Ayubowan Announces $1.5 Million Private Placement

AYUBOWAN CAPITAL LTD.

Suite 2200, 885 West Georgia Street Vancouver, British Columbia V6C 3E8

NEWS RELEASE

AYUBOWAN ANNOUNCES $1.5 MILLION PRIVATE PLACEMENT

Vancouver, British Columbia – August 2, 2016 – Ayubowan Capital Ltd. (the “Company” or “Ayubowan”) (TSX-V: AYB.H) is pleased to announce that it intends to complete a non-brokered private placement to raise up to $1,500,000 through the issuance of up to 30,000,000 common shares at a price of $0.05 per common share (the “Offering”).

It is expected that the Emprise Special Opportunities Fund (2013), Limited Partnership (the “Emprise LP”) will subscribe for 25,750,000 common shares which will result in the Emprise LP owning a control position in the Company.

Closing of the Offering is conditional upon the Company coming to satisfactory arrangements with its creditors on terms acceptable to the investors, the Company obtaining final TSX Venture Exchange (the “Exchange”) approval to this Offering, the Company obtaining shareholder approval to the change of control contemplated in this Offering, and the Company and the investors agreeing to certain changes to the Company’s management and board of directors.

The proceeds of the Offering will be used to settle certain indebtedness and for working capital.

For further information, contact David Nelson at [email protected]

On Behalf of the Board of Directors of:

AYUBOWAN CAPITAL LTD.

David Nelson Chief Executive Officer Ayubowan Capital Ltd.

(604) 566-8316 Email: [email protected]

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.