the year

2,038,180

4,485,911

Cash and cash equivalents at the end of the year

- 9b

1,078,563

2,038,180

The consolidated statement of cash flows is to be read in conjunction with the accompanying notes.

P a g e | 18

INTIGER GROUP LIMITED
AND CONTROLLED ENTITIES
ABN 71 098 238 585

Notes to the consolidated financial statements
for the year ended 30 June 2018

ANNUAL REPORT
30 June 2018

Statement of significant accounting policies

Note 1
These are the consolidated financial statements and notes of Intiger Group Limited (Intiger or the Company) and controlled
entities (collectively the Group). Intiger is a company limited by shares, domiciled and incorporated in Australia.

The separate financial statements of Intiger, as the parent entity, have not been presented with this financial report as permitted
by the Corporations Act 2001 (Cth).

The financial statements were authorised for issue on 27 September 2018 by the directors of the Company.

a. Basis of preparation
The financial statements comprise the consolidated financial statements of the Group. For the purposes of preparing the
consolidated financial statements, the Company is a for-profit entity. Material accounting policies adopted in the preparation of
these financial statements are presented below. They have been consistently applied unless otherwise stated.

i. Statement of compliance
These financial statements are general purpose financial statements which have been prepared in accordance with Australian
Accounting Standards and Interpretations of the Australian Accounting Standards Board (AAS Board) and International
Financial Reporting Standards (IFRS) as issued by the International Accounting Standards Board (IASB), and the Corporations
Act 2001 (Cth).

Australian Accounting Standards (AASBs) set out accounting policies that the AAS Board has concluded would result in a
financial report containing relevant and reliable information about transactions, events and conditions to which they apply.
Compliance with AASBs ensures that the financial statements and notes also comply with IFRS as issued by the IASB.

ii. Going Concern
The financial report has been prepared on a going concern basis, which contemplates the continuity of normal business
activity and the realisation of assets and the settlement of liabilities in the ordinary course of business.

The Group incurred a loss for the year of $3,687,035 (2017: $4,355,291 loss) and a net operating cash out-flow of $3,039,883
(2017: $2,498,642 out-flow).

The ability of the Consolidated Group to continue as a going concern is principally dependent upon the ability of the Company
to secure funds by raising capital from equity markets and managing cash flow in line with available funds.

On 22 August 2018 the company announced that it had received binding commitments from institutional and sophisticated
investors for a placement of $3,000,000 which will be completed by way of a two tranche placement. On 29 August 2018 the
company completed Tranche one and received the $1,000,000 through the issue 100,000,000 shares at $0.01 per share,
together with one free attaching unlisted option to acquire a share for every share received, as disclosed in note 28 Events
subsequent to reporting date.

The directors have prepared a cash flow forecast, which indicates that the Consolidated Group will have sufficient cash flows
to meet all commitments and working capital requirements for the 12-month period from the date of signing this financial
report.

Based on the cash flow forecast and other factors referred to above, the directors are satisfied that the going concern basis
of preparation is appropriate. In particular, given the Company’s history of raising capital to date, the directors are confident
of the Company’s ability to raise additional funds as and when they are required.

Should the Group’s cash flows deviate from the cash flow forecast, a material uncertainty will exist that cast significant doubt
on the Group’s ability to continue as a going concern and it may be required to realise its assets and extinguish its liabilities
other than in the normal course of business and at amounts different to those stated in the financial statements. The financial
statements do not include any adjustments relating to the recoverability and classification of asset carrying amounts or to
the amount and classification of liabilities that might result should the Group be unable to continue as a going concern and
meet its debts as and when they fall due.

iii. Use of estimates and judgments
The preparation of consolidated financial statements requires management to make judgements, estimates and assumptions
that affect the application of policies and reported amounts of assets and liabilities, income and expenses. These estimates
and associated assumptions are based on historical experience and various factors that are believed to be reasonable under
the circumstances, the results of which form the basis of making the judgements about carrying values of assets and liabilities
that are not readily apparent from other sources. Actual results may differ from these estimates.

Estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised
in the period in which the estimate is revised and in any future periods affected.

P a g e | 19

ANNUAL REPORT
30 June 2018

INTIGER GROUP LIMITED
AND CONTROLLED ENTITIES
ABN 71 098 238 585

Notes to the consolidated financial statements
for the year ended 30 June 2018

Note 1

Statement of significant accounting policies (continued)

Judgements made by management in the application of AASBs that have significant effect on the consolidated financial
statements and estimates with a significant risk of material adjustment in the next year are discussed in Note 1q.

iv. Comparative figures
Where required by AASBs comparative figures have been adjusted to conform with changes in presentation for the current
financial year.

Where the Group retrospectively applies an accounting policy, makes a retrospective restatement or reclassifies items in its
financial statements, an additional (third) statement of financial position as at the beginning of the preceding period in
addition to the minimum comparative financial statements is presented.

b. Accounting Policies
The Group has consistently applied the following accounting policies to all periods presented in the financial statements. The
Group has considered the implications of new and amended Accounting Standards applicable for annual reporting periods
beginning after 1 July 2017 but determined that their application to the financial statements is either not relevant or not material.

c. Principles of consolidation
As at reporting date, the assets and liabilities of all controlled entities have been incorporated into the consolidated financial
statements as well as their results for the year then ended. Where controlled entities have entered (left) the Consolidated Group
during the year, their operating results have been included (excluded) from the date control was obtained (ceased).

i. Business combinations
Business combinations are accounted for using the acquisition method as at the acquisition date, which is the date on which
control is transferred to the Group. Control exists when the Group is exposed to variable returns from another entity and has
the ability to affect those returns through its power over the entity.

The Group measures goodwill at the acquisition date as:
the fair value of the consideration transferred; plus
the recognised amount of any non-controlling interests in the acquire; plus
if the business combination is achieved in stages, the fair value of the existing equity interest in the acquiree;

less

the net recognised amount of the identifiable assets acquired and liabilities assumed.

When the excess is negative, a bargain purchase gain is recognised immediately in profit or loss.

The consideration transferred does not include amounts related to settlement of pre-existing relationships. Such amounts
are generally recognised in profit or loss.

Costs related to the acquisition, other than those associated with the issue of debt or equity securities, that the Group incurs
in connection with a business combination are expensed as incurred.

Any contingent consideration payable is recognised at fair value at the acquisition date. If the contingent consideration is
classified as equity, it is not remeasured and settlement is accounted for within equity. Otherwise, subsequent changes to
the fair value of the contingent consideration are recognised in profit or loss.

ii. Subsidiaries
Subsidiaries are entities controlled by the Group. The financial statements of subsidiaries are included in the consolidated
financial statements from the date that control commences until the date that control ceases.

The accounting policies of subsidiaries have been changed when necessary to align them with the policies adopted by the
Group. Losses applicable to the non-controlling interests in a subsidiary are allocated to the non-controlling interests even if
doing so causes the non-controlling interests to have a deficit balance.

A list of controlled entities is contained in Note 20 Controlled Entities of the financial statements.

P a g e | 20

INTIGER GROUP LIMITED
AND CONTROLLED ENTITIES
ABN 71 098 238 585

Notes to the consolidated financial statements
for the year ended 30 June 2018

Note 1

Statement of significant accounting policies (continued)

ANNUAL REPORT
30 June 2018

iii. Loss of control
Upon the loss of control, the Group derecognises the assets and liabilities of the subsidiary, any non-controlling interests and
the other components of equity related to the subsidiary. Any surplus or deficit arising on the loss of control is recognised in
profit or loss. If the Group retains any interest in the previous subsidiary, than such interest is measured at fair value at the
date control is lost. Subsequently it is accounted for as an equity-accounted investee or as an available-for-sale financial asset
depending on the level of influence retained.

iv. Transactions eliminated on consolidation
All intra-group balances and transactions, and any unrealised income and expenses arising from intra-group transactions, are
eliminated in preparing the consolidated financial statements.

d. Foreign currency transactions and balances

i. Functional and presentation currency
The functional currency of each of the Group's entities is measured using the currency of the primary economic environment
in which that entity operates. The consolidated financial statements are presented in Australian dollars which is the parent
entity's functional and presentation currency.

ii. Transaction and balances
Transactions in foreign currencies are initially recorded in the functional currency by applying the exchange rates ruling at
the date of the transaction. Monetary assets and liabilities denominated in foreign currencies are retranslated at the rate of
exchange ruling at the end of the reporting period.

All exchange differences in the consolidated financial report are taken to profit or loss.

Non-monetary items that are measured in terms of historical cost in a foreign currency are translated using the exchange
rate as at the date of the initial transaction.

Non-monetary items measured at fair value in a foreign currency are translated using the exchange rates at the date when
the fair value was determined

iii. Group companies and foreign operations
The financial results and position of foreign operations whose functional currency is different from the Group's presentation
currency are translated as follows:

assets and liabilities are translated at year-end exchange rates prevailing at that reporting date;
income and expenses are translated at average exchange rates for the period; and
retained earnings are translated at the exchange rates prevailing at the date of the transaction.

Exchange differences arising on translation of foreign operations are transferred directly to the Group's foreign currency
translation reserve in the statement of financial position. These differences are recognised in the profit or loss in the period
in which the operation is disposed.

e. Taxation

Income tax

i.
The income tax expense or benefit for the period is the tax payable on the current year’s taxable income (loss) based on the
applicable income tax rate for each jurisdiction adjusted by changes in deferred tax assets and liabilities attributable to
temporary difference and to unused tax losses.

The current income tax charge (benefit) is calculated on the basis of the tax laws enacted or substantively enacted at the end
of the reporting period in the countries where the Company’s subsidiaries operate and generate taxable income.
Management periodically evaluates positions taken in tax returns with respect to situations in which applicable tax regulation
is subject to interpretation. It establishes provisions where appropriate on the basis of amounts expected to be paid to the
tax authorities. (assets) are therefore measured at the amounts expected to be paid to (recovered from) the relevant taxation
authority.

Current tax assets and liabilities for the current and prior periods are measured at the amount expected to be recovered
from or paid to the taxation authorities. The tax rates and tax laws used to compute the amount are those that are enacted
or substantively enacted by the end of the reporting period.

Deferred income tax is provided on all temporary differences at the end of the reporting period between the tax bases of
assets and liabilities and their carrying amounts for financial reporting purposes.

P a g e | 21

ANNUAL REPORT
30 June 2018

INTIGER GROUP LIMITED
AND CONTROLLED ENTITIES
ABN 71 098 238 585

Notes to the consolidated financial statements
for the year ended 30 June 2018

Note 1

Statement of significant accounting policies (continued)

The carrying amount of deferred income tax assets is reviewed at the end of the reporting period and reduced to the extent
that it is no longer probable that sufficient taxable profit will be available to allow all or part of the deferred income tax asset
to be utilised.

Unrecognised deferred income tax assets are reassessed at the end of the reporting period and are recognised to the extent
that it has become probable that future taxable profit will allow the deferred tax asset to be recovered. Deferred income tax
assets and liabilities are measured at the tax rates that are expected to apply to the year when the asset is realised or the
liability is settled, based on tax rates (and tax laws) that have been enacted or substantively enacted at the end of the
reporting period.

Income taxes relating to items recognised directly in equity are recognised in equity and not in the statement of profit and
loss and other comprehensive income.

Deferred tax assets and deferred tax liabilities are offset only if a legally enforceable right exists to set off current tax assets
against current tax liabilities and the deferred tax assets and liabilities relate to the same taxable entity and the same taxation
authority.

Goods and Services Tax (GST)

ii.
Revenues, expenses, and assets are recognised net of the amount of GST, except where the amount of GST incurred is not
recoverable from the taxation authority. In these circumstances the GST is recognised as part of the cost of acquisition of the
asset or as part of an item of the expense. Receivables and payables in the statement of financial position are shown inclusive
of GST.

The net amount of GST recoverable from, or payable to, the Australian Taxation Office is included as a current asset or liability
in the statement of financial position.

Cash flows are presented in the statement of cash flows on a gross basis, except for the GST component of investing and
financing activities, which are disclosed as operating cash flows.

f. Property, plant and equipment

Plant and equipment are stated at cost less accumulated depreciation nd any accumulated impairment losses. Such costs include
the cost of replacing parts that are eligible for capitalisation when the cost of replacing the parts is incurred.

Depreciation is calculated on a straight-line basic over the estimated useful life of the assets as follows:

Plant and equipment – over 1 to 7.5 years

The assets’ residual values, useful lives and amortisation methods are reviewed, and adjusted if appropriate, at each financial
year end.

Impairment

The carrying values of plant and equipment are reviewed for impairment at each reporting date, with recoverable amount
being estimated when events or changes in circumstances indicate that the carrying value may be impaired.

For plant and equipment, impairment losses are recognised in profit or loss.

ii. Derecognition and disposal

An item of property, plant and equipment is derecognised upon disposal or when no further future economic benefits are
expected from its use or disposal.

