IMUGENE LIMITED — Capital/Financing Update 2008

Jan 30, 2008

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ASX ANNOUNCEMENT

31 January 2008

ALLOTMENT OF RIGHTS ISSUE SHORTFALL AND s708A NOTICE

Imugene Limited (ASX:IMU, “Imugene”) advised on 18 January 2008 that the underwritten shortfall of 8,845,161 shares under the Company’s 1 for 10 non-renounceable entitlement issue (“Rights Issue”) was being placed by the underwriters of the Rights Issue.

Imugene advises that this placement (“Placement”) has now been completed and that 8,845,161 new fully paid ordinary shares have been allotted and issued to professional and sophisticated investor parties nominated by the Rights Issue underwriters. As previously disclosed, in addition to taking up their full entitlements under the Rights Issue, all three of Imugene’s Directors have sub-underwritten, in total, the first $200,000 (1,428,571 shares) of the shortfall arising from the Rights Issue. No fee was charged by the Directors for this sub-underwriting.

The Board wishes to publicly express its appreciation to Southern Cross Equities Limited, underwriters to the issue, who provided unwavering support to the Company during the period of the issue and shortfall allocation period despite the volatility in stock markets in Australia and internationally.

Secondary Trading Exemption Notice

The Corporations Act 2001 (“Act”) restricts the on-sale of securities without disclosure, unless the sale is exempt under Section 708 or 708A of the Act. By Imugene giving this notice, on sale of the Placement shares will fall within the exemption offered by Section 708A (5) of the Act.

Imugene hereby notifies the ASX (as the operator of the prescribed financial market on which the Placement shares are to be quoted) under Section 708A(5)(e) of the Act that:

(a) Imugene issued the Placement shares without disclosure to investors under Part 6D.2 of the Act;

(b) As at the date of this notice Imugene has complied with the provisions of Chapter 2M of the Act as they apply to Imugene and with Section 674 of the Act; and

(c) As at the date of this notice there is no “excluded information” as defined in Section 708A(7) and (8) of the Act in relation to Imugene.

Yours sincerely, IMUGENE LIMITED

Alex Neuling COMPANY SECRETARY

Perth Office

Level 20, Allendale Square 77 St Georges Terrace Perth WA 6000 Tel: +61 8 9440 2660 Fax: +61 8 9440 2699

Sydney Office

Registered Office Level 1, 14 – 20 Delhi Road North Ryde NSW 2113 Tel:+61 2 9870 7330 Fax:+61 2 9888 9338

ABN: 99 009 179 551

www.imugene.com