----

| FORM 20-F  |
|-----------------|
|                 |  |
| ☐         | REGISTRATION STATEMENT PURSUANT TO SECTION 12(b) OR (g) OF THE SECURITIES EXCHANGE ACT OF 1934 |
| ☒ | ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
|---------|--------------------------------------------------------------------------------------|
| ☐ | TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
|---------|------------------------------------------------------------------------------------------|
| ☐ | SHELL COMPANY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
|---------|---------------------------------------------------------------------------------------------|

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| Title of each class                           | Name of each exchange on which registered |
|-----------------------------------------------|-------------------------------------------|
| Ordinary shares, par value NIS 0.02 per share | Nasdaq Stock Market LLC                   |
| Large accelerated filer ☐ | Accelerated filer ☐       |
|---------------------------------|---------------------------------|
| Non-accelerated filer ☐   | Emerging Growth Company ☒ |
| U.S. GAAP ☐ | International Financial Reporting Standards as issued by the International Accounting Standards Board ☒ | Other ☐ |
|-------------------|---------------------------------------------------------------------------------------------------------------|---------------|

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| Introduction                                      | 4                                                                            |
|---------------------------------------------------|------------------------------------------------------------------------------|
| Special Note Regarding Forward-Looking Statements | 5                                                                            |
|                                              |                                                                         |   |
| PART I                                            |                                                                         |   |
| ITEM 1.                                           | Identity of Directors, Senior Management and Advisers                        | 6 |
| ITEM 2.                                           | Offer Statistics and Expected Timetable                                      | 6 |
| ITEM 3.                                           | Key Information                                                              | 6 |
| Item 4.                                           | Information On The Company                                                   | 26 |
| Item 4A.                                          | Unresolved Staff Comments                                                    | 50 |
| Item 5.                                           | Operating and Financial Review and Prospects                                 | 51 |
| ITEM 6.                                           | Directors, Senior Management and Employees                                   | 70 |
| ITEM 7.                                           | Major Shareholders and Related Party Transactions                            | 84 |
| Item 8.                                           | Financial Information                                                        | 87 |
| Item 9.                                           | The Offer and Listing                                                        | 88 |
| Item 10.                                          | Additional Information                                                       | 89 |
| Item 11.                                          | Quantitative and Qualitative Disclosures About Market Risk                   | 100 |
| Item 12.                                          | Description of Securities other than Equity Securities                       | 101 |
|                                              |                                                                         |   |
| PART II                                           |                                                                         |   |
| Item 13.                                          | Defaults, Dividend Arrearages and Delinquencies                              | 101 |
| Item 14.                                          | Material Modifications to the Rights of Security Holders and Use of Proceeds | 102 |
| Item 15.                                          | Controls and Procedures                                                      | 102 |
| Item 16.                                          | [Reserved]                                                                   | 103 |
| ITEM 16A.                                         | Audit Committee Financial Expert                                             | 103 |
| ITEM 16B.                                         | Code of Ethics                                                               | 103 |
| ITEM 16C.                                         | Principal Accountant Fees and Services                                       | 103 |
| ITEM 16D.                                         | Exemptions from the Listing Standards for Audit Committees                   | 104 |
| ITEM 16E.                                         | Purchases of Equity Securities by the Issuer and Affiliated Purchasers       | 104 |
| ITEM 16F.                                         | Change in Registrant’s Certifying Accountant                           | 104 |
| ITEM 16G.                                         | Corporate Governance                                                         | 104 |
| Item 16H.                                         | Mine Safety Disclosure                                                       | 104 |
|                                              |                                                                         |   |
| PART III                                          |                                                                         |   |
| Item 17.                                          | Financial Statements                                                         | 104 |
| Item 18.                                          | Financial Statements                                                         | 104 |
| Item 19.                                          | Exhibits                                                                     | 104 |
|                                              |                                                                         |
| Signatures                                        | 105                                                                          |
| Index to Consolidated Financial Statements        | F-1                                                                          |

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|  | § | references to “Evogene,” “we,” “us,” “our,” “our company” and “the company” refer to Evogene Ltd. and its subsidiaries, Evofuel Ltd. and Evogene Inc.; |
|--|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | § | references to “U.S. Dollars,” “$” or “dollars” are to U.S. dollars; |
|--|--------|---------------------------------------------------------------------------------------------------------|

|  | § | references to “NIS” or “shekels” are to New Israeli Shekels; |
|--|--------|--------------------------------------------------------------------------------------|

|  | § | references to the “U.S. initial public offering” refer to the initial public offering of our ordinary shares in the United States and the listing thereof on the New York Stock Exchange, which offering was consummated on November 26, 2013; |
|--|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | § | references to “ordinary shares”, “our shares” and similar expressions refer to our Ordinary Shares, par value NIS 0.02 per share; |
|--|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | § | references to the “articles of association” or “amended articles” are to our Amended and Restated Articles of Association, which became effective upon the closing of the U.S. initial public offering, as subsequently amended; |
|--|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | § | references to the “Companies Law” are to the Israeli Companies Law, 5759-1999, as amended; |
|--|--------|--------------------------------------------------------------------------------------------------------|

|  | § | references to the “Securities Act” are to the Securities Act of 1933, as amended; |
|--|--------|-----------------------------------------------------------------------------------------------|

|  | § | references to the “Exchange Act” are to the Securities Exchange Act of 1934, as amended; |
|--|--------|------------------------------------------------------------------------------------------------------|

|  | § | references to the “NYSE” are to the New York Stock Exchange; |
|--|--------|--------------------------------------------------------------------------|

|  | § | references to the “Nasdaq” are to the Nasdaq Stock Market LLC; |
|--|--------|----------------------------------------------------------------------------|

|  | § | references to the “TASE” are to the Tel Aviv Stock Exchange; |
|--|--------|--------------------------------------------------------------------------|

|  | § | references to the “SEC” are to the United States Securities and Exchange Commission. |
|--|--------|--------------------------------------------------------------------------------------------------|

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|  | § | our expectation that our discoveries will have the desired effect required in order to reach a commercial product; |
|--|--------|--------------------------------------------------------------------------------------------------------------------|

|  | § | Our ability, and the ability of our collaborators, to allocate the resources needed to develop products based on our discoveries; |
|--|--------|-----------------------------------------------------------------------------------------------------------------------------------|

|  | § | Our expectation regarding the length and complexity of the process of developing products based on our discoveries and the probability of success of us and our collaborators in developing such products; |
|--|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | § | our expectation regarding the future growth of the seeds, ag-chemicals, and ag-biologicals markets and larger agriculture market; |
|--|--------|-----------------------------------------------------------------------------------------------------------------------------------|

|  | § | our ability to maintain our business models, such as the business model in which our partners pay for our research and development costs or the business model in which we pay for our own research and development costs and enter into collaboration agreements only in the later stages of product development; |
|--|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | § | our expectation regarding the commercial value of our key products, such as the trait value of our key seed traits products in yield and abiotic stress and biotic stress; |
|--|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | § | our expectation regarding regulatory approval of products developed by us or our collaborators; |
|--|--------|-------------------------------------------------------------------------------------------------|

|  | § | our expectation that products containing or based on our discoveries will be commercialized and we will earn royalties from the sales of such products; |
|--|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | § | our ability to continue to successfully develop our newer operations, such as ag-chemicals operations, insect control operations, and ag-biologicals operations, enter into collaboration agreements to develop products in these fields and eventually commercialize products in the relevant markets; |
|--|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | § | our ability to maintain and recruit knowledgeable or specialized personnel to perform our research and development work; |
|--|--------|--------------------------------------------------------------------------------------------------------------------------|

|  | § | our ability to successfully develop improved castor bean seed varieties that serve the current industrial markets and that can serve as a viable alternative source of feedstock for biofuel and other industrial uses; |
|--|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | § | our ability to adapt to continuous technological change in our industry; |
|--|--------|--------------------------------------------------------------------------|

|  | § | our ability to maintain our collaboration agreements with our current collaborators; |
|--|--------|--------------------------------------------------------------------------------------|

|  | § | our ability to enter into new collaboration agreements and expand our research and development to new fields, traits and crops; |
|--|--------|---------------------------------------------------------------------------------------------------------------------------------|

|  | § | our ability to improve our existing computational technologies and our screening and validation systems and to develop and launch new computational technologies and screening and validation systems; and |
|--|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | § | our ability to patent our discoveries and to protect our trade secrets and proprietary know-how. |
|--|--------|--------------------------------------------------------------------------------------------------|

----

| ITEM 1. | IDENTITY OF DIRECTORS, SENIOR MANAGEMENT AND ADVISERS |
|---------|-------------------------------------------------------|

| ITEM 2. | OFFER STATISTICS AND EXPECTED TIMETABLE |
|---------|-----------------------------------------|

| ITEM 3. | KEY INFORMATION |
|---------|-----------------|

|                                                                                                  |   | Year ended December 31,(in thousands, except share and per share data) |       |
|-------------------------------------------------------------------------------------------------------|--------|------------------------------------------------------------------------|------------|
|                                                                                                  |   | 2012                                                                   |       |   | 2013 |   |   | 2014 |   |   | 2015 |   |   | 2016 |   |
| Consolidated Statements of Profit or Loss and Other Comprehensive Income (Loss):                      |   |                                                                   |       |   |   |   |   |   |   |   |   |   |   |   |   |
| Revenues:                                                                                             |   |                                                                   |       |   |   |   |   |   |   |   |   |   |   |   |   |
| Research and development payments, including up-front payments                                        |   | $                                                                      | 13,914     |   |   | $ | 15,028 |   |   | $ | 14,198 |   |   | $ | 10,956 |   |   | $ | 6,500 |   |
| Share purchase related revenues                                                                       |   |                                                                   | 3,158      |   |   |   | 2,553 |   |   |   | 313 |   |   |   | 173 |   |   |   | 40 |   |
| Total Revenues                                                                                        |   |                                                                   | 17,072     |   |   |   | 17,581 |   |   |   | 14,511 |   |   |   | 11,129 |   |   |   | 6,540 |   |
| Cost of revenues                                    |   |                                                                   | 9,552      |   |   |   | 10,114 |   |   |   | 9,709 |   |   |   | 8,255 |   |   |   | 5,639 |   |
| Gross profit                                        |   |                                                                   | 7,520      |   |   |   | 7,467 |   |   |   | 4,802 |   |   |   | 2,874 |   |   |   | 901 |   |
| Operating expenses:                                                                                   |   |                                                                   |       |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Research and development, net                       |   |                                                                   | 7,252      |   |   |   | 11,107 |   |   |   | 14,022 |   |   |   | 14,449 |   |   |   | 16,405 |   |
| Business development                                |   |                                                                   | 1,159      |   |   |   | 1,517 |   |   |   | 1,851 |   |   |   | 1,964 |   |   |   | 1,696 |   |
| General and administrative                          |   |                                                                   | 2,235      |   |   |   | 3,564 |   |   |   | 4,185 |   |   |   | 4,382 |   |   |   | 3,889 |   |
| Total operating expenses                            |   |                                                                   | 10,646     |   |   |   | 16,188 |   |   |   | 20,058 |   |   |   | 20,795 |   |   |   | 21,990 |   |
| Operating loss                                      |   |                                                                   | (3,126     | ) |   |   | (8,721 | ) |   |   | (15,256 | ) |   |   | (17,921 | ) |   |   | (21,089 | ) |
| Financing income                                    |   |                                                                   | 972        |   |   |   | 1,179 |   |   |   | 2,242 |   |   |   | 2,571 |   |   |   | 2,424 |   |
| Financing expenses                                  |   |                                                                   | (294       | ) |   |   | (1,336 | ) |   |   | (1,516 | ) |   |   | (1,863 | ) |   |   | (891 | ) |
| Loss before taxes on income                         |   |                                                                   | (2,448     | ) |   |   | (8,878 | ) |   |   | (14,530 | ) |   |   | (17,213 | ) |   |   | (19,556 | ) |
| Taxes on income                                     |   |                                                                   | 74         |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | 36 |   |
| Net loss                                            |   |                                                                   | (2,522     | ) |   |   | (8,878 | ) |   |   | (14,530 | ) |   |   | (17,213 | ) |   |   | (19,592 | ) |
| Other comprehensive income (loss):                                                                    |   |                                                                   |       |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Loss from cash flow hedges                                                                            |   |                                                                   | -          |   |   |   | - |   |   |   | (222 | ) |   |   | (45 | ) |   |   | - |   |
| Amounts transferred to the statement of profit or loss for cash flow hedges                           |   |                                                                   | -          |   |   |   | - |   |   |   | - |   |   |   | 267 |   |   |   | - |   |
|                                                                                                  |   |                                                                   |       |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Total comprehensive loss                                                                              |   | $                                                                      | (2,522     | ) |   | $ | (8,878 | ) |   | $ | (14,752 | ) |   | $ | (16,991 | ) |   | $ | (19,592 | ) |
| Basic and diluted net loss per share           |   | $                                                                      | (0.14      | ) |   | $ | (0.45 | ) |   | $ | (0.58 | ) |   | $ | (0.68 | ) |   | $ | (0.77 | ) |
| Weighted average number of ordinary shares used in computing basic and diluted net loss per share (1) |   |                                                                   | 18,421,568 |   |   |   | 19,532,010 |   |   |   | 25,100,556 |   |   |   | 25,378,325 |   |   |   | 25,444,733 |   |

