CHALLENGER LIMITED — M&A Activity 2021

==> picture [595 x 159] intentionally omitted <==

CUP ASX ANNOUNCEMENT

COUNTPLUS COMPLETES ACQUISTION OF ACCURIUM

1 November 2021

CountPlus Limited ( ASX: CUP ) has today completed the acquisition of Accurium Pty Ltd (Accurium) from Challenger Limited ( ASX:CGF ), as previously announced on 20 October 2021.

CountPlus holds an 85% shareholding in Accurium with Key Management Personnel of Accurium holding 15%, aligning with the CountPlus Owner Drive-Partner (OD-P[TM] ) strategy.

Accurium is Australia’s largest supplier of Self-Managed Superannuation Fund (SMSF) Actuarial certificates, with circa 45% market share, providing actuarial certificates direct via an online portal or through integration with leading SMSF accounting software platforms.

Revenue for Accurium in FY2021 was $7.1 million and EBITA $2.8 million.

The acquisition was funded by a combination of cash and debt.

Challenger is to provide transitional services to Accurium for up to 12 months following the acquisition.

No regulatory or shareholder approvals were required.

Strategic Rationale

CUP has previously announced making investments in “core-related” diversification activities. These are opportunities to invest in activities that are concerned with inputs / outputs (downstream) into core firm related activities. Its preference is to make investments into activities that have a regulatory aspect or that enable/enhance core firm activities.

These “core-related” investments have a subscription style revenue or margin share style revenue, are high needs based linked to deliverables, have a B2B regulatory capability overlay and are technology enabled.

CUP's acquisition of Wealth Axis on 28 May 2021 was the first of such core-related investments. Wealth Axis is a provider of paraplanning, administration and technology support services to financial advice firms.

About Accurium

Accurium is an online service provider and highly automated using proprietary actuarial calculators. It is technology enabled with an ability to scale up as an ageing population transition their SMSF’s to retirement phase. Accurium estimates the current addressable market for SMSF Actuarial certificates is circa 140,000 funds.

Accurium is also one of the largest education providers in the SMSF space. Over 18,000 CPD hours were provided by webinars in the last year. As an SMSF Association Accredited Educator, Accurium provides SMSF Association and FASEA accredited Continuing

1 | ASX Announcement – CUP

==> picture [595 x 159] intentionally omitted <==

Professional Development (CPD) through a range of media available on the TechHub platform.

Accurium won the CoreData Actuarial Certificate Provider award in 2021, 2020 and 2019 and in 2021 was the winner of the SMSF Education category of the SMSF Adviser Awards.

Accurium has over 2,800 Accounting Firms and circa 11,000 SMSF Professional Advisers as subscribers of its education offering. In FY2021 these subscribers accessed over 140,000 resources on the Accurium TechHub.

Accurium is on a pathway to commercialise its leading SMSF education content and build out a subscription-based education business for SMSF Professional Advisers, Accountants and Financial Advisers.

For further information please contact:

Matthew Rowe Laurent Toussaint Chief Executive Officer and Managing Director Chief Financial Officer T 02 8218 8778 T 02 8218 8778 E [email protected] E [email protected] www .countplus.com.au

Authorised for release to the ASX by the CountPlus Limited Board of Directors.

2 | ASX Announcement – CUP