ADHERIUM LIMITED — Board/Management Information 2019

Nov 21, 2019

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New Adherium Management with Peter Stratford Appointed CEO

• Mike Motion appointed new Chief Commercial Officer

22 November 2019: Adherium Limited (ASX:ADR), a global leader in digital health technologies that address sub-optimal medication use in chronic disease, has appointed Peter Stratford as Chief Executive Officer (CEO), effective immediately. Mike Motion has simultaneously been appointed Chief Commercial Officer (CCO).

The transition means that interim CEO Jeremy Curnock Cook and interim CCO Bill Hunter have relinquished these roles as the company embarks on its new platform of product development and commercialisation. Both remain as Non-executive Directors on the Adherium board.

Dr Stratford has over 30 years’ experience in the pharmaceutical and medical device industries where he has led emerging and established medical device growth companies. Most recently, Dr Stratford was Head of Innovation at BTG, which he joined in January 2011 following the acquisition of Biocompatibles International plc.

Dr Stratford joined Biocompatibles in 1990 and was appointed to the Board in 2002. He took the role of Group Director Research and Development in 1998 and moved to Oncology Products and Creation as part of the Interventional Oncology business. As Managing Director at Biocompatibles he was responsible for all aspects of development, manufacturing, regulatory and quality, working with the direct sales force and distributors in EMEA, APAC, China and Japan.

At BTG he was a part of the executive leadership team managing innovation across the vascular, oncology and respiratory portfolio and was instrumental in the acquisition and integration of the key businesses in each portfolio. Dr Stratford has a BSc in Chemistry, an MSc in Polymer Synthesis and a PhD in Pharmaceutical Synthesis.

Mr Motion has over 35 years’ corporate experience in medical devices and pharmaceuticals starting his commercial career at Baxter Healthcare in 1984 working in manufacturing, sales and marketing and commercial leadership roles at UK, European and global levels. This was across a number of therapeutic areas including nutrition, infectious diseases and oncology.

Mr Motion joined Biocompatibles in 2005 to lead the commercialisation of its Interventional Oncology portfolio, setting up a direct sales force in the US and a global network of distributors in EMEA, APAC, China and Japan. After growing the business to about UK$40m per annum, Biocompatibles was acquired by BTG in 2011 for US$283m.

At BTG Mr Motion held senior leadership roles as General Manager for Interventional Oncology and Head of Digital Innovation, developing and executing BTG’s digital health strategy in the

therapeutic areas of oncology, anti-venom, vascular disease and respiratory. Latterly, Mr Motion was Head of Varithena, the only NDA approved treatment for Chronic Venous Insufficiency, securing CPT coding and extensive payer coverage ahead of successful commercialisation in the US. Mr Motion graduated in Aberdeen, Scotland with a BSc in Pharmacy.

“The appointments of Peter and Mike are a key step and an important phase of Adherium’s global business growth and commercialisation. This transition of control at the top of the company is a very considered step by the board,” said Mr Curnock Cook.

“This is new and top calibre experience to lead the company into its commercial growth phase to strive to deliver the promise of this technology. We welcome them to our team. Their experience with product commercialisation combined with our award-winning Hailie® products and technology platform will position Adherium to grow as a market leader in digital health.”

New CEO Dr Stratford said, "Adherium has some of the best technology in this space and our goal is to bring this to a successful commercial position. I look forward to leading the organisation to bring the benefits of the Hailie® solution to patients.”

About Adherium (ASX: ADR): Adherium is a provider of digital health solutions and a global leader in connected respiratory medical devices, with more than 170,000 sold globally. The company develops, manufactures and supplies a broad range of connected medical devices for respiratory medications for patients, pharmaceutical companies, healthcare providers and contract research organisations. Adherium’s Hailie® solution is designed to help patients achieve better adherence and provide visibility to parents and caregivers. It does this by tracking medication use and reminding the user with helpful nudges when it’s time to take doses, and by providing access to usage history to better understand patterns in their asthma and COPD. These tools ultimately enable people who live with asthma or COPD to more easily manage their condition alongside their physician. Learn more at adherium.com.

Summary of Dr Stratford’s key contractual terms in accordance with Listing Rule 3.16.4

(all amounts are in UK Pounds unless otherwise noted)

Item	Details
Role	Group Chief Executive Officer
Term	Ongoing (no fixed term)
Commencement	22 November 2019
Fixed Remuneration	• £300,000 per annum (subject to annual review by the Board) • Plus statutorysuperannuation
Variable (at risk) Remuneration	• A short-term annual incentive of up to 100% of earned salary to be awarded 50% in cash and 50% Employee Share Plan shares, subject to the achievement of agreed Key Performance Indicators • A long-term incentive under the Company’s Employee Share Plan of up to 6,800,000 shares to be issued at a price of 30 day VW@AP +10%, subject to the rules of theplan includingmeeting performance and vestingconditions
Non-solicitation	• The Group CEO is restricted from approaching existing employees, customers, suppliers, agents and consultants of the Company within 24 months of the GroupCEO ceasingto be employed bythe Company
Notice, termination and termination payments	• Either party may terminate employment at any time on six months’ notice or at the discretion of the Board, payment in lieu of notice • The Group CEO’s employment may also be terminated by the Company without notice in circumstances of misconduct