Announcement PDF ASX ANNOUNCEMENT: APPENDIX 4C 31 July 2017 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 June 2017. The Company held cash reserves of $0.917 million at the end of June, with operating cash outflows during the quarter at $0.107 million. During the quarter, the Company announced that it had entered into a strategic alliance with The Cho Group, a Hong Kong based group that funds and has successfully commercialised a number of unique and advanced technologies. In support of the alliance, The Cho Group made an equity investment in Invion Limited, in the form of a private placement. Total investment funds of $656,682 were received in two tranches during the quarter, and a total of 218,894,000 new shares were issued on receipt of funds. The alliance with The Cho Group represents an opportunity for Invion to expand its business and develop its asset pipeline through the identification and in-licencing of new advanced clinical opportunities, and activities during the quarter have been directed to this objective. A provision for costs related to the completion of a transaction have been captured in the forecast costs for the September quarter. The Company has also continued to market the partnering, sale or out-licence of its current respiratory assets. An Appendix 4C accompanies this announcement. For and on behalf of the Board of Invion Limited MELANIE FARRIS Company Secretary 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-June-2017 Current quarter Year to date $A’000 (12 months) $A’000 - - (a) research and development (1) (190) (b) product manufacturing and operating costs - - (c) advertising and marketing - - (d) leased assets - 1 (e) staff costs (19) (79) (f) administration and corporate costs (86) (592) 1.3 Dividends received (see note 3) - - 1.4 Interest received - - 1.5 Interest and other costs of finance paid (1) (11) 1.6 Income taxes paid - - 1.7 Government grants and tax incentives - 610 1.8 Other (provide details if material) - - 1.9 Net cash from/(used in ) operating activities (107) (261) 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 (12 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 - 53 (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 - 53 3. Cash flows from financing activities 3.1 Proceeds from issues of shares 657 661 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 (6) (6) 3.5 Proceeds from borrowings - 56 3.6 Repayment of borrowings (18) (18) 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 633 693 4. Net increase / (decrease) equivalents for the period 4.1 Cash and cash equivalents at beginning of quarter/year to date 391 437 4.2 Net cash from / (used in) operating activities (item 1.9 above) (107) (261) 4.3 Net cash from / (used in) investing activities (item 2.6 above) - 53 4.4 Net cash from / (used in) financing activities (item 3.10 above) 633 693 2.2 Proceeds from disposal of: + See chapter 19 for defined terms 1 September 2016 in cash and cash 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 (12 months) $A’000 $A’000 4.5 Effect of movement in exchange rates on cash held - (5) 4.6 Cash and cash equivalents at end of quarter 917 917 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 Current quarter $A'000 Previous quarter $A'000 5.1 Bank Balances 917 391 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) 917 391 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 30 9.2 Product manufacturing and operating costs - 9.3 Advertising and marketing - 9.4 Leased assets - 9.5 Staff costs 89 9.6 Administration and corporate costs 293 9.7 Other (provide details if material) - 9.8 Total estimated cash outflows 412 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-July-2017 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