Anatara Lifesciences provided an important operational update regarding the psychological functioning study being conducted by the CSIRO using 3FDC. 3FDC - Psychological functioning trial: The psychological functioning study being conducted by the CSIRO using 3FDC was in the process of recruiting 100 patients with mild to moderate levels of depression, anxiety, or stress symptoms indicated by the Depression, Anxiety and Stress Scale (DASS-21). During review of all Anatara clinical trials, it became apparent that the sample size required to detect a signal in this study may be higher than initially proposed to reach a reliable outcome.

Whilst it is common for anxiety and depression trials to have high placebo responses, the Board of Anatara have elected to halt the study on the balance of outcome probability rather than considering a commitment to significant future costs. Whilst there remains a strong rationale regarding the influence on the "gut-brain" axis and the homeostasis of the microbiome, Anatara remains focused on the GaRP Irritable Bowel Syndrome (IBS) 200 patient clinical trial which the Company continues to prioritise, striving to achieve interim results by Q1CY2023. In line with the Company's vision, the IBS trial delivers on company's strategic imperative to develop and commercialise innovative, evidence-based products for gastrointestinal health.

In addition, the Hospital Anxiety and Depression Scale (HADS) and Quality of Life (QOL) assessments within the questionnaire of the GaRP clinical trial will allow for preliminary analyses of the influence of the total GaRP components, in participants with gastrointestinal symptoms, on depression and anxiety. GaRP potentially has broad indications for use in conditions requiring a product to restore and maintain both the gastrointestinal tract lining and function, and the homeostasis of the microbiome. The GaRP-IBS trial data is anticipated to provide insight regarding the relationship of anxiety and depressive symptoms with gut disorders (which is in keeping with the general interest in the gut-brain axis) and provide preliminary information about progressing the use of the full GaRP complementary medicine, including the 3FDC components, for the indication of mild depression and/or anxiety in the future.