On May 29, 2024 the ASLAN Pharmaceuticals Limited (company) entered into an amendment (third amendment) of the loan agreement pursuant to which (1) the parties agreed to certain amendments to the Loan Agreement and (2) the lenders agreed to forbear from exercising such right(s) as they may be entitled under the Loan Agreement with respect to (i) certain alleged and disputed events of default or potential events of default under the Loan Agreement that may or may not exist and (ii) any potential future events of default under the Loan Agreement due to the occurrence of a material adverse effect (as defined in the Loan Agreement) or the Loan Parties? breach of certain provisions of the Loan Agreement, each for the period from May 29, 2024 to July 1, 2024 (Forbearance Period). The Forbearance Period is subject to extension to August 1, 2024 upon the Company?s receipt of a final term sheet from one or more investors or strategic partners which will result in net cash proceeds of 15.0 million or more, and further extension to January 1, 2025 upon the Company?s receipt of the related funds, as further described in the Third Amendment.

Pursuant to the Third Amendment, until the occurrence of a Successful Funding Event (as defined in the Third Amendment), the Loan Parties will deposit and maintain $4.0 million in an account subject to a blocked account control agreement or equivalent for the benefit of K2 HealthVentures LLC or its collateral agent (Locked Account). Separately, the Loan Parties will maintain total cash balances in U.S. bank accounts and subject to an account control agreement in favor of the lenders (inclusive of cash maintained in the Locked Account) in an amount equal to (a) the lesser of (i) $10.5 million or (ii) the total obligations outstanding under the Loan Agreement, as amended (the ?Minimum Cash Amount?) plus (b) the amount required to cover any remaining payroll, tax, or other statutory obligations of the Loan Parties and all subsidiaries cumulatively at any given time; provided however, such amounts allocated to Singapore payroll, tax and other statutory obligations are permitted to be maintained in a Singapore account (Statutory requirements amount).