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|                                                                                                  |   | As of December 31, |   |
|-------------------------------------------------------------------------------------------------------|--------|--------------------|--------|
|                                                                                                  |   | 2012               |   |   | 2013 |   |   | 2014 |   |   | 2015 |   |   | 2016 |   |
| Selected Consolidated Statements of Financial Position Data:                                          |   |               |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Cash and cash equivalents                           |   | $                  | 24,262 |   |   | $ | 95,454 |   |   | $ | 5,213 |   |   | $ | 10,221 |   |   | $ | 3,236 |   |
| Marketable securities                               |   |               | 30,868 |   |   |   | 31,452 |   |   |   | 80,040 |   |   |   | 71,807 |   |   |   | 71,738 |   |
| Short-term bank deposits                                                                              |   |               | -      |   |   |   | - |   |   |   | 30,046 |   |   |   | 18,603 |   |   |   | 13,137 |   |
| Trade receivables                                   |   |               | 1,542  |   |   |   | 1,913 |   |   |   | 1,183 |   |   |   | 2,675 |   |   |   | 169 |   |
| Total current assets                                |   |               | 57,322 |   |   |   | 129,552 |   |   |   | 118,371 |   |   |   | 104,376 |   |   |   | 89,490 |   |
| Deferred revenues and other advances           |   |               | 8,379  |   |   |   | 2,535 |   |   |   | 1,964 |   |   |   | 858 |   |   |   | 1,105 |   |
| Total liabilities                                   |   |               | 16,596 |   |   |   | 12,564 |   |   |   | 11,504 |   |   |   | 8,843 |   |   |   | 8,697 |   |
| Working capital (2)                                 |   |               | 47,823 |   |   |   | 120,978 |   |   |   | 110,452 |   |   |   | 98,737 |   |   |   | 84,265 |   |
| Shareholders’ equity                          |   |               | 48,259 |   |   |   | 124,747 |   |   |   | 116,082 |   |   |   | 103,752 |   |   |   | 87,289 |   |

| (1) | Basic and diluted net loss per share is computed based on the weighted average number of ordinary shares outstanding during each period, in accordance with IAS 33, “Earnings per Share.” |
|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (2) | Working capital is defined as total current assets less total current liabilities. |
|-----|------------------------------------------------------------------------------------|

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|  | § | our discoveries may not be successfully validated or may not have the desired effect required in order to reach a commercial product; |
|--|--------|---------------------------------------------------------------------------------------------------------------------------------------|

|  | § | the process of developing products based on our discoveries is lengthy and expensive. We and our partners may not be able to allocate the resources needed to complete it within the desired timelines; |
|--|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | § | our collaborators may decide to discontinue, pause, reduce, or alter the scope of the development efforts for the products on which we collaborate. |
|--|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------|

|  | § | we may fail to satisfy, in a timely manner or at all, relevant milestones under our agreements with our collaborators; |
|--|--------|------------------------------------------------------------------------------------------------------------------------|

|  | § | regulatory conditions related to the products we develop may change in different territories, thus negatively affecting the relevant development processes and extending their length or limiting the commercialization of such products. |
|--|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | § | our collaborators may be unable to obtain the requisite regulatory approvals for products based on our discoveries; |
|--|--------|---------------------------------------------------------------------------------------------------------------------|

|  | § | our competitors may launch competing or more effective products; |
|--|--------|------------------------------------------------------------------|

|  | § | our collaborators may be unable to fully develop and commercialize products containing our discoveries or may decide, for whatever reason, not to commercialize, or to delay the commercialization of such products; and |
|--|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | § | a market may not exist for products containing our discoveries or such products may not be commercially successful or relevant; and |
|--|--------|-------------------------------------------------------------------------------------------------------------------------------------|

|  | § | we may be unable to patent our discoveries in the necessary jurisdictions. |
|--|--------|----------------------------------------------------------------------------|

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|  | § | we and our partners may not be able to allocate the resources needed to develop products based on our discoveries |
|--|--------|-------------------------------------------------------------------------------------------------------------------|

|  | § | our partners may revise the process of product development or make other decisions regarding their product development pipelines that may extend the development period; |
|--|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | § | our partners may prioritize other development activities ahead of development activities with respect to the products on which we collaborate; |
|--|--------|------------------------------------------------------------------------------------------------------------------------------------------------|

|  | § | our discoveries (seed traits, ag-chemical compounds, or microbial) may not be successfully validated or may not have the desired effect sought by our collaborators; and |
|--|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | § | our collaborators may be unable to obtain the requisite regulatory approvals for the products based on our discoveries within expected timelines or at all. |
|--|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------|

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----

|  | § | Our failure to identify and develop toxin candidates having the desired effect on the target insects when inserted into the plants of interest; |
|--|--------|-------------------------------------------------------------------------------------------------------------------------------------------------|

|  | § | Our failure to successfully complete development of insect control products; and |
|--|--------|----------------------------------------------------------------------------------|

|  | § | Our failure to meet regulation requirements for insect control products |
|--|--------|-------------------------------------------------------------------------|

|  | § | The failure of our relatively novel target-based approach to lead to an effective product or failure to identify chemical compounds that will display required level of performance; and |
|--|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | § | Our failure to obtain sufficient funding to fully execute our ag-chemical business plan. |
|--|--------|------------------------------------------------------------------------------------------|

|  | § | Our failure to establish the needed infrastructure to enable the discovery and development of microbial biostimulants; |
|--|--------|------------------------------------------------------------------------------------------------------------------------|

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|  | § | Our failure to identify and develop microbial candidates that enhance plant performance at the desired efficacy and stability; |
|--|--------|--------------------------------------------------------------------------------------------------------------------------------|

|  | § | Our failure to successfully complete development of microorganisms to achieve cost-effective products; and |
|--|--------|------------------------------------------------------------------------------------------------------------|

|  | § | Our failure to meet regulation requirements in case significant changes occur in the future. |
|--|--------|----------------------------------------------------------------------------------------------|

|  | § | the yields of our castor seed varieties on commercial scale under rain-fed conditions, securing economic viability as biodiesel feedstock; |
|--|--------|--------------------------------------------------------------------------------------------------------------------------------------------|

|  | § | the ability to harvest castor beans in an efficient mechanized manner; |
|--|--------|------------------------------------------------------------------------|

|  | § | the cost of producing castor bean grains, allowing grower profitability; |
|--|--------|--------------------------------------------------------------------------|

|  | § | adoption on large scale by growers of castor, including the successful management of diseases, pets and castor volunteers; |
|--|--------|----------------------------------------------------------------------------------------------------------------------------|

|  | § | the risk that farmers may decide not to grow “second season” replacement crops such as the castor bean; |
|--|--------|---------------------------------------------------------------------------------------------------------------------|

|  | § | the health and environmental risks posed by the castor bean seed, which contains a naturally occurring poison called ricin; |
|--|--------|-----------------------------------------------------------------------------------------------------------------------------|

|  | § | any regulatory concerns related to sales of castor beans, particularly related to the import of such beans and the potential effects of ricin; and |
|--|--------|----------------------------------------------------------------------------------------------------------------------------------------------------|

|  | § | the sustainability of our production and the biodiesel end-product. |
|--|--------|---------------------------------------------------------------------|

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|  | § | impair or eliminate our ability to research and develop our products, including validating our products through field trials; |
|--|--------|-------------------------------------------------------------------------------------------------------------------------------|

|  | § | increase our compliance and other costs of doing business through increases in the cost to patent or otherwise protect our intellectual property or increases in the cost to our collaborators to obtain the necessary regulatory approvals to commercialize and market the products we develop with them; |
|--|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | § | require significant product redesign or systems redevelopment; |
|--|--------|----------------------------------------------------------------|

|  | § | render our products less profitable, obsolete or less attractive compared to competing products; |
|--|--------|--------------------------------------------------------------------------------------------------|

|  | § | affect our collaborators’ willingness to do business with us; |
|--|--------|---------------------------------------------------------------------|

|  | § | reduce the amount of revenues we receive from our collaborators through milestone payments or royalties; and |
|--|--------|--------------------------------------------------------------------------------------------------------------|

|  | § | discourage our collaborators from offering, and consumers from purchasing, products that incorporate our discoveries. |
|--|--------|-----------------------------------------------------------------------------------------------------------------------|

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|  | § | fluctuations in foreign currency exchange rates; |
|--|--------|--------------------------------------------------|

|  | § | potentially adverse tax consequences; |
|--|--------|---------------------------------------|

|  | § | difficulties in staffing and managing foreign operations; |
|--|--------|-----------------------------------------------------------|

|  | § | hiring and retention of employees and/or consultants under foreign employment laws with which we are not familiar; |
|--|--------|--------------------------------------------------------------------------------------------------------------------|

|  | § | laws and business practices that sometimes favor local competition; |
|--|--------|---------------------------------------------------------------------|

|  | § | compliance with complex foreign laws, treaties and regulations; |
|--|--------|-----------------------------------------------------------------|

|  | § | tariffs, trade barriers and other regulatory or contractual limitations on our ability to develop (and, when applicable in the future, sell) our solutions in certain foreign markets; and |
|--|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | § | being subject to the laws, regulations and the court systems of multiple jurisdictions. |
|--|--------|-----------------------------------------------------------------------------------------|

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|  | § | actual or anticipated fluctuations in our results of operations; |
|--|--------|------------------------------------------------------------------|

|  | § | variance in our financial performance from the expectations of market analysts; |
|--|--------|---------------------------------------------------------------------------------|

|  | § | announcements by us or our competitors of significant business developments, changes in relationships with our collaborators, acquisitions or expansion plans; |
|--|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | § | our involvement in litigation; |
|--|--------|--------------------------------|

|  | § | our sale, or the sale by our significant shareholders, of ordinary shares or other securities in the future; |
|--|--------|--------------------------------------------------------------------------------------------------------------|

|  | § | failure to publish research or the publishing of inaccurate or unfavorable research; |
|--|--------|--------------------------------------------------------------------------------------|

|  | § | market conditions in our industry and changes in estimates of the future size and growth rate of our markets; |
|--|--------|---------------------------------------------------------------------------------------------------------------|

|  | § | changes in key personnel; |
|--|--------|---------------------------|

|  | § | the trading volume of our ordinary shares; and |
|--|--------|------------------------------------------------|

|  | § | general economic and market conditions. |
|--|--------|-----------------------------------------|

----

----

----

| ITEM 4. | INFORMATION ON THE COMPANY |
|---------|----------------------------|

----

----

|  | § | With respect to our most significant collaborator in our seed traits activity, Monsanto, in February 2016, we disclosed positive results from the testing of a set of our discovered genes in corn and soybeans in our collaboration utilizing novel "Trait-First" Methodology; |
|--|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | § | In November 2016, we announced positive field trial results from the Company's ag-biologicals program, which is currently focused on the development of bio-stimulant products. In these tests, candidate microbial strains, identified and predicted by Evogene for their ability to improve corn resistance to drought conditions, yielded positive efficacy and stability results in the first year of field testing; |
|--|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | § | In February 2017, we entered a collaboration agreement in the area of ag-chemicals with ICL for the development of crop enhancers for the improvement of nutrient use efficiency; |
|--|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | § | In regards to our independent ag-chemical pipeline for the discovery of novel herbicides, in February 2017, we disclosed positive validation results for ten chemical compounds that have been computationally predicted to impact six of additional targets discovered by the Company. |
|--|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

----

|    |   |                     |   |    |   |                           |
|---------|--------|--------------------------|--------|---------|--------|--------------------------------|
| Program |   | Trait (GM and/or non-GM) |   | Crop    |   | Collaborator                   |
|    |
| 1       |   | Yield                    |   | Corn    |   | Monsanto, Biogemma (1), DuPont |
| 2       |   | Yield                    |   | Soybean |   | Monsanto                       |
| 3       |   | Yield                    |   | Cotton  |   | Monsanto                       |
| 4       |   | Yield                    |   | Canola  |   | Monsanto                       |
| 5       |   | Yield                    |   | (2)     |   | A consumer goods company (2)   |
| 6       |   | Abiotic Stress Tolerance |   | Corn    |   | Monsanto, Biogemma, DuPont     |
| 7       |   | Abiotic Stress Tolerance |   | Soybean |   | Monsanto                       |
| 8       |   | Abiotic Stress Tolerance |   | Cotton  |   | Monsanto                       |
| 9       |   | Abiotic Stress Tolerance |   | Canola  |   | Monsanto                       |
| 10      |   | Nitrogen Use Efficiency  |   | Corn    |   | Monsanto                       |
| 11      |   | Nitrogen Use Efficiency  |   | Cotton  |   | Monsanto                       |
| 12      |   | Nitrogen Use Efficiency  |   | Canola  |   | Monsanto                       |
| 13      |   | Promoters                |   | Wheat   |   | Bayer (3)                      |
| 14      |   | Promoters                |   | Cotton  |   | IMA                            |

|  | (1) | The shareholders of Biogemma SAS are Vilmorin & Cie (Limagrain Group), Euralis and RAGT, See "—Key Collaborations—CE & CP seed traits—CE seed traits—Biogemma". |
|--|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | (2) | Crop and collaborator name not disclosed. |
|--|-----|-------------------------------------------|

|  | (3) | According to the 2014 amendment to the Bayer Wheat Collaboration Agreement, the collaboration's current focus is on promoters discovery. For more information on the Bayer Wheat Collaboration, please see “—Key Collaborations—CE & CP seed traits—CE seed traits—Bayer”. |
|--|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

