D-Pharm Raises NIS 85 Million in Rights Offering and Initial Public Offering (IPO)...

D-Pharm Raises NIS 85 Million in Rights Offering and Initial Public Offering
(IPO) on the Tel Aviv Stock Exchange (TASE)

REHOVOT, Israel, August 17 /PRNewswire/ -- D-Pharm announced today the
completion of a financial round, which yielded NIS 85 million (approximately
$23M USD) to fund the Company's late stage clinical stroke program. The
financial round combined a rights offering of NIS 57 million and an Initial
Public Offering (IPO) of NIS 28 million. The IPO was oversubscribed and the
unit price was set at 133 NIS, 13% higher than the minimum price. The
company's pre-money valuation was NIS 120 million.
D-Pharm will commit most of the proceeds of the rights issue and the IPO
towards the forthcoming pivotal Phase III clinical trial of DP-b99 in
patients with acute ischemic stroke (study acronym - MACSI). An
Investigational New Drug (IND) application for the Phase III clinical trial
of DP-b99 was approved by the US Food and Drug Administration (FDA) in June
2009. The trial will enroll 770 patients with moderately severe ischemic
stroke in more than 100 medical centers in North America, Europe, South
Africa and Israel.
Clal Biotechnology CEO and D-Pharm's Chairman of the Board Ruben Krupik
said: "This is a unique offering because the current shareholders provided
most of the financing. We gave the public the opportunity to participate,
while taking most of the risk upon ourselves."
D-Pharm's CEO, Dr. Alex Kozak, said: "Now we are set to move full steam
ahead with the Phase III study of DP-b99. I am happy to see Israeli public
sector investors supporting an advanced clinical stage company like D-Pharm.
I hope that our IPO opens the door to the flotation of other companies,
especially in the biotech industry".
The offering was underwritten by CLAL Finance Underwriting Ltd., as well
as Rosario Underwriting Services (AS) Ltd. and Meitav Underwriting and
Investment Ltd.
About DP-b99
DP-b99 is a unique neuroprotective drug that addresses an array of brain
damaging processes occurring in stroke patients and emerged from D-Pharm's
proprietary Membrane Activated Chelator (MAC) platform technology. Both
preclinical and clinical Phase I and II studies indicate a favorable efficacy
and safety profile for DP-b99. In the recently completed Phase IIb trial in
150 ischemic stroke patients, DP-b99 increased by two-fold the percentage of
patients that completely recovered from ischemic stroke. DP-b99 may be
administered within a nine hour therapeutic window.
About Stroke
Every year around 1.5 million people in the U.S., Western Europe and
Japan suffer an acute stroke. Stroke is a leading cause of death in the
western world and around 50% of stroke survivors suffer from some form of
severe disability. According to the American Heart Association (AHA) the
annual economic burden of stroke in the U.S. is approaching $70B USD in 2009.
Currently, between 2-5% of stroke patients receive tissue plasminogen
activator (tPA), the only drug currently approved for treatment of acute
stroke in the U.S.
About D-Pharm Ltd.
D-Pharm (http://www.dpharm.com) is a clinical stage, biopharmaceutical
company pioneering the development of lipid-like therapeutics and has
generated a rich pipeline of patent protected proprietary products. D-Pharm's
pipeline includes advanced clinical stage products, DP-b99 for treatment of
acute ischemic stroke patients and DP-VPA, a novel drug for treatment of
epilepsy, bipolar disorder and prophylaxis of migraine. DP-VPA, a prodrug of
valproic acid, is in Phase II clinical development. DP-460 is in preclinical
development intended as an oral, disease-modifying therapy for Alzheimer's
disease. Other mimics of bioactive lipids, LipidoMimetix, are at an earlier
developmental stage, for cancer.
Disclaimer
This press release shall not constitute an offer to sell or a
solicitation of an offer to buy, nor will there be any sale of these
securities in any state or jurisdiction in which such an offer, solicitation
or sale would be unlawful prior to the registration or qualification under
the securities laws of any such state or jurisdiction.
Statements in this press release that are not historical facts are
forward-looking information, as defined in the Securities Law, based on
information available to D-Pharm at the time of this press release. The
estimations could, some or all, be unrealized, or could be realized in
significantly different ways than expected. Additional information regarding
these and other risks can be found in the Company's registration statement
relating to the proposed offering.
For further information please contact:

Tami Horovitz
Tel: +972-8-9385100
Fax: +972-8-9300795
Email: thorovitz@dpharm.com

SOURCE D-Pharm Ltd

For further information please contact: Tami Horovitz, Tel: +972-8-9385100,
Fax: +972-8-9300795, Email: thorovitz@dpharm.com