LARK DISTILLING CO. LTD — Capital/Financing Update 2014

May 11, 2014

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Montec International Limited ABN: 62 104 600 544

Level 3, 70 Pitt Street SYDNEY NSW 2000 PO Box 991 Rozelle NSW 2039 Australia

montec@montecinternational.com www.montecinternational.com

Telephone: +61 1300 134 875 Facsimile: +61 2 9233 4497

12 May 2014

Renounceable Rights Issue – Underwriting by Mr Terry Cuthbertson

Montec International Limited (MTI) refers to its announcement on 1 May 2014 of a partially underwritten 3 for 1 renounceable rights issue at $0.001 per new share.

Montec advises that its Board and Mr Terry Cuthbertson have resolved that any participation by Mr Cuthbertson in the underwriting of Rights Issue, as referred to in section 4.1 (Underwriting Agreement) of the Offer Document will not result in Mr Cuthbertson’s interest in MTI exceeding 19.99%. To the extent that Mr Cuthbertson’s commitment under the Underwriting Agreement would involve his interest exceeding 19.99%, then Mr Cuthbertson’s loans or convertible notes will remain with MTI until such time as shareholder approval is received for the balance of those debts or convertible notes to be converted to equity in the form of ordinary shares in MTI.

Mr Cuthbertson currently holds 53,717,511 ordinary shares in MTI representing 5.07% of the ordinary shares on issue.

The effect of the new arrangement will be that, in the event that there is no take up of the entitlements of Eligible Shareholders the total amount underwritten by all underwriters, pending shareholder approval of the balance of Mr Cuthbertson’s commitment, will be $2,209,758.76. This will increase in proportion to shareholder take-up.

The proposed arrangement will not alter the effect of the Rights Issue on the share capital of MTI, which shall remain as:

Fully paid ordinary shares

Fully paid ordinary shares
Existing fully paid ordinary shares prior to the Rights IssueMaximum number of New Shares that may be issued under the Rights IssueMaximum number of fully paid ordinary shares following Rights Issue	1,059,257,0933,177,771,279
	4,237,028,372

Yours sincerely

N Geddes Company Secretary