----

| Program |   | Ag-biological product                                |   | Crop   |   | Development Phase |
|---------|--------|------------------------------------------------------|--------|--------|--------|-------------------|
|    |   |                                                 |   |   |   |              |
| 1       |   | Biostimulants - Yield & abiotic stress tolerance |   | Corn   |   | Pre-Development   |
| 2       |   | Biostimulants - Yield & abiotic stress tolerance |   | Soy    |   | Discovery         |
| 3       |   | Biostimulants - Yield & abiotic stress tolerance |   | Wheat  |   | Pre-Development   |

----

|    |   |                     |   |    |   |                                    |
|---------|--------|--------------------------|--------|---------|--------|-----------------------------------------|
| Program |   | Trait (GM and/or non-GM) |   | Crop    |   | Collaborator / Internal Product Program |
|    |   |                     |   |    |   |                                    |
| 1       |   | Fusarium                 |   | Corn    |   | Monsanto                                |
| 2       |   | Lygus Hesperus           |   | Cotton  |   | Marrone Bio Innovations                 |
| 3       |   | Asian Soybean Rust       |   | Soybean |   | DuPont                                  |
| 4       |   | Soy Cyst Nematode        |   | Soybean |   | Syngenta                                |
| 5       |   | Beet Armyworm            |   | Corn    |   | Marrone Bio Innovations                 |
| 6       |   | Corn Rootworm            |   | Corn    |   | Internal product program                |
| 7       |   | Hemiptera                |   | Soybean |   | Internal product program                |
| 8       |   | Lepidoptera              |   | Corn    |   | Internal product program                |
| 9       |   | Lepidoptera              |   | Soybean |   | Internal product program                |
| 10      |   | Black sigatoka           |   | Banana  |   | Rahan Meristem                          |

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| Product |   | Product                       |   | Crop          |   | Collaborator    |
|---------|--------|-------------------------------|--------|---------------|--------|-----------------|
|    |   |                          |   |          |   |            |
| 1       |   | Non-selective herbicide       |   | All crops     |   | BASF / Internal |
| 2       |   | Grasses selective herbicide   |   | Broadleaves   |   | BASF / Internal |
| 3       |   | Broadleaf selective herbicide |   | Grasses       |   | BASF / Internal |
| 4       |   | Chemical crop enhancers       |   | Not disclosed |   | ICL             |

----

|  | § | Discovery: The identification of candidate genes potentially capable of enhancing specified plant traits. These genes are usually introduced into model plants to determine whether the gene (or gene combination) will enhance the specified trait. We usually employ our own advanced greenhouse facilities in Israel to perform model plant validation utilizing Arabidopsis for dicots, such as soybean, canola, cotton and sunflower, and Brachypodium for monocots, such as corn and wheat. In our experience, the Discovery phase typically lasts approximately 18-24 months. |
|--|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | § | Phase I, or "Proof of Concept": Promising candidate genes are advanced to Phase I, or "proof of concept." In this phase, the genes or gene combinations are inserted into target plants and their efficacy in improving plant performance, including specific plant attributes or target traits such as yield, is tested through greenhouse trials, field trials, or both. During this phase, the genes are also optimized to improve their efficacy, with improved gene constructs then tested again in target crops. Phase I is typically conducted by our collaborators in their own facilities, although we conduct certain proof of concept tests in some of our projects, and in our experience, typically lasts between four to six years. |
|--|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | § | Phase II, or "Early Development": In this phase, the field tests are expanded, and our collaborators evaluate various modes of use of the genes as well as other characteristics in order to optimize performance on a large scale across various geographical locations and varieties, to reach commercially viable success rates. We expect Phase II to last between two to four years. |
|--|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | § | Phase III, or “Advanced Development and Regulation”: In Phase III, extensive field tests are used to demonstrate the effectiveness of selected genes in enhancing particular traits, and the process for obtaining regulatory approvals from government authorities is initiated, including conducting tests for potential environmental impact assessments of possible toxicity and allergenicity. Based on current available estimates, we expect Phase III to last between one to two years. |
|--|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|  | § | Phase IV, or “Pre-Launch”: Involves finalizing the regulatory approval process and preparing for the launch and commercialization. The range of activities here includes preparing the seeds for commercial sales, formulation of a marketing strategy and preparation of marketing materials. Based on current available estimates, we expect Phase IV to last between one to two years. |
|--|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | § | Discovery: The first step in the microbial ag-biologicals development process is Discovery, or the identification of candidate microbial strain, or microbial strain teams, having the potential to improve crop traits of interest. A collection of selected microbial strains, or strain teams, is typically tested on the crop(s) of choice in greenhouse screens (for biostimulants), followed by limited field experiments. Based on industry benchmarks and internal estimations, the Discovery phase typically lasts approximately 12-18 months. |
|--|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | § | Pre-development: Upon successful validation of the candidate microbial strains, or strain teams, promising candidates are advanced to Pre-development. In this phase, initial fermentation and formulation processes are developed and the microbial strains are further tested in greenhouse and field trials, including in the target territory, to examine their efficacy in improving plant performance. The goal of this phase is to determine whether a commercially viable procedure to grow and formulate the microbial stains can be developed, and which candidates have the greatest potential to improve plant performance. Based on industry benchmarks and internal estimations, we expect this stage to last between 18-24 months. |
|--|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|  | § | Development: In this phase, the fermentation and formulation procedures are further optimized to allow for commercial scale production, considering other parameters such as relevant stability and shelf life. Field tests commenced in pre-development are expanded and repeated aiming to test efficacy and stability of the candidate product. Based on industry benchmarks and internal estimations, we expect this stage to last between approximately 18-24 months. |
|--|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | § | Pre-commercialization: In this phase, extensive field tests are undertaken to demonstrate the effectiveness of a candidate product in enhancing particular traits. Additional activities towards launch are performed, including packaging development, registration and go-to-market strategy. Based on industry benchmarks and internal estimations, we expect this stage to last approximately 24 months. We anticipate that this phase would be performed by a collaborator or commercialization partner that will take the lead on product commercialization. |
|--|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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| Name of Subsidiary                |   | Jurisdiction |   | Ownership Interest |
|-----------------------------------|--------|--------------|--------|--------------------|
| Evofuel Ltd.                      |   | Israel       |   | 100%               |
| Evogene Inc.                      |   | Delaware     |   | 100%               |
| Leviev-Evogene Namibia (PTY) Ltd. |   | Namibia      |   | 100%               |
| Biomica Ltd.                      |   | Israel       |   | 100%               |

| ITEM 4A. | UNRESOLVED STAFF COMMENTS |
|----------|---------------------------|

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| ITEM 5. | OPERATING AND FINANCIAL REVIEW AND PROSPECTS |
|---------|----------------------------------------------|

----

|                 |   | Year ended December 31, |   |
|----------------------|--------|-------------------------|--------|
| Geographical Region: |   | 2016                    |   |   | 2015 |   |   | 2014 |   |
| United States        |   |                    | 89     | % |   |   | 86 | % |   |   | 73 | % |
| Germany              |   |                    | 11     | % |   |   | 14 | % |   |   | 27 | % |
| Total                |   |                    | 100    | % |   |   | 100 | % |   |   | 100 | % |

----

|  | § | Evogene: Our Evogene segment develops seed traits, ag-chemical products and ag-biological products to improve plant performance, utilizing our proprietary innovative technology platform. |
|--|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | § | Evofuel: Our Evofuel segment develops improved species of the castor bean plant to serve as a source of feedstock for biofuel and other industrial uses. |
|--|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------|

|                                                                       |   | Evogene        |    |   | Evofuel |   |   | Total  |   |
|----------------------------------------------------------------------------|--------|----------------|---------|--------|---------|--------|--------|--------|--------|
|                                                                       |   | (in thousands) |    |
| Year ended December 31, 2016                                               |   |           |    |   |    |   |   |   |   |
| Revenues                 |   | $              | 6,540   |   |    | $      | -      |   |   | $ | 6,540 |   |
| Operating loss           |   | $              | (20,168 | )      |    | $      | (921   | )      |   | $ | (21,089 | ) |
|                                                                       |   |           |    |   |    |   |   |   |   |   |   |   |
| Year ended December 31, 2015                                               |   |           |    |   |    |   |   |   |   |   |   |   |
| Revenues                 |   | $              | 11,129  |   |    | $      | -      |   |   | $ | 11,129 |   |
| Operating loss           |   | $              | (16,146 | )      |    | $      | (1,775 | )      |   | $ | (17,921 | ) |
|                                                                       |   |           |    |   |    |   |   |   |   |   |   |   |
| Year ended December 31, 2014                                               |   |           |    |   |    |   |   |   |   |   |   |   |
| Revenues                 |   | $              | 14,511  |   |    | $      | -      |   |   | $ | 14,511 |   |
| Operating loss           |   | $              | (13,078 | )      |    | $      | (2,178 | )      |   | $ | (15,256 | ) |

----

|                                                                                      |   | Year Ended December 31, |    |
|-------------------------------------------------------------------------------------------|--------|-------------------------|---------|
|                                                                                      |   | 2014                    |    |   | 2015 |   |   | 2016 |   |
|                                                                                      |   | Amount                  |    |   | % of Revenues |   |   | Amount |   |   | % of Revenues |   |   | Amount |   |   | % of Revenues |   |
|                                                                                      |   | (in thousands)          |    |
| Consolidated Statements of Comprehensive loss:                                            |   |                    |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                                                                                      |   |                    |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Total Revenues                                                                            |   | $                       | 14,511  |   |   |   | 100 | % |   | $ | 11,129 |   |   |   | 100 | % |   | $ | 6,540 |   |   |   | 100 | % |
| Cost of revenues                        |   |                    | 9,709   |   |   |   | 66.9 |   |   |   | 8,255 |   |   |   | 74.2 |   |   |   | 5,639 |   |   |   | 86.2 |   |
| Gross profit                            |   |                    | 4,802   |   |   |   | 33.1 |   |   |   | 2,874 |   |   |   | 25.8 |   |   |   | 901 |   |   |   | 13.8 |   |
| Operating Expenses:                                                                       |   |                    |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Research and development, net           |   |                    | 14,022  |   |   |   | 96.6 |   |   |   | 14,449 |   |   |   | 129.8 |   |   |   | 16,405 |   |   |   | 250.8 |   |
| Business development                    |   |                    | 1,851   |   |   |   | 12.8 |   |   |   | 1,964 |   |   |   | 17.6 |   |   |   | 1,696 |   |   |   | 25.9 |   |
| General and administrative              |   |                    | 4,185   |   |   |   | 28.8 |   |   |   | 4,382 |   |   |   | 39.4 |   |   |   | 3,889 |   |   |   | 59.5 |   |
| Total operating expenses                |   |                    | 20,058  |   |   |   | 138.2 |   |   |   | 20,795 |   |   |   | 186.9 |   |   |   | 21,990 |   |   |   | 336.2 |   |
| Operating loss                          |   |                    | (15,256 | ) |   |   | (105.1 | ) |   |   | (17,921 | ) |   |   | (161.0 | ) |   |   | (21,089 | ) |   |   | (322.5 | ) |
| Financing income                                                                          |   |                    | 2,242   |   |   |   | 15.5 |   |   |   | 2,571 |   |   |   | 23.1 |   |   |   | 2,424 |   |   |   | 37.1 |   |
| Financing expenses                      |   |                    | (1,516  | ) |   |   | (10.4 | ) |   |   | (1,863 | ) |   |   | (16.7 | ) |   |   | (891 | ) |   |   | (13.6 | ) |
| Loss before taxes on income                                                               |   |                    | (14,530 | ) |   |   | (100.1 | ) |   |   | (17,213 | ) |   |   | (154.7 | ) |   |   | (19,556 | ) |   |   | (299.0 | ) |
| Taxes on income                                                                           |   |                    | -       |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | 36 |   |   |   | 0.6 |   |
| Net loss                                |   |                    | (14,530 | ) |   |   | (100.1 | ) |   |   | (17,213 | ) |   |   | (154.7 | ) |   |   | (19,592 | ) |   |   | (299.6 | ) |
| Other comprehensive income (loss):                                                        |   |                    |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Loss from cash flow hedges                                                                |   |                    | (222    | ) |   |   | (1.5 | ) |   |   | (45 | ) |   |   | (0.4 | ) |   |   | - |   |   |   | - |   |
| Amounts transferred to the statement of profit or loss for cash flow hedges               |   |                    | -       |   |   |   | - |   |   |   | 267 |   |   |   | 2.4 |   |   |   | - |   |   |   | - |   |
| Total comprehensive loss                |   | $                       | (14,752 | ) |   |   | (101.7 | )% |   | $ | (16,991 | ) |   |   | (152.7 | )% |   | $ | (19,592 | ) |   |   | (299.6 | )% |

