CODEIFAI LIMITED — Capital/Financing Update 2015

Apr 26, 2015

ASX: YPB

ASX/MEDIA ANNOUNCEMENT

27[th] April 2015

YPB Group signs LOI to provide Anti-counterfeit Solutions to US online retailer

Key points

• YPB signs LOI as exclusive anti-counterfeit solution provider for US-based online retailer, LegacyXChange.

• YPB will use its unique anti-counterfeit products and technology to protect online sales from the LegacyXChange platform.

• LegacyXChange is a soon to be launched online retailer focused on the sports memorabilia market – plans to launch Q2, 2015.

• Through the agreement YPB will protect thousands of memorabilia products of athletes and celebrities in the USA.

• YPB has developed innovative solutions in tagging and authenticating online retail purchases.

• The agreement allows YPB to gain significant marketing exposure through USA television and media.

The Board of Anti-counterfeiting technology Company YPB Group Limited (ASX: YPB) (YPB, the Company) is pleased to announce that it has signed a Letter of Intent (LOI) with US online retailer LegacyXChange to be its exclusive anti-counterfeit technology provider.

YPB has worked with LegacyXChange to create an authentication solution for end consumers, which provides confidence for LegacyXChange, its customers and the brands it represents over the authenticity of its product lines, while also laying a foundation for significant further business opportunities for YPB.

Under the LOI, YPB will provide an innovative but simple solution to authenticate LegacyXChange products using YPB’s patented tracer technology in conjunction with its Brand Reporter platform. YPB will also manage the authentication process for LegacyXChange’s memorabilia for the Asian market.

In addition, the agreement with LegacyXChange will provide major exposure for YPB in the USA.

LegacyXChange is a soon-to-be launched online retailer, initially focused on the massive sports memorabilia market. In entering in to the LOI with YPB, it was particularly concerned about ensuring the authenticity of products sold on its platform, and sees YPB as the ideal partner and solution provider in this key area of its business. LegacyXChange plans to launch its platform in Q2, 2015.

Concerns are growing globally about counterfeit products being sold on the rapidly increasing online retail platform market, and YPB’s solutions are ideally placed to assist online retailers to protect their consumers and the Brands that sell products online.

YPB established itself in the USA in Q4 2014, via its Brand Reporter business, and it is totally committed to developing its presence in what is one the largest global markets.

YPB Executive Chairman and CEO Mr. John Houston said:

“We see significant opportunity for YPB to become a global leader in authentication for online retail. The issues surrounding online counterfeit have never been more relevant than today and the opportunity to partner with LegacyXChange provides us a platform to prove our anti-counterfeit solutions in real time, and also supporting LegacyXChange’s ability to quickly grow their business. Any online retailer needs to be able to stand behind the authenticity and provenance of the products sold on its platforms and we applaud LegacyXChange’s vision in this initiative. As more Companies seek to sell their goods online, more opportunities are presented for counterfeiters, and this also creates opportunity for YPB’s anti-counterfeit solutions to become more and more relevant globally.”

LegacyXChange CEO William Bollander said:

“We believe YPB’s invisible marker using tracer material is easy to apply and even easier to identify, which provides us with a solution that is economical and scalable. Our goal is to ensure products cannot be counterfeited, and the YPB solution meets this requirement. Working with YPB has assured us their commitment to our project is a reflection of their goal to support the marketplace with a best in breed of product in the area of counterfeit detection and prevention.”

For further information please contact;

Mr. John Houston Mr. Robert Whitton CEO Director and Company Secretary YPB Group Limited YPB Group Limited T: +61 458 401 088 T: +61418962212 E: john.houston@ypbsystems.com E: rob.whitton@ypbsystems.com

W: www.ypbsystems.com

Media and Investor Inquiries Lead Manager James Moses Greg Wood Media and Investor Relations Managing Director Mandate Corporate KS Capital T: +61 420 991 574 T: +61 416 076 377 E: james@manadatecorporate.com.au E: g.wood@kscapital.com.au

LegacyXChange (TRTB) Contact: Investor Relations: True2Beauty Inc. 1-800-630-4190 www.True2Beauty.com

About YPB Group

YPB Group (ASX:YPB) is a leading worldwide solutions provider in brand protection, product authentication and anti-counterfeit technology listed on ASX in Australia and operating in China, USA, Australia and South East Asia. The company has developed innovative technologies that PROTECT and DETECT. YPB’s Patented Tracer and scanner solutions PROTECT products from the risks of counterfeit and diversion. Brand Reporter powered by YPB allows Brands, Governments and consumers to DETECT the incidence of counterfeit.

YPB’s solutions are customisable to the market needs and we are continuing to create innovative new products for brands, manufacturers, retailers, governments and consumers.

PROTECT

YPB has developed patented invisible Tracer material that can be embedded into products and packaging during or after the manufacture process. The Tracers are inexpensive and cannot be seen, removed or destroyed.

Using YPB’s handheld scanner the Tracer can then be detected in products to determine if they are real or fake.

YPB currently has contracts in place with major packaging and product manufacturers in China and is growing in the USA, Australia and Thailand.

DETECT

Brand Reporter is YPB’s technology platform designed for Governments, Brands and consumers to identify, manage, track and report counterfeit or divergent products within supply chains or at point of sale. The customised solutions are simple and easily deployed applications available on all popular smartphones.

Brand Reporter also utilizes crowd sourcing information and allows consumers to interact with products in the market using QR codes, track and trace, product scanning and consumer engagement features which can be customised to specific needs.

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