Issue of Equity

VMOTO RAISES A$1.5 MILLION to MEET DEMAND

Announcement 27 AUGUST 2013

The Board of Directors of Vmoto Limited (ACN 098 455 460) (Company) is pleased to announce that it has received firm commitments from sophisticated investors to raise $1.5 million (before costs) at an issue price of $0.02 per share. The shares are being issued pursuant to the Company's 15% annual placement capacity and accordingly this issue is not subject to shareholder approval.

The funds have been raised to enable Vmoto to meet the significant demand for the Company's electric scooters being experienced in the newly entered Chinese domestic market, in a timely manner.

Charles Chen, Managing Director, commented: "We are pleased to have secured these extra funds to ensure the Company does not miss out on demand being shown for our electric scooters, which would ultimately be detrimental to the growth story we are trying to achieve. These are exciting times for Vmoto and having more working capital for supplies and store roll outs means we can keep up with the momentum that has been generated so far."

An Appendix 3B will follow in due course.

This fundraising will result in the issue of 75 million new ordinary shares in the capital of Vmoto (the "Placing Shares"). Application has been made for the Placing Shares to be admitted to trading on AIM ("Admission") and it is expected that Admission and dealings in the Placing Shares will occur on AIM and the ASX on 29 August 2013. The Placing Shares will rank pari passu with the existing ordinary shares in the capital of Vmoto currently in issue. Following Admission, there will be 971,087,712 ordinary shares in the capital of Vmoto in issue.

AUTHORISED BY:

Charles Chen

Managing Director

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About Vmoto

Vmoto is a global scooter manufacturing and distribution group and is listed on the Australian Securities Exchange (ASX) and on the AIM market of the London Stock Exchange. The Company specialises in high quality "green" electric powered two wheel vehicles and manufactures a range of western designed electric (and some petrol) two wheel vehicles from its low cost manufacturing facilities in Nanjing, China, marketed in Europe through its operation in Bremen, Germany and marketed outside Europe through its operations in Australia. Vmoto combines low cost Chinese manufacturing capabilities with European design. The group operates through two primary brands: Vmoto (aimed at the value market in Asia) and E-Max (targeting the Western markets, with a premium end product). As well as operating under its own brands, the Company also sells to a number of customers on an original equipment manufacturer ("OEM") basis.