Page 3 - demo Golden pond document

A2pay investment proposal 2

1. The Investment Opportunity – Golden Pond Group

The Golden Pond group, founded 10 years ago by Bert Roux, now comprises A2L Media (trading as A2Pay),
A2Pay Financial Services (AFS) and 50% owned associate, Primary Market Insights (PMI).The shareholders are
looking for a partner to take a 26% equity stake in Golden Pond (the holding company). A2Pay is also seeking a
BEE partner to take a 15% shareholding in that company.
Since 2013 A2Pay has been engaged in various Jobs Fund projects aimed at job creation. These programmes
resulted in A2Pay gaining invaluable expertise and experience specifically in how to ensure the adoption of
technology to unlock the commercial potential of the South African Traditional Trader’s (Spaza shop’s)
business.
St
Past success has led to A2Pay being awarded a new 3-year Jobs Fund project commencing on the 1 of August
2019.

Central to the project is the supply of an all-in-one business management system which includes an online
point of sale system that incorporates full stock management, sales and profit reports and enables the trader
to sell a wide range of Value-Added Services including airtime and electricity.

In terms of the current project the Jobs Fund has committed to fund R161 million over the 3-year period while
A2Pay is required to provide R192 million by way of matched funding. A large portion of this matched funding
(approx. R 92 million) can be provided by A2Pay from internally generated profits
A2Pay currently has approx. 1300 active trading sites and the new project requires a further 4400 sites to be
installed over 3 years.

A2Pay is committed to providing 5,500 jobs and training 10,000 people during this period.

A2Pay is seeking to raise R100 million through the sales of equity stakes in Golden Pond (up to 26%) and A2Pay
(15% BEE stake). Five (5) year loan capital would also be considered for a portion of the funds. The funds raised
will form part of the matched funding requirement.

The investment opportunity derives from the exciting commercial prospects offered by a base in excess of
6,000 active and viable Spaza shops that will be part of the A2Pay network by March 2022.
There is a strong possibility that the Jobs Fund will support further installations, in which case, a target of
10,000 sites is not unrealistic. These additional sites have not been included in financial projections as the
extended rollout has not been approved by the Jobs Fund as yet.

There are various exciting commercial revenue streams that will flow from the A2Pay network. This is an
opportunity for an investor to benefit from the Jobs Fund funding and to share in these lucrative returns.

Financial highlights are included as part of this document. Detailed financial projections will be made available
to interested parties.