Admedus : Appoints Wayne Paterson as CEO

Admedus Ltd

ABN 35 088 221 078

ASX ANNOUNCEMENT

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Admedus Limited (ASX:AHZ) today announced that Wayne Paterson has accepted the

Board of Directors' request to serve as the Company's Chief Executive Officer for a

three-year term commencing immediately. On 14 March 2017, the Company announced that he was stepping down as Chairman - succeeded by John Seaberg - in order to focus on his duties as CEO and to fulfil ASX Corporate Governance Principles and Recommendations of separation between CEO and Chairman roles.

Paterson has been acting CEO for Admedus since May 2016. During this period, he has overseen a major restructure involving a substantial reduction in costs with significant increases in both revenue and profitability. A thorough executive search has been conducted during this time. However, the Board has unanimously determined that it is in the best interests of the Company that Paterson continues to lead the business and execute his three-year 'Vision 20/20' strategy.

"There is no doubt that Wayne Paterson is our best qualified candidate for the position of CEO," says John Seaberg. "Keeping in mind his market value as a leading global healthcare executive and considering his opportunity costs, we feel fortunate that Wayne is willing to serve with his customary zeal and sense of duty. As we saw with his 'Code Red' restructure, Wayne is a strong leader who has the ability, energy, savvy and networks that Admedus needs to accelerate the momentum we've already been able to achieve during just a few months on his watch. He is a truly global executive with a track record of delivering above market performance across the world for two decades in the pharmaceutical/health care industry. He is performance focused, culturally agile, executes on numbers-based assumptions and has an exceptional capacity for workload. Indeed, with Wayne at the helm, Admedus has ambition, competence and stability - I look forward to our next years together."

"I am confident we can take the company forward in a controlled and responsible manner driving both profitable growth and near-term stakeholder value with the multiple opportunities in front of us," says Paterson. "When I took on the CEO role in an interim capacity, the Company was struggling but had tremendous potential as a leader in regenerative medicine and med tech. Thanks to our team's efforts, we have quickly turned things around; by sharpening our focus and streamlining operations, Admedus can now aggressively address our opportunities with confidence. Accepting the Board's request is in the best interests of the Company, shareholders, and employees at this point in our company history. We have excellent products to sell and a compelling story to tell. I am excited about the commercial prospects of Admedus from ADAPT® and Infusion to TAVR and Immunotherapies."

In accordance with the Board's policy of benchmarking remuneration against

independent industry reports, Paterson's remuneration will be comprised of a base salary of US$595,000, a performance-based Short Term Incentive of 60% and Long Term Incentive of 40% subject to meeting stringent Company objectives.

WAYNE PATERSON

Wayne Paterson has held numerous, senior positions in multi-national pharmaceutical companies and has lived in seven countries during the past 25 years. Throughout his career, he has been responsible for building and managing businesses throughout the world, including mergers/integrations/acquisitions and major restructures as President and CEO.

From 2005 to 2013, he held senior positions at Merck Kgaa. In his most recent role as President of Europe, Canada and Australia, he managed over $3 billion in sales with an operational budget of $500 million and was a member of the Global Executive Board. Paterson also held the position of Global Director (Executive Vice President) of Cardio Metabolic Care and General Medicine, with revenue responsibility of $1.5 billion, and was responsible for all aspects of company strategy, including manufacturing strategies, commercial operations and budgets. Between 2010 and 2012, he was President and CEO of Emerging Markets including Russia, China, India and Brazil (as well as 40 other countries), and was a member of the Executive Board. As President of Merck's Japanese operations between 2007 and 2010 in Tokyo, he grew the business at a CAGR of 93% against the market growth of 3%.

Between 1994 and 2005, Paterson served at Roche Pharmaceuticals. In 1998, he was Marketing Director in Shanghai, China, where he launched eight Roche/Genentech Oncology biotech products as well as some major cardiovascular drugs. He went to become Head of Pharmaceuticals in Roche's South Korean operation between 2001- 2004.

Paterson was also a Non-Executive Director of Cepheid (NASDAQ:CHPD), a molecular diagnostics company based in California until its recent sale.

Paterson is an Australian national and has resided overseas since 1998, having lived in China, Singapore, Korea, Japan, Switzerland and the US. He now lives in Minneapolis.

Paterson holds an MBA from the University of Southern Queensland, and business studies from the Queensland University of Technology. He has also studied business courses at Northwestern University (Kellogg School of Management) in Chicago, IMD Business School in Switzerland, INSEAD in France and Hong Kong University of Technology.

Admedus (ASX:AHZ) is a specialist healthcare company. Our focus is on investing in and developing next generation technologies with world class partners, acquiring strategic assets to grow product and service offerings and expanding revenues from our existing, profitable medical sales and distribution business. The company has assets from research & development through clinical development as well as sales, marketing and distribution.

Admedus has commercialised its innovative tissue engineering technology for regenerative medicine in four continents. We also have a major interest in developing the next generation of vaccines with a Brisbane-based research group led by Professor Ian Frazer. The vaccine programmes target disease with significant global potential, such as Herpes and Human Papillomavirus.

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Dr Julian Chick | Chief Operating Officer | Admedus Limited Tel: +61 (0)8 9266 0100

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