IMUGENE LIMITED — Interim / Quarterly Report 2017

Apr 27, 2017

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Business Update – March Quarter

April 28, 2017: Imugene Limited (ASX: IMU), an immuno-oncology company is pleased to provide the attached Appendix 4C for the Quarter and Financial Year To Date March 2017.

During the quarter the company received $635k from the exercise of listed options and subsequently received an additional $2.35m in April 2017.

Following the receipt of the option related money the company has $5.5m to be applied to continue the development of our Her-2 focused clinical candidate, HER-Vaxx, plus our broader mimotope platform and arginine modulator program.

For further information please contact:

Imugene:

Leslie Chong Chief Executive Officer Tel: +61 458 040 433

Paul Hopper Executive Chairman Tel: +61 406 671 515

About Imugene (ASX:IMU)

Imugene (ASX:IMU) is a clinical stage immuno-oncology company headquartered in Melbourne, Australia. Its lead product is HER-Vaxx, a B Cell peptide vaccine for the treatment of gastric cancer. The company is also developing mimotope-based immunotherapies against validated and new oncology targets.

HER-Vaxx is a cancer immunotherapy designed to treat tumours that over-express the HER-2/neu receptor, such as gastric, breast, ovarian, lung and pancreatic cancers. Developed by leading scientists at the Medical University of Vienna in Austria, the peptide vaccine is constructed from several B cell epitopes of HER-2/neu. It has been shown in pre-clinical studies and in one Phase I study to stimulate a potent polyclonal antibody response to HER-2/neu, a well-known and validated cancer target.

Imugene in partnership with the Medical University of Vienna is working to discover and develop mimotope-based immunotherapies against validated and new oncology targets. This partnership has the potential to create game-changing B Cell peptide vaccines that would replace or augment conventional monoclonal antibody therapies.

For further information please visit www.imugene.com

Sign up to follow @ TeamImugene on Twitter at http://www.twitter.com/TeamImugene. To follow Imugene on Facebook visit www.facebook.com/imugene

IMUGENE LIMITED Telephone +61 3 9824 5254 Fax +61 3 9822 7735 Website www.imugene.com

Appendix 4C Quarterly report for entities subject to Listing Rule 4.7B

+Rule 4.7B

Appendix 4C

Quarterly report for entities subject to Listing Rule 4.7B

Introduced 31/03/00 Amended 30/09/01, 24/10/05, 17/12/10, 01/09/16

Name of entity

Imugene Ltd ABN Quarter ended (“current quarter”) 99 009 179 551 31[st] March 2017

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Consolidated statement of cash flows Current quarter Year to date
$A’000
(9 months)
$A’000
1. Cash flows from operating activities
1.1 Receipts from customers - -
1.2 Payments for
(a) research and development (603) (1,901)
- -
(b) product manufacturing and operating
costs
-
(c) advertising and marketing (4)
- -
(d) leased assets
(e) staff costs (177) (569)
(f) administration and corporate costs (247) (604)
1.3 Dividends received (see note 3) - -
1.4 Interest received 9 22
1.5 Interest and other costs of finance paid - -
1.6 Income taxes paid - -
1.7 Government grants and tax incentives - 1,298
1.8 Other (provide details if material) - -
1.9 Net cash from / (used in) operating (1,018) (1,758)
activities
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• See chapter 19 for defined terms 1 September 2016

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Appendix 4C Quarterly report for entities subject to Listing Rule 4.7B

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2. Cash flows from investing activities
2.1 Payments to acquire:
- -
(a) property, plant and equipment
- -
(b) businesses (see item 10)
- -
(c) investments
- -
(d) intellectual property
- -
(e) other non-current assets
2.2 Proceeds from disposal of:
- -
(a) property, plant and equipment
- -
(b) businesses (see item 10)
- -
(c) investments
- -
(d) intellectual property
- -
(e) other non-current assets
2.3 Cash flows from loans to other entities - -
2.4 Dividends received (see note 3) - -
2.5 Other (provide details if material) - -
2.6 Net cash from / (used in) investing - -
activities
3. Cash flows from financing activities
3.1 Proceeds from issues of shares - -
3.2 Proceeds from issue of convertible notes - -
3.3 Proceeds from exercise of share options 635 635
3.4 Transaction costs related to issues of (11) (276)
shares, convertible notes or options
3.5 Proceeds from borrowings - -
3.6 Repayment of borrowings - -
3.7 Transaction costs related to loans and - -
borrowings
3.8 Dividends paid - -
3.9 Other (provide details if material) - -
3.10 Net cash from / (used in) financing 624 359
activities
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Note:* Additional underwritten options were exercised after the end of March 2017, subsequently providing the Company with $5.5million** of available cash and cash equivalents.

