Arovella Therapeutics : Adopts WEF Framework For ESG Reporting

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ASX Release

8 June 2022

AROVELLA THERAPEUTICS ADOPTS WEF FRAMEWORK FOR ESG REPORTING

Highlights

• Arovella presents its first Environmental Social Governance (ESG) Report
• ESG disclosures are aligned with the World Economic Forum Stakeholder Capitalism ESG Framework
• ESG considerations better identify material risks and growth potential and will lead to better-informed decisions and business outcomes

MELBOURNE, AUSTRALIA 8 June 2022: Arovella Therapeutics Ltd (ASX: ALA), a biotechnology company focused on developing its invariant Natural Killer T (iNKT) cell platform and its oral spray delivery technology to treat cancer and conditions that affect the central nervous system, is pleased to present its first Environmental Social Governance (ESG) Report (also known as the 'Sustainability Report'). The Report responds to the 21 core metrics identified by the World Economic Forum (WEF) in its stakeholder capitalism framework1.

CEO and MD Dr Michael Baker commented:

"Arovella is committed to building legitimate Environmental, Social, and Governance (ESG) credentials. We have commenced ESG reporting as a tangible step in our ESG journey.

We greatly value ESG considerations as they enable us to better identify material risks and growth potential, leading to better-informed decisions and business outcomes. Equally, our commitment to ESG creates a consistent and measurable approach that helps us contribute to building a more prosperous and fulfilled society and a more sustainable relationship with our planet.

At Arovella, we see the creation of life-changing therapeutics as an important contributor to society and to bettering the world around us. Concurrently, it is important to us that we are working towards our goals in a way that is inclusive and environmentally friendly. We are excited to have begun reporting on our ESG journey."

STARTING ESG REPORTING

Arovella is charting a course to build resilience and enhance its social licence through a greater commitment to long-term, sustainable value creation that embraces the wider demands of people, planet and shared prosperity.

UNIVERSAL ESG METRICS

Arovella has commenced ESG reporting by making disclosures against the World Economic Forum (WEF) Stakeholder Capitalism framework. The WEF framework is a set of common metrics for

1www3.weforum.org/docs/WEF_IBC_Measuring_Stakeholder_Capitalism_Report_2020.pdf

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sustainable value creation captured in 21 core ESG disclosures. The Board of Arovella has resolved to use this universal ESG framework to align mainstream reporting on performance against ESG indicators.

As one example, the WEF framework highlights that we have assembled a very diverse team, in gender and culture.

Arovella has adopted the WEF Stakeholder Capitalism Metrics as the most appropriate ESG disclosure framework to start its ESG journey. The Stakeholder Capitalism framework leverages a variety of existing frameworks and is intentionally built to be a steppingstone to begin building capacity and capability in ESG reporting. The WEF framework is organised into four 'pillars' of Governance, Planet, People and Prosperity. The metrics cover core ESG matters of governance, anti- corruption practices, ethical behaviour, human rights, carbon emissions, land use, ecological sensitivity, water consumption, diversity and inclusion, pay equality and tax payments.

By including ESG metrics in mainstream reporting and integrating them into governance, business strategy, and performance management process, Arovella sets out to demonstrate that it diligently considers all pertinent risks and opportunities in running its business. Arovella will demonstrate ongoing commitment to ESG by sharing its progress toward ESG disclosures in annual updates in combination with making disclosures transparently available in the public domain.

STANDARDISED DISCLOSURE TECHNOLOGY

To help Arovella measure, monitor, and report on its ESG disclosure progress, the Company has engaged impact monitoring technology platform Socialsuite to streamline the disclosure and ongoing ESG reporting process. The Company's goal is to demonstrate commitment and progress on making ESG disclosures and, more broadly, to progress on a range of core and expanded ESG metrics.

