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CODEIFAI LIMITED Investor Presentation 2015

Jun 15, 2015

64630_rns_2015-06-15_9bdee325-0d5a-470f-a556-6b7b1bdc382c.pdf

Investor Presentation

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ASX: YPB
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ASX/MEDIA ANNOUNCEMENT 16[th] June 2015

YPB Group releases latest Investor Presentation

The Board of anti-counterfeiting technology Company YPB Group Limited (ASX: YPB) (YPB, the Company) is pleased to release its latest Investor Presentation, which will be delivered by YPB Chairman and CEO John Houston as part of an investor roadshow to a number of broking groups this week.

The presentation is attached.

YPB is also pleased to provide details of a significant item of national press coverage featuring the Company on ABC Radio National Breakfast, on Monday 15 June. The program featured a story on food counterfeiters targeting Australian brands, and included commentary from YPB Chairman and CEO John Houston on the growing issue of food counterfeit in China and Asia, more broadly.

The interview is available at: http://www.abc.net.au/radionational/programs/breakfast/foodcounterfeiters-target-australian-brands/6545598

The story highlighted the significance of the issue of food counterfeit and YPB’s solutions to overcome the problem.

For further information please contact;

Mr. John Houston Mr. Robert Whitton CEO CFO and Company Secretary YPB Group Limited YPB Group Limited T: +61 458 401 088 T: +61418962212 E: [email protected] E: [email protected]

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: [email protected] E: [email protected]

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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 customizable 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.

Beijing

Los Angeles

Sydney Bangkok

June 2015

John Houston CEO & Chairman

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Disclaimer
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This Presentation is provided by YPB Group Ltd (YPB, the Company).

You may not rely upon anything in this presentation and/or any information obtained from the Company, its Directors or their associates in deciding whether or not to seek to participate in the shares of the Company. This is not an offer to subscribe for securities in the Company.

The Presentation may contain quantitative statements of anticipated future performance such as projections, forecasts, calculations, forward-looking statements or estimates all of which are based on certain assumptions (Forward Looking Statements). The Forward Looking Statements involve subjective judgments and are based on a large number of assumptions and are subject to significant uncertainties and contingencies, many of which are outside the control of YPB Group Ltd and may not prove to be correct.

No representation or warranty is made that any Forward Looking Statements will be achieved, or occur, or that the assumptions upon which they are based are reasonable or the financial calculations from which they have been derived are correct.

Actual future events may vary significantly from the Forward Looking Statements. Each Recipient should undertake its own independent review of the Forward Looking Statements, including the assumptions on which they are based and the financial calculations from which they are derived.

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YPB Snapshot
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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 operations 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 and collect actionable data on a flexible platform that can be adopted for any Brand.

YPB’s solutions are customizable to customers’ needs and we are continuing to create innovative new products for brands, manufacturers, retailers, governments and consumers with attractive pricing solutions.

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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 to collect actionable data.

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, copied, removed or destroyed.

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

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

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Counterfeit is now a major news item
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YPB has identified the market trend that is now seeing major attention from finance and commercial world

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YPB Revenue platform

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YPB high IPP
Volume
Integration of IPP
tracer/scann
existing consulting
er business into
Now selling in BR/tracer/scanner/prin
China t
Pan Asia
Brand
Print
Reporter
Integration
Now selling from
YPB is moving up
June 2015
into existing
revenues of print
Monthly Recurring
& labels
revenues
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YPB’s revenue platform significantly developed
Tracer/scanner
BR platform &
Apps
Brands
Consumer CSI Platform Manufacturers
Retailers
IPP existing
revenues
Print Integration
revenues
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Revenue Flowing
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China: Revenue from huge volume tracer/scanner deals + Brand Reporter YPB model USA/Pan Asia: Revenue from Print integration + tracer + Brand Reporter

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Sell tracer
to be added
China $$$
per unit of
product
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Sell tracer Smartphone
2015 to be added Print solution to
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product product
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Print Integration Model
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Brands
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Capitalising on the whole process…

