Announcement PDF ASX ANNOUNCEMENT: APPENDIX 4C 31 October 2016 The Manager Company Announcements Office ASX Limited 20 Bridge St SYDNEY NSW 2000 Dear Sir APPENDIX 4C Invion Limited (ASX:IVX) is pleased to lodge its Appendix 4C for the quarter ending 30 September 2016. The Company held cash reserves of $0.664 million at the end of September, with cash outflows during the quarter at $0.232 million. As reported in previous quarters, operating cash outflows have been reduced reflecting lower capital-intensive activity following the completion of major R&D program milestones. These milestones include the completion of two phase II clinical trials for the company’s lead drug asset - INV102(nadolol) - being a phase II study of nadolol in patients with chronic bronchitis, and a phase II study of nadolol in patients with mild asthma. The Company is driven to realise value from its assets via a commercial transaction following the successful completion of its major R&D milestones. The activity of the Company therefore has been directed towards business development, and the partnering (via sale or out-licence) of one or all of its assets. An Appendix 4C accompanies this announcement. For and on behalf of the Board of Invion Limited MELANIE FARRIS Company Secretary and Head of Operations Invion Limited ABN 76 094 730 417 GPO Box 1557, Brisbane, QLD 4073 P +61 7 3295 0500 F +61 7 3295 0599 www.inviongroup.com Appendix 4C Quarterly report for entities subject to Listing Rule 4.7B Appendix 4C Quarterly report for entities subject to Listing Rule 4.7B Introduced 31/3/00. Amended 30/9/01, 24/10/05, 17/12/10, 1/09/16 Name of entity INVION LIMITED ABN Quarter ended (“current quarter”) 76 094 730 417 Consolidated statement of cash flows 1. Cash flows from operating activities 1.1 Receipts from customers 1.2 Payments for 30-September-2016 Current quarter Year to date $A’000 (3 months) $A’000 - - (114) (114) (b) product manufacturing and operating costs - - (c) advertising and marketing - - (d) leased assets 1 1 (e) staff costs (20) (20) (f) administration and corporate costs (247) (247) (a) research and development 1.3 Dividends received (see note 3) - - 1.4 Interest received - - 1.5 Interest and other costs of finance paid - - 1.6 Income taxes paid - - 1.7 Government grants and tax incentives 610 610 1.8 Other (provide details if material) - - 1.9 Net cash from/(used in ) operating activities 230 230 2. Cash flows from investing activities 2.1 Payments to acquire: (a) property, plant and equipment - - (b) businesses (see item 10) - - (c) investments - - + See chapter 19 for defined terms 1 September 2016 Appendix 4 C Page 1 Appendix 4C Quarterly report for entities subject to Listing Rule 4.7B Consolidated statement of cash flows Current quarter Year to date (3 months) $A’000 $A’000 (d) intellectual property - - (e) other non-current assets - - (a) property, plant and equipment - - (b) businesses (see item 10) - - (c) investments - - (d) intellectual property - - (e) other non-current assets - - 2.3 Cash flows from loans to other entities - - 2.4 Dividends received (see note 3) - - 2.5 Other (provide details if material) - - 2.6 Net cash from/(used in ) investing activities - - 3. Cash flows from financing activities 3.1 Proceeds from issues of shares 4 4 3.2 Proceeds from issue of convertible notes - - 3.3 Proceeds from exercise of share options - - 3.4 Transaction costs related to issues of shares, convertible notes or options - - 3.5 Proceeds from borrowings - - 3.6 Repayment of borrowings - - 3.7 Transaction costs related to loans and borrowings - - 3.8 Dividends paid - - 3.9 Other (provide details if material) - - 3.10 Net cash from/(used in ) financing activities 4 4 4. Net increase / (decrease) in cash and cash equivalents for the period 4.1 Cash and cash equivalents at beginning of quarter/year to date 437 437 4.2 Net cash from / (used in) operating activities (item 1.9 above) 230 230 4.3 Net cash from / (used in) investing activities (item 2.6 above) - - 4.4 Net cash from / (used in) financing activities (item 3.10 above) 4 4 2.2 Proceeds from disposal of: + See chapter 19 for defined terms 1 September 2016 