For and on behalf of the Board and for further information, please contact:

Dr Michael Baker

Chief Executive Officer & Managing Director

Arovella Therapeutics Ltd

Tel [phone] [e-mail]

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NOTES TO EDITORS:

About Arovella Therapeutics Ltd

Arovella Therapeutics Ltd (ASX: ALA) is a biotechnology company focused on developing therapies to treat human disease. Arovella's two focus areas are oncology and conditions that impact the central nervous system. Arovella is developing its invariant natural killer T (iNKT) cell therapy platform from Imperial College London to treat blood cancers. Arovella is also developing its DKK1-peptide targeting technology licenced from MD Anderson to be used in conjunction with its iNKT cell therapy platform. The Company is developing low-risk oral sprays to reformulate existing pharmaceuticals. The potential benefits of administering drugs through the oral mucosa (i.e. cheeks, tongue, gums and palate) include ease of use, lower dosage, reduced side effects and faster response time. Arovella's product pipeline includes an oral spray for the platelet-lowering drug anagrelide to treat metastatic disease in the background of high platelets, and ZolpiMist™, a first-in-class oral spray of zolpidem tartrate to treat short-term insomnia. ZolpiMist is approved by the FDA, TGA and the Ministry of Health (Chile) and is marketed in the USA. Arovella has rights to the product outside of the US and Canada. Other products in development include oral sprays to treat migraine headaches, motion sickness, and drug-resistant epilepsy.

For more information, visit www.arovella.com

About Socialsuite

Socialsuite is a leader in impact technology. Founded in 2014 in Melbourne, today it has offices in Australia, the United States, and Canada. Socialsuite's purpose is to help organizations show the change they are making. To do that, its develops and provides technology solutions to measure and manage social impact and ESG reporting. A progressive and influential customer base around the globe is using Socialsuite's impact technology to simplify the complexity of measuring social impact and disclosing ESG metrics.

This announcement contains certain statements which may constitute forward-looking statements or information (''forward-looking statements"), including statements regarding negotiations with third parties and regulatory approvals. These forward-looking statements are based on certain key expectations and assumptions, including assumptions regarding actions of third parties and financial terms. These factors and assumptions are based upon currently available information and the forward- looking statements contained herein speak only as of the date hereof. Although the expectations and assumptions reflected in the forward-looking statements are reasonable in the view of the Company's directors and management, reliance should not be placed on such statements as there is no assurance that they will prove correct. This is because forward-looking statements are subject to known and unknown risks, uncertainties and other factors that could influence actual results or events and cause actual results or events to differ materially from those stated, anticipated or implied in the forward- looking statements. These risks include, but are not limited to: uncertainties and other factors that are beyond the control of the Company; global economic conditions; risk associated with foreign currencies; and risk associated with securities market volatility. The Company assumes no obligation to update any forward-looking statements or to update the reasons why actual results could differ from those reflected in the forward-looking statements, except as required by Australian securities laws and ASX Listing Rules.

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ENVIRONMENTAL

SOCIAL GOVERNANCE

Disclosure Report

Baseline ESG report (8 June 2022)

Arovella Therapeutics Limited

ABN 35 090 987 250

www.arovella.com

ASX: ALA

For personal use only

Environmental, Social, and Governance (ESG)

Arovella Therapeutics ("ALA" or the "Company") is committed to the principles of ESG as the most effective means of creating long-term enterprise value and addressing the societal priorities enshrined in the United Nations' Sustainable Development Goals. In July 2021, we made a commitment to commence reporting on the Environmental, Social, and Governance (ESG) disclosures of the Stakeholder Capitalism Metrics (SCM) of the World Economic Forum (WEF).

We are in the process of making ESG disclosures in the form of a set of universal, comparable ESG metrics focused on people, planet, prosperity and principles of governance that organisations can report on regardless of industry or region. This table represents our reporting against the 21 core metrics, being reviewed quarterly and updated periodically.

We use this universal ESG framework to align our mainstream reporting on performance against ESG indicators. By integrating ESG metrics into our governance, business strategy, and performance management process, we diligently consider all pertinent risks and opportunities in running our business. We continue to look for opportunities for further transparency on the topics which are material to our business.

To track our disclosure progress and demonstrate our sustainability performance against the WEF SCM framework we utilise Socialsuite's ESG Go disclosure platform. ESG Go enables us to demonstrate our ongoing commitment to ESG by providing a dedicated solution to track, report, and share our ESG disclosures. With ESG Go we have started the journey of building robust ESG credentials.

Arovella Therapeutics | ESG report

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