Any gain or loss arising on derecognition of the asset (calculated as the differences between the net disposal proceeds and
the carrying amount of the asset) is included in profit or loss in the year the asset is derecognised.

g. Fair Value

i. Fair Value of Assets and Liabilities
The Group measures some of its assets and liabilities at fair value on either a recurring or non-recurring basis, depending on
the requirements of the applicable AASB.

Fair value is the price the Group would receive to sell an asset or would have to pay to transfer a liability in an orderly
unforced transaction between independent, knowledgeable and willing market participants at the measurement date.

As fair value is a market-based measure, the closest equivalent observable market pricing information is used to determine
fair value. Adjustments to market values may be made having regard to the characteristics of the specific asset or liability.
The fair values of assets and liabilities that are not traded in an active market are determined using one or more valuation
techniques. These valuation techniques maximise, to the extent possible, the use of observable market data.

P a g e | 22

INTIGER GROUP LIMITED
AND CONTROLLED ENTITIES
ABN 71 098 238 585

Notes to the consolidated financial statements
for the year ended 30 June 2018

Note 1

Statement of significant accounting policies (continued)

ANNUAL REPORT
30 June 2018

To the extent possible, market information is extracted from either the principal market for the asset or liability (i.e. the
market with the greatest volume and level of activity for the asset or liability) or, in the absence of such a market, the most
advantageous market available to the entity at the end of the reporting period (i.e. the market that maximises the receipts
from the sale of the asset or minimises the payments made to transfer the liability, after taking into account transaction costs
and transport costs).

For non-financial assets, the fair value measurement also considers a market participant's ability to use the asset in its highest
and best use or to sell it to another market participant that would use the asset in its highest and best use.

The fair value of liabilities and the entity's own equity instruments (excluding those related to share-based payment
arrangements) may be valued, where there is no observable market price in relation to the transfer of such financial
instruments, by reference to observable market information where such instruments are held as assets. Where this
information is not available, other valuation techniques are adopted and, where significant, are detailed in the respective
note to the financial statements.

ii. Fair value hierarchy
AASB 13 Fair Value Measurement requires the disclosure of fair value information by level of the fair value hierarchy, which
categorises fair value measurements into one of three possible levels based on the lowest level that an input that is significant
to the measurement can be categorised into as follows:

Level 1

Level 2

Level 3

Measurements based on quoted prices
(unadjusted) in active markets for
identical assets or liabilities that the
entity can access at the measurement
date.

Measurements based on inputs other
than quoted prices included in Level 1
that are observable for the asset or
liability, either directly or indirectly.

Measurements based on unobservable
inputs for the asset or liability.

The fair values of assets and liabilities that are not traded in an active market are determined using one or more valuation
techniques. These valuation techniques maximise, to the extent possible, the use of observable market data. If all significant
inputs required to measure fair value are observable, the asset or liability is included in Level 2. If one or more significant
inputs are not based on observable market data, the asset or liability is included in Level 3.

iii. Valuation techniques
The Group selects a valuation technique that is appropriate in the circumstances and for which sufficient data is available to
measure fair value. The availability of sufficient and relevant data primarily depends on the specific characteristics of the
asset or liability being measured. The valuation techniques selected by the Group are consistent with one or more of the
following valuation approaches:

Market approach: valuation techniques that use prices and other relevant information generated by market transactions for

identical or similar assets or liabilities.

Income approach: valuation techniques that convert estimated future cash flows or income and expenses into a single

discounted present value.

Cost approach: valuation techniques that reflect the current replacement cost of an asset at its current service capacity.

Each valuation technique requires inputs that reflect the assumptions that buyers and sellers would use when pricing the
asset or liability, including assumptions about risks. When selecting a valuation technique, the Group gives priority to those
techniques that maximise the use of observable inputs and minimise the use of unobservable inputs. Inputs that are
developed using market data (such as publicly available information on actual transactions) and reflect the assumptions that
buyers and sellers would generally use when pricing the asset or liability are considered observable, whereas inputs for which
market data is not available and therefore are developed using the best information available about such assumptions are
considered unobservable.

h. Non-current assets held for disposal and discontinued operations
Non-current assets and disposal groups are classified as held for sale and measured at the lower of carrying amount and fair
value less costs to sell, where the carrying amount will be recovered principally through sale as opposed to continued use. No
depreciation or amortisation is charged against assets classified as held for sale.

Classification as "held for sale" occurs when: management has committed to a plan for immediate sale; the sale is expected to
occur within one year from the date of classification; and active marketing of the asset has commenced. Such assets are classified
as current assets.

P a g e | 23

ANNUAL REPORT
30 June 2018

Notes to the consolidated financial statements
for the year ended 30 June 2018

INTIGER GROUP LIMITED
AND CONTROLLED ENTITIES
ABN 71 098 238 585

Statement of significant accounting policies (continued)

Note 1
A discontinued operation is a component of an entity, being a cash-generating unit (or a group of cash generating units), that
either has been disposed of, or is classified as held for sale, and: represents a separate major line of business or geographical
area of operations; is part of a single coordinated plan to dispose of a separate major line of business or geographical area of
operations; or is a subsidiary acquired exclusively with the view to resale.

Impairment losses are recognised for any initial or subsequent write-down of an asset (or disposal group) classified as held for
sale to fair value less costs to sell. Any reversals of impairment recognised on classification as held for sale or prior to such
classification are recognised as a gain in profit or loss in the period in which it occurs.

Impairment of non-financial assets

i.
The carrying amounts of the Group's non-financial assets, other than deferred tax assets (see accounting policy 1e) are reviewed
at each reporting date to determine whether there is any indication of impairment. If any such indication exists then the asset's
recoverable amount is estimated.

An impairment loss is recognised if the carrying amount of an asset or its cash-generating unit exceeds its recoverable amount.
A cash-generating unit is the smallest identifiable asset group that generates cash flows that largely are independent from other
assets and groups. Impairment losses are recognised in the income statement, unless the asset has previously been revalued, in
which case the impairment loss is recognised as a reversal to the extent of that previous revaluation with any excess recognised
through the income statement. Impairment losses recognised in respect of cash-generating units are allocated first to reduce the
carrying amount of any goodwill allocated to the units and then to reduce the carrying amount of the other assets in the unit on
a pro rata basis.

The recoverable amount of an asset or cash-generating unit is the greater of its fair value less costs to sell and value in use. In
assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that
reflects current market assessments of the time value of money and the risks specific to the asset. For an asset that does not
generate largely independent cash inflows, the recoverable amount is determined for the cash-generating unit to which the asset
belongs.

Impairment losses recognised in prior periods are assessed at each reporting date for any indications that the loss has decreased
or no longer exists. An impairment loss is reversed if there has been a change in the estimates used to determine the recoverable
amount. An impairment loss is reversed only to the extent that the asset's carrying amount does not exceed the carrying amount
that would have been determined, net of depreciation and amortisation, if no impairment loss had been recognised.

j. Financial instruments

Initial recognition and measurement

i.
A financial instrument is recognised if the Group becomes party to the contractual provisions of the instrument. Financial
assets are derecognised if the Group's contractual rights to the cash flows from the financial assets expire or if the Group
transfers the financial asset to another party without retaining control or substantially all risks and rewards of the asset.
Financial liabilities are derecognised if the Group's obligations specified on the contract expire or are discharged or cancelled.

Financial assets and financial liabilities are initially measured at fair value. Transaction costs that are directly attributable to
the acquisition or issue of financial assets and financial liabilities (other than financial assets and financial liabilities at fair
value through profit or loss) are added to or deducted from the fair value of the financial assets or financial liabilities, as
appropriate, on initial recognition. Transaction costs directly attributable to the acquisition of financial assets or financial
liabilities at fair value through profit or loss are recognised immediately in profit or loss.

ii. Non-derivative financial instruments
Non-derivative financial instruments comprise investments in equity securities, trade and other receivables, cash and cash
equivalents and trade and other payables.

Non-derivative financial instruments are recognised initially at fair value plus, for instruments not at fair value through profit
or loss, any directly attributable transactions costs. Subsequent to initial recognition non-derivative financial instruments are
measured as described below.

iii. Classification and Subsequent Measurement

Cash and cash equivalents

(1)
Cash and cash equivalents includes cash on hand, deposits held at call with banks, other short-term highly liquid
investments with original maturities of three months or less that are readily convertible to known amounts of cash and
which are subject to an insignificant risk of changes in value, and bank overdrafts. Bank overdrafts are shown within
short-borrowings in current liabilities on the Statement of financial position.

P a g e | 24

INTIGER GROUP LIMITED
AND CONTROLLED ENTITIES
ABN 71 098 238 585

Notes to the consolidated financial statements
for the year ended 30 June 2018

Note 1

Statement of significant accounting policies (continued)

ANNUAL REPORT
30 June 2018

Trade and other receivables

(2)
Trade receivables are measured on initial recognition at fair value and are subsequently measured at amortised cost
using the effective interest rate method, less provision for impairment. Trade receivables are generally due for
settlement within periods ranging from 15 days to 30 days.

Impairment of trade receivables is continually reviewed and those that are considered to be uncollectible are written off
by reducing the carrying amount directly. An allowance account is used when there is objective evidence that the Group
will not be able to collect all amounts due according to the original contractual terms. Factors considered by the Group
in making this determination include known significant financial difficulties of the debtor, review of financial information
and significant delinquency in making contractual payments to the Group. The impairment allowance is set equal to the
difference between the carrying amount of the receivable and the present value of estimated future cash flows,
discounted at the original effective interest rate. Where receivables are short-term discounting is not applied in
determining the allowance.

The amount of the impairment loss is recognised in profit or loss within other expenses. When a trade receivable for
which an impairment allowance had been recognised becomes uncollectible in a subsequent period, it is written off
against the allowance account. Subsequent recoveries of amounts previously written off are credited against other
expenses in the consolidated statement of profit or loss and other comprehensive income. Collectability of trade and
other receivables are reviewed on an ongoing basis. An impairment loss is recognised for debts which are known to be
uncollectible. An impairment provision is raised for any doubtful amounts (see also Note 1j.vii).

Trade and other payables

(3)
Trade payables and other payables are carried at amortised costs and represent liabilities for goods and services provided
to the Group prior to the end of the financial year/period that are unpaid and arise when the Group becomes obliged to
make future payments in respect of the purchase of these goods and services.

Share capital

(4)
Ordinary issued capital is recorded at the consideration received. Incremental costs directly attributable to the issue of
ordinary shares and share options are recognised as a deduction from equity, net of any related income tax benefit.
Ordinary issued capital bears no special terms or conditions affecting income or capital entitlements of the shareholders.

iv. Amortised cost
Amortised cost is calculated as the amount at which the financial asset or financial liability is measured at initial recognition
less principal repayments and any reduction for impairment, and adjusted for any cumulative amortisation of the difference
between that initial amount and the maturity amount calculated using the effective interest method.

v. Fair value
Fair value is determined based on current bid prices for all quoted investments. Valuation techniques are applied to
determine the fair value for all unlisted securities, including recent arm's length transactions, reference to similar instruments
and option pricing models.

vi. Effective interest method
The effective interest method is used to allocate interest income or interest expense over the relevant period and is
equivalent to the rate that discounts estimated future cash payments or receipts (including fees, transaction costs and other
premiums or discounts) over the expected life (or when this cannot be reliably predicted, the contractual term) of the
financial instrument to the net carrying amount of the financial asset or financial liability. Revisions to expected future net
cash flows will necessitate an adjustment to the carrying amount with a consequential recognition of an income or expense
item in profit or loss.

vii. Impairment
A financial asset is assessed at each reporting date to determine whether there is any objective evidence that it is impaired.
A financial asset is considered to be impaired if objective evidence indicates that one or more events have had a negative
effect on the estimated future cash flows of that asset.

An impairment loss in respect of a financial asset measured at amortised cost is calculated as the difference between its
carrying amount, and the present value of the estimated future cash flows discounted at the original effective interest rate.

Financial assets are tested for impairment on an individual basis.

All impairment losses are recognised in the income statement.

P a g e | 25

ANNUAL REPORT
30 June 2018

Notes to the consolidated financial statements
for the year ended 30 June 2018

INTIGER GROUP LIMITED
AND CONTROLLED ENTITIES
ABN 71 098 238 585

Note 1

Statement of significant accounting policies (continued)

An impairment loss is reversed if the reversal can be related objectively to an event occurring after the impairment loss was
recognised. For financial assets measured at amortised cost the reversal is recognised in the income statement.

viii. Derecognition
Financial assets are derecognised where the contractual rights to cash flow expires or the asset is transferred to another
party whereby the entity no longer has any significant continuing involvement in the risks and benefits associated with the
asset. Financial liabilities are derecognised where the related obligations are either discharged, cancelled or expired. The
difference between the carrying value of the financial liability extinguished or transferred to another party and the fair value
of consideration paid, including the transfer of non-cash assets or liabilities assumed, is recognised in profit or loss.

ix. Finance income and expenses
Finance income comprises interest income on funds invested (including available-for-sale financial assets), gains on the
disposal of available-for-sale financial assets and changes in the fair value of financial assets at fair value through profit or
loss. Interest income is recognised as it accrues in profit or loss, using the effective interest method.

