LookSmart Closes Book on Popular New Share Issue

Australian-founded search engine developer LookSmart has closed the book build
for its supplementary offering of equity on the Australian Stock Exchange
three times oversubscribed.

The listing of AUS$266 million (US$165 million) worth of securities, sold
by two existing shareholders, is expected to occur at 11am on the 25th of
February.

The price of the shares was set at AUS$3 (US$1.86) per CHESS Depository
Interests (CDI). The CDI will be exchangeable for LookSmart’s existing
shares on the NASDAQ exchange at a rate of 20 to one.

LookSmart’s
NASDAQ-listed shares closed at AUS$66.33 (US$41.13) on Thursday, meaning
that the new shareholders could get a premium of as much as 10 per cent.

LookSmart said the 88.8 million CDIs represented about five per cent of the
issued capital of the company, which is valued at AUS$5.7 billion (US$3.5
billion).