ANTEOTECH LTD — Capital/Financing Update 2011

Feb 20, 2011

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21 February 2011

Australian Securities Exchange Limited Exchange Centre 20 Bridge Street SYDNEY NSW 2000

Dear Sir,

Anteo Raises $5.1 M through Option Exercise

The following Appendix 3B is the final “New Issue Announcement” relating to the conversion of 6.5 cent options that expired on 1 February 2011. I am extremely pleased to report that, of the 81,943,291 options issued, 78,845,313 were exercised. This represents more than 96% of all outstanding options.

As a result of the option conversion the company has received approximately $5.1 million taking its cash on hand to more than $7 million. Based on current expenditure levels and excluding any future revenue streams, this cash balance provides for approximately 3 years of the Company’s working capital requirements.

The Company would like to thank shareholders who chose to exercise their options for the confidence they have demonstrated in the future of the company.

Yours faithfully, Dr Geoff Cumming Anteo Diagnostics Limited

Appendix 3B

New issue announcement, application for quotation of additional securities and agreement

Information or documents not available now must be given to ASX as soon as available. Information and documents given to ASX become ASX’s property and may be made public.

Introduced 1/7/96. Origin: Appendix 5. Amended 1/7/98, 1/9/99, 1/7/2000, 30/9/2001, 11/3/2002, 1/1/2003, 24/10/2005.

Name of entity

Anteo Diagnostics Limited

ABN

75 070 028 625

We (the entity) give ASX the following information.

Part 1 - All issues

You must complete the relevant sections (attach sheets if there is not enough space).

1 +Class of+securities issued or to be issued 2 Number of+securities issued or to be issued (if known) or maximum number which may be issued 3 Principal terms of the+securities (eg, if options, exercise price and expiry date; if partly paid+securities, the amount outstanding and due dates for payment; if +convertible securities, the conversion price and dates for conversion)	Fully Paid Ordinary Shares
	12,141,370
	Fully Paid Ordinary Shares

• See chapter 19 for defined terms.

Appendix 3B Page 2

1/1/2003

• 4 Do the[+] securities rank equally in all Yes respects from the date of allotment with an existing[+] class of quoted +securities? If the additional securities do not rank equally, please state: • the date from which they do • the extent to which they participate for the next dividend, (in the case of a trust, distribution) or interest payment

• the extent to which they do not rank equally, other than in relation to the next dividend, distribution or interest payment

• 5 Issue price or consideration $789,189.05

• 6 Purpose of the issue Issued as a result of the conversion of (If issued as consideration for the 12,141,370 Options Ex Price $0.065, Exp Date acquisition of assets, clearly identify 1/2/11 those assets)

• 7 Dates of entering[+] securities into uncertificated holdings or despatch of certificates

17/2/11

Number +Class 8 Number and +class of all 747,594,877 Ordinary Shares +securities quoted on ASX ( including the securities in clause 2 if applicable)

• See chapter 19 for defined terms.

Appendix 3B Page 4

1/1/2003

9 Number and +class of all +securities not quoted on ASX (_including_the securities in clause 2 if applicable) 10 Dividend policy (in the case of a trust, distribution policy) on the increased capital (interests)	8,050,000 29,625,000 23,036 8,398 49,191 4,799 9,598 16,479 60,790 9,598 72,152 3,840 4,800 76,786 3,656,206 71,643 71,987 3,087,902 105,865 58,166 72,329 14,356,713	2.0 c options expiring 30/09/12 7.0 c options expiring 8/11/2014 52.1c options expiring 18/12/2010 52.1c options expiring 22/1/2011 52.1c options expiring 1/4/2011 52.1c options expiring 31/7/2011 65.1c options expiring 13/9/2011 52.1c options expiring 19/10/2011 65.1c options expiring 1/1/2012 65.1c options expiring 1/3/2012 65.1c options expiring 1/4/2012 65.1c options expiring 25/4/2012 65.1c options expiring 31/10/2012 15.6c options expiring 1/9/2013 15.6c options expiring 1/12/2013 15.6c options expiring 24/5/2014 15.6c options expiring 1/10/2014 15.6c options expiring 20/12/2014 15.6c options expiring 20/1/2015 15.6c options expiring 20/2/2015 8.1c options expiring 31/7/2013 5.5c options expiring 1/2/2011
	N/A

Part 2 - Bonus issue or pro rata issue

11 Is security holder approval required? 12 Is the issue renounceable or non- renounceable? 13 Ratio in which the+securities will be offered 14 +Class of+securities to which the offer relates 15 +Record date to determine entitlements 16 Will holdings on different registers (or subregisters) be aggregated for calculating entitlements? 17 Policy for deciding entitlements in relation to fractions 18 Names of countries in which the entity has+security holders who will not be sent new issue documents Note: Security holders must be told how their entitlements are to be dealt with. Cross reference: rule 7.7. 19 Closing date for receipt of acceptances or renunciations 20 Names of any underwriters 21 Amount of any underwriting fee or commission 22 Names of any brokers to the issue 23 Fee or commission payable to the broker to the issue	N/A
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• See chapter 19 for defined terms.