Financial expenses comprise interest expense on borrowings calculated using the effective interest method, unwinding of
discounts on provisions, changes in the fair value of financial assets at fair value through profit or loss and impairment losses
recognised on financial assets. All borrowing costs are recognised in profit or loss using the effective interest method.

Borrowing costs directly attributable to the acquisition, construction or production of assets that necessarily take a
substantial period of time to prepare for their intended use or sale, are added to the cost of those assets, until such time as
the assets are substantially ready for their intended use or sale. All other borrowing costs are recognised in income in the
period in which they are incurred.

Foreign currency gains and losses are reported on a net basis.

Intangible assets other than goodwill

Intangible assets are initially measured at cost. Following initial recognition, intangible assets are carried at cost less any
accumulated amortisation and any accumulated impaired losses. The useful lives of intangible assets are assessed to be either
finite or infinite. Intangible assets with finite lives are amortised over the useful life and assessed for impairment whenever
there is an indication that the intangible asset may be impaired. The amortisation period and the amortisation method for
an intangible asset with a finite useful life is reviewed at least at each financial year end. Changes in the expected useful life
or the expected pattern of consumption of future economic benefits embodied in the asset are accounted for by changing
the amortisation period or method, as appropriate, which is a change in an accounting estimate. The amortisation expense
on intangible assets with finite lives is recognised in profit or loss in the expense category consistent with the function of the
intangible asset.

Intellectual property

Intellectual property acquired as part of a business combination is recognised separately from goodwill. Intellectual property
is carried at cost, which is its fair value at the date of acquisition, less accumulated impairment losses. Intellectual property
deemed to have an indefinite useful life is not amortised, but is subject to annual impairment testing.

l. Employee benefits

i. Short-term benefits
Liabilities for employee benefits for wages, salaries and annual leave that are expected to be settled within 12 months of the
reporting date represent present obligations resulting from employees' services provided to the reporting date and are
calculated at undiscounted amounts based on remuneration wage and salary rates that the Group expects to pay at the
reporting date including related on-costs, such as workers compensation insurance and payroll tax.

Non-accumulating non-monetary benefits, such as medical care, housing, cars and free or subsidised goods and services, are
expensed based on the net marginal cost to the Group as the benefits are taken by the employees.

ii. Other long-term benefits
The Group's obligation in respect of long-term employee benefits other than defined benefit plans is the amount of future
benefit that employees have earned in return for their service in the current and prior periods plus related on-costs; that
benefit is discounted to determine its present value, and the fair value of any related assets is deducted. The discount rate is
the Reserve Bank of Australia's cash rate at the report date that have maturity dates approximating the terms of the
Company's obligations. Any actuarial gains or losses are recognised in profit or loss in the period in which they arise.

P a g e | 26

INTIGER GROUP LIMITED
AND CONTROLLED ENTITIES
ABN 71 098 238 585

Notes to the consolidated financial statements
for the year ended 30 June 2018

Note 1

Statement of significant accounting policies (continued)

ANNUAL REPORT
30 June 2018

iii. Retirement benefit obligations: Defined contribution superannuation funds
A defined contribution plan is a post-employment benefit plan under which an entity pays fixed contributions onto a separate
entity and will have no legal or constructive obligation to pay further amounts. Obligations for contributions to defined
contribution superannuation funds are recognised as an expense in the income statement as incurred.

iv. Termination benefits
When applicable, the Group recognises a liability and expense for termination benefits at the earlier of: (a) the date when
the Group can no longer withdraw the offer for termination benefits; and (b) when the Group recognises costs for
restructuring pursuant to AASB 137 Provisions, Contingent Liabilities and Contingent Assets and the costs include termination
benefits. In either case, unless the number of employees affected is known, the obligation for termination benefits is
measured on the basis of the number of employees expected to be affected. Termination benefits that are expected to be
settled wholly before 12 months after the annual reporting period in which the benefits are recognised are measured at the
(undiscounted) amounts expected to be paid. All other termination benefits are accounted for on the same basis as other
long-term employee benefits.

v. Equity-settled compensation
The fair value of options granted is recognised as an employee expense with a corresponding increase in equity. The fair
value is measured at grant date and spread over the period during which the employees become unconditionally entitled to
the options. The fair value of the options granted is measured using the Black-Scholes pricing model, taking into account the
terms and conditions upon which the options were granted. The amount recognised is adjusted to reflect the actual number
of share options that vest except where forfeiture is only due to market conditions not being met.

m. Provisions
Provisions are recognised when the Group has a legal or constructive obligation, as a result of past events, for which it is probable
that an outflow of economic benefits will results and that outflow can be reliably measured.

Provisions are determined by discounting the expected future cash flows at a pre-tax rate that reflects current market
assessments of the time value of money and, when appropriate, the risks specific to the liability.

n. Leases
Leases are classified as finance leases whenever the terms of the lease transfer substantially all the risks and rewards of
ownership to the lessee. All other leases are classified as operating leases.

Operating lease payments are recognised as an expense on a straight-line basis over the lease term, except where another
systematic basis is more representative of the time pattern in which economic benefits from the leased asset are consumed.

o. Revenue and other income
Interest revenue is recognised in accordance with Note 1j.ix Finance income and expenses.

Revenue is measured at the fair value of the consideration received or receivable after taking into account any trade discounts
and volume rebates allowed. When the inflow of consideration is deferred, it is treated as the provision of financing and is
discounted at a rate of interest that is generally accepted in the market for similar arrangements. The difference between the
amount initially recognised and the amount ultimately received is interest revenue.

All revenue is stated net of the amount of GST (Note 1e.ii Goods and Services Tax (GST)).

p. Segment reporting
Operating segments are presented in a manner consistent with the internal reporting provided to the chief operating decision
makers (“CODM”). The CODM is responsible for the allocation of resources to operating segments and assessing their
performance, and has been identified as the Board Directors of the Company.

For the current reporting period, the Group operated in one segment, being the financial technology platform sector.

q. Critical Accounting Estimates and Judgments
Management discusses with the Board the development, selection and disclosure of the Group's critical accounting policies and
estimates and the application of these policies and estimates. The estimates and judgements that have a significant risk of causing
a material adjustment to the carrying amounts of assets and liabilities within the next financial year are discussed below.

i. Key judgements and estimates – Business Combinations
Refer Note 3 Business combinations.

P a g e | 27

ANNUAL REPORT
30 June 2018

INTIGER GROUP LIMITED
AND CONTROLLED ENTITIES
ABN 71 098 238 585

Notes to the consolidated financial statements
for the year ended 30 June 2018

Note 1

Statement of significant accounting policies (continued)

ii. Key Estimate – Taxation
Balances disclosed in the financial statements and the notes thereto, related to taxation, are based on the best estimates of
directors. These estimates consider both the financial performance and position of the company as they pertain to current
income taxation legislation, and the directors understanding thereof. No adjustment has been made for pending or future
taxation legislation. The current income tax position represents that directors' best estimate, pending an assessment by tax
authorities in relevant jurisdictions. Refer Note 7 Income Tax.

iii. Key judgements and estimates – Share-based payments
The Group measures the cost of equity-settled transactions with employees by reference to the fair value of the equity
instruments at the date at which they are granted. The fair value is determined by an internal valuation using a Black-Scholes
option pricing model, using the assumptions detailed in Note 21 Share-based payments.

iv. Key judgements and estimates – Impairment of intangibles and indefinite useful lives
The Group determines whether goodwill and intangibles with indefinite useful lives are impaired at least on an annual basis.
This requires an estimation of the recoverable amount of the cash generating units to which the goodwill and intangibles
with indefinite useful lives are allocated.

At each reporting date or more frequently if events or changes in circumstances indicate a possible impairment, the Group
reviews the carrying amounts of its tangible and intangible assets to determine whether there is any indication that those
assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in
order to determine the extent of the impairment loss (if any). Where the asset does not generate cash flows that are largely
independent from other assets, the Group estimates the recoverable amount of the cash-generating unit to which the asset
belongs.

Recoverable amount is the higher of fair value less costs to sell and value in use. In assessing value in use, the estimated
future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments
of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been
adjusted.

In accordance with the above mentioned, during the year ended 30 June 2018, the carrying value of the intellectual property,
an intangible asset of the Group, was subject to the following procedures in accessing impairment:

(1) Management assessed that the intellectual property intangible asset in its entirely is attributable to a single Cash

Generating Unit (CGU), being the Group’s sole segment.

(2) At the date of the reporting period, the net carrying value of intangible was tested. Impairment testing performed in
respect of the value in use (VIU) was considered and it was concluded that further information is needed to assess and
forecast the probability of expected future economic benefits.

(3) The Group reviewed the internal management financial model and applied the impact of the Intiger Platform on future
revenue forecasts and earnings streams, and prepared a 5-year cash flow forecast discounted at a pre-tax rate of 36.6%.

(4) Other than the revenue forecasts, key assumptions applied included discount rates, customer growth rates, and future

foreign currency exchange impacts.

(5) As a result of the above procedures, the VIU was considered to exceed the carrying value of the intellectual property

and no impairment adjustment was required.

(6) The internal management financial model is subject to sensitivity analysis and scenario testing which contemplates
growth rates and financial ration analysis used in impairment testing. A reasonably possible change in the key
assumptions would not lead to an impairment of the intangible asset. Further operational maturity and information will
be assessed on an on-going basis.

r. New Accounting Standards and Interpretations not yet mandatory or early adopted
A number of new standards, amendments to standards and interpretations issued by the AASB which are not yet mandatorily
applicable to the Group have not been applied in preparing these financial statements. Those which may be relevant to the Group
are set out below. The Group does not plan to adopt these standards early.

i. AASB 9 Financial Instruments and associated Amending Standards (applicable for annual reporting period commencing

1 January 2018)

The Standard will be applicable retrospectively (subject to the comment on hedge accounting below) and includes revised
requirements for the classification and measurement of financial instruments, revised recognition and derecognition
requirements for financial instruments and simplified requirements for hedge accounting.

P a g e | 28

INTIGER GROUP LIMITED
AND CONTROLLED ENTITIES
ABN 71 098 238 585

Notes to the consolidated financial statements
for the year ended 30 June 2018

Note 1

Statement of significant accounting policies (continued)

ANNUAL REPORT
30 June 2018

Key changes made to this standard that may affect the Group on initial application include certain simplifications to the
classification of financial assets, simplifications to the accounting of embedded derivatives, and the irrevocable election to
recognise gains and losses on investments in equity instruments that are not held for trading in other comprehensive income.

The Directors anticipate that the adoption of AASB 9 will not have a material impact on the Group’s financial instruments.

ii. AASB 15 Revenue from Contracts with Customers (applicable to annual reporting periods commencing on or after 1

January 2018).

When effective, this Standard will replace the current accounting requirements applicable to revenue with a single,
principles-based model. Except for a limited number of exceptions, including leases, the new revenue model in AASB 15 will
apply to all contracts with customers as well as non-monetary exchanges between entities in the same line of business to
facilitate sales to customers and potential customers.

The core principle of the Standard is that an entity will recognise revenue to depict the transfer of promised goods or services
to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for the
goods or services. To achieve this objective, AASB 15 provides the following five-step process:

(1)

(2)

Identify the contract(s) with a customer;

Identify the performance obligations in the contract(s);

(3) Determine the transaction price;

(4) Allocate the transaction price to the performance obligations in the contract(s); and

(5) Recognise revenue when (or as) the performance obligations are satisfied.

This Standard will require retrospective restatement, as well as enhanced disclosures regarding revenue.

The Directors anticipate that the adoption of AASB 15 will not have a material impact on the Group’s revenue recognition and
disclosures.

iii. AASB 16: Leases (applicable to annual reporting periods commencing on or after 1 January 2019).
AASB 16 removes the classification of leases as either operating leases or finance leases for the lessee effectively treating all
leases as finance leases. Short term leases (less than 12 months) and leases of a low value are exempt from the lease
accounting requirements. Lessor accounting remains similar to current practice.

The Directors anticipate that the adoption of AASB 16 will not have a material impact on the Group’s recognition of leases
and disclosures).

