IMPEDIMED LIMITED — Capital/Financing Update 2009

May 27, 2009

28 May 2009

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ImpediMed Limited

[Insert name of option holder] [Insert address of option holder]

Dear Optionholder

ABN 65 089 705 144

Unit 1 50 Parker Court Pinkenba QLD 4113 Tel: +61 7 3860 3700 Fax: +61 7 3260 1225 Email: enquiries@impedimed.com

ImpediMed Limited – notice to optionholders

We wish to advise that on 28 May 2009, ImpediMed Limited ( ImpediMed ) announced a capital raising, comprising a placement to professional and sophisticated investors and a renounceable pro rata entitlement offer of ordinary shares in ImpediMed to eligible shareholders ( Entitlement Offer ).

Further details of the Entitlement Offer are set out in the offer summary. The offer summary is available at www.asx.com.au or from ImpediMed’s website, www.impedimed.com, for information purposes only.

As an optionholder you are not entitled to participate in the Rights Issue. The purpose of this letter is to give you notice of the Record Date.

For you to participate in the Rights Issue, you must exercise any options (subject to the terms of the options) and be registered as an eligible shareholder before 7:00 pm on the Record Date. You should carefully consider your personal circumstances and the offer summary before deciding whether to exercise your options. If you are unsure what action you should take or have any questions about the rights issue, you should contact your stockbroker, accountant or other professional adviser.

If you do not want to exercise your options and participate in the Rights Issue, the exercise price of your options will be reduced in the manner permitted by the ASX Listing Rules applying at the time of the Rights Issue. ImpediMed will make an announcement in relation to the reduced exercise price in due course.

Yours faithfully ImpediMed Limited

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___________________________________ Phil Auckland – CFO & Company Secretary

S u r v i v i n g c a n c e r w i t h o u t c o m p r o m i s i n g l i f e s t y l e