Appendix 3B Page 6

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24 Amount of any handling fee payable to brokers who lodge acceptances or renunciations on behalf of +security holders 25 If the issue is contingent on +security holders’ approval, the date of the meeting 26 Date entitlement and acceptance form and prospectus or Product Disclosure Statement will be sent to persons entitled 27 If the entity has issued options, and the terms entitle option holders to participate on exercise, the date on which notices will be sent to option holders 28 Date rights trading will begin (if applicable) 29 Date rights trading will end (if applicable) 30 How do+security holders sell their entitlements_in full_through a broker? 31 How do+security holders sell_part_ of their entitlements through a broker and accept for the balance? 32 How do+security holders dispose of their entitlements (except by sale through a broker)? 33 +Despatch date	N/A
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Part 3 - Quotation of securities

You need only complete this section if you are applying for quotation of securities

34 Type of securities ( tick one )

• (a) Securities described in Part 1

• (b) All other securities

Example: restricted securities at the end of the escrowed period, partly paid securities that become fully paid, employee

incentive share securities when restriction ends, securities issued on expiry or conversion of convertible securities

Entities that have ticked box 34(a)

Additional securities forming a new class of securities

Tick to indicate you are providing the information or documents

• 35 If the[+] securities are[+] equity securities, the names of the 20 largest holders of the additional[+] securities, and the number and percentage of additional[+] securities held by those holders

• 36 If the[+] securities are[+] equity securities, a distribution schedule of the additional +securities setting out the number of holders in the categories 1 - 1,000 1,001 - 5,000 5,001 - 10,000 10,001 - 100,000 100,001 and over

• 37 A copy of any trust deed for the additional[+] securities

• See chapter 19 for defined terms.

Appendix 3B Page 8

1/1/2003

Entities that have ticked box 34(b)

38 Number of securities for which +quotation is sought 39 Class of +securities for which quotation is sought 40 Do the[+] securities rank equally in all respects from the date of allotment with an existing[+] class of quoted +securities? If the additional securities do not rank equally, please state: • the date from which they do • the extent to which they participate for the next dividend, (in the case of a trust, distribution) or interest payment

• the extent to which they do not rank equally, other than in relation to the next dividend, distribution or interest payment

41 Reason for request for quotation now Example: In the case of restricted securities, end of restriction period (if issued upon conversion of another security, clearly identify that other security) Number +Class 42 Number and[+] class of all[+] securities quoted on ASX ( including the securities in clause 38)

Quotation agreement

• 1 +Quotation of our additional +securities is in ASX’s absolute discretion. ASX may quote the[+] securities on any conditions it decides.

• 2 We warrant the following to ASX.

• The issue of the[+] securities to be quoted complies with the law and is not for an illegal purpose.

• There is no reason why those[+] securities should not be granted[+] quotation.

• An offer of the[+] securities for sale within 12 months after their issue will not require disclosure under section 707(3) or section 1012C(6) of the Corporations Act.

Note: An entity may need to obtain appropriate warranties from subscribers for the securities in order to be able to give this warranty

• Section 724 or section 1016E of the Corporations Act does not apply to any applications received by us in relation to any[+] securities to be quoted and that no-one has any right to return any[+] securities to be quoted under sections 737, 738 or 1016F of the Corporations Act at the time that we request that the[+] securities be quoted.

• If we are a trust, we warrant that no person has the right to return the +securities to be quoted under section 1019B of the Corporations Act at the time that we request that the[+] securities be quoted.

• 3 We will indemnify ASX to the fullest extent permitted by law in respect of any claim, action or expense arising from or connected with any breach of the warranties in this agreement.

• 4 We give ASX the information and documents required by this form. If any information or document not available now, will give it to ASX before[+] quotation of the[+] securities begins. We acknowledge that ASX is relying on the information and documents. We warrant that they are (will be) true and complete.

Sign here: ............................................................ Date: 17/2/11 ( ~~Director~~ /Company Secretary) Print name: Shane Hartwig == == == == ==

• See chapter 19 for defined terms.

Appendix 3B Page 10

1/1/2003