RECCE PHARMACEUTICALS LTD — Share Issue/Capital Change 2020

Aug 16, 2020

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Conversion of Performance Shares

Sydney Australia, 17 August 2020: Recce Pharmaceuticals Ltd ( ASX: RCE ) ( Company ), the Company developing a New Class of Broad-Spectrum Synthetic antibiotics, wishes to advise that the milestone associated with 7,398,174 of the Company’s Class D unquoted Performance Shares ( Eligible Shares ) has been achieved.

On 20 August 2015, the Company issued 8,754,423 Class D Performance Shares (which include the Eligible Shares) to directors and key management personnel of the Company on terms which included that:

• (a) if the volume weighted average price of shares as traded on ASX over 20 consecutive trading days on which the shares are traded is not less than $1.20 within 5 years from the date of issue ( Milestone );

• (b) then each Eligible Share will convert into one fully paid ordinary share on achievement of the Milestone.

The Company will issue and seek quotation for 7,398,174 fully paid ordinary shares as a result of the conversion of the Eligible Shares in due course.

The Company has determined that the remaining 1,356,249 Class D Performance Shares, held by former directors and key management personnel of the Company are ineligible for conversion, and as a result will not be converted into fully paid ordinary shares of the Company.

This announcement has been approved for release by Recce Pharmaceuticals Board

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About Recce Pharmaceuticals Ltd

Recce Pharmaceuticals Ltd (ASX: RCE) is pioneering the development and commercialisation of a New Class of Synthetic Antibiotics with Broad Spectrum activity designed to address the urgent global health problem of antibiotic resistant superbugs.

Recce antibiotics are unique – their potency does not diminish even with repeated use, which is a common failure associated with existing antibiotic use and the resulting emergence of resistant superbugs.

Patented lead candidate RECCE[®] 327, wholly owned and manufactured in Australia, has been developed for the treatment of blood infections and sepsis derived from E. coli and S. aureus bacteria – including their superbug forms.

The FDA has awarded RECCE[®] 327 Qualified Infectious Disease Product designation under the Generating Antibiotic Initiatives Now (GAIN) Act – labelling it for Fast Track Designation, plus 10 years of market exclusivity post approval.

Recce wholly owns its automated manufacturing, ready to support first-in-human clinical trials. Recce’s anti-infective pipeline seeks to exploit the unique capabilities of RECCE® technologies targeting synergistic, unmet medical needs.

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