• See chapter 19 for defined terms 1 September 2016

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Appendix 4C Quarterly report for entities subject to Listing Rule 4.7B

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4. Net increase / (decrease) in cash and
cash equivalents for the period
4.1 Cash and cash equivalents at beginning of
quarter/year to date 3,826 1,583
4.2 Net cash from / (used in) operating (1,018) (1,758)
activities (item 1.9 above)
4.3 Net cash from / (used in) investing activities - -
(item 2.6 above)
4.4 Net cash from / (used in) financing activities 624 3,607
(item 3.10 above)
4.5 Effect of movement in exchange rates on - -
cash held
4.6 Cash and cash equivalents at end of 3,432 3,432
quarter
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Note:* Following the exercise of underwritten options after the end of March 2017, the Company has $5.5million** of cash and cash equivalents.

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5. Reconciliation of cash and cash Current quarter Previous quarter
equivalents $A’000 $A’000
at the end of the quarter (as shown in the
consolidated statement of cash flows) to the
related items in the accounts
5.1 Bank balances 3,432 3,826
5.2 Call deposits - -
5.3 Bank overdrafts -
5.4 Other (provide details) -
5.5 Cash and cash equivalents at end of 3,432 3,826
quarter (should equal item 4.6 above)
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Note:* Following the exercise of underwritten options after the end of March 2017, the Company has $5.5million** of cash and cash equivalents.

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6. Payments to directors of the entity and their associates Current quarter
$A'000
6.1 Aggregate amount of payments to these parties included in item 1.2 60
6.2 Aggregate amount of cash flow from loans to these parties included -
in item 2.3
6.3 Include below any explanation necessary to understand the transactions included in
items 6.1 and 6.2
Salaries, director’s fees and consulting fees at normal commercial rates.
Excludes GST where applicable.
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• See chapter 19 for defined terms 1 September 2016

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Appendix 4C Quarterly report for entities subject to Listing Rule 4.7B

7. Payments to related entities of the entity and their associates 7.1 Aggregate amount of payments to these parties included in item 1.2 Aggregate amount of cash flow from loans to these parties included in item 2.3	Current quarter $A'000 - -

• 7.3 Include below any explanation necessary to understand the transactions included in items 7.1 and 7.2

8.	Financing facilities available Add notes as necessary for an understanding of the position Total facility amount at quarter end $A’000 Amount drawn at quarter end $A’000
8.1	Loan facilities - -
8.2	Credit standby arrangements - -
8.3	Other (please specify) - -
8.4	Include below a description of each facility above, including the lender, interest rate and
	whether it is secured or unsecured. If any additional facilities have been entered into or are
	proposed to be entered into after quarter end, include details of those facilities as well.

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9. Estimated cash outflows for next quarter $A’000
9.1 Research and development (502)
9.2 Product manufacturing and operating costs -
9.3 advertising and marketing -
9.4 Leased assets -
9.5 Staff costs (355)
9.6 Administration and corporate costs (181)
9.7 Other (provide details if material) -
9.8 Total estimated cash outflows (1,038)
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• See chapter 19 for defined terms 1 September 2016

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Appendix 4C Quarterly report for entities subject to Listing Rule 4.7B

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10. Acquisitions and disposals of Acquisitions Disposals
business entities
(items 2.1(b) and 2.2(b) above)
10.1 Name of entity - -
10.2 Place of incorporation or - -
registration
10.3 Consideration for acquisition or - -
disposal
10.4 Total net assets - -
10.5 Nature of business - -
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Compliance statement

• 1 This statement has been prepared in accordance with accounting standards and policies which comply with Listing Rule 19.11A.

• 2 This statement gives a true and fair view of the matters disclosed.

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Sign here: ............................................................ Date: 28[th] April 2017

Company Secretary Print name: Phillip Hains

Notes

1. The quarterly report provides a basis for informing the market how the entity’s activities have been financed for the past quarter and the effect on its cash position. An entity that wishes to disclose additional information is encouraged to do so, in a note or notes included in or attached to this report.

2. If this quarterly report has been prepared in accordance with Australian Accounting Standards, the definitions in, and provisions of, AASB 107: Statement of Cash Flows apply to this report. If this quarterly report has been prepared in accordance with other accounting standards agreed by ASX pursuant to Listing Rule 19.11A, the corresponding equivalent standard applies to this report.

3. Dividends received may be classified either as cash flows from operating activities or cash flows from investing activities, depending on the accounting policy of the entity.

4. See chapter 19 for defined terms 1 September 2016

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