Note 2

Company details

The registered office of the Company is:
Street + Postal: Barringtons House
283 Rokeby Road
Subiaco WA 6008
+61 (0)8 6141 3394
+61 (0)8 6141 3101

Telephone:
Facsimile:

Head Quarters:
Street:

Barringtons House
283 Rokeby Road
Subiaco WA 6008

P a g e | 29

ANNUAL REPORT
30 June 2018

INTIGER GROUP LIMITED
AND CONTROLLED ENTITIES
ABN 71 098 238 585

Notes to the consolidated financial statements
for the year ended 30 June 2018

Note 3

Business combinations

a. Intiger Asset Management Pty Ltd (Intiger Asset Management)

In respect to the 2017 Financial Year, on 18 August 2016, Intiger Group Limited (Intiger), acquired 100% of the ordinary share
capital and voting rights of Intiger Asset Management and associated entities (the Intiger Group) as below:

Intiger Asset Management Pty Ltd (ACN 606 729 328);

Intiger Process Enhancement Pty Ltd (ACN 610 159 209);

Intiger Asset Management Limited (HKCN 2254952);

Tiger 1 Limited (HKCN 2258742);

Tiger 1 Limited (HKCN 2258743);

Lion 2 Business Process, Inc. (PIN CS201522320); and

Integra Asset Management Australia Pty Ltd (ACN 162 734 376), a wholly owned subsidiary of Intiger Asset Management

b. Acquisition consideration

As consideration for the issued capital of Intiger Asset Management and associated entities consisted of the following:

$50,000 cash consideration

$500,000 non-cash consideration on effective settlement of pre-existing loan

500,000,000 Performance Shares (being 250,000,000 Class A performance Shares and 250,000,000 Class B Performance
Shares) to the vendors of the Intiger Group in consideration for the acquisition of all the shares in each of the entities
comprising the Intiger Group, pursuant to the agreement; and

50,000,000 Options to the Proposed Directors under the Incentive Option Plan

The total value of the consideration was $1,726,333 comprising of an issue of equity instruments, cash and non-cash

components as per above.

No value was assigned to the Performance Shares as these are contingent on future events for which no reasonable basis as
to the likelihood of them converting was present. The key conversion terms and conditions on performance shares are listed
at note 18(b).

Acquisition date fair value of the consideration transferred:

Cash consideration
Non-cash consideration
Options issued

Total consideration

2017
$

50,000

500,000

1,176,333

1,726,333

Acquisition related costs of $292,857 are included in other expenses in the 2017 statement of comprehensive income.
Directly attributable costs of raising equity have been included as a deduction from equity.

P a g e | 30

INTIGER GROUP LIMITED
AND CONTROLLED ENTITIES
ABN 71 098 238 585

Notes to the consolidated financial statements
for the year ended 30 June 2018

Note 3

Business combinations (continued)

a. Assets acquired and liabilities assumed at the date of acquisition

Business combination accounting was as follows:

Fair value of consideration transferred

Fair value of assets and liabilities held at acquisition date:

Cash

Trade and other receivables

Trade and other payables

Fair value of identifiable assets and liabilities assumed

Value of Intellectual Property at cost acquired (refer note 14(a))

b. Net cash flow arising on acquisition

The cash flow on acquisition is as follows:

Cash paid

Cash acquired

Net cash inflow

Note 4

Revenue and other income

a. Revenue

Service income

b. Other income

Interest income

Other income

ANNUAL REPORT
30 June 2018

Fair value
$

1,726,333

70,589

18,254

(298,160)

(209,317)

1,935,650

2017
$

(50,000)

70,589

20,589

2017
$

2018
$

624,065

472,281

624,065

472,281

5,013

16,005

21,018

16,420

P a g e | 31

ANNUAL REPORT
30 June 2018

INTIGER GROUP LIMITED
AND CONTROLLED ENTITIES
ABN 71 098 238 585

Notes to the consolidated financial statements
for the year ended 30 June 2018

Note 5

Profit / (loss) before income tax

The following significant revenue and expense items are relevant in explaining
the financial performance:

a. Employment costs:

Directors’ fees
Increase / (decrease) in employee benefits provisions
Superannuation expenses / (reimbursement)
Wages and salaries
Payroll tax
Other employment related costs

Note 6

Auditor's remuneration

Remuneration of the auditor of the Intiger Limited for:

Auditing or reviewing the financial reports:

 HLB Mann Judd

Note 7

Income tax

a. Income tax expense

Current tax

Deferred tax

Deferred income tax expense included in income tax expense comprises:

Increase / (decrease) in deferred tax assets
(Increase) / decrease in deferred tax liabilities

2018
$

2017
$

193,780

52,667

136,453

1,432,780

30,570

26,611

329,640

10,176

35,145

449,494

1,872,861

824,455

2018
$

2017
$

63,070

2018
$

2,068

50,525

2017
$

Note

b. Reconciliation of income tax expense to prima facie tax payable

The prima facie tax payable / (benefit) on loss from ordinary activities before
income tax is reconciled to the income tax expense as follows:

Prima facie tax on operating loss at 27.5% (2017: 27.5%)

(1,013,366)

(1,197,705)

Add / (Less) tax effect of:

 Capital-raising costs deductible

 (Non-assessable)/Non-deductible share-based payments

 Non-deductible expenses

 Temporary differences not recognised

 Effect of change in tax rate

 Other assessable income

Income tax expense / (benefit) attributable to operating loss

P a g e | 32

385,148

628,218

2,068

552,687

307,343

337,675

INTIGER GROUP LIMITED
AND CONTROLLED ENTITIES
ABN 71 098 238 585

Notes to the consolidated financial statements
for the year ended 30 June 2018

Note 7

Income tax (cont.)

Note

c. The applicable weighted average effective tax rates attributable to operating

profit are as follows

d. Balance of franking account at year end of the parent

e. Deferred tax assets / (liabilities) not brought to accounts

Tax losses: revenue

Temporary differences

f. Tax losses and deductible temporary differences

Unused tax losses and deductible temporary differences for which no
deferred tax asset has been recognised, that may be utilised to offset tax
liabilities:

ANNUAL REPORT
30 June 2018

2018
$

(0.19)

nil

2017
$

nil

4,859,145

4,198,054

137,252

161,395

4,996,397

4,359,449

18,165,293

15,867,426

18,165,293

15,867,426

Potential deferred tax assets attributable to tax losses have not been brought to account at 30 June 2018 because the directors
do not believe it is appropriate to regard realisation of the deferred tax assets as probable at this point in time. These benefits
will only be obtained if:

the Group derives future assessable income of a nature and of an amount sufficient to enable the benefit from the
deductions for the loss to be realised;

ii. the company continues to comply with conditions for deductibility imposed by law; and

iii. no changes in tax legislation adversely affect the Group in realising the benefit from the deductions for the loss.

Note 8

Earnings per share (EPS)

a. Reconciliation of earnings to profit or loss

Loss for the year

Loss used in the calculation of basic and diluted EPS

Note

2018
$

2017
$

(3,687,035)

(4,355,291)

(3,687,035)

(4,355,291)

2018
No.

2017
No.

b. Weighted average number of ordinary shares outstanding during the year

used in calculation of basic EPS

1,265,131,594

1,092,241,975

c. Earnings per share

Basic and diluted EPS (cents per share)

(0.29)

(0.40)

d. At the end of the 2018 financial year, the Group has 195,000,000 unissued shares under options (2017: 412,180,061) and
500,000,000 performance shares on issue (2017: 500,000,000). The Group does not report diluted earnings per share on annual
losses generated by the Group. During the 2017 financial year the Group's unissued shares under option and partly-paid shares were
anti-dilutive.

2018
₵

2017
₵

P a g e | 33

ANNUAL REPORT
30 June 2018

Notes to the consolidated financial statements
for the year ended 30 June 2018

Note 9

Cash and cash equivalents

a. Current

Cash at bank

b. Reconciliation of cash

Cash at the end of the financial year as shown in the statement of cash flows
is reconciled to items in the statement of financial position as follows:

Cash and cash equivalents

INTIGER GROUP LIMITED
AND CONTROLLED ENTITIES
ABN 71 098 238 585

Note

2018
$

2017
$

1,078,563

2,038,180

1,078,563

2,038,180

1,078,563

2,038,180

1,078,563

2,038,180

c. The Group's exposure to interest rate risk and a sensitivity analysis for financial assets and liabilities are disclosed in Note 27

Financial risk management.

d. Cash Flow Information

Note

2018
$

2017
$

(ii) Reconciliation of cash flow from operations to (loss)/profit after income tax

Loss after income tax

(3,687,035)

(4,355,291)

Non-cash flows in (loss)/profit from ordinary activities:

Depreciation
Impairment
Share-based payments
Equity settled fees

Changes in assets and liabilities, net of the effects of purchase and disposal of
subsidiaries:

Increase in receivables
Decrease/(increase) in prepayments and other assets
(Decrease)/increase in trade and other payables
(Decrease)/increase in provisions

489

4,491

561,983

1,233,621

750,000

(114,309)

25,216

125,789

47,984

(35,889)

(27,495)

(82,938)

14,859

Cash flow from operations

(3,039,883)

(2,498,642)

e. Credit standby facilities

The Group has no credit standby facilities.

P a g e | 34

INTIGER GROUP LIMITED
AND CONTROLLED ENTITIES
ABN 71 098 238 585

Notes to the consolidated financial statements
for the year ended 30 June 2018

Note 10

Trade and other receivables

a. Current

Trade receivables

Other receivables (i)

b. Non-current
Deposits

ANNUAL REPORT
30 June 2018

2018
$

95,329

25,200

120,529

47,253

2017
$

47,531

41,708

89,239

(i) Other receivables are non-interest bearing and expected to be received within 30 days

(ii)

The Group's exposure to interest rate risk and a sensitivity analysis for financial assets and liabilities are disclosed in
Note 27 Financial risk management.

Note 11 Other assets

Current
Prepayments

Other current assets

GST and other input taxes receivable.

Note 12

Impairment Write Downs

Impairment write down – Sugar Dragon

a. Investment in Sugar Dragon

Balance at the beginning of the year

Impairment write down(i)

Carrying value of investment

2018
$

7,952

41,810

49,848

2018
$

2017
$

33,253

6,044

39,297

2017
$

4,491

(4,491)

(i) Refer to Note 13 Financial assets for further details around the carrying value and impairment recognised on the

investment in Sugar Dragon.

P a g e | 35

ANNUAL REPORT
30 June 2018

Notes to the consolidated financial statements
for the year ended 30 June 2018

Note 13 Other financial assets

a. Current
Cost

Accumulated impairment losses

INTIGER GROUP LIMITED
AND CONTROLLED ENTITIES
ABN 71 098 238 585

2018
$

2017
$

500,000

(500,000)

500,000

(500,000)

(i) The financial instrument held as available for sale have been analysed and classified using a fair value hierarchy reflecting

the significance of the inputs used in making the measurements. Financial assets are classified as level 2.

(ii) During the year ended 30 June 2015, a total of 7,692,308 fully paid ordinary shares were acquired at a conversion price
of $0.065 per share, providing IAM with a 15% equity position in Sugar Dragon Limited. Following the ASX decision to not
admit Sugar Dragon Limited to official list pursuant to lodgement of a Prospectus with ASIC on 27 January 2016 and ASX
listing application submitted on 2 February 2016, the management of Intiger Group recognised an impairment expense
of $4,491 for the year ended 30 June 2017.

2018
$

2017
$

1,935,650

Intellectual
Property
$

Total
$

1,935,650

2018
$

1,937

(489)

1,448

2017
$

Note 14

Intangible asset

a. Non-current

Intellectual property at cost

Total Intangible Assets

b. Movements in carrying amount

Balance at 1 July 2016

Additions

Balance at 30 June 2017

Balance at 30 June 2018

Note 15

Property, plant, and equipment

a. Non-current

Computer and Communication Equipment at cost

Less: Accumulated Depreciation

Total plant and equipment

P a g e | 36

INTIGER GROUP LIMITED
AND CONTROLLED ENTITIES
ABN 71 098 238 585

Notes to the consolidated financial statements -
for the year ended 30 June 2018

Note 16

Trade and other payables

a. Current

Unsecured
Trade payables (i)(ii)

Accruals

Employment related payables

Related party payables

ANNUAL REPORT
30 June 2018

Note

2018
$

2017
$

71,001

317,727

216,241

1,280

208,422

281,041

606,249

489,463

(i)

(ii)

Trade payables are non-interest bearing and usually settled within the lower of terms of trade or 30 days.

Included within the balance is an amount of Nil (2017: $251,042) payable to current and former directors and their
related parties.

The Group's exposure to interest rate risk and a sensitivity analysis for financial assets and liabilities are disclosed in Note 27
Financial risk management.

Note 17

Provisions

a. Current

Employee entitlements

Note 18

Issued capital

2018
$

62,843

2018
$

2017
$

14,859

2017
$

2018
No.

2017
No.

Fully paid ordinary shares at no par value

1,377,895,817

1,117,620,396

43,322,215

40,583,804

a. Ordinary shares

At the beginning of the period

Shares issued during the year:

Prospectus
Debt conversion
Option conversion
Option Conversion

Transaction costs relating to share
issues

1,117,620,396

875,587,815

40,583,804

39,803,482

174,030,549

37,500,000

30,502,032

750,000

244,016

260,275,421

2,738,411

(213,694)

At reporting date

1,377,895,817

1,117,620,396

43,322,215

40,583,804

P a g e | 37

ANNUAL REPORT
30 June 2018

Notes to the consolidated financial statements
for the year ended 30 June 2018

INTIGER GROUP LIMITED
AND CONTROLLED ENTITIES
ABN 71 098 238 585

Note 18

Issued capital (cont.)

b. Performance shares

Performance shares

2018
No.

2017
No.

2018
$

2017
$

500,000,000

At beginning of the period

500,000,000

Issue of Performance Shares under
the Acquisition

At reporting date

500,000,000

The Company has 500,000,000 performance shares on issue, being 250,000,000 Class A Performance Shares and 250,000,000
Class B Performance Shares, with the following milestones:

Milestone

Class A Performance Shares:

The aggregate audited consolidated net profit after tax of the Intiger Group being not less than A$1,000,000 between the

date of issue of the Performance Shares and 30 June 2019.

