Clarification on the news article by Commercial Times

Clarification on the news article by United Daily News E-Paper
January 11, 2017
OBI Pharma Inc. announces the change of Chief Operating Officer
January 23, 2017
  1. Date of occurrence of the event: January 21, 2017
  2. Company name: OBI Pharma, Inc.
  3. Relationship to the Company (please enter ”head office” or ”affiliated company”): N/A
  4. Reciprocal shareholding ratios: N/A
  5. Name of mass media: Page B4 of the Commercial Times
  6. Content reported: Page B4 of Commercial Times reported that “US FDA agreed on the Phase III clinical trial for novel breast cancer drug.” ” According to the unblinding data from Phase II, juristic person thinks that OBI will recruit and group patients after evaluation of treatment-related antibody response. If the results from Phase III are comparable, the unblinding will definitely pass.”
  7. Cause of occurrence: Clarification on the news article by Commercial Times
  8. Countermeasures: The statement of “US FDA agreed on the Phase III clinical trial for novel breast cancer drug” on page B4 of Commercial Times was solely a speculation by the mass media. On January 20th, OBI published the progress of OBI-822 on the company’s website that “OBI Pharma, Inc. had a meeting with the Office of Tissues and Advanced Therapies (OTAT) of the US Food and Drug Administration (FDA) for the End-of-Phase 2 (EOP2) meeting for Adagloxad Simolenin (OBI-822) upon completion of Phase II clinical study. The meeting was held at the FDA campus in Silver Springs, MD on January 19th. OBI will design its Phase III protocol for timely submission based on the meeting discussion.” When the development reaches Phase III clinical trial, official announcement will be issued according to relevant laws and regulations. In addition, it was solely a speculation by the mass media for the statement of “According to the unblinding data from Phase II, juristic person thinks that OBI will recruit and group patients after evaluation of treatment-related antibody response. If the results from Phase III are comparable, the unblinding will definitely pass.”
  9. Any other matters that need to be specified: The results of a single clinical trial do not sufficiently reflect the outcome of a new drug entering into the market. Investors should make carful judgment and prudent investment. New drug development is a long journey associated with high cost. It is not a guaranteed success, which may increase the risk of investment. Investors shall make prudent judgments and investments.