IMPEDIMED LIMITED — Major Shareholding Notification 2007

Oct 23, 2007

603 page 1/3 15 July 2001

Form 603

Corporations Act 2001 Section 671B

Notice of initial substantial holder

To: Company Name/Scheme ImpediMed Limited ACN/ARSN ACN 089 705 144 1. Details of substantial holder (1) Name ImpediMed Limited ACN/ARSN (if applicable) ACN 089 705 144

The holder became a substantial holder on 22 / 10/2007, the date on which the Company became a listed entity.

2. Details of voting power

The total number of votes attached to all the voting shares in the company or voting interests in the scheme that the substantial holder or an associate (2) had a relevant interest (3) in on the date the substantial holder became a substantial holder are as follows:

Class of securities(4)	Number of securities	Person’s votes(5)	Voting power(6)
Ordinary shares	53,105,298	53,105,298	65.8%

3. Details of relevant interests

The nature of the relevant interest the substantial holder or an associate had in the following voting securities on the date the substantial holder became a substantial holder are as follows:

Holder of relevant interest	Nature of relevant interest(7)	Class and number of securities
Various holders under escrow agreements with ImpediMed Limited	Escrow agreements restricting the ability of the registered holder to sell.1	35,215,616 ordinary shares (including 6,395,783 of the 24,285,465 ordinary shares registered in thename ofStarfish TechnologyFund1,LP)
Starfish TechnologyFund 1,LP	Registered holder	24,285,465 ordinaryshares

4. Details of present registered holders

The persons registered as holders of the securities referred to in paragraph 3 above are as follows:

Holder of relevant interest	Registered holder of securities	Person entitled to be registered as holder(8)	Class and number of securities
CandlegrovePtyLtd	CandlegrovePtyLtd	CandlegrovePtyLtd	16,331ordinary shares
Cherrell Hirst	Cherrell Hirst	Cherrell Hirst	69,826 ordinaryshares
Colin Frederich & Lynette AnneBrown	Colin Frederich & Lynette Anne Brown	Colin Frederick & Lynette Anne Brown	6,364 ordinary shares
GregBrown	GregBrown	GregBrown	4,335,349 ordinary shares
KlemzigPtyLtd	KlemzigPtyLtd	KlemzigPtyLtd	86,791ordinary shares
Melvyn Bridges & Lucille Bridges	Melvyn Bridges & Lucille Bridges	Bridges Super Fund	69,826 ordinary shares
Parma Corporation Pty Ltd	Parma Corporation Pty Ltd	Bridges Family Trust	4,235,000 ordinary shares
Alan Armstrong	Alan Armstrong	Alan Armstrong	18,850 ordinary shares
Biophys Pty Ltd ACN 111 517 956	Biophys Pty Ltd ACN 111 517 956	Biophys Pty Ltd ACN 111 517 956	1,260,870 ordinary shares
DennisBourque	DennisBourque	DennisBourque	564,061ordinary shares
Bruce Cairney	Bruce Cairney	Bruce Cairney	195,432ordinary shares
Steve Conway	Steve Conway	Steve Conway	325,773 ordinary shares
Chelsea Services,Inc.	Chelsea Services,Inc.	Chelsea Services,Inc.	42,212ordinary shares
Mike Drotar	Mike Drotar	Mike Drotar	154,347 ordinaryshares

1 ImpediMed Limited has, for the purposes of the substantial holding provisions of the Corporations Act, a relevant interest in ordinary shares that are subject to escrow agreements between the Company and various registered holders. The Company’s relevant interest arises because the escrow agreements contain restrictions on disposal of the shares. The holders of relevant interest are listed in full in item 4.

