• Funds to accelerate commercial manufacturing activities for TGA submission and commercial supply
• Successful interim analysis for Phase III clinical trial on CBD TPM® capsule for insomnia would be a key milestone
• Placement to institutional and sophisticated investors at a 23.1% discount to last closing price

Avecho Biotechnology Limited (ASX: AVE) has received firm commitments from sophisticated and institutional investors to raise $2.5 million (before costs) via a single tranche placement. The funds will be primarily used to accelerate commercial manufacturing activities required for a future TGA submission and commercial supply of Avecho's proprietary CBD TPM® capsule for the treatment of insomnia. Avecho is approaching completion of recruitment for the first cohort of patients in its pivotal Phase III clinical trial evaluating the CBD TPM® capsule. A successful interim analysis from this trial would represent a key milestone for the company, both clinically and commercially. To support this next stage of development, Avecho is accelerating manufacturing activities required to register its CBD TPM® capsule and support manufacturing at a commercial scale. The placement proceeds will enable these activities to be brought forward and commenced earlier than originally planned, as well as to complete the remaining manufacturing work necessary to support a future TGA submission, including demonstrating long-term product stability of registration batches and finalizing regulatory manufacturing documentation. This positions the Company to be well-prepared for a planned TGA submission, future commercial manufacturing for the Australian market, and expansion into additional geographies following a successful Phase III trial outcome as well as with ongoing licensing discussions. The placement was conducted via the issue of 182,653,633 shares at $0.005 per share to raise $2.38 million under the company's 15% placement capacity, and 317,346,367 shares at the same price to raise $0.12 million under the company's additional 10% placement capacity. The placement issue price represents a 23.1% discount to the last closing price and a 20.6% discount to the 15-day VWAP.