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|  | § | amortization over an eight-year period of the cost of purchased know-how and patents and rights to use a patent and know-how which are used for the development or advancement of the Industrial Enterprise, commencing in the year in which such rights were first exercised; |
|--|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | § | under limited conditions, an election to file consolidated tax returns together with Israeli Industrial Companies controlled by it; and |
|--|--------|-----------------------------------------------------------------------------------------------------------------------------------------|

|  | § | expenses related to a public offering are deductible in equal amounts over a three-year period, commencing in the year of the offering. |
|--|--------|-----------------------------------------------------------------------------------------------------------------------------------------|

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|                                                                                                            |   | Year Ended December 31, |    |
|-----------------------------------------------------------------------------------------------------------------|--------|-------------------------|---------|
|                                                                                                            |   | 2014                    |    |   | 2015 |   |   | 2016 |   |
|                                                                                                            |   | (in thousands)          |    |
| Net cash used in operating activities                         |   | $                       | (8,895  | ) |   | $ | (12,407 | ) |   | $ | (11,693 | ) |
| Net cash provided by (used in) investing activities           |   |                    | (84,030 | ) |   |   | 17,387 |   |   |   | 4,028 |   |
| Net cash provided by financing activities                     |   |                    | 2,666   |   |   |   | 45 |   |   |   | 655 |   |
| Exchange rate differences - cash and cash equivalents                                                           |   |                    | 18      |   |   |   | (17 | ) |   |   | 25 |   |
| Net increase (decrease) in cash and cash equivalents                                                            |   | $                       | (90,241 | ) |   | $ | 5,008 |   |   | $ | (6,985 | ) |

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|  | § | Our genomic database is structured as gene centric, linking all available data relevant to a gene in a single assembled database. It covers over 16 million genes from more than 200 plant species, and accounts for various data types, including phenotypic (i.e., data related to a plant’s observable characteristics, morphology, development and physiological properties) and genotypic (i.e., data from the molecular level, derived from DNA, RNA or other sources). During 2015 and 2016, we added genes from microbial sources to our genomic database, aiming at leveraging these novel genes for our insect and fungi resistance activity. Currently incorporating microbial genomics from public sources, we have over 42 million microbial genes in our database. To further broaden the scope of our microbial gene database to include novel genetic material, a pipeline for assembling gene models from samples containing bacterial populations, or metagenomics, was established.  During 2015 and 2016, using our metagenomics pipeline, we have unveiled millions of genes, some of which have never been observed to date, as well as a multitude of bacteria never previously cultured. Altogether, the genomic database, including both its plant genes and newly added microbial genes, is continuously expanded to support on-going activities, with accumulating, tailored data generated from our in-house field trials, as well as any newly available information from the public domain. |
|--|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | § | Our chemical database is structured as molecule centric, covering broad chemical collections, derived from publicly available sources of synthetic and natural chemistry. This database currently comprises over 150 million chemicals, integrating multiple layers of data describing the chemicals' properties. Focus is attributed to the chemicals' potential activity for agricultural usage as ag-chemicals. This database, along with its integration to our genomic database, serves our on-going ag-chemical activity, supporting our discovery of novel chemicals to potentially serve as herbicides. The chemical database will continue to expand with data generated from in-house dedicated experiments, as well as incorporation of available public data. |
|--|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|  | § | Microbial strain database – In 2016, we continued to develop a third database, which is structured as microbial strain centric. The database comprises data on microbial strains isolated from plant surroundings. We have already established a preliminary collection of several thousands of microbials, which have been isolated, and are undergoing initial characterization. This will serve our insect resistant activity, as well as potential other activities in the future. |
|--|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | § | Novel: Substantially all of the methodologies and tools utilized by our computational analysis platforms were developed in-house and are proprietary and unique in the industry. |
|--|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | § | Reliable: We apply our methodologies and statistical tools to meaningfully sort the data we receive and have quality assurance processes to ensure the reliability of the outputs we generate. |
|--|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | § | Flexible: Our computational analysis platforms are not restricted to a certain crop or trait, and thus permit us to continuously focus on new crops and traits and enter new fields in plant genomics that foster product innovation. |
|--|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | § | Learning: As we generate new information related to our discovery efforts and validation results, we incorporate novel insights in order to improve the performance of our computational analysis platforms and generate new computational solutions. We also continuously monitor and improve the performance of our existing tools and expand our capabilities. |
|--|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | § | Efficient: In our experience, in most cases, a period of only six to nine months is required to complete the discovery process for “key” genes or other DNA fragments. |
|--|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|  | § | PlaNet (Plant Network), which its 2.0 version was launched on March 2014, is aimed at improving trait efficacy when approaching complex traits, such as yield, by predicting appropriate combinations of the identified gene with additional genes, designed to jointly impact the trait when combined, and prioritize possible combinations with respect to their ability to improve a given trait; |
|--|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | § | PlaNet Next Generation, launched in January 2015, is a gene network based algorithm for the discovery of gene groups predicted to improve a given trait, aiming at predicting appropriate combinations of genes that will jointly impact the trait when combined. |
|--|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | § | GeneSpec (Gene Spectrum), which selects the preferred variants of a selected gene of interest for the crop of interest by identifying and classifying up to 1,000 possible variants per gene through the use of novel algorithms, according to sequence-function and other relationships; |
|--|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | § | RePack (Regulation Package), which predicts the regulation mode for the selected gene that will provide the optimal expression pattern, including predicting where in the plant the expression would be beneficial and where it would be undesired in respect of tissue, organ, timing, level of expression and other aspects that can impact trait efficacy; and |
|--|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | § | GeneDex (Gene Index), which predicts functional robustness of the selected gene across different genetic backgrounds and environmental conditions, providing multiple relative index scores for each gene predicting such gene’s contributions with respect to each trait of interest across different combinations of such variables. |
|--|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|                                                          |   | Less than 1 year          |   |   | 1-3 years |   |   | 3-5 years |   |   | More than 5 years |   |   | Total  |   |
|---------------------------------------------------------------|--------|---------------------------|--------|--------|-----------|--------|--------|-----------|--------|--------|-------------------|--------|--------|--------|--------|
|                                                          |   | (in thousands, unaudited) |   |
| Trade payables                                                |   | $                         | 1,330  |   |      | $      | -      |      |   | $      | -                 |   |   | $      | -      |   |   | $ | 1,330 |   |
| Other payables(1)                                             |   |                      | 2,803  |   |      |   | -      |      |   |   | -                 |   |   |   | -      |   |   |   | 2,803 |   |
| Liabilities in respect of government grants (undiscounted)(2) |   |                      | 179    |   |      |   | 1,225  |      |   |   | 1,079             |   |   |   | 1,576  |   |   |   | 4,059 |   |
| Non-cancellable operating leases(3)                           |   |                      | 876    |   |      |   | 1,079  |      |   |   | 553               |   |   |   | -      |   |   |   | 2,508 |   |
| Total                                                         |   | $                         | 5,188  |   |      | $      | 2,304  |      |   | $      | 1,632             |   |   | $      | 1,576  |   |   | $ | 10,700 |   |

|  | (1) | Consists of liabilities to employees for salaries and payroll accruals, liabilities to government authorities and accrued expenses. |
|--|-----|-------------------------------------------------------------------------------------------------------------------------------------|

|  | (2) | Consists of the projected repayments of government grants that partly fund our research and development activities. |
|--|-----|---------------------------------------------------------------------------------------------------------------------|

|  | (3) | Consists of non-cancellable operating leases of our offices, laboratory facilities, greenhouses and motor vehicles. |
|--|-----|---------------------------------------------------------------------------------------------------------------------|

| ITEM 6. | DIRECTORS, SENIOR MANAGEMENT AND EMPLOYEES |
|---------|--------------------------------------------|

| Name                                       |   | Age    |   | Position                                                        |
|--------------------------------------------|--------|--------|--------|-----------------------------------------------------------------|
| Executive officers                         |   |   |   |                                                            |
| Ofer Haviv                                 |   | 50     |   | President and Chief Executive Officer                           |
| Yuval Ben-Galim                            |   | 44     |   | Chief Operations Officer                                        |
| Ido Dor                                    |   | 41     |   | Executive Vice President & General Manager Crop Enhancement |
| Dr. Hagai Karchi                      |   | 55     |   | Chief Technology Officer & Head of R&D Crop Enhancement |
| Eran Kosover                               |   | 40     |   | Executive Vice President & General Manager Crop Protection  |
| Alex Taskar                                |   | 51     |   | Chief Financial Officer                                         |
|                                       |   |   |   |                                                            |
| Directors                                  |   |   |   |                                                            |
| Martin S. Gerstel(3)(4)                    |   | 75     |   | Chairman of the Board                                           |
| Sarit Firon(1)(2)(4)                       |   | 50     |   | Director                                                        |
| Ziv Kop(1)(3)(4)                           |   | 45     |   | Director                                                        |
| Dr. Adina Makover(2)(4)               |   | 64     |   | Director                                                        |
| Leon Y. Recanati(3)(4)                |   | 67     |   | Director                                                        |
| Dr. Kinneret Livnat Savitsky(1)(2)(3) |   | 49     |   | Director                                                        |

|  | (1) | Member of our Audit Committee. |
|--|-----|--------------------------------|

|  | (2) | Member of our Compensation and Nominating Committee. |
|--|-----|------------------------------------------------------|

|  | (3) | Member of our Corporate Development Committee. |
|--|-----|------------------------------------------------|

|  | (4) | Independent director under the Nasdaq Listing Rules. |
|--|-----|------------------------------------------------------|

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|                                                                             |   | (in thousands, US$)(1)      |   |
|----------------------------------------------------------------------------------|--------|-----------------------------|--------|
| Name and Position                                                                |   | Salary and related benefits |   |   | Bonus(2) |   |   | Value of Options Granted(3) |   |   | Total |   |
| Ofer HavivPresident and Chief Executive Officer                                  |   |                        | 312    |   |   |   | - |   |   |   | 336 |   |   |   | 648 |   |
| Eyal LeibovitzFormer Chief Financial Officer                                     |   |                        | 196    |   |   |   | - |   |   |   | 167 |   |   |   | 363 |   |
| Eyal EmmanuelFormer Chief Scientific Officer and Head of R&D Crop Protection |   |                        | 199    |   |   |   | - |   |   |   | 152 |   |   |   | 351 |   |
| Eran KosoverEVP & General Manager Crop Protection                            |   |                        | 191    |   |   |   | - |   |   |   | 154 |   |   |   | 345 |   |
| Ido DorEVP & General Manager Crop Enhancement                                |   |                        | 186    |   |   |   | - |   |   |   | 146 |   |   |   | 332 |   |

|  | (1) | All amounts reported in the table are in terms of cost to the Company, as recorded in our financial statements. |
|--|-----|-----------------------------------------------------------------------------------------------------------------|

|  | (2) | The executive management has waived its annual bonus for 2016. |
|--|-----|----------------------------------------------------------------|

|  | (3) | Consists of amounts recognized as non-cash expenses in our comprehensive statement of income for the year ended December 31, 2016 (“Share based-compensation” expenses). |
|--|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|  | § | Annual fees in the amount of approximately $22,300 for directors not classified as experts and approximately $29,700 for directors classified as experts; |
|--|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | § | Per-meeting fees in the amount of approximately $860 for directors not classified as experts and approximately $1,140 for directors classified as experts; 60% of such amounts for participation in meetings via phone and 50% of such amounts for resolutions adopted in writing. |
|--|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|  | § | such majority includes at least 2/3 of the shares held by all shareholders who are not controlling shareholders and do not have a personal interest in such appointment, present and voting at such meeting; or |
|--|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | § | the total number of shares of non-controlling shareholders who do not have a personal interest in such appointment voting against such appointment does not exceed two percent of the aggregate voting rights in the company. |
|--|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|  | § | retaining and terminating the services of our independent auditors, subject to the approval of the board of directors and shareholders; |
|--|--------|-----------------------------------------------------------------------------------------------------------------------------------------|