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603 page 2/3 15 July 2001

4. Details of present registered holders (cont.)

Intellidesign Pty Ltd ACN 068 564 036	Intellidesign Pty Ltd ACN 068 564 036	Intellidesign Pty Ltd ACN 068 564 036	658,375 ordinary shares
Matt Leitner	Matt Leitner	Matt Leitner	2,256 ordinaryshares
Pamela Cove Pty Ltd ACN 074 544 906	Pamela Cove Pty Ltd ACN 074 544 906	Pamela Cove Pty Ltd ACN 074 544 906	30,928 ordinary shares
Queensland University of Technology	Queensland University of Technology	Queensland University of Technology	373,815 ordinary shares
Roxanne Pty Ltd ACN 110 755 345	Roxanne Pty Ltd ACN 110 755 345	Roxanne Pty Ltd ACN 110 755 345	1,260,870 ordinary shares
Carl Sanchez	Carl Sanchez	Carl Sanchez	42,212 ordinaryshares
Dennis Schlaht	Dennis Schlaht	Dennis Schlaht	121,964 ordinaryshares
Steve Smith	Steve Smith	Steve Smith	538,927 ordinaryshares
Steve St. Amand	Steve St. Amand	Steve St. Amand	35,284 ordinaryshares
Starfish Technology Fund 1 LP	Starfish Technology Fund 1 LP	Starfish Technology Fund 1 LP	6,395,783 ordinary shares
Statewide Superannuation PtyLtd ACN 008 099 223	Statewide Superannuation Pty Ltd ACN 008 099 223	Statewide Superannuation Pty Ltd ACN 008 099 223	916,546 ordinary shares
Thorpe Road Nominees PtyLtd ACN 007 852 173	Thorpe Road Nominees Pty Ltd ACN 007 852 173	Thorpe Road Nominees Pty Ltd ACN 007 852 173	4,134,373 ordinary shares
Tregoning Trailers Distributors Pty Ltd ACN 007 565 175	Tregoning Trailers Distributors Pty Ltd ACN 007 565 175	Tregoning Trailers Distributors Pty Ltd ACN 007 565 175	2,064,005 ordinary shares
Ian Tregoning	Ian Tregoning	Ian Tregoning	20,619 ordinaryshares
UniQuest Pty Limited ACN 010 529 898	UniQuest Pty Limited ACN 010 529 898	UniQuest Pty Limited ACN 010 529 898	1,490,000 ordinary shares
Versant Side Fund III LP	Versant Side Fund III LP	Versant Side Fund III LP	28,346 ordinaryshares
Versant Venture Capital III LP	Versant Venture Capital III LP	Versant Venture Capital III LP	4,803,735 ordinary shares
Westscheme Pty Ltd ACN 009 194 218	Westscheme Pty Ltd ACN 009 194 218	Westscheme Pty Ltd ACN 009 194 218	916,546 ordinary shares
Starfish Technology Fund 1,LP	Starfish Technology Fund 1, LP	Starfish Technology Fund 1, LP	24,285,465 ordinary shares

5. Consideration

The consideration paid for each relevant interest referred to in paragraph 3 above, and acquired in the four months prior to the day that the substantial holder became a substantial holder is as follows:

Holder of relevant interest	Date of acquisition	Consideration(9)	Consideration(9)	Class and number of securities
		Cash	Non-cash
Starfish Technology Fund 1, LP	12/10/07	Nil	Issued on the conversion of preference shares with an original cost of$1,559,365	4,832,081 ordinary shares
Starfish TechnologyFund1,LP	17/10/07	$8,979,008	Nil	19,453,384ordinary shares

6. Associates

The reasons the persons named in paragraph 3 above are associates of the substantial holder are as follows:

Name andACN/ARSN(ifapplicable)	Nature ofassociation
Starfish Technology Fund 1, LP	Starfish Technology Fund 1, LP holds 30% of the issued shares in ImpediMed Limited and may thereforehave controlof ImpediMedLimitedwithinsection50AAofthe CorporationsAct

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603 page 3/3

15 July 2001

7. Addresses

The addresses of the persons named in this form are as follows:

7. Addresses The addresses of the persons named in this form are as follows: Name Address ImpediMedLimited Building4B, GardenCity OfficePark,2404 Logan Road,EightMilePlains,Brisbane QLD 4113 Candlegrove PtyLtd 114 East Terrace,Adelaide,South Australia Cherrell Hirst 525FigTreePocketRoad,FigTreePocket, Queensland Colin Frederich&LynetteAnneBrown 26AnchorageDrive,RabyBay, Queensland GregBrown 23Boyd Street,Bowen Hills, Queensland KlemzigPtyLtd Riverside Centre,Level31,123Eagle Street,Brisbane, Queensland Melvyn Bridges 89 Geldart Road,Chandler, Queensland Parma Corporation PtyLtd 195Vulture Street, South Brisbane, Queensland Alan Armstrong 9824 ViaRita, Santee, California, USA BiophysPtyLtdACN 111517956 Level 1, 34 HighStreet, Southport, Queensland DennisBourque 10370RueMont Grenoble, San Diego, California, USA Bruce Cairney 7747 Margerum Avenue,Apartment 227,San Diego,California,USA Steve Conway Apartment 1802,700 Front Street,San Diego,California,USA Chelsea Services,Inc. 2244 Fort Stockton, San Diego, California, USA MikeDrotar 920 Stratford Court,Del Mar, California, USA Intellidesign PtyLtdACN068 564036 1/40Trinder Road,Ashgrove, Queensland Matt Leitner 11117 Blythe Road,San Diego,California,USA Pamela CovePtyLtdACN074544906 110Hutt Street,Adelaide, South Australia Queensland University of Technology 2George Street,Brisbane, Queensland Roxanne PtyLtd ACN 110 755 345 Level 6,120 Edward Street,Brisbane, Queensland CarlSanchez 4951CuncannonCourt, San Diego, California Dennis Schlaht 2320Ranchview Place,Escondido, California, USA Steve Smith 13,401Stone Canyon Road,Poway, California, USA Steve St. Amand 8065Berwyn Road, San Diego, California, USA Starfish TechnologyFund 1 LP 66 Jolimont Street,Jolimont,Victoria Statewide Superannuation Pty Ltd ACN008 099223 Statewide House, Level 1, 99 Gawler Place, Adelaide, South Australia Thorpe Road Nominees Pty Ltd ACN007852 173 59 Hardys Road, Underdale, South Australia Tregoning Trailers Distributors Pty Ltd ACN007565175 540 Port Road, Allenby Gardens, South Australia Ian Tregoning 59HardysRoad, Underdale, South Australia UniQuestPtyLimitedACN010 529 898 Staff HouseRoad,The University ofQueensland, StLucia, Queensland Versant Side Fund III LP 3000 Sand Hill Road,Building4,Suite 210,Menlo Park,California,USA VersantVenture Capital III LP 3000 SandHill Road,Building4, Suite210,MenloPark, California, USA WestschemePtyLtdACN009194 218 Level 13,AdelaideTerrace,Perth,Western Australia Signature print name PHIL AUCKLAND capacity SECRETARY sign here date 23 /10 /2007	7. Addresses The addresses of the persons named in this form are as follows: Name Address ImpediMedLimited Building4B, GardenCity OfficePark,2404 Logan Road,EightMilePlains,Brisbane QLD 4113 Candlegrove PtyLtd 114 East Terrace,Adelaide,South Australia Cherrell Hirst 525FigTreePocketRoad,FigTreePocket, Queensland Colin Frederich&LynetteAnneBrown 26AnchorageDrive,RabyBay, Queensland GregBrown 23Boyd Street,Bowen Hills, Queensland KlemzigPtyLtd Riverside Centre,Level31,123Eagle Street,Brisbane, Queensland Melvyn Bridges 89 Geldart Road,Chandler, Queensland Parma Corporation PtyLtd 195Vulture Street, South Brisbane, Queensland Alan Armstrong 9824 ViaRita, Santee, California, USA BiophysPtyLtdACN 111517956 Level 1, 34 HighStreet, Southport, Queensland DennisBourque 10370RueMont Grenoble, San Diego, California, USA Bruce Cairney 7747 Margerum Avenue,Apartment 227,San Diego,California,USA Steve Conway Apartment 1802,700 Front Street,San Diego,California,USA Chelsea Services,Inc. 2244 Fort Stockton, San Diego, California, USA MikeDrotar 920 Stratford Court,Del Mar, California, USA Intellidesign PtyLtdACN068 564036 1/40Trinder Road,Ashgrove, Queensland Matt Leitner 11117 Blythe Road,San Diego,California,USA Pamela CovePtyLtdACN074544906 110Hutt Street,Adelaide, South Australia Queensland University