CCP Technologies : Shareholder Update

SEPTEMBER 2017

Having just published our first annual report, it is a good time to reflect on how far we have come in the last year and the continued progress we're making. In the 2017 financial year, we achieved two key objectives: transitioning from a biotechnology firm to a technology business, and taking our compelling solution to the Australian and North American markets to secure anchor customers. It has been an exciting evolution for the company and we have been directing our growth through 3 key focus areas: sales, innovation and partnerships.

We have successfully commercialised the CCP monitoring solution and sales commenced in January 2017. Our Annual Report 2017 noted that we had locked in over $340,000 in long­lasting contracts in the six months to 30 June 2017. As at 31 August 2017, we now have over $430,000 in customer contract value (CCV) - more than 25% CCV growth in the last two months; and there's a solid opportunity pipeline for our sales teams to progress.

CCP is "on the map" with sales in key food industry sectors including (but not limited to) food service operations (casinos, hotels, clubs, restaurants, cafes, hospitals, aged care facilities, caterers, education institutions, quick service restaurants), retailers (convenience stores, supermarkets) and food producers (aquaculture, bakeries, dairy). We are successfully differentiating ourselves in the market by offering a true enterprise solution, communication network diversity and a simple, low­cost business model.

In March 2017, we announced the development of an additional customer connectivity option - Sigfox. Our product development team has delivered. In the first week of September, a national quick service restaurant chain will commence trialling CCP's Sigfox solution. Further LPWAN connectivity options will be added to our solution to enhance our market position; and I'll have more to say about our exciting product innovation pathway over coming months. Our strategy will ensure CCP remains on­trend with commercial IoT developments.

Partnerships enable CCP to extend its market reach and increase sales. As a great example, our reseller arrangement with the Shamrock Group provides CCP with over 8,500 potential sales touch points in the US. Sigfox operators (Thinixtra and Unabiz) will assist CCP in marketing,

sales, customer provisioning and broader business development activities. Partnerships have also formed with software providers operating in the food sector. With initial discussions already underway, we plan more alliances in the year ahead to strengthen business development.

We confidently approach the task of enhancing shareholder value in FY 2018 with a professional team, an impressive solution, great partnerships and a huge marketplace with anchor customers.

We would like to thank our loyal customers for their on­going support and continued use of CCP. Customer feedback and insight has been tremendous. These relationships have helped CCP to sustain rapid growth.

A selection of our customers in Australia and North America includes the following brands:

Australia is home to dozens of exclusive member­only clubs. While clubs generate significant income through membership fees, food and beverage services are an important source of revenue. Private clubs were arguably responsible for introducing fine dining to Australia; and today, food quality underpins venue reputation.

To support quality management, CCP is carving its position as a strategic tool for food safety management in private club kitchens. Two of Australia's oldest private clubs have recently installed CCP, and more clubs are following suit.

Union, University & Schools Club

Dating back to 1857, Australia's third oldest club, the Union, University & Schools Club (UUSC) embraces the Internet of Things (IoT) in the kitchen, with CCP now continuously monitoring their refrigeration systems 24/7.

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Newcastle Club

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Formed in 1884, the Newcastle Club is looking toward the 21st century - with CCP now installed in the kitchen to strengthen food safety and reduce food waste.

Consumer demand for quality food and fine­dining experiences sustains strong restaurant industry growth. However, with over 26,000 restaurants in Australia ­ competition is fierce. With the prevalence of social media, customer experiences are quickly shared. That's why restaurant owners continue to invest in food safety and solutions to reduce business risk.

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The well­known Bortolotto family has introduced CCP into their Flinders Lane restaurant, Cecconi's. The decision to install CCP solution has immediately reduced their business risk along with improving food safety and reducing food waste.

CCP continues to increase its market share in the Melbourne food scene - as more restaurateurs look to simplify food safety monitoring, eliminating risk and room for human error.

And at the last minute: Welcome aboard Pandus Restaurant (www.pandus.com.au) in Footscray. An innovative contemporary and traditional Indo­Chinese restaurant, they have installed CCP to strengthen food safety.

CCP exhibits at the Smart Cities Expo World Forum

A 'smart city' takes advantage of technology to advance governance, environmental sustainable, liveability, economic development and mobility. With an estimated 6.3 billion people living in cities by 2050, there is a worldwide trend toward Smart Cities. Food security is becoming an increasingly important issue, and Smart Cities are adopting reforms to

support more efficient and effective food safety regulatory frameworks.

Delegates showed tremendous interest in CCP. Our CTO, Kartheek Munigoti, showcased CCP's Sigfox and WiFi solutions, together with the analytics dashboard on display; and our CCO, Anthony Rowley, participated in a standards and metrics panel discussion. Conference speakers noted that Sigfox is the first telecommunications infrastructure provider in Australia to operate a national Low- Power Wide-Area Network (LPWAN) designed for IoT devices. Visitors to CCP's stand could see first-hand how the CCP solution works.

For CCP, the Smart Cities Expo World Forum 2017 in Sydney presented an opportunity to increase our profile.