Appendix 4C - Q3 FY22 Quarterly Cash Flow Report MELBOURNE, AUSTRALIA AND SAN FRANCISCO, USA - 29 April 2022. Alterity Therapeutics Limited (ASX: ATH, NASDAQ: ATHE) ("Alterity" or "the Company"), a biotechnology company

FY22 Quarterly Cash Flow Report

MELBOURNE, AUSTRALIA AND SAN

FRANCISCO, USA - 29 April 2022. Alterity Therapeutics Limited (ASX: ATH, NASDAQ: ATHE) ("Alterity" or "the

Company"), a biotechnology company dedicated to developing disease modifying treatments for neurodegenerative diseases, releases

its Appendix 4C Quarterly Cash Flow Report and update on company activities for the quarter ending 31st March 2022 (Q3 FY22).

The Company's cash position

on 31 March 2022 was $32.6M with operating cash outflows of $3.4M. Consistent with the previous quarter, this was in line with company

expectations and influenced primarily by preparations for the commencement of the Phase 2 clinical trial for Alterity's lead drug

candidate ATH434 in Multiple System Atrophy (MSA), a Parkinsonian disorder with no approved therapy.

After the close of the quarter,

Alterity provided an important update to its clinical sites for the Phase 2 trial with the United Kingdom Medicines & Healthcare products

Regulatory Agency (MHRA) accepting Alterity's clinical trial authorisation (CTA) request to conduct the trial. The company expects

to open its first clinical trial site for enrolment in New Zealand this quarter following approval in December 2021 by the New Zealand

Medicines and Medical Devices Safety Authority (Medsafe). The global Phase 2 trial will also be expanded to the UK, other European countries,

Australia, and the United States.

In accordance with ASX Listing Rule

4.7C, payments made to related parties and their associates included in item 6.1 of the Appendix 4C incorporates directors' fees,

consulting fees, remuneration and superannuation at commercial rates.

Operational Activities

The novel mechanism of action of

ATH434 and its potential to treat the underlying pathology of multiple Parkinsonian diseases continues to capture the attention of clinicians

and scientists around the world.

In January, the Journal of Parkinson's

Disease published ATH434 data in an animal model of MSA from a study conducted by David I. Finkelstein, Ph.D., Head of Parkinson's

Disease Laboratory at the Florey Institute of Neuroscience and Mental Health and the University of Melbourne. This study independently

corroborated findings in a related study published last year.

The publication, entitled, "The

Compound ATH434 Prevents Alpha-Synuclein Toxicity in a Murine Model of Multiple System Atrophy" reported the evaluation of

the efficacy of ATH434 in genetically altered mice that develop manifestations of MSA. The investigation demonstrated that in the studied

brain region, ATH434 treatment reduced both the toxic oligomeric and aggregated forms of -synuclein, a central nervous system protein

important for normal function of nerve cells. At the same time, ATH434 treatment reduced the cardinal pathology of MSA (glial cell inclusions),

reduced brain iron, preserved neurons and improved motor performance.

In March, Alterity's Chief

Executive Officer David Stamler, M.D., was invited to speak at the Sachs Associates 5th Annual Neuroscience Innovation Forum

as part of a panel discussion on the scientific progress of Parkinson's disease and movement disorders.

The company continues to strengthen

its intellectual property portfolio with the United States Patent and Trademark Office (USPTO) granting a new patent (No. 11,155,547)

entitled "Compounds and Methods for Treating Diseases", which covers more than 80 novel compounds and secures exclusivity

for a new class of iron chaperones designed to redistribute the excess of iron implicated in many neurodegenerative diseases including

Parkinson's and Alzheimer's disease.

During the period, Non-Executive Directors Dr

David Sinclair and Mr Tristan Edwards resigned from the Board due to competing priorities and responsibilities within other organisations

in which they are actively involved.

CEO Dr Stamler continues to position the current

and future opportunities for investors presenting at the HC Wainwright conference in January. The company was also selected to present

at the 34th Annual Roth Conference in March. Both investment banks are based in the US with their virtual conferences attracting

investors from around the world.