of Technology 2George Street,Brisbane, Queensland Roxanne PtyLtd ACN 110 755 345 Level 6,120 Edward Street,Brisbane, Queensland CarlSanchez 4951CuncannonCourt, San Diego, California Dennis Schlaht 2320Ranchview Place,Escondido, California, USA Steve Smith 13,401Stone Canyon Road,Poway, California, USA Steve St. Amand 8065Berwyn Road, San Diego, California, USA Starfish TechnologyFund 1 LP 66 Jolimont Street,Jolimont,Victoria Statewide Superannuation Pty Ltd ACN008 099223 Statewide House, Level 1, 99 Gawler Place, Adelaide, South Australia Thorpe Road Nominees Pty Ltd ACN007852 173 59 Hardys Road, Underdale, South Australia Tregoning Trailers Distributors Pty Ltd ACN007565175 540 Port Road, Allenby Gardens, South Australia Ian Tregoning 59HardysRoad, Underdale, South Australia UniQuestPtyLimitedACN010 529 898 Staff HouseRoad,The University ofQueensland, StLucia, Queensland Versant Side Fund III LP 3000 Sand Hill Road,Building4,Suite 210,Menlo Park,California,USA VersantVenture Capital III LP 3000 SandHill Road,Building4, Suite210,MenloPark, California, USA WestschemePtyLtdACN009194 218 Level 13,AdelaideTerrace,Perth,Western Australia Signature print name PHIL AUCKLAND capacity SECRETARY sign here date 23 /10 /2007	7. Addresses The addresses of the persons named in this form are as follows: Name Address ImpediMedLimited Building4B, GardenCity OfficePark,2404 Logan Road,EightMilePlains,Brisbane QLD 4113 Candlegrove PtyLtd 114 East Terrace,Adelaide,South Australia Cherrell Hirst 525FigTreePocketRoad,FigTreePocket, Queensland Colin Frederich&LynetteAnneBrown 26AnchorageDrive,RabyBay, Queensland GregBrown 23Boyd Street,Bowen Hills, Queensland KlemzigPtyLtd Riverside Centre,Level31,123Eagle Street,Brisbane, Queensland Melvyn Bridges 89 Geldart Road,Chandler, Queensland Parma Corporation PtyLtd 195Vulture Street, South Brisbane, Queensland Alan Armstrong 9824 ViaRita, Santee, California, USA BiophysPtyLtdACN 111517956 Level 1, 34 HighStreet, Southport, Queensland DennisBourque 10370RueMont Grenoble, San Diego, California, USA Bruce Cairney 7747 Margerum Avenue,Apartment 227,San Diego,California,USA Steve Conway Apartment 1802,700 Front Street,San Diego,California,USA Chelsea Services,Inc. 2244 Fort Stockton, San Diego, California, USA MikeDrotar 920 Stratford Court,Del Mar, California, USA Intellidesign PtyLtdACN068 564036 1/40Trinder Road,Ashgrove, Queensland Matt Leitner 11117 Blythe Road,San Diego,California,USA Pamela CovePtyLtdACN074544906 110Hutt Street,Adelaide, South Australia Queensland University of Technology 2George Street,Brisbane, Queensland Roxanne PtyLtd ACN 110 755 345 Level 6,120 Edward Street,Brisbane, Queensland CarlSanchez 4951CuncannonCourt, San Diego, California Dennis Schlaht 2320Ranchview Place,Escondido, California, USA Steve Smith 13,401Stone Canyon Road,Poway, California, USA Steve St. Amand 8065Berwyn Road, San Diego, California, USA Starfish TechnologyFund 1 LP 66 Jolimont Street,Jolimont,Victoria Statewide Superannuation Pty Ltd ACN008 099223 Statewide House, Level 1, 99 Gawler Place, Adelaide, South Australia Thorpe Road Nominees Pty Ltd ACN007852 173 59 Hardys Road, Underdale, South Australia Tregoning Trailers Distributors Pty Ltd ACN007565175 540 Port Road, Allenby Gardens, South Australia Ian Tregoning 59HardysRoad, Underdale, South Australia UniQuestPtyLimitedACN010 529 898 Staff HouseRoad,The University ofQueensland, StLucia, Queensland Versant Side Fund III LP 3000 Sand Hill Road,Building4,Suite 210,Menlo Park,California,USA VersantVenture Capital III LP 3000 SandHill Road,Building4, Suite210,MenloPark, California, USA WestschemePtyLtdACN009194 218 Level 13,AdelaideTerrace,Perth,Western Australia Signature print name PHIL AUCKLAND capacity SECRETARY sign here date 23 /10 /2007
	print name sign here	PHIL AUCKLAND capacity SECRETARY
		date 23 /10 /2007