One Class A Performance Share converts on achievement of the milestone into one Class C Performance Share and one

Ordinary Share.

Class B Performance Shares:

The aggregate audited consolidated net profit after tax of the Intiger Group being not less than A$4,000,000 between the

date of issue of the Performance Shares and 30 June 2019.

One Class B Performance Share concerts on achievement of the milestone into one Class D Performance share and one

Ordinary Share.

Class C Performance Shares:

The aggregate audited consolidated net profit after tax of the Intiger Group being not less than A$11,000,000 between the

date of issue of the Performance Shares and 30 June 2019.

One Class C Performance Share converts on achievement of the milestone into one Ordinary Share.

Class D Performance Shares:

The aggregate audited consolidated net profit after tax of the Intiger Group being not less than A$40,000,000 between the

date of issue of the Performance Shares and 30 June 2019.

One Class D Performance Share converts on achievement of the milestone into one Ordinary Share.

No value has been allocated to the performance shares due to the significant uncertainty of meeting the performance milestones
which are based on future events. To date, none of the Milestones have been met.

P a g e | 38

INTIGER GROUP LIMITED
AND CONTROLLED ENTITIES
ABN 71 098 238 585

Notes to the consolidated financial statements
for the year ended 30 June 2018

ANNUAL REPORT
30 June 2018

Note 18

Issued capital (cont.)

Note

2018
No.

2017
No.

2018
$

2017
$

c. Options

Options

At the beginning of the period

Options issued/(lapsed) during the
year:

2.00₵ options, expiry: 30.06.2020 21a(ii)(1)
2.00₵ options, expiry: 30.06.2020 21a(ii) (2)
2.00₵ options, expiry: 30.06.2020 21a(ii) (3)
2.50₵ options, expiry: 30.06.2020 21a(i) (1)
Options lapsed
Options exercised

195,000,000

412,180,061

2,990,809

3,440,497

412,180,061

302,682,093

3,440,497

1,011,671

50,000,000

40,000,000

1,176,334

76,158

55,000,000

(11,904,640)

561,983

(260,275,421)

(30,502,032)

(1,011,671)

At reporting date

195,000,000

412,180,061

2,990,809

3,440,497

d. Capital Management

The Directors' objectives when managing capital are to ensure that the Group can maintain a capital base so as to maintain
investor, creditor and market confidence and to sustain future development of the business. The Board of Directors monitors
the availability of liquid funds in order to meet its short-term commitments.

The focus of the Group's capital risk management is the current working capital position against the requirements of the
Group in respect to its operations, software developments programmes, and corporate overheads. The Group's strategy is
to ensure appropriate liquidity is maintained to meet anticipated operating requirements, with a view to initiating
appropriate capital raisings as required.

The working capital position of the Group were as follows:

Cash and cash equivalents

Trade and other receivables

Other current assets

Trade and other payables

Provisions

Working capital position

Note 19 Reserves

Foreign exchange reserve (i)

Option reserve (ii)

Note

2018
$

2017
$

1,078,563

2,038,180

120,529

49,848

(606,249)

(62,843)

89,239

39,297

(489,463)

(14,859)

579,848

1,662,394

2018
$

2017
$

(9,868)

(18,872)

2,990,809

3,440,497

2,980,941

3,421,625

(i)

Foreign exchange translation reserve

The foreign exchange reserve records exchange differences arising on translation of foreign controlled subsidiaries.

(ii) Option reserve

The option reserve records items recognised as expenses on the value of directors and employee equity issues.

P a g e | 39

ANNUAL REPORT
30 June 2018

INTIGER GROUP LIMITED
AND CONTROLLED ENTITIES
ABN 71 098 238 585

Notes to the consolidated financial statements
for the year ended 30 June 2018

Note 20

Controlled entities

a. Parent entity

Intiger Group Limited is the ultimate parent of the Group.

(i) Subsidiaries

Orion Exploration Pty Ltd
Eastbourne Exploration Pty Ltd
Intiger Process Enhancement Pty Ltd
Intiger Asset Management Limited
Tiger 1 Limited
Tiger 2 Limited
Lion 2 Business Process, Inc

Country of
Incorporation

Australia(1)

Hong Kong

Hong Kong(1)

Philippines

Class of
Shares

Ordinary

(1)

The inactive companies were deregistered by the Company.

b. Investments in subsidiaries are accounted for at cost.

Percentage Owned

2018

100.0

2017

100.0

Note 21

Share-based payments

Share-based payment expense

Net share-based payment recognised in Profit or Loss

Share-based payment expense recognised in issued capital

Expiration of vested share-based payments recognised in retained earnings

Gross share-based transactions

a. Share-based payment arrangements in effect during the period

(i) Share-based payments recognised in profit or loss

Note

2018
$

2017
$

21a

561,983

1,252,491

561,983

1,252,491

(656,208)

(355,463)

(449,688)

1,252,491

Number under Option

Date of Expiry

Exercise Price

Vesting Terms

55,000,000 (1)

30 June 2020

$0.025

Immediately upon issue

Unquoted options issued pursuant to the Incentive Option Plan in consideration for services to be provided by certain employees of the
Company. Unquoted exercisable at $0.025 on or before 30 June 2020. These options were valued as $561,983 on grant date.

(ii) Share-based payments recognised in profit or loss in prior periods

Number under Option

Date of Expiry

Exercise Price

Vesting Terms

50,000,000 (1)

50,000,000 (2)

40,000,000 (3)

30 June 2020

$0.02

Immediately upon issue

Unquoted options issued for the introduction of the Intiger Group to the Company. Unquoted exercisable at $0.02 on or before 30 June
2020. These options were valued as $1,176,333 on grant date.
Unquoted options were issued as consideration for the purchase of Intiger Asset Management Pty Ltd and associated entities. These
options were valued as $1,176,333 on grant date.
Options were issued on 21 April 2017 pursuant to the Company’s Employee Incentive Scheme in consideration for services to be provided
by certain employees of the Company subject to the following vesting conditions:
(i) 12,500,000 vest and become exercisable upon the aggregate audited consolidated net profit after tax of the Intiger Group being

not less than A$1 million between the date of issue of the Options and 30 June 2020;

(ii) 12,500,000 vest and become exercisable upon the aggregate audited consolidated net profit after tax of the Intiger Group being

not less than A$4 million between the date of issue of the Options and 30 June 2020;

(iii) 7,500,000 vest and become exercisable upon the aggregate audited consolidated net profit after tax of the Intiger Group being

not less than A$11 million between the date of issue of the Options and 30 June 2020; and

(iv) 7,500,000 vest and become exercisable upon the aggregate audited consolidated net profit after tax of the Intiger Group being

not less than A$40 million between the date of issue of the Options and 30 June 2020.
These options were valued as $76,158 on grant date.

P a g e | 40

INTIGER GROUP LIMITED
AND CONTROLLED ENTITIES
ABN 71 098 238 585

Notes to the consolidated financial statements
for the year ended 30 June 2018

Note 21

Share-based payments (cont.)

ANNUAL REPORT
30 June 2018

b. Movement in share-based payment arrangements during the period

A summary of the movements of all company options issued as share-based payments is as follows:

2018

2017

Number of Options

Weighted Average
Exercise Price

Outstanding at the beginning of the year

Granted

Exercised

Expired

140,000,000

55,000,000

$0.0200

$0.0138

140,000,000

$0.0200

Outstanding at year-end

195,000,000

$0.0214

140,000,000

$0.0200

Exercisable at year-end

(i) No options were exercised during the year.

155,000,000

$0.0218

100,000,000

$0.0200

(ii) The weighted average remaining contractual life of options outstanding at year end was 2.00 years (2017: 3.00 years).
The weighted average exercise price of outstanding shares at the end of the reporting period was $0.0214 (2017:
$0.0200).

(iii) The fair value of the options granted to employees is deemed to represent the value of the employee services received

over the vesting period.

c. Fair value of options grants during the period

The fair value of the options granted to employees is deemed to represent the value of the employee services received over
the vesting period.

The weighted average fair value of options granted during the year was $0.0102 (2017: $0.0198). These values were
calculated using the Black-Scholes option pricing model, applying the following inputs to options issued this year:

Grant date:

Grant date share price:

Option exercise price:

Number of options issued:

Expiry Date

Expected share price volatility:

Risk-free interest rate:

Value per option

22 June 2018

$0.020

$0.025

55,000,000

30 June 2020

107%

1.98%

$0.0102

Historical volatility has been the basis for determining expected share price volatility as it is assumed that this is indicative
of future movements.

The life of the options is based on the historical exercise patterns, which may not eventuate in the future.

P a g e | 41

ANNUAL REPORT
30 June 2018

INTIGER GROUP LIMITED
AND CONTROLLED ENTITIES
ABN 71 098 238 585

Notes to the consolidated financial statements
for the year ended 30 June 2018

Note 22 Key Management Personnel compensation (KMP)

The names and positions of KMP are as follows:

Mr Patrick Canion
Mr Mark Fisher
Mr Tony Chong
Mr Mathew Walker

Non-executive Chairman

Non-executive Director

Non-executive Director (resigned 7 August 2017)

Information regarding individual directors and executives’ compensation and some equity instruments disclosures as required
by the Corporations Regulations 2M.3.03 is provided in the Remuneration report table on page 8.

Note

2018
$

323,753

25,392

2017
$

554,055

10,737

349,145

564,792

Note

2018
$

2017
$

253,188

251,042

22,078

90,532

63,122

5,719

2018
$

207,177

2017
$

Short-term employee benefits

Post-employment benefits

Total

Note 23 Related party transactions

Transactions between related parties are on normal commercial terms and
conditions no more favourable than those available to other parties unless
otherwise stated.

Included in accruals are amounts payable to Mr Fisher in respect to accrued
salary package. Accrued salary is included in the Remuneration Report contained
in the Directors' Report on page 8.

Note 24

Commitments

Operating lease commitments due:

Not later than 12 months

Between 12 months and five years

Later than five years

Total operating lease commitments

P a g e | 42

INTIGER GROUP LIMITED
AND CONTROLLED ENTITIES
ABN 71 098 238 585

Notes to the consolidated financial statements
for the year ended 30 June 2018

Note 25

Contingent liabilities

ANNUAL REPORT
30 June 2018

On 30 May 2018, the Company received correspondence from the Inland Revenue Department in Hong Kong regarding its
subsidiary Intiger Asset Management Limited (Hong Kong). The letter has requested the Company to provide details of any income
derived outside of Hong Kong for the 2016 and 2017 financial year. The Company disputes this assessment as no revenue was
earned in, or related to, this jurisdiction. Accordingly, the Company is investigating this disputed claim and has engaged external
consultants to determine the potential tax exposure (if any).

There are no other contingent liabilities as at 30 June 2018 (2017: Nil).

Note 26 Operating segments

Identification of reportable segments

2017
$

2015
$

The Group has identified its operating segment based on the internal reports that are reviewed and used by the Board of
Directors (Chief operating decision makers) in assessing performance and determining the allocation of resources.

The Group operates primarily in development of the Intiger platform and services. The financial information presented in
the consolidated statement of comprehensive income and the consolidated statement of financial position is the same as
that presented to the chief operating decision maker.

Unless stated otherwise, all amounts reported to the Board of directors as the chief operating decision maker is in accordance
with accounting policies that are consistent to those adopted in the annual financial statements of the Group. During the
current period, the Group is considered to operate in one segment, being the digital and offshore processing financial
planning sector.

b. Revenue by geographical region

Revenue attributable to external customers is disclosed below, based on
the location of the external customer:

Australia

Total revenue

c. Assets by geographical location

Location of segment assets by geographical location of the assets is
disclosed below:

Australia

Philippines

Total assets

d. Major customers

2018
$

2017
$

629,078

2018
$

472,281

2017
$

4,945,233

4,278,074

213,200

136,332

5,158,433

4,414,406

The Group has a number of customers to whom it provides services. The Group supplies a single external customer who
accounts for 16% of the external revenue (2017: 33%). The next most significant client accounts of 13% (2017: 20%) of
external revenue.

P a g e | 43

ANNUAL REPORT
30 June 2018

Notes to the consolidated financial statements
for the year ended 30 June 2018

Note 27

Financial risk management

a. Financial Risk Management Policies

INTIGER GROUP LIMITED
AND CONTROLLED ENTITIES
ABN 71 098 238 585

This note presents information about the Group's exposure to each of the above risks, its objectives, policies and procedures
for measuring and managing risk, and the management of capital.

