February 24, 2017
SymBio Pharmaceuticals Limited
Fuminori Yoshida
Representative Director,President and Chief Executive Officer(Securities Code: 4582)

Notice of Change to Use of Funds from the 3rd Unsecured Bonds with Convertible Bond Type StockAcquisition Rights and the 39th Stock Acquisition Rights Issued by Third-Party Allotment

TOKYO, Japan, February 24, 2017—SymBio Pharmaceuticals Limited (JASDAQ: 4582) (hereinafter “SymBio”)
today announced that it was decided at its Board of Directors meeting held on February 24, 2017, to change asfollows the “Amount to be funded, as well as use and scheduled disbursement timing thereof” (hereinafter the “Useof Funds”), which was disclosed in the “Notice of the Issuance of and the Subscription for the 3rd Unsecured Bonds
with Convertible Bond Type Stock Acquisition Rights and the 39th Stock Acquisition Rights by Third-PartyAllotment” dated April 6, 2016, and the “Completion of Payment for Subscription for the 3rd Unsecured Bonds
with Convertible Bond Type Stock Acquisition Rights and the 39th Stock Acquisition Rights by Third-PartyAllotment” dated April 22, 2016.

1. Initial Use of Funds
Specific useAmount(Millions ofyen)

Scheduled disbursement timing• Expenses related to acquisition of companies who own new
drug candidates and development of such new drugcandidates after the acquisition• Expenses related to acquisition of rights for new drugcandidates and development of such new drug candidates
after the acquisition of the rights• Expenses related to development of SyB P-1501; andSyB C-1101 for higher-risk myelodysplastic syndromes(MDS) (in combination with azacitidine)

3,915

April 2016‒December 2018

Notes:
1. New drug candidates are products or compounds that have not yet been approved for sale on the market, andSymBio acquires rights related to the development, manufacturing, and commercialization of these new drugcandidates, conducts internal development centered on clinical trials, and aims to receive approval for
manufacturing and marketing.
2. As of today, SymBio is conducting negotiations toward acquiring rights of new drug candidates with several
counterparties. The scheduled funding amount is calculated based on current estimates for expenses related
to acquiring the rights of these new drug candidates, acquisition of companies who own them, anddevelopment expenses centered on clinical trials after acquiring rights of the new drug candidates orcompanies who own them. The expenses involved in the acquisition of rights, introduction or acquisition ofcompanies, could be higher or lower than initially expected depending on the consequence of future
discussions. If the expenses are higher than initially expected and the amount procured from this funding is-1-3.

4.

5.
6.

7.

insufficient, SymBio plans to utilize internal funds.
Expenses related to development of SyB P-1501; and SyB C-1101 for higher-risk MDS (in combinationwith azacitidine) (drugs under development by SymBio), are calculated based on current development plans.
Concerning SyB P-1501, a Phase III clinical trial has been implemented in Japan, and a submission for
manufacturing and marketing approval is forecast to be made in 2018. Concerning SyB C-1101, after
completion of the Phase I clinical trial in combination with azacitidine in Japan in 2017, SymBio is scheduled
to participate in global Phase III clinical trials.
The priority of Use of Funds is planned to be in the order of (1) Expenses related to acquisition of companies
who own new drug candidates and development of such new drug candidates after the acquisition; (2) If thenegotiations in (1) are not for the acquisition of companies but for the acquisition of rights for new drugcandidates, expenses related to acquisition of those rights and development of such new drug candidates
after the acquisition of the rights; (3) If negotiations in (1) or (2) fail, expenses related to development ofSyB P-1501; and SyB C-1101 for higher-risk MDS (in combination with azacitidine). Furthermore,concerning development of SyB P-1501; and SyB C-1101 for higher-risk MDS (in combination withazacitidine), clinical trials are currently underway, and it is possible that Use of Funds may be applied aheadof the uses in (1) and (2).
The procurement funds shall be managed securely by a financial institution until they are disbursed.
As payments from the exercise of the Warrants depend, in principle, on the judgment of the right holders ofthe Warrants, the total amount paid-in through the exercise of the Warrants is determined by the exercise
conditions of the Warrants. Consequently, in case the funding by the Warrants becomes difficult to achieve
due to insufficient exercise of the Warrants, SymBio intends to examine the possibility of implementing
other funding means.
Specific uses and amounts may be modified according to changes in future conditions. If the uses are finallydetermined and specific uses are modified, SymBio will appropriately disclose such information.

2. Reasons for Change to Use of Funds
SymBio aims to expand the value of its pipelines, transform itself into a global specialty biopharmaceuticalcompany, and maximize business value by promoting its development of three pipeline pillar drugs(TREAKISYM®, rigosertib (SyB C-1101 (oral) and SyB L-1101 (intravenous)) and SyB P-1501), focusing on
searching prospective new drug candidates, and introducing new drug candidates with high potential forcommercialization, or acquiring companies who own them. As such, regarding the Use of Funds, SymBio places thehighest priority on allocating funds for acquiring companies with new drug candidates and expenses related to thedevelopment of new drug candidates after the acquisition.
SymBio did not reach an agreement with the company with new drug candidates for the acquisition deal which
was negotiated in 2016. As such, with regard to the Use of Funds procured, SymBio decided to prioritize thedevelopment of its pipeline that has already been introduced and is currently progressing, for which pressing
funding needs are anticipated, and changed its plan for allocating the funds from the initially planned acquisition ofa company with new drug candidates and the development of the new drug candidates after the acquisition, toexpenses related to the development of SyB P-1501 and expenses related to the development of SyB C-1101 forthe indication of higher-risk MDS instead.
Furthermore, to continue to transform into an excellent biopharmaceutical company that ensures medium- andlong-term growth with sustainability, growth potential, and profitability, SymBio will continue to consider theintroduction of new drug candidates.

-2-3. Use of Funds after Change
As a result of the above, the Use of Funds after the change shall be as follows. Changed parts are underlined.
Amount(Millions of Scheduled disbursement timing
Specific useyen)• Expenses related to development of SyB P-1501; and3,915
April 2016‒December 2018
expenses related to development of SyB C-1101 for higherrisk MDS
Notes:
1. (Deleted)
2. (Deleted)
3. Expenses related to development of SyB P-1501; and expenses related to development of SyB C-1101 forhigher-risk MDS (in combination with azacitidine) (drugs under development by SymBio), are calculated
based on current development plans. Concerning SyB P-1501, a Phase III clinical trial is currently underway
in Japan, and a submission for manufacturing and marketing approval is expected to be made in 2018.
Concerning SyB C-1101, after completion of the Phase I clinical trial in combination with azacitidine inJapan, SymBio is scheduled to participate in global Phase III clinical trials in 2019.
4. (Deleted)
5. The procurement funds shall be managed securely by a financial institution until they are actually disbursed.
6. As payments from the exercise of the Warrants depend, in principle, on the judgment of the right holders ofthe Warrants, the total amount paid-in through the exercise of the Warrants is determined by the exercise
conditions of the Warrants. Consequently, in case the funding by the Warrants becomes difficult to achieve
due to insufficient exercise of the Warrants, SymBio intends to examine the possibility of implementing
other funding means.
7. Specific uses and amounts may be modified according to changes in future conditions. If the uses are finallydetermined and specific uses are modified, such information shall be appropriately disclosed.
End-3-