COMPUMEDICS LIMITED — Capital/Financing Update 2014

Mar 17, 2014

==> picture [75 x 76] intentionally omitted <==

ASX/Media Release 18 March 2014

**Compumedics

wins key $0.7m (EUR0.5m) deal in Europe**

Highlights: Key French Opinion Leader site to purchase Sleep Ambulatory Devices

• Compumedics wins major $0.7m deal with University Hospital Strasbourg, France for the supply of sleep diagnostic equipment

• Compumedics will continue to selectively target growth opportunities in Europe as it continues to expand its footprint in this important market.

Compumedics Limited (ASX: CMP) is pleased to announce that it has won a major new contract to supply a key reference site in Strasbourg France, University Hospital, with its ambulatory sleep diagnostic equipment. The deal is for EUR0.5m (AUD0.7m) of equipment. In addition Compumedics will participate in a EUR0.2m grant from the regional government in France to fund specific modifications and improvements to the installation.

The winning of this deal will further strengthen Compumedics brand and presence in France and underpin future business in the region. Compumedics has employed a direct sales representative in France for several years and this deal will build further on the work and business already won in the country.

Compumedics remains highly focused on growing the Group through:

• Expansion of the Companies existing products to all key global markets

• Expansion of sales of the Company’s existing products into emerging markets particularly China; and

• • Continuing the initial penetration of the neuro-­‐diagnostic market, particularly the US, with Compumedics range of neuro-­‐diagnostic products, including the Neuvo ® LTEM (long-­‐term EEG-­‐ monitoring) system.

In commenting on this new deal for the Company, Executive Chairman & CEO, Dr David Burton said:

“We are delighted that Compumedics has commenced 2014 with some big contract wins for the company including this $0.7m deal in France. We have always recognised the importance of having key sales representatives based in Europe and the emerging markets to capitalise on business opportunities as the world continues to re emerge positively from the GFC.”

==> picture [75 x 76] intentionally omitted <==

**ABOUT

COMPUMEDICS**

Compumedics Limited was founded in 1987 by current Chairman/CEO Dr. David Burton and today is a global leader in the design and manufacture of diagnostic technologies for sleep disorders, neurophysiology and cardiology. In 1987 Compumedics established Asia Pacific's first fully computerized sleep laboratory. Compumedics holds 80% share of the Australian sleep-­‐diagnostic market, and has a major and rapidly growing presence in the US, European and Asian marketplaces for its sleep, neurological, and Doppler blood-­‐flow diagnostic monitoring devices. In 1995 the company was selected to supply equipment to the US Sleep Heart Health Study, the world's largest sleep study of its kind, with over 8,000 participants scheduled by 2008.

With headquarters in Melbourne, Australia and offices in the United States and Europe, its products are distributed in over 50 countries. In 1998 Compumedics was awarded the overall Australian Exporter of the Year. In 2000 Compumedics was listed on the Australian Stock Exchange. In 2002 , Compumedics acquired US-­‐ based Neuroscan -­‐ the world's leading supplier of instruments for brain research. In the US -­‐ the world's largest medical device market -­‐ Neuroscan holds around 90% of the market for brain-­‐ research products. In 2003 Compumedics was awarded the Frost & Sullivan Award for Market Expansion Strategy. In 2004 , Compumedics acquired Germany-­‐based DWL Elektronishe GmbH, enabling Compumedics to expand its global operations into the neurovascular and cardio-­‐vascular diagnostic fields. In 2006 , Compumedics was awarded the Frost and Sullivan Technology Leadership award for its innovative Somte® recorder product. In 2007 , Compumedics and its Chairman were inducted into the Victorian Manufacturing Hall of Fame. In 2008 the DWL division received a top 100 German Innovation award. With 20,000 systems installed globally across the finest hospital, universities and clinics Compumedics sales have grown more than 4-­‐fold from $9 million (1999) to $39 million (2008). In 2009 Compumedics was awarded a design award for its GRAEL® PSG/EEG premium laboratory-­‐based product. In 2010 Compumedics was recognized by the Australian Innovation Government and Industry body as one of Australia's Top 100 Health Innovators through its world leading devices for sleep diagnostics.

In 2011, Compumedics was chosen, as one of only 25, innovative Australian companies by the Australian Governments Department of Innovation, Industry, Science and Research (Industry). In 2012 Compumedics won several key-­‐opinion-­‐leader sites for the installation of it newly released long-­‐term EEG monitoring (LTEM) equipment. In 2013 the Company refinanced the Group to better facilitate its on-­‐going business operations.

This included an equity issue to Beijing Bestmed, it long-­‐term partner in China.

For further background please visit: www.compumedics.com

**For

further information please contact:**

Dr David Burton , Executive Chairman, CEO Compumedics Limited T: + 61 3 8420 7300 For investor relations and media enquiries please contact: F: +61 3 8420 7399

Mr David Lawson , Executive Director, CFO Compumedics Limited T: + 61 3 8420 7300 F: +61 3 8420 7399

Rod North , Managing Director, Bourse Communications Pty Ltd T: (03) 9510 8309, M: 0408 670 706 E: rod@boursecommunications.com.au