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|  | § | pre-approval of audit and non-audit services to be provided by the independent auditors; |
|--|--------|------------------------------------------------------------------------------------------|

|  | § | reviewing with management and our independent directors our financial reports prior to their submission to the SEC; and |
|--|--------|-------------------------------------------------------------------------------------------------------------------------|

|  | § | approval of certain transactions with office holders and other related-party transactions. |
|--|--------|--------------------------------------------------------------------------------------------|

|  | § | reviewing and recommending an overall compensation policy with respect to our Chief Executive Officer and other executive officers, as described below under “—Compensation Policy”; |
|--|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | § | reviewing and approving corporate goals and objectives relevant to the compensation of our Chief Executive Officer and other executive officers, including evaluating their performance in light of such goals and objectives; |
|--|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | § | reviewing and approving the granting of options and other incentive awards; |
|--|--------|-----------------------------------------------------------------------------|

|  | § | reviewing, evaluating and making recommendations regarding the compensation and benefits for our non-employee directors; and |
|--|--------|------------------------------------------------------------------------------------------------------------------------------|

|  | § | advising our board of directors in selecting individuals who are best able to fulfill the responsibilities of a director or executive officer of our company. |
|--|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|  | § | at least a majority of the voting rights in the company held by shareholders who have no personal interest in the transaction or arrangement and who are present and voting (in person or by proxy) at the general meeting, must be voted in favor of approving the transaction or arrangement (for this purpose, abstentions are disregarded); or |
|--|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | § | the voting rights held by shareholders who have no personal interest in the transaction or arrangement and who are present and voting (in person or by proxy) at the general meeting, and who vote against the transaction, do not exceed two percent of the voting rights in the company. |
|--|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | § | an amendment to the company’s articles of association; |
|--|--------|--------------------------------------------------------------|

|  | § | an increase of the company’s authorized share capital; |
|--|--------|--------------------------------------------------------------|

|  | § | a merger; or |
|--|--------|--------------|

|  | § | interested party transactions that require shareholder approval. |
|--|--------|------------------------------------------------------------------|

|  | § | the securities issued amount to 20% or more of the company’s outstanding voting rights before the issuance; |
|--|--------|-------------------------------------------------------------------------------------------------------------------|

|  | § | some or all of the consideration is other than cash or listed securities or the transaction is not on market terms; and |
|--|--------|-------------------------------------------------------------------------------------------------------------------------|

|  | § | the transaction will increase the relative holdings of a shareholder who holds 5% or more of the company’s outstanding share capital or voting rights or that will cause any person to become, as a result of the issuance, a holder of more than 5% of the company’s outstanding share capital or voting rights. |
|--|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|  | § | financial liability imposed on him or her in favor of another person pursuant to a judgment, settlement or arbitrator’s award approved by a court. However, if an undertaking to indemnify an office holder with respect to such liability is provided in advance, then such an undertaking must be limited to events which, in the opinion of the board of directors, can be foreseen based on the company’s activities when the undertaking to indemnify is given, and to an amount or according to criteria determined by the board of directors as reasonable under the circumstances, and such undertaking shall detail the abovementioned events and amount or criteria; |
|--|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | § | reasonable litigation expenses, including attorneys’ fees, incurred by the office holder as a result of an investigation or proceeding instituted against him or her by an authority authorized to conduct such investigation or proceeding, provided that (i) no indictment was filed against such office holder as a result of such investigation or proceeding; and (ii) no financial liability, such as a criminal penalty, was imposed upon him or her as a substitute for the criminal proceeding as a result of such investigation or proceeding or, if such financial liability was imposed, it was imposed with respect to an offense that does not require proof of criminal intent; and |
|--|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | § | reasonable litigation expenses, including attorneys’ fees, incurred by the office holder or imposed by a court in proceedings instituted against him or her by the company, on its behalf or by a third party or in connection with criminal proceedings in which the office holder was acquitted or as a result of a conviction for an offense that does not require proof of criminal intent. |
|--|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | § | a breach of the duty of loyalty to the company, to the extent that the office holder acted in good faith and had a reasonable basis to believe that the act would not prejudice the company; |
|--|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | § | a breach of the duty of care to the company or to a third party, including a breach arising out of the negligent conduct of the office holder; |
|--|--------|------------------------------------------------------------------------------------------------------------------------------------------------|

|  | § | a financial liability imposed on the office holder in favor of a third party; |
|--|--------|-------------------------------------------------------------------------------|

|  | § | a financial liability imposed on the office holder in favor of a third party harmed by a breach in an administrative proceeding; and |
|--|--------|--------------------------------------------------------------------------------------------------------------------------------------|

|  | § | reasonable litigation expenses, including attorneys’ fees, incurred by the office holder as a result of an administrative proceeding instituted against him or her. |
|--|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | § | An Israeli company may not indemnify or insure an office holder against any of the following: |
|--|--------|-----------------------------------------------------------------------------------------------|

|  | § | a breach of the duty of loyalty, except to the extent that the office holder acted in good faith and had a reasonable basis to believe that the act would not prejudice the company; |
|--|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | § | a breach of the duty of care committed intentionally or recklessly, excluding a breach arising out of the negligent conduct of the office holder; |
|--|--------|---------------------------------------------------------------------------------------------------------------------------------------------------|

|  | § | an act or omission committed with intent to derive illegal personal benefit; or |
|--|--------|---------------------------------------------------------------------------------|

|  | § | a fine or forfeit levied against the office holder. |
|--|--------|-----------------------------------------------------|

----

|                            |   | As of December 31, 2016 |   |
|----------------------------|--------|-------------------------|--------|
| Department                 |   | Evogene Ltd.(Israel)    |   |   | Evogene Inc.(U.S.) |   |   | Total |   |
| Executive Management       |   |                    | 5      |   |   |   | - |   |   |   | 5 |   |
| Crop Enhancement           |   |                    | 25     |   |   |   | - |   |   |   | 25 |   |
| Crop Protection            |   |                    | 20     |   |   |   | 10 |   |   |   | 30 |   |
| Evofuel                    |   |                    | 3      |   |   |   | - |   |   |   | 3 |   |
| Technology Platform        |   |                    | 95     |   |   |   | - |   |   |   | 95 |   |
| General and administrative |   |                    | 27     |   |   |   | - |   |   |   | 27 |   |
| Total                      |   |                    | 175    |   |   |   | 10 |   |   |   | 185 |   |

----

| ITEM 7. | MAJOR SHAREHOLDERS AND RELATED PARTY TRANSACTIONS |
|---------|---------------------------------------------------|

|  | § | each person or entity known by us to own beneficially more than 5% of our outstanding shares; |
|--|--------|-----------------------------------------------------------------------------------------------|

|  | § | each of our directors and executive officers individually; and |
|--|--------|----------------------------------------------------------------|

|  | § | all of our executive officers and directors as a group. |
|--|--------|---------------------------------------------------------|

|                                                                                         |   | Shares Beneficially Held |      |
|-----------------------------------------------------------------------------------------|--------|--------------------------|-----------|
| Name of Beneficial Owner                                                                |   | Number                   |      |   | Percentage of Class |   |
| Principal Shareholders                                                                  |   |                     |      |   |   |   |
| Entities affiliated with Waddell & Reed Financial, Inc. (1)                         |   |                     | 3,057,294 |   |   |   | 11.9 | % |
| Entities affiliated with Migdal Insurance & Financial Holdings Ltd. (2)             |   |                     | 1,957,390 |   |   |   | 7.6 | % |
| Monsanto Company (3)                                                                    |   |                     | 1,636,364 |   |   |   | 6.4 | % |
| Entities affiliated with Psagot Investment House Ltd. (4)                               |   |                     | 1,557,611 |   |   |   | 6.1 | % |
| Entities affiliated with Harel Insurance, Investments & Financial Services Ltd. (5) |   |                     | 1,299,406 |   |   |   | 5.1 | % |
| Entities affiliates with The Phoenix Holding Ltd. (6)                                   |   |                     | 1,296,561 |   |   |   | 5.1 | % |
|                                                                                    |   |                     |      |   |   |   |   |   |
| Executive Officers and Directors                                                        |   |                     |      |   |   |   |   |   |
| Ofer Haviv                                                                              |   |                     | 647,188   | (7) |   |   | 2.5 | % |
| Yuval Ben Galim                                                                         |   |                     | -         |   |   |   | * |   |
| Ido Dor                                                                                 |   |                     | 87,463    | (8) |   |   | * |   |
| Dr. Hagai Karchi                                                                        |   |                     | 419,375   | (9) |   |   | 1.6 | % |
| Eran Kosover                                                                            |   |                     | 69,991    | (10) |   |   | * |   |
| Alex Taskar                                                                             |   |                     | -         |   |   |   | * |   |
| Martin S. Gerstel                                                                       |   |                     | 419,006   | (11) |   |   | 1.6 | % |
| Sarit Firon                                                                             |   |                     | 1,875     | (12) |   |   | * |   |
| Ziv Kop                                                                                 |   |                     | 8,125     | (13) |   |   | * |   |
| Dr. Adina Makover                                                                       |   |                     | 15,317    | (14) |   |   | * |   |
| Leon Y. Recanati                                                                        |   |                     | 866,359   | (15) |   |   | 3.4 | % |
| Dr. Kinneret Livnat Savitsky                                                            |   |                     | 15,000    | (16) |   |   | * |   |
| All directors and executive officers as a group (12 persons)                            |   |                     | 2,549,699 |   |   |   | 9.5 | % |

