CODEIFAI LIMITED — Capital/Financing Update 2018

Aug 9, 2018

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ASX/MEDIA ANNOUNCEMENT

ASX: YPB | 10 August 2018

YPB signs second cannabis client with the first USA manufacturer under Namaste partnership

• YPB and Namaste ambition for C annabis Confirmed to become global authentication standard for legal cannabis

• 2 manufacturers signed since partnership commenced

Anti-Counterfeit and Customer Engagement solutions provider YPB Group Ltd (ASX: YPB) has signed its first cannabis industry client in the USA and the second client since the launch of the partnership with Namaste Technologies. The Namaste partnership is just over a month old and on-boarding two clients in that period demonstrates the momentum and opportunity in partnering with the world’s leading medical cannabis portal.

Elev8 Distribution is a Colorado-based producer of cannabis vaporisers under the brand 7[th] floor vapes. It ships products globally and sells via Namaste, resellers and its own website. It is one of numerous vaporiser producer clients Namaste has in the USA and internationally and reflects the global nature of the opportunity with Namaste. Elev8 alone is likely to be a modest revenue contributor to YPB but the cumulative opportunity with Namaste is expected to become a major revenue contributor to YPB.*

Namaste is a rapidly growing Canadian company with a global footprint and presence in the medical cannabis industry. Namaste has positioned itself as a central hub linking producers of hardware and cannabis directly to authorised patients and is ideally positioned to participate in the rapid growth of the global legal cannabis industry.

Since formally partnering at the end of June 2018, YPB and Namaste Technologies have developed detailed plans for securing all parts of the legal cannabis supply chain globally with the intention of cannabis confirmed becoming the global product authenticity standard in the industry . Consumer confirmation of authenticity can then become the means of close engagement between producers, consumers and Namaste.

YPB’s Executive Chairman John Houston said: “Winning our first cannabis client in the USA is exciting but just the tip of a large iceberg. Namaste is proving a dynamic and committed partner and we have developed a powerful plan to ensure product and supply chain integrity across the legal cannabis industry where we have a genuine opportunity to become the global authentication standard. We expect to demonstrate further strong momentum with Namaste.”

*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:

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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

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