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ORCODA LIMITED Capital/Financing Update 2017

Aug 22, 2017

65482_rns_2017-08-22_0c96e542-5871-4b94-bfec-fb25aba4f4fe.pdf

Capital/Financing Update

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SmartTrans Holdings Limited ASX: SMA An Australian based Technology Solutions Company Corporate Structure: Shares on issue: 2,717 M Unlisted Options: 209 M Market Cap: $AUD 22M 52 week high: 3.4 cents 52 week low: 0.7 cents

Directors:

Mr Mark Vaile AO Non-Executive Chairman

Mr Brendan Mason CEO and Managing Director

Mr Bryan Carr Executive Director Mr Yui (Ian) Tang Non-Executive Director Ms Tracy Colgan Non-Executive Director

Melbourne Office: Level 1, 10 Queens Road Melbourne VIC 3004 Australia

Beijing Office: Room 501, Grand Pacific Building A 8 Guanghua Road Chaoyang District Beijing 100026 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

SmartTrans strengthens China e-commerce operations

  • Monthly sales on China e-commerce platforms reached AUD$133,190 in July

  • Monthly sales have a CAGR of +40% and in line with expectations

  • Quality Australian wine brands recently added – Wolf Blass, Lindemans, Rawson’s Retreat and Saltram Wines

  • Significantly improved terms of trade enhancing cash receipts

  • Online platforms scaling up – new brands and services to be added shortly

23 August, 2017: SmartTrans Holdings Limited (ASX: SMA) (‘SmartTrans’, ‘the Company’) provides this update on the sales generated from its China-based RooLife and Wjike online shopping platforms.

Sales through these platforms are increasing strongly each month and totalled AUD$133,190 in July. SmartTrans is encouraged by this performance which represents a compound annual growth rate of over 40% (see chart and table below). As more scale is achieved, and now that the online channels are proven, sales are expected to keep growing strongly.

Premium Australian wine is proving to be a popular category among Chinese consumers on the RooLife and Wjike platforms. SmartTrans is pleased to have recently added well recognised and highly regarded labels including Rawson’s Retreat, Lindemans, Wolf Blass and Saltram Wine brands to the platforms.

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SMA RooLife Sales
$140,000
$120,000
$100,000
$80,000
$60,000
$40,000
$20,000
$0
January February March April May June July
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Month eCommerce Sales (AUD) Month-on-Month
Growth
January $5,130 N/A
February $12,160 137.04%
March $38,000 212.50%
April $48,260 27.00%
May $91,580 89.76%
June $114,190 24.69%
July $133,190 16.64%
Total $442,510

Also noteworthy is the improved terms of trade being negotiated with both suppliers and platform partners. SmartTrans has negotiated much improved payment terms with key suppliers and cash collection terms with online partners. This is expected to enhance cash flow and hence provide more working capital to strengthen online sales channels.

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SmartTrans Managing Director Brendan Mason said: “Month-on-month sales are meeting our expectations, and while still relatively modest, they confirm that our China-based e-commerce strategy is working. With more brands added and wider online channels being put in place, we will see sales accelerate.”

Premium Australian wines are becoming a popular category for quality-conscious consumers in China’s fast-growing middle class and we are capitalising on this demand. More labels will be added shortly.

“We have also worked hard to improve our terms of trade with suppliers and our online partners. This will enhance cash collection and give us improved financial flexibility to better fund growth.”

“SmartTrans is strengthening its China-based e-commerce platforms by adding new products, services and other online sales channels. We will report on these shortly.”

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For further information, please contact: About SmartTrans Brendan Mason SmartTrans Holdings Limited (ASX: SMA) is a leading Australian technology and software provider with cutting-edge solutions in both the online retail and logistics markets. Managing Director CN Cell 手机 +86 139 11320378 SmartTrans has established online marketplaces in partnership with leading Chinese e- commerce firms Dodoca and Wjike, where quality-conscious consumers in China’s rapidly- Media inquiries to: Ben Jarvis, growing middle class can purchase premium products from Australian brands. Six Degrees Investor Relations: +61 413 150 448 SmartTrans has also developed a proprietary cloud-based supply chain software solution that has been deployed by many leading Australian blue-chip organisations, some who have longterm contracts in place with the company.

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