Veloxis Pharmaceuticals A/S: Veloxis Secures USD 60M in Debt Financing

Company Release no. 01/2018

To: NASDAQ Copenhagen A/S                                                      
14 February 2018 

                    Veloxis Secures USD 60M in Debt Financing

                                        

Cary, NC, February 14, 2018 -- Veloxis Pharmaceuticals A/S (OMX:VELO), a
specialty pharmaceutical company committed to improving the lives of transplant
patients, today announced that it has obtained USD 60 million of capital from
funds managed by Athyrium Capital Management, LP ("Athyrium"), a leading
healthcare-focused investment firm. The proceeds from the commitment will be
used to refinance Veloxis's outstanding debt, accelerate the growth of Envarsus
XR in the U.S. and help fund working capital of Veloxis Pharmaceuticals, Inc. 

"We are pleased to have this opportunity to collaborate with Athyrium, a
partner known for its strategic investments in healthcare. The USD 60 million
non-dilutive financing enhances our cash position and provides the Company with
the capital needed to execute on our commercial strategy with Envarsus.
Athyrium is also committed to being a long-term partner for the Company to help
fund future business development opportunities which we believe will maximize
long term shareholder value," said Craig Collard, President and Chief Executive
Officer of Veloxis. 

Richard Pines, Partner at Athyrium, stated: "We are excited about funding the
commercial launch of Envarsus XR. Its strong traction in a genericized market
is an indication of the strength of its clinical profile, as transplant
surgeons and nephrologists seek to best manage transplant rejection and
immunosuppression in this fragile patient population. In addition to our
interest in Envarsus XR, we are very impressed with the Veloxis management team
and look forward to partnering with them as they seek to grow through business
development initiatives." 

Transaction Terms

This financing is in the form of a five-year, floating rate, interest only
note. The initial principal balance doubles the amount of debt at substantially
the same cost of capital versus the previous debt instrument. The funds are
structured with USD 60 million available immediately upon closing of the
transaction to Veloxis Pharmaceuticals, Inc., and guaranteed by Veloxis
Pharmaceuticals A/S. 

For more information, please contact:

Craig A. Collard
President & CEO
Phone: [phone]
Email: [e-mail]

About Veloxis Pharmaceuticals

Veloxis Pharmaceuticals A/S is a biopharmaceutical company focused on improving
patient lives by identifying, developing, and commercializing meaningful
products in transplantation and adjacent therapies. Utilizing our proprietary
drug delivery technology (MeltDose), Veloxis has developed and obtained FDA
and EMA approval for our product, Envarsus XR (tacrolimus extended-release
tablets), to aid in the prophylaxis of organ rejection in transplant
recipients.  Our strategy is to continue to commercialize Envarsus XR in the
U.S. with a direct salesforce and to license rights to Envarsus to proven
commercial partners in other territories around the world.  In addition to
expanding use of Envarsus, Veloxis is actively seeking business development and
licensing targets within the areas of transplantation and adjacent specialties,
and therapeutics for rare or severe disease for which chronic therapy is
initiated in the large hospital setting.  Veloxis is listed on the NASDAQ OMX
Copenhagen under the trading symbol OMX: VELO.  For further information, please
visit www.veloxis.com. 

About Athyrium Capital Management

Athyrium Capital Management, LP, is a specialized asset management company that
invests in the global healthcare sector. As of December 31, 2017, Athyrium had
approximately $3.5 billion of assets under management. The Athyrium team has
substantial investment experience in the healthcare sector across a wide range
of asset classes including public equity, private equity, fixed income,
royalties, and other structured securities. Athyrium invests across all
healthcare verticals, including biopharma, medical devices and products, and
healthcare focused services. The Athyrium team partners with management teams
to implement creative financing solutions to companies' capital needs. For more
information, please visit www.athyrium.com.

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