Wednesday, 21 February 2018

Announcement

GENERAL: ONL: Oceania Natural Limited acquires "Water for Everyone"

30 Nov 2017 16:13NZX
Oceania Natural Limited (NXT: ONL)

30 November 2017

Oceania Natural Limited ("ONL) acquires the "Water for Everyone" brand and
collateral business assets

ONL has entered into a sale and purchase agreement with Aquity International
Limited and its subsidiary company Kauri Springs Aqua Limited ("Vendors") for
the purchase of their business assets comprising of their water bottling,
sales and distribution operation located at Kaiwaka.

As part of the transaction, ONL will be employing all of the Vendors'' staff
on a full-time basis from settlement.

The aggregate maximum purchase price for the business assets is $740,000 plus
GST, plus the value of the stock on settlement. The purchase price is subject
to adjustment down depending on the actual performance of the commercial
operations of the business post completion of the purchase. The final
adjusted purchase price will be quantified during the period post completion
ending on 31 March 2019.

The effective date of settlement is anticipated to be on or about December 1,
2017.

In New Zealand, the principal brand under which the Vendor''s operations trade
is the "Water for Everyone" brand.

In conjunction with the purchase of the business assets, ONL has also
contracted Aquity to:

o provide the ongoing sales and distribution function for the business
through to 1 April 2018. At the end of this term, ONL shall offer employment
to certain of the Vendor''s staff on a full-time basis; and

o Manage the production facility acquired by ONL (including the land,
buildings and consented water bottling facility) in August 2017, for an
agreed fee through to 31 March 2019.

This acquisition will allow ONL to:

o Further enhance and optimally exploit the bottling operations;

o Ensure the quality of the water products produced from the Kaiwaka
facility;

o Receive an uninterrupted supply of water products for both local and
export markets.

o Leverage off the Vendor''s existing distribution channels, and
generate sales revenue for ONL; and

o Work with its existing suppliers of products being exported as this
acquisition supports diversification of the supplier base and the reliance on
specific manufacturers to meet future ONL production requirements are further
mitigated.

ONL is currently finalising its results for the 6 months ended September 30,
2017, which will be released to the market later today. The Company has also
determined that following the release of the 6 months result and this
acquisition, it will undertake a full review of its Key Operating Milestones
(KOM''s) to ensure they continue to meet the NXT standard. As part of this
review, ONL will be engaging with its NXT Advisor and the NZX and will update
the market following the outcome of this review.

ENDS
Authority for this announcement

Name of senior manager or director authorised to make this announcement
Malcolm Lindeque
Contact phone number +64 21 464392
Contact email address Malcolm@onlgroup.co.nz

Date of release 30 November 2017

Oceania Natural Limited''s shares can be traded on the NXT Market. Oceania
Natural Limited is required to disclose information under the NXT Market
Rules. Information about the NXT Market and Oceania Natural is available here
www.nxt.co.nz or from the company''s website at www.onlgroup.co.nz

For media enquiries please contact:
Julie Landry, Connect PR:      julie@connectpr.co.nz or 021 895
098.

About Oceania Natural Ltd
Oceania Natural (ONL) produces and distributes healthy, high quality products
derived from natural food ingredients, including New Zealand Manuka honey as
well as Noni fruit sourced from the Cook Islands. More than two thirds of the
company''s sales are generated from China, where ONL has an established
network of distributors marketing its products under its "Rich Garden" brand.
The company also sells direct from its websites and through a number of
popular online trading platforms in China including Tmall, WeChat and
Alibaba. See www.onlgroup.co.nz and www.richgarden.co.nz
End CA:00311219 For:ONL    Type:GENERAL    Time:2017-11-30 16:13:34
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