Why is there No volume/Interest, page-48

Throughout the six-month period to the 31 December 2020 Adherium continued to execute its
revised strategy and initiated discussions to explore potential future funding arrangements,
including new partners.
Adherium also continued to make progress in rolling out the US Hailie®
program despite challenges related to hospital and patient access due to the impact of the US
COVID-19 situation, which also saw a delay in expected clinical trial activity all leading to a
decrease in revenues from $1,415,000 in 2019 to $243,000 in the period to 31 December 2020.
In October 2020 Adherium secured funding support from Viburnum Funds, a Perth based
investment firm with A$750 million under management.
Viburnum provided a $3,000,000 secured
convertible note allowing Adherium to explore potential future funding arrangements with new
potential partners including CDMO pharma and device companies, telehealth virtual care and
medical device companies to complete Adherium’s planned sensor and software development
and initial commercialisation.
Discussions with these potential partners across a range of
sectors and geographies i.e. US, UK, Australia, is ongoing with a particular focus on partners
who can bring capital, complementary assets and/or capabilities to the relationship.
The aim
is to accelerate the market delivery of Adherium’s core Hailie® sensor technology and software
platform, allowing US physicians to access reimbursement, meeting the respiratory leadership
opportunity that exists today and driving a step change in the growth rate of Adherium.

Interest in telehealth and remote patient monitoring remains high driven by a positive
reimbursement environment in many regions and from the necessity to protect patients and
healthcare systems during the COVID-19 pandemic.
Healthcare Systems, hospitals and commercial
insurers in the US, Canada and the UK have made several unsolicited approaches to Adherium
looking to evaluate the Hailie® solution as part of their coverage of patients with respiratory
disease (Asthma and Chronic Obstructive Pulmonary Disease, COPD). Pending further discussions
our goal is to establish the framework for pilot prog