The Group's financial instruments consist mainly of deposits with banks, short-term investments, and accounts payable and
receivable.

The Group does not speculate in the trading of derivative instruments.

A summary of the Group's Financial Assets and Liabilities is shown below:

Floating
Interest
Rate

Fixed
Interest
Rate

Non-
interest
Bearing

2018
Total

Floating
Interest
Rate

Financial Assets

 Cash and cash equivalents

1,078,563

 Loans and other receivables

Total Financial Assets

1,078,563

Financial Liabilities

Financial liabilities at
amortised cost

 Trade and other payables

Total Financial Liabilities

Net Financial
Assets/(Liabilities)

1,078,563

2,038,180

167,782

1,246,345

2,038,180

606,249

(438,467)

640,096

2,038,180

Fixed
Interest
Rate

Non-
interest
Bearing

2017
Total

2,038,180

89,239

2,127,419

489,463

(400,224)

1,637,956

b. Specific Financial Risk Exposures and Management

The main risk the Group is exposed to through its financial instruments are credit risk, liquidity risk and market risk consisting
of interest rate, foreign currency risk and equity price risk.

The Board of directors has overall responsibility for the establishment and oversight of the risk management framework. The
Board adopts practices designed to identify significant areas of business risk and to effectively manage those risks in
accordance with the Group's risk profile. This includes assessing, monitoring and managing risks for the Group and setting
appropriate risk limits and controls. The Group is not of a size nor is its affairs of such complexity to justify the establishment
of a formal system for risk management and associated controls. Instead, the Board approves all expenditure, is intimately
acquainted with all operations and discuss all relevant issues at the Board meetings. The operational and other compliance
risk management have also been assessed and found to be operating efficiently and effectively.

(i) Credit risk

Exposure to credit risk relating to financial assets arises from the potential non-performance by counterparties of contract
obligations that could lead to a financial loss to the Group.

The Group does not have any material credit risk exposure to any single receivable or group of receivables under financial
instruments entered into by the Group.

P a g e | 44

INTIGER GROUP LIMITED
AND CONTROLLED ENTITIES
ABN 71 098 238 585

Notes to the consolidated financial statements
for the year ended 30 June 2018

Note 27 Financial risk management (cont.)

ANNUAL REPORT
30 June 2018

The objective of the Group is to minimise the risk of loss from credit risk. Although revenue from operations is minimal,
the Group trades only with creditworthy third parties.

In addition, receivable balances are monitored on an ongoing basis with the result that the Group's exposure to bad debts
is insignificant. The Group's maximum credit risk exposure is limited to the carrying value of its financial assets as
indicated on the statement of financial position.

The Group establishes an allowance for impairment that represents its estimate of incurred losses in respect of trade and
other receivables.

Credit risk exposures

The maximum exposure to credit risk is to its alliance partners and is limited to the carrying amount, net of any
provisions for impairment of those assets, as disclosed in the statement of financial position and notes to the financial
statements.

Credit risk related to balances with banks and other financial institutions is managed by the Group in accordance with
approved Board’s policy. Such policy requires that surplus funds are only invested with financial institutions residing
in Australia, where ever possible.

Impairment losses

The ageing of the Group's trade and other receivables at reporting date was as follows:

Gross
2018
$

72,546
9,291
768
-

82,605

37,924

120,529

Impaired
2018
$

Past due but not
impaired
2018
$

Net
2018
$

-
-
-
-

72,546
9,291
768
-

82,605

37,924

-
9,291
768
-

10,059

120,529

10,059

Trade receivables
Not past due
Past due up to 60 days
Past due 60 days to 90 months
Past due over 90 months

Other receivables
Not past due

Total

(ii) Liquidity risk

Liquidity risk arises from the possibility that the Group might encounter difficulty in settling its debts or otherwise meeting
its obligations related to financial liabilities.

The Group manages liquidity risk by continuously monitoring forecast and actual cash flows and ensuring sufficient cash
and marketable securities are available to meet the current and future commitments of the Group.

Liquidity risk is the risk that the Group will not be able to meet its financial obligations as they fall due. The Group's
approach to managing liquidity is to ensure, as far as possible, that it will always have sufficient liquidity to meet its
liabilities when due, under both normal and stressed conditions, without incurring unacceptable losses or risking damage
to the Group's reputation.

Typically, the Group ensures that it has sufficient cash to meet expected operational expenses for a period of 60 days,
including the servicing of financial obligations; this excludes the potential impact of extreme circumstances that cannot
reasonably be predicted, such as natural disasters.

P a g e | 45

ANNUAL REPORT
30 June 2018

Notes to the consolidated financial statements
for the year ended 30 June 2018

Note 27 Financial risk management (cont.)

INTIGER GROUP LIMITED
AND CONTROLLED ENTITIES
ABN 71 098 238 585

The financial liabilities of the Group are confined to trade and other payables as disclosed in the statement of financial
position. All trade and other payables are non-interest bearing and due within 30 days of the reporting date.

Contractual Maturities

The following are the contractual maturities of financial liabilities of the Group:

Within 1 Year

Greater Than 1 Year

2018
$

2017
$

2018
$

2017
$

Total

2018
$

2017
$

Financial liabilities due for payment
Trade and other payables

606,249

489,463

Total contractual outflows

606,249

489,463

Financial assets

Cash and cash equivalents
Trade and other receivables

1,078,563
167,782

2,038,180
89,239

Total anticipated inflows

1,246,345

2,127,419

Net (outflow)/inflow on financial
instruments

640,096

1,637,956

-
-

606,249

489,463

606,249

489,463

1,078,563
167,782

2,038,180
89,239

1,246,345

2,127,419

640,096

1,637,956

It is not expected that the cash flows included in the maturity analysis could occur significantly earlier or at
significantly different amounts.

(iii) Market risk

Market risk is the risk that changes in market prices, such as foreign exchange rates, interest rates and equity prices will
affect the Group's income or the value of its holdings of financial instruments. The objective of market risk management
is to manage and control market risk exposures within acceptable parameters, while optimising the return.

The Board meets on a regular basis and considers the Group's interest rate risk.

(1) Interest rate risk

Exposure to interest rate risk arises on financial assets and financial liabilities recognised at the end of the reporting
period whereby a future change in interest rates will affect future cash flows or the fair value of fixed rate financial
instruments. The Group is also exposed to earnings volatility on floating rate instruments.

Due to the low amount of debt exposed to floating interest rates, interest rate risk is not considered a high risk to
the Group. Movement in interest rates on the Group's financial liabilities and assets is not material.

(2) Foreign exchange risk

Exposure to foreign exchange risk may result in the fair value or future cash flows of a financial instrument fluctuating
due to movement in foreign exchange rates of currencies in which the Group holds financial instruments which are
other than the AUD functional currency of the Group.

The Group has no material exposure to foreign exchange risk.

P a g e | 46

INTIGER GROUP LIMITED
AND CONTROLLED ENTITIES
ABN 71 098 238 585

Notes to the consolidated financial statements
for the year ended 30 June 2018

Note 27

Financial risk management (cont.)

(3) Price risk

ANNUAL REPORT
30 June 2018

Price risk relates to the risk that the fair value or future cash flows of a financial instrument will fluctuate because of
changes in market prices. The Group does not presently hold material amounts subject to price risk. As such the
Board considers price risk as a low risk to the Group.

i. Sensitivity Analyses

The following table illustrates sensitivities to the Group's exposures to changes in interest rates. The table indicates the
impact on how profit and equity values reported at balance sheet date would have been affected by changes in the
relevant risk variable that management considers to be reasonably possible. These sensitivities assume that the
movement in a particular variable is independent of other variables. Foreign exchange risk relates solely to the translation
of the Group’s foreign subsidiary, and as such has no effect on profit.

(1) Interest rates

Year ended 30 June 2018

±100 basis points change in interest rates
Year ended 30 June 2017

±100 basis points change in interest rates

(2) Foreign exchange

Year ended 30 June 2018

Profit
$

Equity
$

± 10,786

± 20,382

Profit
$

Equity
$

±10% of Australian dollar strengthening/weakening against the PHP

± nil

± 6,628

Year ended 30 June 2017

±10% of Australian dollar strengthening/weakening against the PHP

± nil(i)

± 23,198

(i) No effect as this relates solely to the translation of the foreign entity.

ii. Net Fair Values

(1) Fair value estimation

The fair values of financial assets and financial liabilities are presented in the table in Note 27a and can be compared
to their carrying values as presented in the statement of financial position. Fair values are those amounts at which
an asset could be exchanged, or a liability settled, between knowledgeable, willing parties in an arm's length
transaction.

Financial instruments whose carrying value is equivalent to fair value due to their nature include:

Cash and cash equivalents;
Trade and other receivables; and
Trade and other payables.

The methods and assumptions used in determining the fair values of financial instruments are disclosed in the
accounting policy notes specific to the asset or liability.

P a g e | 47

ANNUAL REPORT
30 June 2018

Notes to the consolidated financial statements
for the year ended 30 June 2018

INTIGER GROUP LIMITED
AND CONTROLLED ENTITIES
ABN 71 098 238 585

Events subsequent to reporting date

Note 28
On 22 August 2018, the company announced that it has received binding commitments from institutional and sophisticated
investors for a placement of $3,000,000 which will be completed by way of a two-tranche placement. The first tranche being
issued within the Company existing ASX listing Rule 7.1 placement capacity to issue 100,000,000 shares at $0.01 per share,
together with one free attaching unlisted option to acquire a share for every tranche one share.

The second tranche being subject to shareholder approval at the Company’s general meeting of shareholder on or about
5 October 2018, is to issue 200,000,000 shares at $0.01 per share, together with one free attaching unlisted option to acquire a
share for every second tranche share.

On 29 August 2018, the Company issued the shares for the first tranche and received $1,000,000 for the issue of 100,000,000
shares at $0.01 per share.

There are other no material events subsequent to reporting date.

Note 29

Parent entity disclosures

a. Financial Position of Intiger Group Limited

Current assets

Non-current assets

Total assets

Current liabilities

Total liabilities

Net assets

Equity

Issued capital

Reserve

Accumulated losses

Total equity

b. Financial performance of Intiger Limited

Profit / (loss) for the year

Other comprehensive income

Total comprehensive income

2018
$

2017
$

819,579

4,121,712

1,657,269

2,908,113

4,941,291

4,565,382

587,980

343,716

4,353,311

4,221,666

43,322,215

39,833,804

2,990,807

2,188,004

(41,959,711)

(37,800,142)

4,353,311

4,221,666

(2,543,663)

(3,815,364)

(2,543,663)

(3,815,364)

c. Guarantees entered into by Intiger Group Limited for the debts of its subsidiaries

There are no guarantees entered into by Intiger Limited for the debts of its subsidiaries as at 30 June 2018 (2017: none).

P a g e | 48

INTIGER GROUP LIMITED
AND CONTROLLED ENTITIES
ABN 71 098 238 585

Directors' declaration

ANNUAL REPORT
30 June 2018

The Directors of the Company declare that:

1. The financial statements and notes, as set out on pages 15 to 48, are in accordance with the Corporations Act 2001 (Cth)

and:

(a) comply with Accounting Standards;

(b) are in accordance with International Financial Reporting Standards issued by the International Accounting Standards

Board, as stated in Note 1 to the financial statements; and

(c) give a true and fair view of the financial position as at 30 June 2018 and of the performance for the year ended on that

date of the Group.

(d) the Directors have been given the declarations required by s.295A of the Corporations Act 2001 (Cth);

in the directors' opinion there are reasonable grounds to believe that the Company will be able to pay its debts as and when
they become due and payable, based on the factors outlined in Note 1a.ii. Going Concern.

This declaration is made in accordance with a resolution of the Board of Directors and is signed for and on behalf of the
directors by:

PATRICK CANION

Non-executive Chairman

Dated this Thursday, 27 September 2018

P a g e | 49

ANNUAL REPORT
30 June 2018

Independent auditor's report

TO BE REPLACED BY AUDITORS REPORT

INTIGER GROUP LIMITED
AND CONTROLLED ENTITIES
ABN 71 098 238 585

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INTIGER GROUP LIMITED
AND CONTROLLED ENTITIES
ABN 71 098 238 585

ANNUAL REPORT
30 June 2018

P a g e | 51

ANNUAL REPORT
30 June 2018

INTIGER GROUP LIMITED
AND CONTROLLED ENTITIES
ABN 71 098 238 585

P a g e | 52

INTIGER GROUP LIMITED
AND CONTROLLED ENTITIES
ABN 71 098 238 585

ANNUAL REPORT
30 June 2018

P a g e | 53

ANNUAL REPORT
30 June 2018

INTIGER GROUP LIMITED
AND CONTROLLED ENTITIES
ABN 71 098 238 585

P a g e | 54

INTIGER GROUP LIMITED
AND CONTROLLED ENTITIES
ABN 71 098 238 585

Corporate governance statement

ANNUAL REPORT
30 June 2018

This Corporate Governance Statement is current as at 27 September 2018 and has been approved by the Board of the Company.

