Ms. Jenna McNeil reports

APPILI THERAPEUTICS ANNOUNCES RESULTS OF ANNUAL MEETING OF SHAREHOLDERS AND PROVIDES CORPORATE UPDATE

Appili Therapeutics Inc. today released the results from its annual meeting of shareholders held earlier today.

Results of annual meeting

Based on the proxies received and the vote conducted at the meeting, all tabled resolutions were approved by the shareholders of the company, including the election of the following directors for the ensuing year: Don Cilla, Brian Bloom, Theresa Matkovits, Juergen Froehlich, Armand Balboni and Rochelle Stenzler.

Voting results for each director are summarized in the attached table.

Shareholders also approved the reappointment of PricewaterhouseCoopers LLP, chartered accountants, as the independent auditor of the company for the ensuing year and authorized the directors of the company to fix their remuneration.

The company has filed a report of the voting results on all resolutions voted on the meeting on the company's SEDAR+ profile.

Corporate update

Since Appili's last annual meeting, the company has made significant progress. Most recently, the company's ATI-1501 program for the treatment of anaerobic bacterial infections, received U.S. Food and Drug Administration (FDA) approval on September 22, 2023. The approval of this product, with the brand name of Likmez, entitles Appili to receive royalties and milestone payments from its partner Saptalis Pharmaceuticals LLC.

Appili's developmental program ATI-1701 for the prevention of F. Tularensis, has received an award of approximately $7.3-million (U.S.) from the U.S. Air Force Academy (USAFA). The initial funding commitment of $7.3-million (U.S.) was used to kick off ATI-1701 early-stage development and regulatory activities, which are currently continuing. Under the terms of the agreement with USAFA, Appili will be reimbursed for the subcontractor and vendor costs necessary to carry out the technical tasks. These committed funds, and other tranches of planned funding, are expected to advance the ATI-1701 program to an IND submission to the FDA. Additionally, Appili will be reimbursed for direct labour costs associated with budgeted program activities, including a portion of its overhead costs. Appili has also entered into an agreement with its lender whereby, if needed, Appili may obtain temporary waivers of a minimum cash balance requirement. Such waivers may from time to time be necessary depending on the timing of reimbursements for expenses submitted to USAFA.

With respect to Appili's ATI-1801 program, for the treatment of cutaneous leishmaniasis, the company has selected a new CDMO and is planning to meet with the FDA to align on the requirements to bridge to the prior phase 3 efficacy data to support a new drug application.

About Appili Therapeutics Inc.

Appili Therapeutics is an infectious disease biopharmaceutical company that is purposefully built, portfolio driven and people focused 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 novel therapies to prevent deaths and improve lives. The company is currently advancing a diverse range of anti-infectives, including a vaccine candidate to eliminate a serious biological weapon threat, a topical anti-parasitic for the treatment of a disfiguring disease, and a novel easy-to-use, liquid oral formulation targeting parasitic and anaerobic infections. Led by a proven management team, Appili is at the epicentre of the global fight against infection.

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