|  |  * | Less than 1%. |
|--|---------|---------------|

----

|  | (1) | This information is based upon a Schedule 13G/A filed jointly with the SEC on February 14, 2017 by (i) Waddell & Reed Financial, Inc., or WRF; (ii) Waddell & Reed Financial Services, Inc., or WRFSI, a subsidiary of WRF; (iii) Waddell & Reed Inc., or WRI, a broker-dealer and subsidiary of WRFSI; (iv) Waddell & Reed Investment Management Company, or WRIMCO, an investment advisory subsidiary of WRI; and (v) Ivy Investment Management Company, or IICO, an investment advisory subsidiary of WRF. According to this Schedule 13G/A, the investment advisory contracts grant IICO and WRIMCO investment power over securities owned by their advisory clients and the investment sub-advisory contracts grant IICO and WRIMCO investment power over securities owned by their sub-advisory clients and, in most cases, voting power. Any investment restriction of a sub-advisory contract does not restrict investment discretion or power in a material manner. Therefore, IICO and/or WRIMCO may be deemed the beneficial owner of the securities under Rule 13d-3 under the Exchange Act. These ordinary shares are held according to the following segmentation with direct or indirect voting and dispositive power as indicated: WRF: 3,057,294 (indirect); WRFSI: 1,155,062 (indirect); WRI: 1,155,062 (indirect); WRIMCO: 1,155,062 (direct); and IICO: 1,902,232 (direct). The principal address for these entities is 6300 Lamar Avenue, Overland Park, KS 66202. |
|--|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | (2) | This information is based upon a Schedule 13G filed by Migdal Insurance & Financial Holdings Ltd., or "Migdal", with the SEC on January 30, 2017. According to this Schedule 13G, 1,957,390 ordinary shares are held for members of the public through, among others, provident funds, mutual funds, pension funds and insurance policies, which are managed by subsidiaries of Migdal, according to the following segmentation: (i) 1,113,585 ordinary shares are held by Profit participating life assurance accounts; (ii) 761,999 ordinary shares are held by Provident funds and companies that manage provident funds and (iii) 81,806 ordinary shares are held by companies for the management of funds for joint investments in trusteeship, each of which subsidiaries operates under independent management and makes independent voting and investment decisions. The principal address of Migdal is 4 Efal Street; P.O. Box 3063; Petach Tikva 49512, Israel. |
|--|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | (3) | This information is based upon a Schedule 13G/A filed by Monsanto Company with the SEC on February 12, 2016. Monsanto Company is a Delaware corporation and is listed on the NYSE and possesses voting and dispositive investment power over these ordinary shares. The principal address for Monsanto Company is 800 North Lindbergh Boulevard, St. Louis, Missouri 63167, USA. |
|--|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | (4) | This information is based upon a Schedule 13G/A filed by Psagot Investment House Ltd. with the SEC on February 15 2017. These ordinary shares are held for members of the public through, among others, portfolio accounts managed by Psagot Securities Ltd., Psagot Exchange Traded Notes Ltd., mutual funds managed by Psagot Mutual Funds Ltd., and provident funds and pension funds managed by Psagot Provident Funds and Pension Ltd., according to the following segmentation: (i) 18,757 ordinary shares beneficially owned by portfolio accounts managed by Psagot Securities Ltd.; (ii) 469,248 ordinary shares beneficially owned by Psagot Exchange Traded Notes Ltd.; (iii) 141,369 ordinary shares beneficially owned by mutual funds managed by Psagot Mutual Funds Ltd. (of this amount, 10,300 ordinary shares may also be considered beneficially owned by Psagot Securities Ltd., but are not included in the shares beneficially owned by Psagot Securities Ltd.); and (iv) 928,238 ordinary shares beneficially owned by provident funds managed by Psagot Provident Funds and Pension Ltd. Each of the foregoing companies is a wholly-owned subsidiary of Psagot Investment House Ltd. The subsidiaries operate under independent management and make their own independent voting and investment decisions. Any economic interest or beneficial ownership in any of the securities covered by this report is held for the benefit of owners of the portfolio accounts, holders of the exchange-traded notes, or for the benefit of the members of the mutual funds, provident funds, or pension funds, as the case may be. The principal address of Psagot Investment House Ltd. is 14 Ahad Ha’am Street, Tel Aviv 65142, Israel. |
|--|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | (5) | This information is based upon a Schedule 13G/A filed by Harel Insurance Investments & Financial Services Ltd., or “Harel”, with the SEC on January 31, 2017. According to this Schedule 13G/A (i) 1,297,276 ordinary shares are held for members of the public through, among others, provident funds, mutual funds, pension funds and insurance policies, which are managed by subsidiaries of Harel, (ii) 1,657 ordinary shares are held by third party client accounts managed by a subsidiary of Harel as portfolio managers, which subsidiary operates under independent management and makes independent investment decisions and has no voting power in the securities held in such client accounts, and (iii) 473 ordinary shares are beneficially held for Harel's own account (Nostro account). The principal address of Harel is Harel House, 3 Abba Hillel Street, Ramat Gan 52118, Israel. |
|--|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | (6) | This information is based upon a Schedule 13G filed with the SEC on June 9, 2015 jointly by (i) Itzhak Sharon (Tshuva); (ii) Delek Group Ltd. and (iii) The Phoneix Holding Ltd. According to this Schedule 13G, 1,296,561 ordinary shares are held by various direct or indirect, majority or wholly-owned subsidiaries of the Phoneix Holding Ltd. (the “Subsidiaries”). The Subsidiaries manage their own funds and/or the funds of others, including for holders of exchange-traded notes or various insurance policies, members of pension or provident funds, unit holders of mutual funds, and portfolio management clients. Each of the Subsidiaries operates under independent management and makes its own independent voting and investment decisions. The Phoenix Holding Ltd. is a majority-owned subsidiary of Delek Group Ltd. The majority of Delek Ltd.’s outstanding share capital and voting rights are owned, directly and indirectly, by Itzhak Sharon (Tshuva) though private companies wholly-owned by him, and the remainder is held by the public. The principal address of the Phoenix Holding Ltd. is 53, Derech Hashalom, Givataim, 53454, Israel.  The address of Itzhak Sharon (Tshuva) and Delek Investments and Properties Ltd. is 7, Giborei Israel Street, P.O.B 8464, Netanya, 42504, Israel. |
|--|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|  | (7) | Consists of 647,188 ordinary shares issuable upon exercise of options that are currently exercisable or exercisable within 60 days of April 25, 2017, of which, options to purchase 150,000 ordinary shares expire on August 24, 2019, options to purchase 200,000 ordinary shares expire on June 19, 2020, options to purchase 201,563 ordinary shares expire on July 17, 2023 and options to purchase 95,625 ordinary shares expire on March 22, 2025. The weighted average exercise price of these options is NIS 35.57. |
|--|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | (8) | Consists of 87,463 ordinary shares issuable upon exercise of options that are currently exercisable or exercisable within 60 days of April 25, 2017. The weighted average exercise price of these options is NIS 35.43. |
|--|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | (9) | Consists of 329,375 ordinary shares issuable upon exercise of options that are currently exercisable or exercisable within 60 days of April 25, 2017, of which, options to purchase 60,000 ordinary shares expire on August 24, 2019, options to purchase 125,000 ordinary shares expire on June 19, 2020, options to purchase 93,750 ordinary shares expire on July 15, 2023, and options to purchase 50,625 ordinary shares expire on March 22, 2025. The weighted average exercise price of these options is NIS 34.17.  Also includes 90,000 ordinary shares held by Dr. Karchi. |
|--|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | (10) | Consists of 69,991 ordinary shares issuable upon exercise of options that are currently exercisable or exercisable within 60 days of April 25, 2017. The weighted average exercise price of these options is NIS 44.07. |
|--|------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | (11) | Includes 70,000 ordinary shares issuable upon exercise of options that are currently exercisable or exercisable within 60 days of April 25, 2017, of which, options to purchase 37,500 ordinary shares expire on June 11, 2017, options to purchase 7,500 ordinary shares expire on July 20, 2018, options to purchase 5,000 ordinary shares expire on April 9, 2020, options to purchase 5,000 ordinary shares expire on June 11, 2020, options to purchase 5,000 ordinary shares expire on September 17, 2021, options to purchase 5,000 ordinary shares expire on June 11, 2022, and options to purchase 5,000 ordinary shares expire on September 15, 2023. The weighted average exercise price of these options is NIS 18.42. Also includes 349,006 ordinary shares consisting of: (a) 133,815 ordinary shares held by Martin Gerstel and (b) 215,191 ordinary shares held by Shomar Corporation over which Martin Gerstel and his wife Mrs. Shoshana Gerstel possess voting and investment power. |
|--|------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | (12) | Consists of 1,875 ordinary shares issuable upon exercise of options that are currently exercisable or exercisable within 60 days of April 25, 2017. The weighted average exercise price of these options is NIS 26.89. |
|--|------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | (13) | Consists of 8,125 ordinary shares issuable upon exercise of options that are currently exercisable or exercisable within 60 days of April 25, 2017. The weighted average exercise price of these options is NIS 71.05. |
|--|------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | (14) | Includes 15,000 ordinary shares issuable upon exercise of options that are currently exercisable or exercisable within 60 days of April 25, 2017. The weighted average exercise price of these options is NIS 29.43. Also includes 317 ordinary shares held by Dr. Makover. |
|--|------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | (15) | Includes 838,859 ordinary shares held by Mr. Recanati. Also includes 27,500 ordinary shares issuable upon exercise of options that are currently exercisable or exercisable within 60 days of April 25, 2017, of which, options to purchase 12,500 ordinary shares expire on June 11, 2017, options to purchase 2,500 ordinary shares expire on July 20, 2018, options to purchase 2,500 ordinary shares expire on April 9, 2020, options to purchase 2,500 ordinary shares expire on June 11, 2020, options to purchase 2,500 ordinary shares expire on September 17, 2021, options to purchase 2,500 ordinary shares expire on June 11, 2022, and options to purchase 2,500 ordinary shares expire on September 15, 2023. The weighted average exercise price of these options is NIS 20.57. |
|--|------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | (16) | Consists of 15,000 ordinary shares issuable upon exercise of options that are currently exercisable or exercisable within 60 days of April 25, 2017. The weighted average exercise price of these options is NIS 31.54. |
|--|------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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| ITEM 8. | FINANCIAL INFORMATION |
|---------|-----------------------|

----

| ITEM 9. | THE OFFER AND LISTING |
|---------|-----------------------|

|                        |   | Tel Aviv Stock Exchange  |   |   | NYSE / Nasdaq            |   |
|-----------------------------|--------|--------------------------|--------|--------|--------------------------|--------|
|                        |   | NIS                      |   |   | U.S.$                    |   |   | U.S.$ |   |
|                        |   | Price Per Ordinary Share |   |   | Price Per Ordinary Share |   |   | Price Per Ordinary Share |   |
|                        |   | High                     |   |   | Low                      |   |   | High |   |   | Low |   |   | High |   |   | Low |   |
| Annual:                     |   |                     |   |   |                     |   |   |   |   |   |   |   |   |   |   |   |   |   |
| 2017 (up to April 25, 2017) |   |                     | 21.18  |   |                     |   | 18.49 |   |   |   | 5.54 |   |   |   | 5.03 |   |   |   | 5.53 |   |   |   | 4.95 |   |
| 2016                        |   |                     | 32.72  |   |                     |   | 19.60 |   |   |   | 8.30 |   |   |   | 5.08 |   |   |   | 8.42 |   |   |   | 5.10 |   |
| 2015                        |   |                     | 41.17  |   |                     |   | 24.90 |   |   |   | 10.45 |   |   |   | 6.42 |   |   |   | 10.42 |   |   |   | 6.50 |   |
| 2014                        |   |                     | 69.82  |   |                     |   | 34.12 |   |   |   | 20.10 |   |   |   | 8.81 |   |   |   | 19.91 |   |   |   | 8.74 |   |
| 2013                        |   |                     | 68.80  |   |                     |   | 36.34 |   |   |   | 19.62 |   |   |   | 9.73 |   |   |   | 19.99 |   |   |   | 16.74 |   |
| 2012                        |   |                     | 39.00  |   |                     |   | 29.58 |   |   |   | 10.31 |   |   |   | 7.43 |   |   |   | — |   |   |   | — |   |
| Quarterly:                  |   |                     |   |   |                     |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| First Quarter 2017          |   |                     | 21.18  |   |                     |   | 18.49 |   |   |   | 5.54 |   |   |   | 5.03 |   |   |   | 5.53 |   |   |   | 4.95 |   |
| Fourth Quarter 2016         |   |                     | 24.46  |   |                     |   | 19.60 |   |   |   | 6.45 |   |   |   | 5.17 |   |   |   | 6.45 |   |   |   | 5.10 |   |
| Third Quarter 2016          |   |                     | 26.57  |   |                     |   | 23.49 |   |   |   | 6.95 |   |   |   | 6.26 |   |   |   | 6.99 |   |   |   | 6.10 |   |
| Second Quarter 2016         |   |                     | 29.76  |   |                     |   | 23.50 |   |   |   | 7.86 |   |   |   | 6.05 |   |   |   | 8.06 |   |   |   | 6.08 |   |
| First Quarter 2016          |   |                     | 32.72  |   |                     |   | 23.48 |   |   |   | 8.30 |   |   |   | 6.04 |   |   |   | 8.42 |   |   |   | 5.95 |   |
| Fourth Quarter 2015         |   |                     | 33.62  |   |                     |   | 24.90 |   |   |   | 8.66 |   |   |   | 6.42 |   |   |   | 9.04 |   |   |   | 6.50 |   |
| Third Quarter 2015          |   |                     | 35.90  |   |                     |   | 30.91 |   |   |   | 9.38 |   |   |   | 7.97 |   |   |   | 9.34 |   |   |   | 8.17 |   |
| Second Quarter 2015         |   |                     | 40.07  |   |                     |   | 33.15 |   |   |   | 10.15 |   |   |   | 8.72 |   |   |   | 10.26 |   |   |   | 8.70 |   |
| First Quarter 2015          |   |                     | 41.17  |   |                     |   | 32.49 |   |   |   | 10.45 |   |   |   | 8.28 |   |   |   | 10.42 |   |   |   | 8.20 |   |
| Most Recent Six Months:     |   |                     |   |   |                     |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| March 2017                  |   |                     | 19.31  |   |                     |   | 18.49 |   |   |   | 5.34 |   |   |   | 5.03 |   |   |   | 5.39 |   |   |   | 5.01 |   |
| February 2017               |   |                     | 20.35  |   |                     |   | 18.83 |   |   |   | 5.43 |   |   |   | 5.01 |   |   |   | 5.46 |   |   |   | 4.95 |   |
| January 2017                |   |                     | 21.18  |   |                     |   | 18.84 |   |   |   | 5.54 |   |   |   | 5.00 |   |   |   | 5.53 |   |   |   | 5.53 |   |
| December 2016               |   |                     | 20.76  |   |                     |   | 19.60 |   |   |   | 5.42 |   |   |   | 5.08 |   |   |   | 5.38 |   |   |   | 5.10 |   |
| November 2016               |   |                     | 22.71  |   |                     |   | 20.85 |   |   |   | 5.95 |   |   |   | 5.43 |   |   |   | 6.04 |   |   |   | 5.57 |   |
| October 2016                |   |                     | 24.46  |   |                     |   | 22.85 |   |   |   | 6.45 |   |   |   | 5.94 |   |   |   | 6.45 |   |   |   | 6.01 |   |

----

| ITEM 10. | ADDITIONAL INFORMATION |
|----------|------------------------|

----

----

----

----

----

----

|  | § | banks, financial institutions or insurance companies; |
|--|--------|-------------------------------------------------------|

|  | § | real estate investment trusts, regulated investment companies or grantor trusts; |
|--|--------|----------------------------------------------------------------------------------|

|  | § | dealers or traders in securities, commodities or currencies; |
|--|--------|--------------------------------------------------------------|

|  | § | tax-exempt entities; |
|--|--------|----------------------|

|  | § | certain former citizens or long-term residents of the United States; |
|--|--------|----------------------------------------------------------------------|

|  | § | persons that received our shares as compensation for the performance of services; |
|--|--------|-----------------------------------------------------------------------------------|

|  | § | persons that will hold our shares as part of a “hedging,” “integrated” or “conversion” transaction or as a position in a “straddle” for United States federal income tax purposes; |
|--|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | § | partnerships (including entities classified as partnerships for United States federal income tax purposes) or other pass-through entities, or holders that will hold our shares through such an entity; |
|--|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | § | U.S. Holders (as defined below) whose “functional currency” is not the U.S. dollar; or |
|--|--------|----------------------------------------------------------------------------------------------------|

|  | § | holders that own directly, indirectly or through attribution 10.0% or more of the voting power or value of our shares. |
|--|--------|------------------------------------------------------------------------------------------------------------------------|