This Corporate Governance Statement discloses the extent to which the Company will follow the recommendations set by the
ASX Corporate Governance Council in its publication Corporate Governance Principles and Recommendations 3rd Edition
(Recommendations). The Recommendations are not mandatory, however the Recommendations that will not be followed have
been identified and reasons for not following them, along with what (if any) alternative governance practices have been
adopted in lieu of the Recommendation.

The Company has adopted Corporate Governance Policies which provide written terms of reference for the Company’s
corporate governance practices. The Board of the Company has not yet formed an audit committee, nomination committee,
risk management committee or remuneration committee.

The Company’s Corporate Governance Policies are contained within the Corporate Governance Plan and available on the
Company’s website at www.intigergrouplimited.com.au.

PRINCIPLE 1: LAY SOLID FOUNDATIONS FOR MANAGEMENT AND OVERSIGHT

Roles of the Board & Management

The role of the Board is to provide overall strategic guidance and effective oversight of management. The Board derives its
authority to act from the Company’s Constitution.

The Board is responsible for, and has the authority to determine all matters relating to the strategic direction, policies, practices,
establishing goals for management and the operation of the Company. The Board shall delegate responsibility for the day-to-
day operations and administration of the Company to the Chief Executive Officer.

The role of management is to support the Chief Executive Officer and implement the running of the general operations and
financial business of the Company, in accordance with the delegated authority of the Board.

In addition to matters it is expressly required by law to approve, the Board has reserved the following matters to itself:

Driving the strategic direction of the Company, ensuring appropriate resources are available to meet objectives and

monitoring management’s performance;

Appointment, and where necessary, the replacement, of the Chief Executive Officer and other senior executives and the

determination of their terms and conditions including remuneration and termination;

Approving the Company’s remuneration framework;

Monitoring the timeliness and effectiveness of reporting to Shareholders;

Reviewing and ratifying systems of audit, risk management and internal compliance and control, codes of conduct and legal

compliance to minimise the possibility of the Company operating beyond acceptable risk parameters;

Approving and monitoring the progress of major capital expenditure, capital management and significant acquisitions and

divestitures;

Approving and monitoring the budget and the adequacy and integrity of financial and other reporting such that the financial

performance of the company has sufficient clarity to be actively monitored;

Approving the annual, half yearly and quarterly accounts;

Approving significant changes to the organisational structure;

Approving decisions affecting the Company’s capital, including determining the Company’s dividend policy and declaring

dividends;

Ensuring a high standard of corporate governance practice and regulatory compliance and promoting ethical and

responsible decision making;

Procuring appropriate professional development opportunities for Directors to develop and maintain the skills and

knowledge needed to perform their role as Directors effectively;

P a g e | 55

ANNUAL REPORT
30 June 2018

Corporate governance statement

INTIGER GROUP LIMITED
AND CONTROLLED ENTITIES
ABN 71 098 238 585

Ensuring that the Company acts legally and responsibly on all matters and assuring itself that the Company has adopted,

and that its practice is consistent with, a number of guidelines including:

− Corporate Code of Conduct;

− Continuous Disclosure Policy;

− Diversity Policy;

− Performance Evaluation;

− Procedures for Selection and Appointment of Directors;

− Risk Management Review Procedure and Internal Compliance and Control Policy;

− Trading Policy; and

− Shareholder Communication Strategy.

Subject to the specific authorities reserved to the Board under the Board Charter, the Board delegates to the Chief Executive
Officer responsibility for the management and operation of Intiger. The Chief Executive Officer is responsible for the day-to-day
operations, financial performance and administration of Intiger within the powers authorised to him from time-to-time by the
Board. The Chief Executive Officer may make further delegation within the delegations specified by the Board and will be
accountable to the Board for the exercise of those delegated powers.

Further details of Board responsibilities, objectives and structure are set out in the Board Charter which is contained within the
Corporate Governance Place available on the Intiger website.

Board Committees

The Board considers that the Company is not currently of a size, nor are its affairs of such complexity to justify the formation of
separate committees at this time including audit and risk, remuneration or nomination committees, preferring at this stage of
the Company’s development, to manage the Company through the full Board of Directors. The Board assumes the
responsibilities normally delegated to the audit and risk, remuneration and nomination Committees.

If the Company’s activities increase, in size, scope and nature, the appointment of separate committees will be reviewed by the
Board and implemented if appropriate.

Board Appointments

The Company undertakes comprehensive reference checks prior to appointing a director, or putting that person forward as a
candidate to ensure that person is competent, experienced, and would not be impaired in any way from undertaking the duties
of director. The Company provides relevant information to shareholders for their consideration about the attributes of
candidates together with whether the Board supports the appointment or re-election.

The terms of the appointment of a non-executive director, executive directors and senior executives are agreed upon and set
out in writing at the time of appointment.

The Company Secretary

The Company Secretary is accountable directly to the Board, through the Chairman, on all matters to do with the proper
functioning of the Board, including agendas, Board papers and minutes, advising the Board and its Committees (as applicable)
on governance matters, monitoring that the Board and Committee policies and procedures are followed, communication with
regulatory bodies and the ASX and statutory and other filings.

Diversity

The Board has adopted a Diversity Policy which provides a framework for the Company to establish and achieve measurable
diversity objectives, including in respect to gender, age, ethnicity and cultural diversity. The Diversity Policy allows the Board
to set measurable gender diversity objectives (if considered appropriate) and to assess annually both the objectives (if any have
been set) and the Company’s progress towards achieving them.

P a g e | 56

INTIGER GROUP LIMITED
AND CONTROLLED ENTITIES
ABN 71 098 238 585

Corporate governance statement

ANNUAL REPORT
30 June 2018

The Board considers that, due to the size, nature and stage of development of the Company, setting measurable objectives for
the Diversity Policy at this time is not appropriate. The Board will consider setting measurable objectives as the Company
increases in size and complexity.

The participation of women in the Company at the date of this report is as follows:

Women employees in the Company

Women in senior management positions

Women on the Board

62.5%

16.7%

0.00%

The Company’s Diversity Policy is contained within the Corporate Governance Plan and is available on its website.

Board & Management Performance Review

On an annual basis, the Board conducts a review of its structure, composition and performance.

The annual review includes consideration of the following measures:

comparing the performance of the Board against the requirements of its Charter;

assessing the performance of the Board over the previous 12 months having regard to the corporate strategies, operating

plans and the annual budget;

reviewing the Board’s interaction with management;

reviewing the type and timing of information provided to the Board by management;

reviewing management’s performance in assisting the Board to meet its objectives; and

identifying any necessary or desirable improvements to the Board Charter.

The method and scope of the performance evaluation will be set by the Board and may include a Board self-assessment checklist
to be completed by each Director. The Board may also use an independent adviser to assist in the review.

The Chairman has primary responsibility for conducting performance appraisals of Non-Executive Directors, in conjunction with
them, having particular regard to:

contribution to Board discussion and function;

degree of independence including relevance of any conflicts of interest;

availability for and attendance at Board meetings and other relevant events;

contribution to Company strategy;

membership of and contribution to any Board committees; and

suitability to Board structure and composition.

The Board conducts an annual performance assessment of the Chief Executive Officer against agreed key performance
indicators.

Board and management performance reviews were conducted during the year in accordance with the above processes.

Independent Advice

Directors have a right of access to all Company information and executives. Directors are entitled, in fulfilling their duties and
responsibilities, may seek independent external professional advice as considered necessary at the expense of the Company,
subject to prior consultation with the Chairman. A copy of any such advice received is made available to all members of the
Board.

P a g e | 57

ANNUAL REPORT
30 June 2018

Corporate governance statement

PRINCIPLE 2: STRUCTURE THE BOARD TO ADD VALUE

Board Composition

INTIGER GROUP LIMITED
AND CONTROLLED ENTITIES
ABN 71 098 238 585

The Company only listed on 13 July 2016 and as at the date of this report the Board was comprised of the following members:

Mr Patrick Canion

Non-Executive Chairman (appointed 17 August 2016);

Mr Mark Fisher

Mr Tony Chong

Managing Director (appointed 17 August 2016);

Non-Executive Director (appointed 7 August 2017); and

Mr Mathew Walker

Non-Executive Director (appointed 1 August 2014; ceased 7 August 2017).

As announced to the market on 31 May 2018, Mr Mark Fisher stepped aside for several months whilst he recovers from surgery.
Mark continues as Executive Director of Intiger, though he is not performing any operational duties. Mr George Jaja was
appointed as Acting Chief Executive Officer but he is not a director of the Company.

The Board consists of a majority of Non-Executive Directors.

Intiger has adopted a definition of 'independence' for Directors that is consistent with the Recommendations.

Mr Fisher is not considered to be independent as he is an executive of the Company.

Board Selection Process

The Board considers that a diverse range of skills, backgrounds, knowledge and experience is required in order to effectively
govern Intiger. The Board believes that orderly succession and renewal contributes to strong corporate governance and is
achieved by careful planning and continual review.

The Board is responsible for the nomination and selection of directors. The Board reviews the size and composition of the
Board regularly and at least once a year as part of the Board evaluation process.

The Board will establish a Board Skills Matrix. The Board Skills Matrix will include the following areas of knowledge and
expertise:

Strategic expertise;

Specific industry knowledge;

Accounting and finance;

Risk management;

Experience with financial markets; and

Investor relations.

Induction of New Directors and Ongoing Development

New Directors are issued with a formal Letter of Appointment that sets out the key terms and conditions of their appointment,
including Director's duties, rights and responsibilities, the time commitment envisaged, and the Board's expectations regarding
involvement with any Committee work.

An induction program is in place and new Directors are encouraged to engage in professional development activities to develop
and maintain the skills and knowledge needed to perform their role as Directors effectively.

P a g e | 58

INTIGER GROUP LIMITED
AND CONTROLLED ENTITIES
ABN 71 098 238 585

Corporate governance statement

PRINCIPLE 3: ACT ETHICALLY AND RESPONSIBLY

ANNUAL REPORT
30 June 2018

The Company has implemented a Code of Conduct, which provides a framework for decisions and actions in relation to ethical
conduct in employment. It underpins the Company’s commitment to integrity and fair dealing in its business affairs and to a
duty of care to all employees, clients and stakeholders.

All employees and Directors are expected to:

respect the law and act in accordance with it;

maintain high levels of professional conduct;

respect confidentiality and not misuse Company information, assets or facilities;

avoid real or perceived conflicts of interest;

act in the best interests of shareholders;

by their actions contribute to the Company’s reputation as a good corporate citizen which seeks the respect of the

community and environment in which it operates;

perform their duties in ways that minimise environmental impacts and maximise workplace safety;

exercise fairness, courtesy, respect, consideration and sensitivity in all dealings within their workplace and with customers,

suppliers and the public generally; and

act with honesty, integrity, decency and responsibility at all times.

An employee that breaches the Code of Conduct may face disciplinary action including, in the cases of serious breaches,
dismissal. If an employee suspects that a breach of the Code of Conduct has occurred or will occur, he or she must report that
breach to the Company Secretary. No employee will be disadvantaged or prejudiced if he or she reports in good faith a
suspected breach. All reports will be acted upon and kept confidential.

PRINCIPLE 4: SAFEGUARD INTEGRITY IN CORPORATE REPORTING

The Board as a whole fulfils to the functions normally delegated to the Audit Committee as detailed in the Audit and Risk
Committee Charter.

The Board is responsible for the initial appointment of the external auditor and the appointment of a new external auditor
when any vacancy arises. Candidates for the position of external auditor must demonstrate complete independence from the
Company through the engagement period. The Board may otherwise select an external auditor based on criteria relevant to
the Company’s business and circumstances. The performance of the external auditor is reviewed on an annual basis by the
Board.

The Board receives regular reports from management and from external auditors. It also meets with the external auditors as
and when required.

The external auditors attend Intiger's AGM and are available to answer questions from security holders relevant to the audit.

Prior approval of the Board must be gained for non-audit work to be performed by the external auditor. There are qualitative
limits on this non-audit work to ensure that the independence of the auditor is maintained.

There is also a requirement that the lead engagement partner responsible for the audit not perform in that role for more than
five years.

P a g e | 59

ANNUAL REPORT
30 June 2018

Corporate governance statement

CEO and CFO Certifications

INTIGER GROUP LIMITED
AND CONTROLLED ENTITIES
ABN 71 098 238 585

The Board, before it approves the entity’s financial statements for a financial period, receives from its CEO and CFO (or, if none,
the persons fulfilling those functions) a declaration provided in accordance with Section 295A of the Corporations Act that, in
their opinion, the financial records of the entity have been properly maintained and that the financial statements comply with
the appropriate accounting standards and give a true and fair view of the financial position and performance of the entity and
that the opinion has been formed on the basis of a sound system of risk management and internal control which is operating
effectively.

