TEL-AVIV, Israel and RALEIGH, N.C., Dec. 11, 2018 (GLOBE NEWSWIRE) -- RedHill Biopharma Ltd. (Nasdaq:RDHL) (Tel-Aviv Stock Exchange:RDHL) (“RedHill” or the
“Company”), a specialty biopharmaceutical company primarily focused on proprietary drugs for gastrointestinal diseases, today
announced the closing of its previously announced underwritten public offering for a total number of 2,857,143 American Depositary
Shares (“ADSs”), each representing ten of its ordinary shares, at a public offering price of $7.00 per ADS.
Gross proceeds from the sale of the ADSs before underwriting discounts and commissions and other offering
expenses were approximately $20 million. The Company has also granted the underwriters a 30-day option to purchase up to 428,571
additional ADSs at the public offering price.
Ladenburg Thalmann & Co. Inc., a subsidiary of Ladenburg Thalmann Financial Services Inc. (NYSE American: LTS)
and Nomura Securities International, Inc. acted as joint book-running managers. H.C. Wainwright & Co., LLC acted as lead manager
and LifeSci Capital LLC, Ascendiant Capital Markets, LLC, SMBC Nikko Securities America, Inc. and WBB Securities LLC acted as
co-managers for the offering. Roth Capital Partners acted as financial advisor to the Company in connection with the offering.
The Company intends to use the net proceeds from the offering, together with its existing cash and cash
equivalents, to fund preparations for TALICIA® (H. pylori) commercial launch and commercialization activities,
clinical development programs, including initiation of a pivotal Phase 3 study with RHB-204 for NTM, preparations for a second
Phase 3 study with RHB-104 for Crohn’s disease and for acquisitions and general corporate purposes.
The ADSs described above were issued pursuant to shelf registration statements that were previously filed with
the Securities and Exchange Commission (the “SEC”) and declared effective by the SEC on March 11, 2016 and July 31, 2018,
respectively. A final prospectus supplement and accompanying prospectus related to the offering was filed with the SEC and is
available on the SEC’s website located at www.sec.gov. The offering was made only by means of a prospectus. Copies of the final
prospectus supplement and the accompanying prospectus relating to the offering may be obtained by contacting Ladenburg Thalmann &
Co. Inc., Prospectus Department, 277 Park Avenue, 26th Floor, New York, New York 10172, by calling (212) 409-2000, or by email at
prospectus@ladenburg.com; or Nomura Securities International, Inc., Attention: Equity Syndicate
Department, Worldwide Plaza, 309 West 49th Street, New York, NY 10019-7316, or by telephone at 212-667-9000, or by email at
equitysyndicateamericas@nomura.com.
This press release shall not constitute an offer to sell or the solicitation of an offer to buy the securities
described herein, nor shall there be any sale of these securities in any jurisdiction in which such offer, solicitation or sale
would be unlawful prior to the registration or qualification under the securities laws of any such jurisdiction.
About RedHill Biopharma Ltd.:
RedHill Biopharma Ltd. (Nasdaq: RDHL) (Tel-Aviv Stock Exchange: RDHL) is a specialty biopharmaceutical company,
primarily focused on the development and commercialization of late clinical-stage, proprietary drugs for the treatment of
gastrointestinal diseases. RedHill commercializes and promotes four gastrointestinal products in the U.S.:
Donnatal® - a prescription oral adjunctive drug used in the treatment of IBS and acute
enterocolitis; Mytesi® - an anti-diarrheal drug indicated for the symptomatic relief
of non-infectious diarrhea in adult patients with HIV/AIDS on anti-retroviral therapy; Esomeprazole Strontium
Delayed-Release Capsules 49.3 mg - a prescription proton pump inhibitor indicated for adults for the treatment of
gastroesophageal reflux disease (GERD) and other gastrointestinal conditions, and EnteraGam®
- a medical food intended for the dietary management, under medical supervision, of chronic diarrhea and loose
stools. RedHill’s key clinical-stage development programs include: (i) TALICIA®
(RHB-105) for the treatment of Helicobacter pylori infection with two positive Phase 3 studies;
(ii) RHB-104, with positive top-line results from a first Phase 3 study for Crohn's disease; (iii)
RHB-204, with a planned pivotal Phase 3 study for nontuberculous mycobacteria (NTM) infections; (iv)
BEKINDA® (RHB-102), with positive results from a Phase 3 study for acute
gastroenteritis and gastritis and positive results from a Phase 2 study for IBS-D; (v) YELIVA®
(ABC294640), a first-in-class SK2 selective inhibitor, targeting multiple oncology, inflammatory and gastrointestinal
indications, with an ongoing Phase 2a study for cholangiocarcinoma; (vi) RHB-106, an encapsulated bowel
preparation licensed to Salix Pharmaceuticals, Ltd. and (vii) RHB-107 (formerly MESUPRON), a Phase 2-stage
first-in-class, serine protease inhibitor, targeting cancer and inflammatory gastrointestinal diseases.
