BiondVax Announces First Quarter 2017 Financial Results and Update

NESS ZIONA, Israel, May 30, 2017 -- BiondVax Pharmaceuticals Ltd. (Nasdaq: BVXV, TASE: BVXV), a clinical stage biopharmaceutical company focused on developing and commercializing M-001, a universal flu vaccine candidate, today announced its financial results for the quarter ended March 31, 2017 and provided a business update.First Quarter 2017 Financial SummaryResults are in New Israel Shekels (NIS) and convenience translation to $US is provided using the exchange rate of 3.63 (NIS/$US) as at March 31, 2017.

• First quarter operating expenses were NIS 2.97m ($817,000) compared with NIS 2.83m for the first quarter of 2016;
• First quarter R&D expenses amounted to NIS 1.87m ($516,000) compared with NIS 2.06m for the first quarter of 2016;

As of March 31, 2017, BiondVax had cash and cash equivalents, short-term investments and marketable securities of NIS 35 million ($9.6 million) as compared to NIS 27 million as of December 31, 2016. The increase is attributable to a private placement of NIS 10.9 million. Recent Corporate Update

• The European UNISEC consortium sponsored Phase 2b processed the final participant in September. Preliminary safety results were reported in November. Immunogenicity results and statistical analysis are currently being processed by other UNISEC consortium entities.
• In January, Angels High Tech Investments Ltd. invested NIS 10.9 million, approximately $2.8 million, in exchange for 33.8 million ordinary BiondVax shares on the Tel Aviv Stock Exchange (equivalent to 844,000 NASDAQ listed ADS) at the December 29, 2016 Tel Aviv closing market price. Following the transaction, Angels Investments held 19.99% of all issued and outstanding share capital of the Company.
• In January, the peer-reviewed journal Vaccinepublished an article titled, “Back to the future: Immunization with M-001 prior to trivalent influenza vaccine in 2011/12 enhanced protective immune responses against 2014/15 epidemic strain.” The article reports that blood plasma samples from people who received M-001 in 2011 (as part of BiondVax’s BVX-005 clinical trial in the elderly) showed a five-fold significant increase of protective antibodies against a new epidemic 2014/15 flu strain (A/Swiss) – a strain which did not exist when M-001 was administered to the BVX-005 participants.
• An article by BiondVax-affiliated authors titled, “Strategy for approving a universal flu vaccine” was published in March in the peer-reviewed journal Future Virology.
• Also in March, the Company received approval for a grant representing 20% of a NIS 20 million budget from Israel’s Ministry of Economy and Industry to build a facility for commercial scale production of its universal flu vaccine candidate.
• In April, the company presented at the Influenza Vaccines for the World (IVW2017) conference in Switzerland.

About BiondVax BiondVax is a biopharmaceutical company developing a universal flu vaccine. The vaccine is designed to provide multi-season protection against most seasonal and pandemic human influenza virus strains. BiondVax’s proprietary technology utilizes a unique combination of conserved and common peptides from influenza virus proteins, activating both arms of the immune system for a cross-protecting and long-lasting effect. BiondVax is traded on NASDAQ: BVXV and TASE: BVXV. For more information, please visit www.biondvax.com. Contact DetailsJoshua PhillipsonBusiness Development Manager+972 8 930 2529j.phillipson@biondvax.comForward Looking StatementsThis press release contains forward-looking statements within the meaning of the Private Litigation Reform Act of 1995. Words such as “expect,” “believe,” “intend,” “plan,” “continue,” “may,” “will,” “anticipate,” and similar expressions are intended to identify forward-looking statements. These forward-looking statements involve certain risks and uncertainties reflect the management’s current views with respect to certain current and future events and are subject to various risks, uncertainties and assumptions that could cause the results to differ materially from those expected by the management of BiondVax Pharmaceuticals Ltd. risks and uncertainties include, but are not limited to, the risk that drug development involves a lengthy and expensive process with uncertain outcome, the results of the contemplated  Phase 2 & 3 trials, delays or obstacles in launching and/or successfully completing our clinical trials, the impact of the global economic environment on the Company customer target base, the adequacy of available cash resource and the ability to raise capital when needed. More detailed information about the risks and uncertainties affecting the Company is contained under the heading “Risk Factors” in our Annual Report on Form 20-F for the year ended December 31, 2016 filed with the U.S. Securities and Exchange Commission, or SEC, which is available on the SEC’s website, www.sec.gov, and in the Company’s periodic filings with the SEC and the Tel-Aviv Stock Exchange.** Tables to Follow **

BALANCE SHEETS
In thousands, except per share data
								Conveniencetranslation
		December 31,		March 31,				March 31,
		2016		2016		2017		2017
				Unaudited				Unaudited
		N I S						U.S. dollars
CURRENT ASSETS:
Cash and cash equivalents		15,705		29,817		24,020			6,613
Marketable securities		4,067		4,065		4,068			1,120
Short-term deposits		7,602		-		6,751			1,859
Other receivables		815		2,282		4,979			1,371
		28,189		36,164		39,818			10,963
LONG‑TERM ASSETS:
Property, plant and equipment		1,443		1,903		1,297			357
Other long term assets		478		290		478			132
		1,921		2,193		1,775			489
		30,110		38,357		41,593			11,452
CURRENT LIABILITIES:
Trade payables		686		836		752			207
Other payables		689		735		526			145
		1,375		1,571		1,278			352
LONG‑TERM LIABILITIES:
Options		3,043		4,540		10,848			2,987
Severance pay liability, net		76		71		76			21
		3,119		4,611		10,924			3,008
SHAREHOLDERS' EQUITY (DEFICIT):
Ordinary shares of NIS 0.0000001 par value:
Authorized: 391,000,000 shares as ofMarch 31, 2017, 2016 (unaudited) andDecember 31, 2016; Issued andOutstanding: 162,481,153 ,135,097,367 and 135,097,367shares respectively		*) -		*)   -		*)   -			*)   -
Share premium		113,041		111,083		129,550			35,668
Options		1,435		2,536		533			147
Other comprehensive income		6		14		6			2
Accumulated deficit		(88,866)		(81,458)		(100,698)			(27,725)
		25,616		32,175		29,391			8,092
		30,110		38,357		41,593			11,452
*) Represents an amount lower than NIS 1.

STATEMENTS OF COMPREHENSIVE INCOME
In thousands, except per share data
															Conveniencetranslation
							Year ended December 31,		Three months ended March 31,						Three months ended March 31,
							2016		2016			2017			2017
									Unaudited						Unaudited
							NIS								U.S. dollars
Operating expenses:
Research and development, net of participations							7,794		2,063			1,874			516
Marketing, general and administrative							4,106		771			1,094			301
Total operating expenses							11,900		2,834			2,968			817
Operating loss							(11,900)		(2,834)			(2,968)			(817)
Financial income							3,019		1,481			8			2
Financial expense							(303)		(423)			(8,872)			(2,443)
Net loss							(9,184)		(1,776)			(11,832)			(3,258)
Other comprehensive income (loss):
Gain (loss) from available-for-sale financial assets							(6)		2			-			-
Total comprehensive loss							(9,190)		(1,774)			(11,832)			(3,258)
Basic and Diluted net loss per share							(0.07)		(0.01)			(0.07)			(0.02)
Weighted average number of sharesoutstanding used to compute basicand diluted loss per share							135,097		135,097			162,481			162,481