Signature

print name	PHIL AUCKLAND	capacity SECRETARY
sign here		date 23 /10 /2007

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603 page 4/3 15 July 2001

DIRECTIONS

• (1) If there are a number of substantial holders with similar or related relevant interests (eg, a corporation and its related corporations, or the manager and trustee of an equity trust), the names could be included in an annexure to the form. If the relevant interests of a group of persons are essentially similar, they may be referred to throughout the form as a specifically named group if the membership of each group, with the names and addresses of members is clearly set out in paragraph 7 of the form.

• (2) See the definition of “associate” in section 9 of the Corporations Act 2001.

• (3) See the definition of “relevant interest” in sections 608 and 671B(7) of the Corporations Act 2001.

• (4) The voting shares of a company constitute one class unless divided into separate classes.

• (5) The total number of votes attached to all the voting shares in the company or voting interests in the scheme (if any) that the person or an associate has a relevant interest in.

• (6) The person’s votes divided by the total votes in the body corporate or scheme multiplied by 100.

• (7) Include details of:

• (a) any relevant agreement or other circumstances by which the relevant interest was acquired. If subsection 671B(4) applies, a copy of any document setting out the terms of the relevant agreement, and a statement by the person giving full and accurate details of any contract, scheme or arrangement, must accompany this form, together with a written statement certifying this contract, scheme or arrangement; and

• (b) any qualification of the power of a person to exercise, control the exercise of, or influence the exercise of, the voting powers or disposal of the securities to which the relevant interest relates (indicating clearly the particular securities to which the qualification applies).

See the definition of “relevant agreement” in section 9 of the Corporations Act 2001.

• (8) If the substantial holder is unable to determine the identity of the person (eg if the relevant interest arises because of an option) write "unknown".

• (9) Details of the consideration must include any and all benefits, money and other, that any person from whom a relevant interest was acquired has, or may, become entitled to receive in relation to that acquisition. Details must be included even if the benefit is conditional on the happening or not of a contingency. Details must be included of any benefit paid on behalf of the substantial holder or its associate in relation to the acquisitions, even if they are not paid directly to the person from whom the relevant interest was acquired.

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603 GUIDE page 1/1 13 March 2000

GUIDE

This guide does not form part of the prescribed form and is included by ASIC to assist you in completing and lodging form 603.

Signature

This form must be signed by either a director or a secretary of the substantial holder.

Lodging period

Nil

Lodging fee

Nil

Other forms to be completed

Nil

Additional information

• (a) If additional space is required to complete a question, the information may be included on a separate piece of paper annexed to the form.

• (b) This notice must be given to a listed company, or the responsible entity for a listed managed investment scheme. A copy of this notice must also be given to each relevant securities exchange.

• (c) The person must give a copy of this notice:

• (i) within 2 business days after they become aware of the information; or

• (ii) by 9.30 am on the next trading day of the relevant securities exchange after they become aware of the information if:

  • (A) a takeover bid is made for voting shares in the company or voting interests in the scheme; and

  • (B) the person becomes aware of the information during the bid period.

Annexures

To make any annexure conform to the regulations, you must

• 1 use A4 size paper of white or light pastel colour with a margin of at least 10 mm on all sides

• 2 show the corporation name and ACN or ARBN

• 3 number the pages consecutively

• 4 print or type in BLOCK letters in dark blue or black ink so that the document is clearly legible when photocopied

• 5 identify the annexure with a mark such as A, B, C, etc

• 6 endorse the annexure with the words: This is annexure (mark) of (number) pages referred to in form (form number and title)

• 7 sign and date the annexure, the annexure must be signed by the same person(s) who signed the form.

Information in this guide is intended as a guide only. Please consult your accountant or solicitor for further advice.

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