Collaborate : 09/01/17 Updated Securities Trading Policy

ASX ANNOUNCEMENT 9 JANUARY 2017

UPDATED SECURITIES TRADING POLICY

Collaborate Corporation Limited (ASX:CL8) advises that its Securities Trading Policy has been updated to reflect additional circumstances which were not previously considered in the Policy.

The amendment made will ensure that the directors and employees of Collaborate are able to exercise options during closed periods as defined in the Policy. The directors consider this change to be consistent with the objective of the Company's Securities Trading Policy which accommodates dealings in certain specific situations, particularly those where there is no underlying change in the beneficial interests of Collaborate securities.

Importantly, the change will ensure that the directors and employees of Collaborate will be permitted to convert their quoted CL8O options which are exercisable at $0.02 per option and are due to expire on 30 April 2017 during the Closed Period which will commence on 1 April 2017 and end on the day the Appendix 4C - March 2017 Quarterly Report is lodged with ASX.

Notwithstanding the update made, the subsequent sale of the shares issued upon exercise of options remain subject to the terms of the Securities Trading Policy.

A copy of the updated Securities Trading Policy is attached, and a copy is also available at http://collaboratecorp.com/investor-relations/corporate-governance/.

Authorised by:

Karen Logan Company Secretary

Collaborate Corporation Limited

About Collaborate Corporation Limited

Collaborate Corporation Limited is listed on the Australian Securities Exchange (ASX:CL8). It is Australia's leading listed company focused on 'collaborative consumption', 'peer-to-peer' or 'sharing economy' businesses. Collaborate currently has two core business segments: www.DriveMyCar.com.au Australia's leading peer-to-peer car rental business and www.MyCaravan.com.au Australia's leading peer-to-peer caravan rental business and will launch www.Mobilise.com in 2017, a rental marketplace for under-utilised assets. Collaborate has a material investment in FundX, a peer-to-peer invoice discounting and SME lending platform. Through our proprietary trust and reputation platform, www.peerpass.com.au we create 'trust' between individuals and make it possible for people to safely transact with each other in the sharing economy.

Suite 1, Level 6, 20 Loftus Street, Sydney NSW 2000 Tel: [phone] E: [e-mail] W: www.collaboratecorp.com

ACN 066 153 982

A C N 0 6 6 1 5 3 9 8 2

SECURITIES TRADING POLICY

Approved by the Board of Collaborate Corporation Limited on 9 January 2017.

Securities Trading Policy

TABLE OF CONTENTS

1. INTRODUCTION 3

2. INSIDER TRADING PROHIBITION 3

3. The nature of the Prohibition 3

4. How You Become Aware of the Information is Irrelevant 3

5. Information Which Might Affect Price Value 3

6. What Does Information Include? 3

7. What Information Might Materially Affect Price or Value? 3

8. What does "Unpublished" Mean? 4

9. OTHER RELEVANT CORPORATIONS ACT PROVISIONS 4

10. No Improper Use of Inside Information (s.183 and s.184) 4

11. No Gain by Improper Use of Position (s.182 and s.184) 4

12. Care and Diligence (s.180) 4

13. Good Faith (s.181 and s.184) 4

14. DEALING IN COMPANY SECURITIES 5

15. No Dealing Permitted During a Closed Period 5

16. Requirement to Notify Before Dealing 5

17. Prohibition in Dealing While in Possession of Relevant Information and During a Prohibited Period 5 4.4 Prohibition on Active Dealing 5

19. The Effect of Notification 5

20. Written Clearance to Deal During the Closed Period 6

21. Confirmation of Dealing that has Occurred 6

22. Notice of Change to Trading Period or Closed Period 6

23. Director Requirement to Report to the market: Listing Rule 3.19A 6

1. PROHIBITION IN DEALING IN FINANCIAL PRODUCTS ISSUED OVER COMPANY SECURITIES BY THIRD PARTIES 6

2. PROHIBITION ON DERIVATIVES AND HEDGING ARRANGEMENTS OVER COMPANY SECURITIES 7

3. RELATED PARTIES AND RELEVANT INTERESTS 7

4. DEALING NOT SUBJECT TO THE SECURITIES TRADING POLICY 7

5. EMPLOYMENT AND MONITORING OF COMPLIANCE 8

6. CONCLUSION 8

DEFINITIONS 9

ATTACHMENT A - NOTIFICATION FORM TO DEAL IN COMPANY SECURITIES 10

ATTACHMENT B - NOTIFICATION OFFICERS 11

January 2017 2

Securities Trading Policy

1. INTRODUCTION

   Employees and directors of Collaborate Corporation Limited (the Company) may have in their possession sensitive commercial information which could materially affect the value of financial products traded on ASX markets.

   Even the suggestion of insider trading by an employee or director would do great harm to the employee/director and also to the Company irrespective of whether insider trading actually occurs or is proven. The Corporations Act prohibits insider trading in relation to financial products. The provisions are wide-ranging and breaches are considered serious offences.

   This document:

2. provides an outline of the insider trading and other relevant provisions of the Corporations Act;

3. sets out the rules relating to dealings by employees and directors in securities issued by the Company; and

4. sets out the rules relating to dealings by employees and directors in financial products issued over the Company's securities by third parties such as warrants, options and futures.

5. The Securities Trading Policy (the Policy) is designed to assist in preventing breaches of the insider trading provisions of the Corporations Act. Ultimately it is the responsibility of the employee and director to ensure that none of his or her dealings could constitute insider trading.

6. INSIDER TRADING PROHIBITION

   2.1 The nature of the Prohibition

   Section 1043A (of Part 7.10, Division 3) of the Corporations Act makes it an offence for a person in possession of information that is not generally available but which, if generally available, might materially impact the price or value of a financial product to:

   • trade in (i.e. apply for, acquire or dispose of, or enter into an agreement to do any of these things); or

   • procure another person to trade in, financial products (collectively referred to as "deal in financial products").

7. It is also an offence to "tip" the information to another person with the knowledge that the person could deal in financial products. Accordingly the effect of this section cannot be avoided by simply getting another person to deal on your behalf.

8. How You Become Aware of the Information is Irrelevant

   It is irrelevant how or in what capacity the person came into possession of the information.

   This means that s.1043A will apply to any employee or director who acquires "inside information" in relation to a financial product, no matter in which capacity.

9. Information Which Might Affect Price Value

   The prohibition referred to in Clauses 2.1 and 4.3 refers to unpublished information which, if generally available, might materially impact the price or value of financial products.

10. What Does Information Include?

    "Information" includes matters of supposition or speculation and matters relating to the intentions or likely intentions of a person.

11. What Information Might Materially Affect Price or Value?

This means information that a reasonable person would expect to have a material effect on the price or value of financial products. A reasonable person would be taken to expect information to have a material effect on price or value if the information would be likely to influence persons who commonly invest in financial products whether or not to do so.

December 2014 3