ASF GROUP LIMITED — Capital/Financing Update 2018

Oct 2, 2018

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ASF GROUP LIMITED ACN 008 924 570 Bennelong, 2/3B Macquarie Street Sydney NSW 2000 Telephone: (61 2) 9251 9088 Facsimile: (61 2) 9251 9066 www.asfgroupltd.com

3 October 2018

The Manager Company Announcements Australian Stock Exchange Ltd 20 Bridge Street Sydney 2000 via: www.asxonline.com

Dear Sir/Madam

SYTECH Framework Agreement

ASF Group Limited (“ ASF” ) is pleased to announce that ASF Technologies Ltd (“ ASFT ”), a wholly owned subsidiary incorporated in Hong Kong and the holder of SYTECH technologies and Chinese patent (“ SYTECH ”), has entered into a Framework Agreement (“ Agreement ”) with Crystal Profit Ventures Limited (“ CPV ”) pursuant to which CPV agrees to work with ASFT to develop the SYTECH technology and grant a loan facility of up to A$8 million (“ Loan ”) to ASFT for a term of 2 years and at the interest rate of 8% per annum.

Pursuant to the Agreement, 50% of the Loan (equivalent to A$4 million) is a convertible loan, which can be converted into issued capital of ASFT. In the event that CPV elects not to convert the Loan into shares of ASFT, ASFT shall on the maturity date repay all outstanding Loans together with accrued interest to CPV.

The Loan can be drawn down from time to time upon issuing drawdown notices to CPV. As of the date of this announcement, A$1 million of the Loan has been drawn down by ASFT.

Information about SYTECH

Developed by ASF Technologies Ltd. (wholly owned subsidiary of ASF Group Ltd), the Scotch Yoke Technology (SYTECH) is a method of converting reciprocating motion into rotary motion within an internal combustion engine as applied to advanced range extender systems for electric powertrains, automotive main engines, auxiliary power units, and related power systems, components and software.

Information about ASF

ASF Group Limited (ASX: AFA) is unique among ASX-listed public companies as it powers business between the East and West. ASF is an investment and trading house which focuses principally on the identification, incubation and realization of opportunities in areas of synergy between China, Australia, UK and Europe including new energy, mining & resources, property, infrastructure, venture capital and financial services.

Geoff Baker Director Ph: +612 9251 9088