FATFISH GROUP LIMITED — Capital/Financing Update 2017

Dec 10, 2017

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Fatfish Internet Group Ltd (ACN 004 080 460) Level 4, 91 William Street Melbourne Victoria 3000 Australia www.fatfish.co

11 December 2017

ASX Announcement

Settlement of Tranche 1 Share Placement

Fatfish Internet Group Limited (“Company”) is pleased to advise that, further to the ASX announcement on 4 December 2017, the settlement of Tranche 1 of the Placement to international institutional and sophisticated investors has been completed.

The Company received $4.4 million (before costs) and a portion of funds raised will be invested into the Kryptos-X cryptocurrency exchange project announced on 28 November 2017. Remaining funds raised will be used for the Company’s current working capital requirements and to accelerate potential growth to build shareholder value in other emerging opportunities in the technology areas that the Company is working on.

The Company has issued a total of 88,000,000 fully paid ordinary shares for $0.05 (5 cents) per share, using the Company's placement capacity under ASX Listing Rule 7.1 (52,751,059 shares) and ASX Listing Rule 7.1A (35,248,941 shares).

For the purposes of ASX Listing Rules 7.1A.4(b) and 3.10.5A, the following information is provided:

• The dilutive effect of Tranche 1 of the Placement on existing shareholders is as follows:

Number of fully paid ordinary shares on issue prior to Tranche 1 Placement: 352,489,408

	Shares	% of post Tranche 1Placement capital
Tranche 1 Placement issueunder LR 7.1	52,751,059	11.98%
Tranche 1 Placement issueunder LR 7.1A	35,248,941	8.00%
Total dilution as a result ofTranche 1 Placement	88,000,000	19.98%

Number of fully paid ordinary shares on issue following Tranche 1 Placement: 440,489,408

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Fatfish Internet Group Ltd (ACN 004 080 460) Level 4, 91 William Street Melbourne Victoria 3000 Australia www.fatfish.co

Details of the approximate percentage of the issued capital following the completion of the Placement held by pre-Placement shareholders and new shareholders are as follows. Please note this information relates specifically to the portion of shares issued under Listing Rule 7.1A (35,248,941 shares):

	% of post Tranche 1Placement capital
Pre-Tranche 1 security holders who did not participate	92.00%
Pre-Tranche 1 security holders who did participate	0.00%
Participants in Tranche 1 who were not previouslysecurity holders	8.00%

• The Company elected to issue securities to international institutional and sophisticated investors under LR 7.1A as it was considered to most efficient and timely fund-raising mechanism in the Company’s circumstances;

• The issue was not underwritten; and

• A fee of 6% on funds raised will be paid to Foster Stockbroking Pty Ltd for lead manager services provided in respect of the Tranche 1 Placement.

An Appendix 3B follows this announcement.

About Fatfish Internet Group

Fatfish Internet Group Ltd (‘FFG’) is a Southeast Asian and Australian based Internet venture investment and development firm. FFG partners with entrepreneurs to help them build and grow Internet businesses via a coentrepreneurship model.

FFG’s co-entrepreneurship model seeks an active involvement from seed funding stage to exit stage of its investee companies. In parallel FFG seeks to provide a collection of resources and expertise to support entrepreneurs in important areas such as business strategy, market access, talent recruitment, product development and corporate strategy.

This unique “seed-to-exit” approach makes FFG a strategic partner that provides the funding, resources and platform to hasten the growth of promising technology businesses.

FFG also offers corporate advisory services specializing in working with tech

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Fatfish Internet Group Ltd (ACN 004 080 460) Level 4, 91 William Street Melbourne Victoria 3000 Australia www.fatfish.co

companies to bring to bear alternative funding and growth models for tech companies through Initial Public Offerings (IPOs) or capital market transactions vide trade sales or Mergers & Acquisitions (M&A).

For further question on this release, please contact:

Investor Relations Team ir@fatfish.co