Ann: Response to ASX Query, page-20

From the most recent letter to shareholders:

”The initial approach to the Company was in separate phone calls by two individuals (Nathan Lude and Bevan Tarratt – refer paragraph 2(f) above) to individual Directors (Christian Behrenbruch and Cherrell Hirst). Mr Lude and Mr Tarratt identified themselves as representatives of “unrelated parties” and claimed to collectively hold 200 million shares in the Company; they verbally requested Board representation on this basis alone.” 

”With no substantial shareholder notice having been filed and with the share register on 24 January 2019 listing both PVD and Freshero as holding less than 5% of your Company, the request for board representation was declined.”

“In your Board’s view, the Requisitioned Resolutions represent an opportunistic attempt by the Requisitioners to take control of Factor at the board level without making an offer and having paid any premium to shareholders to enable it do so, and at a time when the results of our efforts to restructure the Company are hopefully starting to come to fruition, as illustrated above and in our recent announcements to the market.”

“Your Board can only conclude that Pura Vida and Freshero are opportunists that have no plans for your Company other than to obtain Board control without making an offer.”