----

|  | § | a citizen or resident of the United States; |
|--|--------|---------------------------------------------|

|  | § | a corporation (or other entity treated as a corporation for United States federal income tax purposes) created or organized in or under the laws of the United States or any state thereof, including the District of Columbia; |
|--|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | § | an estate the income of which is subject to United States federal income taxation regardless of its source; or |
|--|--------|----------------------------------------------------------------------------------------------------------------|

|  | § | a trust if such trust has validly elected to be treated as a United States person for United States federal income tax purposes or if (1) a court within the United States is able to exercise primary supervision over its administration and (2) one or more United States persons have the authority to control all of the substantial decisions of such trust. |
|--|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|  | § | at least 75% of its gross income is “passive income”; or |
|--|--------|----------------------------------------------------------------------|

|  | § | at least 50% of the average quarterly value of its gross assets (which may be determined in part by the market value of our ordinary shares, which is subject to change) is attributable to assets that produce “passive income” or are held for the production of passive income. |
|--|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

----

----

| ITEM 11. | QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK |
|----------|------------------------------------------------------------|

----

| Period |   | Depreciation (Appreciation) of the NIS against the U.S. dollar (%) Based on Average of Daily Exchange Rates Throughout Year Compared to Previous Year |   |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------|--------|
| 2016   |   |                                                                                                                                                  | (1.1   | ) |
| 2015   |   |                                                                                                                                                  | 8.6    |   |
| 2014   |   |                                                                                                                                                  | (0.9   | ) |
| 2013   |   |                                                                                                                                                  | (6.4   | ) |
| 2012   |   |                                                                                                                                                  | 7.8    |   |

| ITEM 12. | DESCRIPTION OF SECURITIES OTHER THAN EQUITY SECURITIES |
|----------|--------------------------------------------------------|

| ITEM 13. | DEFAULTS, DIVIDEND ARREARAGES AND DELINQUENCIES |
|----------|-------------------------------------------------|

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| ITEM 14. | MATERIAL MODIFICATIONS TO THE RIGHTS OF SECURITY HOLDERS AND USE OF PROCEEDS |
|----------|------------------------------------------------------------------------------|

| ITEM 15. | CONTROLS AND PROCEDURES |
|----------|-------------------------|

|  | (a) | Disclosure Controls and Procedures |
|--|-----|------------------------------------|

|  | (b) | Management’s Annual Report on Internal Control Over Financial Reporting |
|--|-----|-------------------------------------------------------------------------------|

|  | (c) | Attestation Report of Registered Public Accounting Firm |
|--|-----|---------------------------------------------------------|

----

|  | (d) | Changes in internal control over financial reporting |
|--|-----|------------------------------------------------------|

| ITEM 16. | [RESERVED] |
|----------|------------|

| ITEM 16A. | AUDIT COMMITTEE FINANCIAL EXPERT |
|-----------|----------------------------------|

| ITEM 16B. | CODE OF ETHICS |
|-----------|----------------|

| ITEM 16C. | PRINCIPAL ACCOUNTANT FEES AND SERVICES |
|-----------|----------------------------------------|

|               |   | 2016   |    |   | 2015   |   |
|--------------------|--------|--------|---------|--------|--------|--------|
| Audit Fees         |   | $      | 105,000 |   |   | $      | 120,000 |   |
| Audit-Related Fees |   |   | -       |   |   |   | - |   |
| Tax Fees           |   |   | 22,000  |   |   |   | 15,252 |   |
| Total              |   | $      | 127,000 |   |   | $      | 135,252 |   |

----

| ITEM 16D. | EXEMPTIONS FROM THE LISTING STANDARDS FOR AUDIT COMMITTEES |
|-----------|------------------------------------------------------------|

| ITEM 16E. | PURCHASES OF EQUITY SECURITIES BY THE ISSUER AND AFFILIATED PURCHASERS |
|-----------|------------------------------------------------------------------------|

| ITEM 16F. | CHANGE IN REGISTRANT’S CERTIFYING ACCOUNTANT |
|-----------|----------------------------------------------------|

| ITEM 16G. | CORPORATE GOVERNANCE |
|-----------|----------------------|

|  | o | certain issuances of shares in excess of 20% of the outstanding shares of the Company; |
|--|---|----------------------------------------------------------------------------------------|

|  | o | an issuance that will result in a change of control of our company; and |
|--|---|-------------------------------------------------------------------------|

|  | o | adoption of, or material changes to, our equity compensation plans. |
|--|---|---------------------------------------------------------------------|

| ITEM 16H. | MINE SAFETY DISCLOSURE |
|-----------|------------------------|

| ITEM 17. | FINANCIAL STATEMENTS |
|----------|----------------------|

| ITEM 18. | FINANCIAL STATEMENTS |
|----------|----------------------|

| ITEM 19. | EXHIBITS |
|----------|----------|

----

|                      |   | Evogene Ltd.                                                                          |
|----------------------|--------|---------------------------------------------------------------------------------------|
|                 |   |                                                                                       |
| Date: April 28, 2017 |   | By: /s/ Ofer HavivName: Ofer Haviv Title:  President and Chief Executive Officer |

----

| Exhibit No. |   | Description                                                                                                                                                                                                                                                                                                                                                          |
|-------------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| 1.1         |   | Amended and Restated Articles of Association of the Registrant (incorporated by reference to Exhibit 3.2 to Evogene’s Registration Statement on Form F-1, as amended (Registration No. 333-191315))                                                                                                                                                            |
| 1.2         |   | Amendments to Articles 19 and 21 of the Amended and Restated Articles of Association of the Registrant (incorporated by reference to Appendix A to Evogene's proxy statement for its 2014 annual general meeting of shareholders, annexed as Exhibit 99.1(a) to Evogene’s Report of Foreign Private Issuer on Form 6-K, furnished to the SEC on April 8. 2014) |
| 4.1         |   | Form of Indemnification Agreement (incorporated by reference to Exhibit 10.9 to Evogene’s Registration Statement on Form F-1, as amended (Registration No. 333-191315))                                                                                                                                                                                        |
| 4.2         |   | Evogene Share Option Plan (2002) (incorporated by reference to Exhibit 10.10 to Evogene’s Registration Statement on Form F-1, as amended (Registration No. 333-191315))                                                                                                                                                                                        |
| 4.3         |   | Evogene Ltd. Key Employee Share Incentive Plan, 2003 (incorporated by reference to Exhibit 10.11 to Evogene’s Registration Statement on Form F-1, as amended (Registration No. 333-191315))                                                                                                                                                                    |
| 4.4.1       |   | Evogene Ltd. 2013 Share Option Plan (incorporated by reference to Exhibit 10.12 to Evogene’s Registration Statement on Form F-1, as amended (Registration No. 333-191315))                                                                                                                                                                                     |
| 4.4.2       |   | 2015 U.S. Addendum to Evogene Ltd. 2013 Share Option Plan (incorporated by reference to Exhibit A to the proxy statement for Evogene’s special general meeting of shareholders held on March 15, 2016, annexed as Exhibit 99.1 to Evogene’s Report of Foreign Private Issuer on Form 6-K, furnished to the SEC on February 4, 2016)                      |
| 4.5         |   | Second Amended and Restated Collaboration Agreement, dated October 27, 2013, by and between Monsanto Company and Evogene Ltd., (incorporated by reference to Exhibit 10.1 to Evogene’s Registration Statement on Form F-1, as amended (Registration No. 333-191315)) †                                                                                   |
| 4.6         |   | Wheat Collaboration and License Agreement, dated December 10, 2010, by and between Bayer CropScience AG and Evogene Ltd., as amended on October 14, 2012 and on July 21, 2014 (incorporated by reference to Exhibits 10.6 and 10.7 to Evogene’s Registration Statement on Form F-1, as amended (Registration No. 333-191315)) †                          |
| 4.7.1       |   | Evogene Ltd. Officers’ Compensation Policy (incorporated by reference to Appendix A to Evogene’s proxy statement for its special general meeting of shareholders held on March 11, 2014, annexed as Exhibit 99.1 to Evogene’s Report of Foreign Private Issuer on Form 6-K, furnished to the SEC on February 10, 2014)                             |
| 4.7.2       |   | Amendments to Evogene Ltd. Officers’ Compensation Policy (incorporated by reference to Appendix A to Evogene's proxy statement for its 2015 annual general meeting of shareholders held on May 5, 2015, annexed as Exhibit 99.2 to Evogene’s Report of Foreign Private Issuer on Form 6-K, furnished to the SEC on March 31, 2015)                       |
| 8.1         |   | List of subsidiaries of the Registrant                                                                                                                                                                                                                                                                                                                               |
| 12.1        |   | Certificate of Chief Executive Officer pursuant to Securities Exchange Act Rules 13a-14(a) and 15d-14(a) as adopted pursuant to §302 of the Sarbanes-Oxley Act of 2002                                                                                                                                                                                          |
| 12.2        |   | Certificate of Chief Financial Officer pursuant to Securities Exchange Act Rules 13a-14(a) and 15d-14(a) as adopted pursuant to §302 of the Sarbanes-Oxley Act of 2002                                                                                                                                                                                          |
| 13.1        |   | Certificate of Chief Executive Officer pursuant to 18 U.S.C. §1350, as adopted pursuant to §906 of the Sarbanes-Oxley Act of 2002                                                                                                                                                                                                                          |
| 13.2        |   | Certificate of Chief Financial Officer pursuant to 18 U.S.C. §1350, as adopted pursuant to §906 of the Sarbanes-Oxley Act of 2002                                                                                                                                                                                                                          |
| 15.1        |   | Consent of Kost Forer Gabbay and Kasierer, a member of Ernst & Young Global                                                                                                                                                                                                                                                                                      |

----

|                                                                            | Page       |
|---------------------------------------------------------------------------------|------------|
|                                                                            |       |
| Report of Independent Registered Public Accounting Firm                         | F-2        |
|                                                                            |       |
| Consolidated Statements of Financial Position                                   | F-3        |
|                                                                            |       |
| Consolidated Statements of Profit or Loss and Other Comprehensive Income (Loss) | F-4        |
|                                                                            |       |
| Consolidated Statements of Changes in Equity                                    | F-5        |
|                                                                            |       |
| Consolidated Statements of Cash Flows                                           | F-6 - F-7  |
|                                                                            |       |
| Notes to Consolidated Financial Statements                                      | F-8 - F-45 |

----

|  | Kost Forer Gabbay & Kasierer3 Aminadav St.Tel-Aviv 6706703, Israel | Tel: +972-3-6232525Fax: +972-3-5622555ey.com |
|--|------------------------------------------------------------------------|----------------------------------------------|
| Tel-Aviv, Israel |   | KOST FORER GABBAY & KASIERER     |
|------------------|--------|--------------------------------------|
| April 28, 2017   |   | A Member of Ernst & Young Global |