With print integration YPB plans to own the whole process for a manufacturerB2B BR platform Selling now in USA through CFC Rolling out the model in China & Asia Consumer CSI Platform

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Retailers
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Sales Cycle becomes quicker and with significantly higher revenues

We supply existing requirements with increased ‘value add’ and security with our embedded YPB tracer Custom Apps Then we also supply BR mobile solution to Brands

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Print Integration Model
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CFC – 40 years in USA print industry currently supplies millions of printed items for major Brands

YPB tracer embedded in all

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Tracer/scanner
B2B BR platform
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High margin elements Brand Reporter upsell Custom Apps Target customers with minimum 250,000 piece runs Our printing model allows for mass volume and owning the whole production

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Revenue Flowing
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Existing Contracts (YPB China) Tracer/scanner Massive volumes of tracer in China. A$26m over next 4 years from Hicap and Shensaier PLUS huge pipeline WIP

Brand Reporter (Acquired October 2014) B2B BR platform Revenue ready with live proposals to manufacturers and brands around USA, China & Asia Brand Reporter enhances all elements of the business by addiBra n ds g further Consumer solution in ‘upsell’ strategyCSI Platform Manufacturer

Print Management (CFC) Revenues from Q3 expected to grow from US$600k to over US$10million Consumer BR app over 5 years in USA alone, then to be replicated in Asian markets IPP (Acquired May 2015) Currently $500k p.a with 250% growth target in 12 months, but significant Custom Apps Brand reach PLUS Government contracts for IPP products

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Revenue Timeline

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Existing contracts
A$26m over 4
years begin
invoicing
IPP Track & Trace
Full service Services Mini Scanner
printing revenues growth Scanner to
begin throughout mobile
Asia connection
July 1
Q3 Q4
2015
Further China
BR data
high volume
Platform
contracts
IPP existing
business
Custom
Solutions
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Mini branded low cost scanners coming!
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YPB T3 Mini Scanner will open up new revenue opportunities through customisation and volumes sales

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Printing
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Lower entry price & customisation for brands due for release Q3 2015 Attaching Scanner to Mobile - coming

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Product Packaging
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USA up and running
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In USA, YPB has now completed setup and is now generating revenues Testing complete of tracer with printing Selling to CFC existing business

Sales team building & creating YPB Complete Print branding Print integration revenues Strong sales pipeline

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Revenue Launchpad Set
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Revenue indicative only – not a forecast

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Brand Reporter selling now in Asia
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BRAND X BRAND Y BRAND K Find a Store Product Lookup Product Lookup

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Brand Reporter selling now in Asia
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BRAND X Register Product codes: Receipt Number:

Asian team have identified opportunities to improve brand protection for local manufacturers Brand Reporter is being sold to integrate with existing ineffective anti counterfeit solutions

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BR selling in USA
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USA sales team is working with brands to customise Brand Reporter solutions

Applications being sold focus on consumer interaction and embed brand protection elements into the experience

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Corporate Overview
Capital Structure
ASX code
YPB
Shares on issue
~124.73m
Options on issue
Exercisable at 20c before 31 Oct 2017
~40.07m
Market capitalisation
~A$33.68m
12 month price range
44c-14.69c
Cash (@ 31 March 2015)
~$4.3m
Shareholders
Board and Management
~69%
Top 20 Shareholders
~76%
Major Shareholders
The Bimm Corporation Pty Ltd
High Altitude Investments Ltd
Perle Ventures Pty Ltd
~48.35%
~4.4%
~4.0%
Board
Mr John Houston, Executive Chairman & CEO
Dr Geoffrey Raby, Non-executive Director
Mr George Su, Non-executive Director
Mr Ronald Langley, Non-executive Director
Mr Robert Whitton, Non-executive Director & CFO
Senior Management
Mr Timothy Merchant, Chief Technology Officer
Mr Randall Griffis, Chief Marketing Officer

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YPB’s factor X - Consumer app strategy
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Coming Soon !

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Thank you for your time

Contact us today [email protected]

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