ZOONO GROUP LIMITED — Capital/Financing Update 2020

Feb 9, 2020

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Zoono Group Limited (ASX: ZNO) ASX ANNOUNCEMENT

10 February 2020

Exclusive Childcare and Hotel Distribution Agreement for China

Zoono Group Limited (Company) (ASX: ZNO) is pleased to announce that it has entered into an exclusive distribution agreement with Beijing Youmeng Technology and Development Limited for the childcare and hotel sectors in China.

Following the Coronavirus outbreak, there has been unprecedented interest in Zoono’s technology given its proven efficacy against viruses and bacteria and ability to prevent cross contamination.

The material terms of the new distribution agreement are:

1. An initial five (5) year term;

2. Exclusivity in all childcare and hotel markets in China;

3. Minimum purchase volumes of:

4. NZD$1.5m in the first 18 months;

5. NZD$2.3m in year two; and

6. NZD$3.0m in year three,

and thereafter increasing by 10% per annum; and

1. Full payment is required for all product orders prior to shipping.

Zoono has received an initial payment of NZD$775,000 from Beijing Youmeng Technology and Development Limited.

The agreement for childcare and hotel sector in China is another step in Zoono's strategy to focus on specific sectors and on the appointment of reputable distributors with explicit expertise in these market segments.

Zoono has also sought to exercise greater control over the activities and performance of its distributors in its new distribution arrangements, particularly with respect to pricing, marketing strategies, minimum sales performance, adherence to service and delivery standards and protection of the Company's intellectual property and brand.

This agreement is the fourth distribution agreement entered into by the Company for an industry sector in the Chinese market in the last six months.

Unaudited revenues for the quarter to date are NZ$2.4m, with on-line sales in Australia and New Zealand contributing strongly.

ZOONO GROUP LIMITED Address : Level 12, 225 George Street, Sydney NSW 2000 ABN: 73 006 645 754 · Web: www.zoono.com

This announcement has been authorised and approved for release to ASX by the Board of Zoono Group Limited.

For furthe r information, ple as e conta ct:

Zoono Group Limited

Paul Hyslop Managing Director/CEO M: +64 21 659 977 E: paul.hyslop@zoono.com.

About Zoono

Zoono Group Limited is a global biotech company that develops, manufactures and distributes a suite of scientifically-validated, long-lasting and environmentally-friendly antimicrobial solutions. Zoono’s mission is to improve health and well-being through innovative, safe, nontoxic and durable germ protection.

Zoono produces sprays, wipes and foams suited for skin care, surface sanitisers, and mould remediation treatments. The products are based on the ‘zoono molecule’, a unique antimicrobial molecule that bonds to any surface and kills pathogens including bacteria, viruses, algae, fungi and mould.

Zoono’s products have received numerous regulatory approvals and the company’s technology claims are supported by independent testing conducted in laboratories worldwide. Zoono is headquartered in New Zealand and its products are available globally.

To learn more, please visit: www.zoono.com

Zoono Group Limited (ASX:ZNO) · Level 12, 225 George Street, Sydney NSW 2000 · ABN: 73 006 645 754 · www.zoono.com