COGSTATE LTD — Capital/Financing Update 2011

Apr 3, 2011

==> picture [235 x 48] intentionally omitted <==

ASX Announcement

Melbourne, Monday 4 April 2011

CogState signs sales contract for phase 3 study

Highlights

• CogState used in Phase 3 clinical trial for the treatment of iron deficiency in anemia

• The contract will generate $0.7m of revenue over the study duration

• This study will be the first time that CogState technology has been used in a pharmaceutical company sponsored study of iron deficiency in anemia

CogState Ltd (ASX:CGS) today announced that it has signed a contract with an international pharmaceutical company to participate in a phase 3 clinical trial for the treatment of iron deficiency in anemia.

Under the contract, which will generate $0.7 million of revenue for CogState over the study duration, CogState will provide its cognitive testing technology and associated services to both the randomized, double-blind, placebo-controlled study as well as the open-label extension study.

CogState Chief Science Officer, Dr Paul Maruff stated, “Iron deficiency is the most common cause of anemia worldwide. Research in patients with iron deficiency anemia has shown a correlation between low levels of hemoglobin and reduced cognitive function. The underlying hypothesis for this study is that an increase in hemoglobin levels through IV iron replenishment will result in a corresponding improvement in cognitive function. The study will leverage the sensitivity of the CogState battery to cognitive impairment in individuals with anaemia and with disorders where anemia is prevalent.”

The primary outcome of the study will be an increase in hemoglobin. Cognition will only be tested in consenting patients within the USA arm of the study.

This study will be the first time that the CogState technology has been used in a pharmaceutical company sponsored study of iron deficiency in anemia. CogState has previously worked with academics to study the effects of anemia on cognition.

CogState CEO, Brad O’Connor, commented, “we are very pleased to have been selected for this phase 3 study, which will provide us our first opportunity to work with this particular sponsor.”

==> picture [235 x 48] intentionally omitted <==

About CogState

CogState Ltd (ASX: CGS) specialises in the development and commercialisation of rapid, computerised tests of cognition (brain function). To date, CogState has commercialised its technology in two markets – clinical drug trials and concussion management in sport.

In the clinical drug trial market, CogState technology and associated services are used by pharmaceutical and biotechnology companies to quantify the effect of drugs or other interventions on human subjects participating in clinical trials. Since sales into the clinical trials market began in 2004, CogState has secured agreements with top pharmaceutical companies including Pfizer, AstraZeneca, GlaxoSmithKline, Merck, Johnson & Johnson, Novartis, Lundbeck, Dainippon Sumitomo, Otsuka, Servier.

In the area of sports related concussion, CogState’s technology has been used by a number of highly regarded institutions and sporting organisations around the world for almost 10 years. Current users include, University of Notre Dame, University of Michigan, English Rugby League, English Jockey Club, and a number of national and international Rugby League and Rugby Union clubs. In Australia, both the AFL and NRL have mandated computerised cognitive testing, using CogState, within the last month.

CogState has established a joint venture in the USA, called Axon Sports, to market its concussion management technology. Axon Sports has an exclusive license to market and sell the CogState technology in the area of sports and related concussions within North America (USA, Canada, Mexico).

For further information:

Brad O’Connor Chief Executive Officer CogState Ltd. 03 9664 1300 Mob: 0411 888 347 boconnor@cogstate.com