Dr Stamler, CEO said: "2022 will be a transformational

year for Alterity. We are growing awareness of our pipeline with clinicians, scientists, patient groups and investors as a potential solution

to treating the underlying disease of people suffering from Parkinsonian diseases. We remain highly focussed on progressing towards the

initiation of our first patient in the MSA Phase 2 clinical trial and then expanding the trial globally. We look forward to offering a

potential treatment option to individuals living with MSA."

Alterity's lead candidate, ATH434, is the

first of a new generation of small molecules designed to inhibit the aggregation of pathological proteins implicated in neurodegeneration.

ATH434 has been shown preclinically to reduce -synuclein pathology and preserve nerve cells by restoring normal iron balance in

the brain. In this way, it has excellent potential to treat Parkinson's disease as well as various forms of atypical Parkinsonism

such as Multiple System Atrophy (MSA). ATH434 has successfully completed a Phase 1 clinical trial demonstrating the agent is well tolerated,

orally bioavailable, and achieved brain levels comparable to efficacious levels in animal models of MSA, with the objective of restoring

function in patients with MSA and other Parkinsonian disorders.

ATH434 has been granted Orphan designation for

the treatment of MSA by the U.S. FDA and the European Commission.

About Multiple System Atrophy

Multiple System Atrophy (MSA) is a rare, neurodegenerative

disease characterized by a combination of symptoms that affect both the autonomic nervous system and movement. The symptoms reflect the

progressive loss of function and death of different types of nerve cells in the brain and spinal cord. It is a rapidly progressive disease

and causes profound disability. MSA is a Parkinsonian disorder characterized by motor impairment, autonomic instability that affects involuntary

functions such as blood pressure maintenance and bladder control, and impaired balance and/or coordination that predisposes to falls.

A pathological hallmark of MSA is the accumulation of the protein -synuclein within the support cells of the central nervous system

and neuron loss in multiple brain regions. MSA affects approximately 15,000 individuals in the U.S., and while some of the symptoms of

MSA can be treated with medications, currently there are no drugs that are able to slow disease progression and there is no cure.1

About Alterity Therapeutics Limited

Alterity Therapeutics is a clinical stage biotechnology

company dedicated to creating an alternate future for people living with neurodegenerative diseases. The Company's lead asset,

ATH434, has the potential to treat various Parkinsonian disorders. Alterity also has a broad drug discovery platform generating patentable

chemical compounds to intercede in disease processes. The Company is based in Melbourne, Australia, and San Francisco, California, USA.

For further information please visit the Company's web site at www.alteritytherapeutics.com.

1 National Institute of Health: Neurological Disorders and

Stroke, Multiple System Atrophy Fact Sheet

Authorization & Additional information

This announcement was authorized by David Stamler, CEO of Alterity

Therapeutics Limited.

Contact: Investor Relations

Forward Looking Statements

This press release contains "forward-looking

statements" within the meaning of section 27A of the Securities Act of 1933 and section 21E of the Securities Exchange Act of 1934.

The Company has tried to identify such forward-looking statements by use of such words as "expects," "intends," "hopes,"

"anticipates," "believes," "could," "may," "evidences" and "estimates," and

other similar expressions, but these words are not the exclusive means of identifying such statements.

Important factors that could cause actual

results to differ materially from those indicated by such forward-looking statements are described in the sections titled "Risk

Factors" in the Company's

filings with the SEC, including its most recent Annual Report on Form 20-F as well as reports on Form 6-K, including, but not

limited to the following: statements relating to the Company's drug development program, including, but not limited to the

initiation, progress and outcomes of clinical trials of the Company's drug development program, including, but not limited to,

ATH434, and any other statements that are not historical facts. Such statements involve risks and uncertainties, including, but not

limited to, those risks and uncertainties relating to the difficulties or delays in financing, development, testing, regulatory

approval, production and marketing of the Company's drug

components, including, but not limited to, ATH434, uncertainties relating to the impact of the novel coronavirus (COVID-19) pandemic

on the company's business, operations and employees, the ability of the Company to procure additional future sources of