This press release contains “forward-looking statements” within the meaning of the Private Securities
Litigation Reform Act of 1995. Such statements may be preceded by the words “intends,” “may,” “will,” “plans,” “expects,”
“anticipates,” “projects,” “predicts,” “estimates,” “aims,” “believes,” “hopes,” “potential” or similar words. Forward-looking
statements are based on certain assumptions and are subject to various known and unknown risks and uncertainties, many of which are
beyond the Company’s control, and cannot be predicted or quantified and consequently, actual results may differ materially from
those expressed or implied by such forward-looking statements. Such risks and uncertainties include, without limitation, risks and
uncertainties associated with (i) the initiation, timing, progress and results of the Company’s research, manufacturing,
preclinical studies, clinical trials, and other therapeutic candidate development efforts; (ii) the Company’s ability to advance
its therapeutic candidates into clinical trials or to successfully complete its preclinical studies or clinical trials; (iii) the
extent and number of additional studies that the Company may be required to conduct and the Company’s receipt of regulatory
approvals for its therapeutic candidates, and the timing of other regulatory filings, approvals and feedback; (iv) the
manufacturing, clinical development, commercialization, and market acceptance of the Company’s therapeutic candidates; (v) the
Company’s ability to successfully promote Donnatal®, Mytesi® and Esomeprazole Strontium Delayed-Release
Capsules 49.3 mg and commercialize EnteraGam®; (vi) the Company’s ability to establish and maintain corporate
collaborations; (vii) the Company's ability to acquire products approved for marketing in the U.S. that achieve commercial success
and build its own marketing and commercialization capabilities; (viii) the interpretation of the properties and characteristics of
the Company’s therapeutic candidates and the results obtained with its therapeutic candidates in research, preclinical studies or
clinical trials; (ix) the implementation of the Company’s business model, strategic plans for its business and therapeutic
candidates; (x) the scope of protection the Company is able to establish and maintain for intellectual property rights covering its
therapeutic candidates and its ability to operate its business without infringing the intellectual property rights of others; (xi)
parties from whom the Company licenses its intellectual property defaulting in their obligations to the Company; (xii) estimates of
the Company’s expenses, future revenues, capital requirements and needs for additional financing; (xiii) the effect of patients
suffering adverse experiences using investigative drugs under the Company's Expanded Access Program; and (xiv) competition from
other companies and technologies within the Company’s industry. More detailed information about the Company and the risk factors
that may affect the realization of forward-looking statements is set forth in the Company's filings with the Securities and
Exchange Commission (SEC), including the Company's Annual Report on Form 20-F filed with the SEC on February 22, 2018. All
forward-looking statements included in this press release are made only as of the date of this press release. The Company assumes
no obligation to update any written or oral forward-looking statement, whether as a result of new information, future events or
otherwise, unless required by law.
Company contact: Adi Frish Senior VP Business Development & Licensing RedHill Biopharma +972-54-6543-112 adi@redhillbio.com IR contact (U.S.): Timothy McCarthy, CFA, MBA Managing Director, Relationship Manager LifeSci Advisors, LLC +1-212-915-2564 tim@lifesciadvisors.com
