VECTION TECHNOLOGIES LTD — Capital/Financing Update 2017

Jun 27, 2017

==> picture [254 x 102] intentionally omitted <==

ASX Announcement

28 June 2017

SERVTECH GLOBAL ADVANCING ITS GEOGRAPHIC GROWTH STRATEGY

Australian transaction management company, ServTech Global Limited (ASX: SVT) (‘ ServTech ’ or ‘ the Company ’), is pleased to announce that its subsidiary real estate agency, Sell Lease Property (‘ SLP ’), has officially opened its first office in New South Wales, Australia’s strongest and fastest growing real estate market.

SLP is an award-winning market leading real estate company with established offices in Western Australia, Victoria and Queensland.

ServTech Managing Director, Brett Quinn said, “The opening of our first office in Australia’s strongest property market reflects ServTech’s ability to provide an innovative and value-driven technology and service platform that addresses a real need in the market. “

Additionally, ServTech Global remains confident that SLP will finish the financial year as WA’s best performing residential sales office by listings sold for the second consecutive year out of approximately 1300 agencies in WA.

In May SLP has finished first place in REIWA’s rankings for Top Office by Number of Property Sold, ahead of approximately 1300 agencies in Western Australia – totalling a number 1 ranking office in eight of the past 11 months. SLP sold a total of 76 properties in May, 30 more than the second best performing agency, with a total value of circa $36 million.

“This is another fantastic result for SLP. The gap difference in properties sold between first and second place is outstanding which cements its disruptive position in the real estate sector.”

The announcement comes after ServTech notified earlier this month that SLP had reached more than 200 property consultants nationally, in line with the Company’s growth strategy of successfully attracting and employing suitable talent in its existing real estate businesses to increase volume of transactions.

“The fact that SLP has grown to have more than 200 property consultants nationally ahead of schedule is a true testament to the success of ServTech Global’s technology and service platform. We look forward to being able to offer the benefits of this demonstrated technology and service platform to other real estate companies across Australia.”

Efficient Services Effective Technology

www.servtechglobal.com.au

==> picture [254 x 102] intentionally omitted <==

Through ServTech’s real estate specific Software as a Service (‘SaaS’) technology application, ‘The Angel’ platform, SLP offers an attractive alternative to the rigid structures of most agencies by providing its property consultants higher retention of commissions and an autonomy to operate as their own ‘business’ without the risk associated with running their own agency.

By outsourcing all administrative and back-office transactions to ServTech Global, SLP allows its property consultants to focus on their core revenue-generating activities, selling properties.

In a traditional real estate agency model, on average only 43 per cent of commissions are retained by the property consultants. By joining SLP, property consultants can expect to retain up to 94% per cent of commissions. Additionally, the consultants have the ability to cross sell via direct access to ServTech’s other 100% owned businesses across conveyancing and mortgage broking.

ENDS

Further information: Brett Quinn John Gardner Mark Davies Managing Director/CEO Citadel-MAGNUS 1861 Capital Tel: +61 (0) 487 048 776 Tel: +61 (0) 413 355 997 Tel: +61 (0) 413 137 887

About ServTech Global

ServTech Global is a transaction management business that revolutionises the way businesses manage transactions through a unique customised Software as a Service (SaaS) workflow management application and back office support service. ServTech is the holding company of a number of wholly-owned subsidiary companies, including a real estate agency (Sell Lease Property Pty Ltd), a conveyancing business(Complete Settlements), a property management business (Capitol Asset Management) and a mortgage broking business (Value Finance).

ServTech’s key revenue driver to date is Sell Lease Property which has utilised ServTech’s SaaS platform (the ‘Angel’ platform) to improve operating efficiencies, minimise fixed overheads and increase profit margins, becoming a disruptive player in the Australian real estate sector. With operations in four states, Sell Lease Property has grown to have more than 200 property consultants nationally since its launch in 2012. Over the financial year periods 2015/2016 Sell Lease Property achieved revenue growth of 370%.

Efficient Services Effective Technology

www.servtechglobal.com.au