PRINCIPLE 5: MAKE TIMELY AND BALANCED DISCLOSURE

The Company has a Continuous Disclosure Policy which outlines the disclosure obligations of the Company as required under
the ASX Listing Rules and Corporations Act. The policy is designed to ensure that procedures are in place so that the market is
properly informed of matters which may have a material impact on the price at which Company securities are traded.

The Board considers whether there are any matters requiring disclosure in respect of each and every item of business that it
considers in its meetings. Individual Directors are required to make such a consideration when they become aware of any
information in the course of their duties as a Director of the Company.

The Company is committed to ensuring all investors have equal and timely access to material information concerning the
Company.

The Board has designated the Company Secretary as the person responsible for communicating with the ASX. All key
announcements at the discretion of the Chief Executive Officer are to be circulated to and reviewed by all members of the
Board.

The Chairman, the Board, Chief Executive Officer and the Company Secretary are responsible for ensuring that:

a) Company announcements are made in a timely manner, that announcements are factual and do not omit any material

information required to be disclosed under the ASX Listing Rules and Corporations Act; and

b) Company announcements are expressed in a clear and objective manner that allows investors to assess the impact of the

information when making investment decisions.

PRINCIPLE 6: RESPECT THE RIGHTS OF SECURITY HOLDERS

The Company recognises the value of providing current and relevant information to its shareholders. The Board of the Company
aims to ensure that the shareholders are informed of all major developments affecting the Company’s state of affairs.

The Company respects the rights of its shareholders and to facilitate the effective exercise of those rights the Company is
committed to:

communicating effectively with shareholders through releases to the market via ASX, the company website, information

posted or emailed to shareholders and the general meetings of the Company;

giving shareholders ready access to clear and understandable information about the Company; and

making it easy for shareholders to participate in general meetings of the Company.

The Company also makes available a telephone number and email address for shareholders to make enquiries of the
Company. These contact details are available on the “Contact” page of the Company’s website.

Shareholders may elect to, and are encouraged to, receive communications from Intiger and Intiger's securities registry
electronically. The contact details for the registry are available on the “Contact Us” page of the Company’s website.

The Company maintains information in relation to its Constitution, governance documents, Directors and senior executives,
Board and committee charters, annual reports and ASX announcements on the Company’s website.

P a g e | 60

INTIGER GROUP LIMITED
AND CONTROLLED ENTITIES
ABN 71 098 238 585

Corporate governance statement

PRINCIPLE 7: RECOGNISE AND MANAGE RISK

ANNUAL REPORT
30 June 2018

The Board is committed to the identification, assessment and management of risk throughout Intiger's business activities.

The Board is responsible for the oversight of the Company’s risk management and internal compliance and control framework.
The Company does not have an internal audit function. Responsibility for control and risk management is delegated to the
appropriate level of management within the Company with the Chief Executive Officer having ultimate responsibility to the
Board for the risk management and internal compliance and control framework. Intiger has established policies for the
oversight and management of material business risks.

Intiger's Risk Management and Internal Compliance and Control Policy recognises that risk management is an essential element
of good corporate governance and fundamental in achieving its strategic and operational objectives. Risk management
improves decision making, defines opportunities and mitigates material events that may impact security holder value.

Intiger believes that explicit and effective risk management is a source of insight and competitive advantage. To this end, Intiger
is committed to the ongoing development of a strategic and consistent enterprise wide risk management program, underpinned
by a risk conscious culture.

Intiger accepts that risk is a part of doing business. Therefore, the Company’s Risk Management and Internal Compliance and
Control Policy is not designed to promote risk avoidance. Rather Intiger's approach is to create a risk conscious culture that
encourages the systematic identification, management and control of risks whilst ensuring we do not enter into unnecessary
risks or enter into risks unknowingly.

Intiger assesses its risks on a residual basis; that is, it evaluates the level of risk remaining and considering all the mitigation
practices and controls. Depending on the materiality of the risks, Intiger applies varying levels of management plans.

The Board has required management to design and implement a risk management and internal compliance and control system
to manage Intiger’s material business risks. It receives regular reports on specific business areas where there may exist
significant business risk or exposure. The Company faces risks inherent to its business, including economic risks, which may
materially impact the Company’s ability to create or preserve value for security holders over the short, medium or long term.
The Company has in place policies and procedures, including a risk management framework (as described in the Company’s
Risk Management and Internal Compliance and Control Policy), which is developed and updated to help manage these risks.
The Board does not consider that the Company currently has any material exposure to environmental or social sustainability
risks.

The Company’s process of risk management and internal compliance and control includes:

identifying and measuring risks that might impact upon the achievement of the Company’s goals and objectives, and

monitoring the environment for emerging factors and trends that affect those risks;

formulating risk management strategies to manage identified risks, and designing and implementing appropriate risk

management policies and internal controls; and

monitoring the performance of, and improving the effectiveness of, risk management systems and internal compliance and

controls, including regular assessment of the effectiveness of risk management and internal compliance and control.

The Board review’s the Company’s risk management framework at least annually to ensure that it continues to effectively
manage risk.

Management reports to the Board as to the effectiveness of Intiger’s management of its material business risks on at each
Board meeting.

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ANNUAL REPORT
30 June 2018

Corporate governance statement

PRINCIPLE 8: REMUNERATE FAIRLY AND RESPONSIBLY

INTIGER GROUP LIMITED
AND CONTROLLED ENTITIES
ABN 71 098 238 585

The Board as a whole fulfils to the functions normally delegated to the Remuneration Committee as detailed in the
Remuneration Committee Charter.

Intiger has implemented a Remuneration Policy which was designed to recognise the competitive environment within which
Intiger operates and also emphasise the requirement to attract and retain high calibre talent in order to achieve sustained
improvement in Intiger’s performance. The overriding objective of the Remuneration Policy is to ensure that an individual’s
remuneration package accurately reflects their experience, level of responsibility, individual performance and the performance
of Intiger.

The key principles are to:

review and approve the executive remuneration policy to enable the Company to attract and retain executives and Directors

who will create value for shareholders;

ensure that the executive remuneration policy demonstrates a clear relationship between key executive performance and

remuneration;

fairly and responsibly reward executives having regard to the performance of the Group, the performance of the executive

and the prevailing remuneration expectations in the market;

remunerate fairly and competitively in order to attract and retain top talent;

recognise capabilities and promote opportunities for career and professional development; and

review and approve equity-based plans and other incentive schemes to foster a partnership between employees and other

security holders.

The Board determines the Company’s remuneration policies and practices and assesses the necessary and desirable
competencies of Board members. The Board is responsible for evaluating Board performance, reviewing Board and
management succession plans and determines remuneration packages for the Chief Executive Officer, Non-Executive Directors
and senior management based on an annual review.

Intiger’s executive remuneration policies and structures and details of remuneration paid to directors and key management
personnel (where applicable) are set out in the Remuneration Report.

Non-Executive Directors receive fees (including statutory superannuation where applicable) for their services, the
reimbursement of reasonable expenses and, in certain circumstances options.

The maximum aggregate remuneration approved by shareholders for Non-Executive Directors is $300,000 per annum. The
Directors set the individual Non-Executive Directors fees within the limit approved by shareholders.

The total fees paid to Non-Executive Directors during the reporting period were $102,020. The Directors set the individual Non-
Executive Directors fees within the limit approved by shareholders.

Executive directors and other senior executives (where appointed) are remunerated using combinations of fixed and
performance-based remuneration. Fees and salaries are set at levels reflecting market rates and performance-based
remuneration is linked directly to specific performance targets that are aligned to both short- and long-term objectives.

In accordance with the Company’s Securities Trading policy, participants in an equity-based incentive scheme are prohibited
from entering into any transaction that would have the effect of hedging or otherwise transferring the risk of any fluctuation in
the value of any unvested entitlement in the Company’s securities to any other person.

Further details in relation to the Company’s remuneration policies are contained in the Remuneration Report, within the
Directors’ report.

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INTIGER GROUP LIMITED
AND CONTROLLED ENTITIES
ABN 71 098 238 585

Additional Information for Listed Public Companies

ANNUAL REPORT
30 June 2018

The following additional information is required by the Australian Securities Exchange in respect of listed public companies and
is applicable as at 18 September 2018.

Capital

a. Ordinary share capital

1,477,895,817 ordinary fully paid shares held by 2,531 shareholders.

b. Options over Unissued Shares and Performance Shares

◼ The Company has an additional 300,000,000 options on issue in accordance with section 9.1 of the Directors' Report

◼ The Company has 500,000,000 performance shares on issue, being 250,000,000 Class A Performance Shares and
250,000,000 Class B Performance Shares in accordance with Note 18b Performance shares of the financial
statements.

c. Voting Rights

The voting rights attached to each class of equity security are as follows:

◼ Ordinary shares: Each ordinary share is entitled to one vote when a poll is called, otherwise each member present

at a meeting or by proxy has one vote on a show of hands.

◼ Unlisted Options: Options do not entitle the holders to vote in respect of that equity instrument, nor participate
in dividends, when declared, until such time as the options are exercised or performance shares convert and
subsequently registered as ordinary shares.

d. Substantial Shareholders as at 18 September 2018.

Nil

e. Distribution of Shareholders as at 18 September 2018.

Category (size of holding)

Total Holders

Number
Ordinary

% Held of Issued
Ordinary Capital

1 – 1,000

1,001 – 5,000

5,001 – 10,000

10,001 – 100,000

100,001 – and over

153

930

1,329

2,531

18,403

87,589

717,372

47,192,467

0.00

0.01

0.05

3.19

1,429,879,986

96.75

1,477,895,817

100.00

f. Unmarketable Parcels as at 18 September 2018

As at 18 September 2018 there were 698 fully paid ordinary shareholders holding less than a marketable parcel of
shares, comprising 11,533,768 shares.

g. On-Market Buy-Back

There is no current on-market buy-back.

h. Restricted Securities

The Company has no restricted securities on issue.

P a g e | 63

ANNUAL REPORT
30 June 2018

INTIGER GROUP LIMITED
AND CONTROLLED ENTITIES
ABN 71 098 238 585

Additional Information for Listed Public Companies

i.
Rank Name

20 Largest Shareholders — Ordinary Shares as at as at 18 September 2018

Number of Ordinary
Fully Paid Shares Held

% Held of Issued Ordinary
Capital

The Trust Company (Australia) Limited

Mr Domenic Marino

Merrill Lynch (Australia) Nominees Pty Limited

Riverbank Investment Corporation Pty Ltd

Mr Richard Edward Poole

Citicorp Nominees Pty Limited

Priscilla Super Pty Ltd

Fire & Metal Pty Ltd

Mr Timothy Samuel White

10. Jakana Pty Ltd

11. Mr David Kenneth Anderson & Mrs Charmayne Anderson

12. Mr Amarjeet Sandhu

13. Mr Lee Francis Taylor

14. Mr Richard Anthony Wright & Ms Judith Denise Roberson

15. Mr Michael Peter Davis

16. Mrs Ann Maree Johnson

17. Pelagyia Pty Ltd

18. Nike Holdings Pty Limited

19. Insko Holdings Pty Ltd

20. Mr Lachlan William Kearney

TOTAL

Unquoted Securities

53,333,333

27,983,333

25,001,237

24,359,238

24,000,000

22,699,313

18,000,000

15,562,074

14,666,667

13,833,333

12,833,333

12,250,000

11,911,400

11,798,816

10,375,000

10,167,869

10,000,000

9,133,333

9,000,000

7,600,965

3.61

1.89

1.69

1.65

1.62

1.54

1.22

1.05

0.99

0.94

0.87

0.83

0.81

0.80

0.70

0.69

0.68

0.62

0.61

0.51

344,509,244

23.32

As at 18 September 2018, the following unquoted securities are on issue:

250,000,000 Class A Performance Shares – 4 holders

250,000,000 Class B Performance Shares – 4 holders

55,000,000 Options expiring 30 June 2020 @ $0.025 – 4 holders

40,000,000 Options Expiring 30 June 2020 @ $0.02 (subject to vesting) – 3 holders

105,000,000 Options expiring 31 October 2020 @ $0.015 – 62 holders

a. Holders with more than 20%

Name

Merrill Lynch (Australia) Nominees Pty Limited

The Company Secretary is Stephen Buckley

Principal registered office

As disclosed in Note 2 Company details on page 29 of this Annual Report.

Number

24,833,333

23.65%

P a g e | 64

INTIGER GROUP LIMITED
AND CONTROLLED ENTITIES
ABN 71 098 238 585

Additional Information for Listed Public Companies

Registers of securities

As disclosed in the Corporate directory on page i of this Annual Report.

Stock exchange listing

ANNUAL REPORT
30 June 2018

Quotation has been granted for all the ordinary shares of the Company on all Member Exchanges of the Australian
Securities Exchange Limited, As disclosed in the Corporate directory on page i of this Annual Report.

Use of funds

The Company has used its funds in accordance with its initial business objectives.

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