CODEIFAI LIMITED — Capital/Financing Update 2018

Sep 4, 2018

==> picture [128 x 53] intentionally omitted <==

ASX/MEDIA ANNOUNCEMENT ASX: YPB | 5th September 2018

Momentum builds in Australian Made channel

 Bluey Merino adopts ProtectCode anti-counterfeit and customer engagement solution

• YPB and Australian Made collaborating closely in roll out

• Progressive ramp up strategy building to plan

Anti-counterfeit and customer engagement solutions provider YPB Group Ltd (ASX: YPB) is pleased that Bluey Merino will employ YPB’s ProtectCode solution suite as its anti-counterfeit and customer engagement strategy ahead of its push into export markets.

Bluey Merino is an Australian owned and operated Merino activewear & outdoor clothing company based in the Southern Highlands of NSW. Garments are produced in Australia close to the source of direct-from-farm, dedicated, high-end merino fleece growers. Bluey Merino’s mission is to produce the world’s softest and most comfortable Merino Wool activewear and outdoor clothing.

Bluey Merino is presently preparing to launch into export markets and is conscious of the need to protect its new customers and its brand from counterfeit and to build relationships with remote customers. It has selected YPB’s integrated ProtectCode and YPB Connect solution to meet that need. Bluey Merino is expected to be a modest revenue contributor to YPB in the year ahead.*

Since partnering in late March 2018, YPB and the Australian Made Campaign have collaborated closely to maximise the penetration of YPB’s solutions into the Australian Made user base to protect both the integrity of the Australian Made logo and its users from counterfeit. The strategy has been to start with targeted smaller players, prove the robustness of systems and processes, and then expand to bigger clients.

The response from the user base has been pleasing and engagement is high. Additional niche operators are expected to be on-boarded in 2018 with the first high volume Australian Made exporters presently expected to begin employing YPB’s solutions in Q1 2019. The programme is progressing well and to plan.

YPB’s Executive Chairman John Houston said: “Innovators such as Bluey Merino recognise the benefits of protecting and engaging directly with their customers wherever they may be in the world via our solutions. The Australian Made Campaign recognises that the value of its authenticity mark to Australian producers and the nation is entirely dependent on consumer trust and YPB’s solutions are a proactive means of protecting and maximising that trust. Although early days, I am optimistic that the Australian Made channel will build progressively to prove a valuable contributor to YPB.”

==> picture [483 x 44] intentionally omitted <==

==> picture [128 x 53] intentionally omitted <==

*Please note:

Modest revenue contribution: <AUD100K per annum

Moderate revenue contribution: >AUD100K <AUD1m per annum

Major revenue contribution: >AUD1m per annum

For further information please contact; Mr. John Houston Mr. Gerard Eakin Executive Chairman Director YPB Group Limited YPB Group Limited E: john.houston@ypbsystems.com E: eakin@manifestcapital.com

About YPB:

YPB Group Ltd (ASX:YPB) lives by three words - certainty of authenticity. We deliver on this through our experience in creating revolutionary, patented anti-counterfeit and customer engagement solutions. Solutions that detect and prove certainty of authenticity and connect brands directly to their customers, empowering them to engage one-on-one. In an evolving marketplace and with the rapid growth of cross border commerce, our expertise presently focuses on the rapidly growing markets of Australia, South East Asia and China.

www.ypbsystems.com

==> picture [483 x 44] intentionally omitted <==