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ORCODA LIMITED — Capital/Financing Update 2016
Nov 8, 2016
65482_rns_2016-11-08_992ec96d-5581-48d3-a7e2-7ea25f95fc00.pdf
Capital/Financing Update
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SMA to launch WeChat e-commerce market place with leading Chinese listed online marketing and social media company
SmartTrans Holdings Limited ASX: SMA
An Australian based Technology Solutions Company
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MOU executed with Shanghai Stock Exchange-listed, Shanghai Dodoca Information Technology Co. Ltd. (Guangzhou Weiyue Information Technology Co. Ltd) a leading digital marketing and e-Commerce agency
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Dodoca and SMA to collaborate and launch the WeChat e-commerce market place to market and sell Australian products to Chinese consumers
Corporate Structure:
- Expected to be fully operational and generating sales by Christmas this year
Shares on issue: 2215 M Unlisted Options: 166 M Market Cap: $AUD 30M 52 week high: 7.1 cents 52 week low: 1.3 cents
Directors:
Mr Mark Vaile AO Non-Executive Chairman
Mr Bryan Carr CEO & Managing Director
Mr Andrew Forsyth Non-Executive Director
Mr Yui (Ian) Tang Non-Executive Director
Mr Greg Simpson Non-Executive Director
Mr Ian Hawkins Executive Director
Melbourne Office: Level 1, 10 Queens Road Melbourne VIC 3004 Australia
Beijing Office: Room 101 Building 22 Courtyard 4 Gong Ti Bei Lu Chaoyang District Beijing 100027 PR China
Phone (Aus): +61 (03) 9866 7333 Phone (China): +86 (10) 6500 0910 Website: www.smarttransholdings.com.au Twitter: www.twitter.com/SmartTrans_SMA Youtube: https://youtu.be/-1t_yJe1DBA
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Dodoca delivers to SMA a turnkey online marketing and social media partner that has the capability to reach a very large Chinese consumer base
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WeChat online market place is a key step in SMA ramping up its e-commerce operations to deliver higher margin revenue
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SMA also focused on securing higher margin carrier billing revenue and advancing lotteries services partnership
09 November 2016: SmartTrans Holdings Limited (ASX: SMA) (SmartTrans or Company) is pleased to announce a key development that will significantly strengthen its China e-commerce operations.
The Company is pleased to report that it has executed a Memorandum of Understanding (MOU) with Shanghai Dodoca Information Technology Co., Ltd (Guangzhou Weiyue Information Technology Co., Ltd.), a leading digital marketing and e-Commerce agency listed on the Shanghai Stock Exchange to jointly establish a WeChat e-commerce market place for Australian merchants to sell their products online in China.
WeChat was chosen as the preferred platform for this unique e-Commerce product to target the over 700 million active users of which 94% access the platform daily[1] and for the rapid growth potential with the number of purchases on the WeChat platform having already doubled in the last year.[2]
The market place will cater to both B2C and C2C channels to deliver premium Australian products with a focus on the women and children demographic, which represents a large and lucrative market segment.
The marketplace is scheduled to be operational by Christmas with Dodoca and SmartTrans sharing in the higher margin revenue generated from product sales as well as from marketing and social media campaigns undertaken across the market place.
The partnership is potentially very lucrative for SmartTrans given Dodoca’s position as one of China’s leading and largest online and social media marketing company with significant WeChat marketing experience.[3] It provides online and off-line marketing programs incorporating multimedia promotional channels, social media, KOL (Key Opinion Leaders), direct user marketing, and events and promotions.[ 3]
Under the agreement, SmartTrans in responsible for securing Australian premium brands and products; managing all brand relationships and commercial arrangements; promoting the platform to potential customers in Australia; payment processing and cross-border payment settlements.
Dodoca will be responsible for promoting the platform to Chinese consumers, managing the operations of the platform and identifying and securing sales channels.
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SmartTrans Managing Director, Bryan Carr said: “This partnership with Dodoca is a key development in establishing an online e-commerce market place to sell Australian goods and services to engaged Chinese consumers. It is also consistent with our strategy of growing our e-commerce operations in China and growing our higher margin revenue base.”
“By combining SmartTrans’ SmartPay billing infrastructure and cross-border payment capabilities with Dodoca’s powerful WeChat sales and marketing expertise, we are confident that we can establish the leading online market place in China for quality Australian goods and services.”
“Through Dodoca’s large and established channels, we will now have the horsepower to more aggressively promote Australian goods and services to an engaged and targeted Chinese consumer base.”
“Our priority now is to ensure the WeChat marketplace is operational by Christmas and we move from the MOU to a formal agreement with Dodoca. Both companies can now apply the necessary resources to meet the timeline for execution of the formal agreement and delivery of the operating market place before the end of the year.”
SmartTrans is also continuing its plans for building its SmartPay platform in China through direct carrier billing (telco) channels but with products and services that deliver revenue with attractive margins. Progress on the recently announced lotteries partnership is also advancing. Updates on both are pending.
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About Shanghai Dodoca Information Technology Co., Ltd. Shanghai Stock Exchange #: 430177 Market Cap: 950 million RMB as of 08/11/16 (Source: http://quote.eastmoney.com/3ban/sz430177.html?from=BaiduAladdin)
Founded in 2007, Shanghai Dodoca Information Technology Co., Ltd. is China’s leading online marketing, development and social media company. Dodoca listed on the Shanghai Stock Exchange in April 2014, and is one of the only five initial online service provider technology company to be listed on the National Equities Exchange and Quotations.3
Dodoca’s main services include development of new mobile social marketing tools; online marketing and sales platform developments; providing top WeChat third-party development services; providing mobile internet content; enterprise solutions management services: standardised online software, client software, embedded software and server-side software development; and industry data research and analysis.3
1. Source: mp.weixin.qq.com - Tencent Pinguin Research
2. Source: 2016 McKinsey Survey of Chinese consumers 3. Source: www.dodoca.com
| For further information, please contact: Bryan Carr Managing Director AUST: +61 412 111 968 CHINA: +86 138 1188 8401 Media inquiries to: Ben Jarvis Six Degrees Investor Relations: +61 413 150 448 |
About SmartTrans (https://youtu.be/-1t_yJe1DBA) SmartTrans Holdings Limited (ASX: SMA) is a leading Australian technology and software provider that has developed a mobile and online billing and payment platform for the China market. The company has agreements in place to bill with China Mobile, China Unicom, China Telecom, UnionPay and Alipay. With the growing use of the smartphone as a billing device in China, the company is experiencing significant uptake of its technology in that market. SmartTrans has also developed cutting-edge proprietary logistics software which is used by some of Australia’s leading blue-chip organisations who have long term contracts in place with the company. SmartTrans is assessing growth opportunities for its logistic offering in China to complement its mobile and online payments platform. |
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