Appendix 4 C Page 2 Appendix 4C Quarterly report for entities subject to Listing Rule 4.7B Consolidated statement of cash flows Current quarter Year to date (3 months) $A’000 4.5 Effect of movement in exchange rates on cash held 4.6 Cash and cash equivalents at end of quarter 5. Reconciliation of cash and cash equivalents at the end of the quarter (as shown in the consolidated statement of cash flows) to the related items in the accounts $A’000 (9) (9) 662 662 Current quarter $A'000 Previous quarter $A'000 5.1 Bank Balances 662 437 5.2 Call deposits - - 5.3 Bank overdrafts - - 5.4 Other (provide details) - - 5.5 Cash and cash equivalents at end of quarter (should equal item 4.6 above) 662 437 6. Payments to directors of the entity and their associates 6.1 Aggregate amount of payments to the parties included in item 1.2 (18) 6.2 Aggregate amount of cash flow from loans to these parties included in item 2.3 - 6.3 Include below any explanation necessary to understand the transactions included in items 6.1 and 6.2 Current quarter $A'000 Payments to directors includes directors fees and executive directors salaries. Current quarter $A'000 7. Payments to related entities of the entity and their associates 7.1 Aggregate amount of payments to the parties included in item 1.2 - 7.2 Aggregate amount of cash flow from loans to these parties included in item 2.3 - 7.3 Include below any explanation necessary to understand the transactions included in items 7.1 and 7.2 + See chapter 19 for defined terms 1 September 2016 Appendix 4 C Page 3 Appendix 4C Quarterly report for entities subject to Listing Rule 4.7B Total facility amount at quarter end $A'000 Total drawn at quarter end $A'000 8. Financing facilities available 8.1 Loan facilities - - 8.2 Credit standby arrangements - - 8.3 Other (please specify) - - 8.4 Include below a description of each facility above, including the lender, interest rate and whether it is secured or unsecured. If any additional facilities have been entered into or are proposed to be entered into after quarter end, include details of those facilities as well. 9. Estimated cash outflows for next quarter 9.1 Research and development 74 9.2 Product manufacturing and operating costs - 9.3 Advertising and marketing - 9.4 Leased assets - 9.5 Staff costs 22 9.6 Administration and corporate costs 95 9.7 Other (provide details if material) - 9.8 Total estimated cash outflows 191 10. Acquisitions and disposals of business entities (items 2.1(b) and 2.2(b) above) 10.1 Name of entity 10.2 Place of incorporation or registration 10.3 Consideration for acquisition or disposal 10.4 Total net assets 10.5 Nature of business Add notes as necessary for an understanding of the position + See chapter 19 for defined terms 1 September 2016 $A'000 Acquisitions Disposals N/A N/A Appendix 4 C Page 4 Appendix 4C Quarterly report for entities subject to Listing Rule 4.7B Compliance statement 1 This statement has been prepared in accordance with accounting standards and policies which comply with Listing Rule 19.11A. 2 This statement gives a true and fair view of the matters disclosed. Sign here: Original signed (Company Secretary) Date: 31-October-2016 Print name: Melanie Farris Notes 1 The quarterly report provides a basis for informing the market how the entity’s activities have been financed for the past quarter and the effect on its cash position. An entity that wishes to disclose additional information is encouraged to do so, in a note or notes included in or attached to this report. 2 If this quarterly report has been prepared in accordance with Australian Accounting Standards, the definitions in, and provisions of, AASB 107: Statement of Cash Flows apply to this report. If this quarterly report has been prepared in accordance with other accounting standards agreed by ASX pursuant to Listing Rule 19.11A, the corresponding equivalent standard applies to this report. 3 Dividends received may be classified either as cash flows from operating activities or cash flows from investing activities, depending on the accounting policy of the entity. + See chapter 19 for defined terms 1 September 2016 Appendix 4 C Page 5