HALIFAX, Nova Scotia – Appili Therapeutics Inc. (TSX: APLI) (the “Company” or “Appili”), a biopharmaceutical company focused on the development of drugs for infectious diseases, announced that the Company and Lind Global Fund II, LP, an investment entity managed by Lind partners, a New York Institutional based fund manager (together “Lind”), have agreed to modify certain terms of the previously announced Senior Convertible Funding Agreement (the “Funding Agreement”).

Pursuant to the previously disclosed financing agreement, Appili issued to Lind a guaranteed convertible security with a par value of $ 4.095 million and a maturity date of 24 months. Under the revised terms, Appili has agreed to make a voluntary prepayment of $ 1 million the amount of principal outstanding under the financing agreement. In return, Lind agreed to a standstill period expiring on March 18, 2021 during which Lind will not have the right to convert the remaining principal amount into Appili shares, which is now approximately $ 3 million.

“Today’s deal is an important part of Appili’s short-term strategy to maximize balance sheet flexibility and ultimately increase shareholder value,” said Dr. Armand Balboni, CEO of Therapeutic Appili. “We are grateful for the continued support from our partners at Lind as we seek to expand and advance our diverse anti-infective pipeline of four potential products through key development milestones in 2022, including a Phase 2 start. for our new antifungal ATI-2307. In addition, we believe that two of our programs offer additional potential for obtaining Priority Review Vouchers, which could add significant, non-dilutive value to our shareholders if these programs are successful. ‘

This press release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities described herein. The securities offered have not been registered under the United States Securities Act of 1933, as amended (the ‘we Securities Act “) or applicable state securities laws, and may not be offered or sold to, or on behalf of or for the benefit of, persons in United States Where we persons (as these two terms are defined in Regulation S promulgated under the we Securities Act) in the absence of registration or an applicable exemption from these registration requirements. This press release does not constitute an offer to sell or the solicitation of an offer to buy and there will be no sale of the Offered Securities in any jurisdiction in which such an offer, solicitation or sale would be illegal.

On Therapeutic Appili

Therapeutic Appili is a purpose-built, portfolio-focused, people-focused infectious disease biopharmaceutical company to fulfill its mission of solving life-threatening infections. By systematically identifying urgent infections with unmet needs, Appili’s goal is to strategically develop a pipeline of new therapies to prevent deaths and improve lives. The Company is developing a diverse line of anti-infectives, including a broad spectrum antifungal, a vaccine candidate to eliminate a serious bioweapon threat, and two new antibiotic programs. Led by a proven management team, Appili is at the epicenter of the global infection control

On Lind partners

Lind partners is a manager of institutional funds and a leading provider of growth capital to small and mid-cap companies listed in the United States, Canada, Australia and the UK. Lind makes direct investments ranging from 1 USD at $ 30 million, invests in syndicated stock offers and selectively buys in the market. Lind has made more than 100 direct investments totaling more than US $ 1 billion in value and has been a flexible and supportive capital partner for corporate issuers since 2011. For more information, please visit www.thelindpartners.com.

Forward-looking statements

This press release contains “forward-looking statements”. Whenever possible, words such as “could”, “would”, “could”, “should”, “should”, “anticipate”, “believe”, “plan”, “expect”, ” intend ”,“ estimate ”,“ potential of ”and similar expressions have been used to identify these forward-looking statements. These forward-looking statements include statements regarding the Company’s development plans for its product portfolio and expectations regarding the eligibility of Priority Review Vouchers. These forward-looking statements reflect the current expectations of the Company’s management regarding future growth, results of operations, performance and business prospects and opportunities and involve known and unknown risks, uncertainties and assumptions, including, without limitation. limit themselves to it, (i) the risks associated with unforeseen events likely to delay or hinder the Company’s development plans with regard to its product portfolio, (ii) the risk that a product may ultimately be not eligible for the priority review voucher and (iii) the risks and assumptions listed in the Company’s annual information form dated June 23, 2021 and other documents filed by the Company with Canadian securities regulatory authorities (which can be viewed at www.sedar.com). If one or more of these risks or uncertainties materialize or if the assumptions underlying the forward-looking statements prove to be incorrect, the actual results, performances or achievements may differ materially from those expressed or implied by the forward-looking statements contained in this press release. Press. These factors should be carefully considered and potential investors should not place undue reliance on forward-looking statements. The Company disclaims any intention or obligation to revise forward-looking statements, whether as a result of new information, future developments or otherwise, except as required by law.

Contact:

Media

Danielle Raabe

APCO in the world

Phone. : 1-646-717-9915

E: [email protected]

Investor

Stephane Paquette

Vice president

Business development

Therapeutic Appili

E: [email protected]