SKIN ELEMENTS LIMITED — Capital/Financing Update 2023

Apr 17, 2023

18 April 2023

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NON-RENOUNCEABLE ENTITLEMENT ISSUE PROSPECTUS DISPATCHED TO SHAREHOLDERS

Australian biotechnology company Skin Elements Limited (ASX:SKN) (SKN, the Company) is pleased to announce that its Entitlement Issue Prospectus dated 5[th] April 2023 for an entitlement issue of one share for every five fully paid ordinary shares held at record date together with one free new option for every share applied for has been dispatched to shareholders today by Australia Post.

If you do not receive the Prospectus, please email our Share Registry at admin@advancedshare.com.au.

If you have any questions about the terms of the Offer or how to accept, please call the Norwood Entitlement Offer Information Line on +61 8939 8033. Attached is the letter to eligible shareholders dispatched today.

This ASX announcement has been authorised for release by Stuart Usher, Company Secretary and Director, Skin Elements Limited.

ENDS

For further information, please contact:

Peter Malone Media and Investor Inquiries Executive Chairman James Moses Skin Elements Limited Mandate Corporate T: +61 439 430 770 T: +61 420 991 574 E: peter@skinelementslimited.com E: james@mandatecorporate.com.au

About Skin Elements

Skin Elements (ASX: SKN) is an award winning Australian owned and operated ASX-listed biotechnology healthcare company focused on the commercialisation of the anti-microbial SE Formula[TM] through a range of natural and organic health care products. Skin Elements innovative approach to plant-based and organic personal care and skincare products has enabled the creation of a portfolio of products that have been sold and distributed across the world. Its flagship products include the SuprCuvr TGA-registered, hospital-grade plantbased disinfectant, Eco Nurture plant bio-stimulant, Invisi Shield alcohol free natural sanitiser, TGA registered Soléo Organics natural and organic sunscreen, TGA registered PapayaActivs natural therapeutics skincare and Elizabeth Jane Natural Cosmetics brand.

Further information is available via the Company website: www.skinelementslimited.com and on the Company online store: www.sknlife.com.au

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18 April 2023

NON-RENOUNCEABLE ENTITLEMENT ISSUE

Dear Eligible Shareholder,

On behalf of the Directors of Skin Elements Limited (ASX: SKN) ( Company ) I am pleased to invite you to participate in the Company’s recently announced pro-rata non-renounceable entitlement offer of one (1) New Share for every five (5) Shares held by Eligible Shareholders registered at the record date of 13 April 2023 ( Record Date ) at an issue price of $0.01 per New Share (together with one attaching New Option for every New Share issued) to raise approximately $932,270 (before costs) ( Offer ).

The Company lodged a prospectus containing the Offer with ASIC and ASX on 5 April 2023 which is available on the ASX website, www.asx.com.au, and on the Company's website at www.skinelementslimited.com.

All proceeds raised under the Entitlement Offer will be applied as set out in Section 2.3 of the Prospectus.

Following completion of the Offer, assuming any shortfall is subsequently placed, and the full subscription is raised (and ignoring the effects of rounding of fractional entitlements and no further Shares are issued or existing Options are exercised prior to the Record Date), the Offer will result in the issue of approximately 93,226,979 Shares in the Company and will raise up to approximately $932,270 (before costs). All of the Shares issued under the Offer will rank equally with the Company’s existing Shares (ASX Code: SKN).

Participation in the Offer

The Entitlement Offer is being made to all shareholders of the Company named on its register of members at 5:00pm (AWST) on 13 April 2023, whose registered address is in Australia, New Zealand, Hong Kong and China ( Eligible Shareholders ). You have been deemed to be an Eligible Shareholder for the purposes of the Entitlement Offer. The Offer opens on 18 April 2023, and is expected to close at 5.00pm (AWST) on 8 May 2023 (unless extended) as set out in the Prospectus.

The number of New Shares for which you are entitled to apply for under the Entitlement Offer is shown on your personalised Entitlement and Acceptance Form attached.

If you wish to participate in the Offer, please follow the instructions contained within the Entitlement and Acceptance Form or via the Avanced Share Registry website link provided above. If you have any queries regarding the Offer or require a hard copy of the Prospectus, please contact Avanced Share Registry on 08 9389 8033 at any time between 9.00am to 5.00pm (AWST) Monday to Friday, up to the Closing Date of the Offer.

Yours faithfully

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Stuart Usher Company Secretary