----

----

|                                                                                                                                                                                                  |   |   |    |   | December 31, |   |
|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------|---------|--------|--------------|--------|
|                                                                                                                                                                                                  |   | Note   |    |   | 2016         |   |   | 2015 |   |
|                                                                                                                                                                                                  |   |   |    |   |         |   |   |   |   |
| CURRENT ASSETS:                                                                                                                                                                                       |   |   |    |   |         |   |   |   |   |
| Cash and cash equivalents                                                                                                                                                                             |   |   | 7       |   |         | $      | 3,236 |   |   | $ | 10,221 |   |
| Restricted cash                                                                                                                                                                                       |   |   |    |   |         |   | 47 |   |   |   | 47 |   |
| Marketable securities                                                                                                                                                                                 |   |   | 8       |   |         |   | 71,738 |   |   |   | 71,807 |   |
| Short-term bank deposits                                                                                                                                                                              |   |   |    |   |         |   | 13,137 |   |   |   | 18,603 |   |
| Trade receivables                                                                                                                                                                                     |   |   |    |   |         |   | 169 |   |   |   | 2,675 |   |
| Other receivables                                                                                                                                                                                     |   |   | 9       |   |         |   | 1,163 |   |   |   | 1,023 |   |
|                                                                                                                                                                                                  |   |   |    |   |         |   |   |   |   |   |   |   |
|                                                                                                                                                                                                  |   |   |    |   |         |   | 89,490 |   |   |   | 104,376 |   |
| LONG-TERM ASSETS:                                                                                                                                                                                     |   |   |    |   |         |   |   |   |   |   |   |   |
| Long-term deposits                                                                                                                                                                                    |   |   |    |   |         |   | 13 |   |   |   | 22 |   |
| Property, plant and equipment, net                                                                                                                                                                    |   |   | 10      |   |         |   | 6,483 |   |   |   | 8,197 |   |
|                                                                                                                                                                                                  |   |   |    |   |         |   |   |   |   |   |   |   |
|                                                                                                                                                                                                  |   |   |    |   |         |   | 6,496 |   |   |   | 8,219 |   |
|                                                                                                                                                                                                  |   |   |    |   |         |   |   |   |   |   |   |   |
|                                                                                                                                                                                                  |   |   |    |   |         | $      | 95,986 |   |   | $ | 112,595 |   |
| CURRENT LIABILITIES:                                                                                                                                                                                  |   |   |    |   |         |   |   |   |   |   |   |   |
| Trade payables                                                                                                                                                                                        |   |   |    |   |         | $      | 1,330 |   |   | $ | 1,771 |   |
| Other payables                                                                                                                                                                                        |   |   | 11      |   |         |   | 2,803 |   |   |   | 3,049 |   |
| Liabilities in respect of government grants                                                                                                                                                           |   |   | 12      |   |         |   | 125 |   |   |   | 259 |   |
| Deferred revenues and other advances                                                                                                                                                                  |   |   | 5  |   |         |   | 967 |   |   |   | 560 |   |
|                                                                                                                                                                                                  |   |   |    |   |         |   |   |   |   |   |   |   |
|                                                                                                                                                                                                  |   |   |    |   |         |   | 5,225 |   |   |   | 5,639 |   |
| LONG-TERM LIABILITIES:                                                                                                                                                                                |   |   |    |   |         |   |   |   |   |   |   |   |
| Liabilities in respect of government grants                                                                                                                                                           |   |   | 12      |   |         |   | 3,303 |   |   |   | 2,880 |   |
| Deferred revenues and other advances                                                                                                                                                                  |   |   | 5  |   |         |   | 138 |   |   |   | 298 |   |
| Severance pay liability, net                                                                                                                                                                          |   |   | 14      |   |         |   | 31 |   |   |   | 26 |   |
|                                                                                                                                                                                                  |   |   |    |   |         |   |   |   |   |   |   |   |
|                                                                                                                                                                                                  |   |   |    |   |         |   | 3,472 |   |   |   | 3,204 |   |
| SHAREHOLDERS' EQUITY:                                                                                                                                                                                 |   |   | 17      |   |         |   |   |   |   |   |   |   |
| Ordinary shares of NIS 0.02 par value:Authorized − 150,000,000 ordinary shares; Issued and outstanding –25,480,809 and 25,404,362 shares at December 31, 2016 and 2015, respectively |   |   |    |   |         |   | 141 |   |   |   | 140 |   |
| Share premium and other capital reserve                                                                                                                                                               |   |   |    |   |         |   | 183,342 |   |   |   | 180,214 |   |
| Accumulated deficit                                                                                                                                                                                   |   |   |    |   |         |   | (96,194 | ) |   |   | (76,602 | ) |
|                                                                                                                                                                                                  |   |   |    |   |         |   |   |   |   |   |   |   |
|                                                                                                                                                                                                  |   |   |    |   |         |   | 87,289 |   |   |   | 103,752 |   |
|                                                                                                                                                                                                  |   |   |    |   |         |   |   |   |   |   |   |   |
|                                                                                                                                                                                                  |   |   |    |   |         | $      | 95,986 |   |   | $ | 112,595 |   |

----

----

|                                                                        |   |   |   |   | Year ended December 31, |   |
|-----------------------------------------------------------------------------|--------|--------|--------|--------|-------------------------|--------|
|                                                                        |   | Note   |   |   | 2016                    |   |   | 2015 |   |   | 2014 |   |
|                                                                        |   |   |   |   |                    |   |   |   |   |   |   |   |
| Revenues                                                                    |   |   |   |   | $                       | 6,540  |   |   | $ | 11,129 |   |   | $ | 14,511 |   |
| Cost of revenues                                                            |   |   | 19a    |   |                    |   | 5,639 |   |   |   | 8,255 |   |   |   | 9,709 |   |
|                                                                        |   |   |   |   |                    |   |   |   |   |   |   |   |   |   |   |   |
| Gross profit                                                                |   |   |   |   |                    |   | 901 |   |   |   | 2,874 |   |   |   | 4,802 |   |
|                                                                        |   |   |   |   |                    |   |   |   |   |   |   |   |   |   |   |   |
| Operating expenses:                                                         |   |   |   |   |                    |   |   |   |   |   |   |   |   |   |   |   |
|                                                                        |   |   |   |   |                    |   |   |   |   |   |   |   |   |   |   |   |
| Research and development, net                                               |   |   | 19b    |   |                    |   | 16,405 |   |   |   | 14,449 |   |   |   | 14,022 |   |
| Business development                                                        |   |   | 19c    |   |                    |   | 1,696 |   |   |   | 1,964 |   |   |   | 1,851 |   |
| General and administrative                                                  |   |   | 19d    |   |                    |   | 3,889 |   |   |   | 4,382 |   |   |   | 4,185 |   |
|                                                                        |   |   |   |   |                    |   |   |   |   |   |   |   |   |   |   |   |
| Total operating expenses                                                    |   |   |   |   |                    |   | 21,990 |   |   |   | 20,795 |   |   |   | 20,058 |   |
|                                                                        |   |   |   |   |                    |   |   |   |   |   |   |   |   |   |   |   |
| Operating loss                                                              |   |   |   |   |                    |   | (21,089 | ) |   |   | (17,921 | ) |   |   | (15,256 | ) |
|                                                                        |   |   |   |   |                    |   |   |   |   |   |   |   |   |   |   |   |
| Financing income                                                            |   |   | 19e    |   |                    |   | 2,424 |   |   |   | 2,571 |   |   |   | 2,242 |   |
| Financing expenses                                                          |   |   | 19e    |   |                    |   | (891 | ) |   |   | (1,863 | ) |   |   | (1,516 | ) |
|                                                                        |   |   |   |   |                    |   |   |   |   |   |   |   |   |   |   |   |
| Loss before taxes on income                                                 |   |   |   |   |                    |   | (19,556 | ) |   |   | (17,213 | ) |   |   | (14,530 | ) |
| Taxes on income                                                             |   |   |   |   |                    |   | 36 |   |   |   | - |   |   |   | - |   |
|                                                                        |   |   |   |   |                    |   |   |   |   |   |   |   |   |   |   |   |
| Net loss                                                                    |   |   |   |   |                    | $      | (19,592 | ) |   | $ | (17,213 | ) |   | $ | (14,530 | ) |
|                                                                        |   |   |   |   |                    |   |   |   |   |   |   |   |   |   |   |   |
| Other comprehensive income (loss):                                          |   |   |   |   |                    |   |   |   |   |   |   |   |   |   |   |   |
| Loss from cash flow hedges                                                  |   |   |   |   |                    | $      | - |   |   | $ | (45 | ) |   | $ | (222 | ) |
| Amounts transferred to the statement of profit or loss for cash flow hedges |   |   |   |   |                    |   | - |   |   |   | 267 |   |   |   | - |   |
|                                                                        |   |   |   |   |                    |   |   |   |   |   |   |   |   |   |   |   |
| Total comprehensive loss                                                    |   |   |   |   |                    | $      | (19,592 | ) |   | $ | (16,991 | ) |   | $ | (14,752 | ) |
|                                                                        |   |   |   |   |                    |   |   |   |   |   |   |   |   |   |   |   |
| Basic and diluted net loss per share                                        |   |   | 20     |   |                    | $      | (0.77 | ) |   | $ | (0.68 | ) |   | $ | (0.58 | ) |

----

----

|                                 |   | Sharecapital |   |   | Share premium and other capital reserve |   |    | Accumulated other comprehensive loss |   |   | Accumulated deficit |   |   | Total  |    |
|--------------------------------------|--------|--------------|--------|--------|-----------------------------------------|--------|---------|--------------------------------------|--------|--------|---------------------|--------|--------|--------|---------|
|                                 |   |         |   |   |                                    |   |    |                                 |   |   |                |   |   |   |    |
| Balance as of January 1, 2014   |   | $            | 137    |   |                                    | $      | 169,469 |                                 |   | $      | -                   |   |   | $      | (44,859 | ) |   | $ | 124,747 |   |
|                                 |   |         |   |   |                                    |   |    |                                 |   |   |                |   |   |   |    |   |   |   |   |   |
| Net loss                             |   |         | -      |   |                                    |   | -       |                                 |   |   | -                   |   |   |   | (14,530 | ) |   |   | (14,530 | ) |
|                                 |   |         |   |   |                                    |   |    |                                 |   |   |                |   |   |   |    |   |   |   |   |   |
| Exercise of options                  |   |         | 3      |   |                                    |   | 2,854   |                                 |   |   | -                   |   |   |   | -       |   |   |   | 2,857 |   |
|                                 |   |         |   |   |                                    |   |    |                                 |   |   |                |   |   |   |    |   |   |   |   |   |
| Other comprehensive loss             |   |         | -      |   |                                    |   | -       |                                 |   |   | (222                | )      |   |   | -       |   |   |   | (222 | ) |
|                                 |   |         |   |   |                                    |   |    |                                 |   |   |                |   |   |   |    |   |   |   |   |   |
| Share-based compensation             |   |         | -      |   |                                    |   | 3,230   |                                 |   |   | -                   |   |   |   | -       |   |   |   | 3,230 |   |
|                                 |   |         |   |   |                                    |   |    |                                 |   |   |                |   |   |   |    |   |   |   |   |   |
| Balance as of December 31, 2014 |   | $            | 140    |   |                                    | $      | 175,553 |                                 |   | $      | (222                | )      |   | $      | (59,389 | ) |   | $ | 116,082 |   |
|                                 |   |         |   |   |                                    |   |    |                                 |   |   |                |   |   |   |    |   |   |   |   |   |
| Net loss                             |   |         | -      |   |                                    |   | -       |                                 |   |   | -                   |   |   |   | (17,213 | ) |   |   | (17,213 | ) |
|                                 |   |         |   |   |                                    |   |    |                                 |   |   |                |   |   |   |    |   |   |   |   |   |
| Exercise of options                  |   |         | -      |   |                                    |   | 296     |                                 |   |   | -                   |   |   |   | -       |   |   |   | 296 |   |
|                                 |   |         |   |   |                                    |   |    |                                 |   |   |                |   |   |   |    |   |   |   |   |   |
| Other comprehensive income           |   |         | -      |   |                                    |   | -       |                                 |   |   | 222                 |   |   |   | -       |   |   |   | 222 |   |
|                                 |   |         |   |   |                                    |   |    |                                 |   |   |                |   |   |   |    |   |   |   |   |   |
| Share-based compensation             |   |         | -      |   |                                    |   | 4,365   |                                 |   |   | -                   |   |   |   | -       |   |   |   | 4,365 |   |
|                                 |   |         |   |   |                                    |   |    |                                 |   |   |                |   |   |   |    |   |   |   |   |   |
| Balance as of December 31, 2015 |   | $            | 140    |   |                                    | $      | 180,214 |                                 |   | $      | -                   |   |   | $      | (76,602 | ) |   | $ | 103,752 |   |
|                                 |   |         |   |   |                                    |   |    |                                 |   |   |                |   |   |   |    |   |   |   |   |   |
| Net and comprehensive loss           |   |         | -      |   |                                    |   | -       |                                 |   |   | -                   |   |   |   | (19,592 | ) |   |   | (19,592 | ) |
|                                 |   |         |   |   |                                    |   |    |                                 |   |   |                |   |   |   |    |   |   |   |   |   |
| Exercise of options                  |   |         | 1      |   |                                    |   | 185     |                                 |   |   | -                   |   |   |   | -       |   |   |   | 186 |   |
|                                 |   |         |   |   |                                    |   |    |                                 |   |   |                |   |   |   |    |   |   |   |   |   |
| Share-based compensation             |   |         | -      |   |                                    |   | 2,943   |                                 |   |   | -                   |   |   |   | -       |   |   |   | 2,943 |   |
|                                 |   |         |   |   |                                    |   |    |                                 |   |   |                |   |   |   |    |   |   |   |   |   |
| Balance as of December 31, 2016 |   | $            | 141    |   |                                    | $      | 183,342 |                                 |   | $      | -                   |   |   | $      | (96,194 | ) |   | $ | 87,289 |   |

----

----

|                                                                        |   | Year endedDecember 31, |    |
|-----------------------------------------------------------------------------|--------|------------------------|---------|
|                                                                        |   | 2016                   |    |   | 2015 |   |   | 2014 |   |
| Cash flows from operating activities:                                       |   |                   |    |   |   |   |   |   |   |
|                                                                        |   |                   |    |   |   |   |   |   |   |
| Net loss                                                                    |   | $                      | (19,592 | ) |   | $ | (17,213 | ) |   | $ | (14,530 | ) |
|                                                                        |   |                   |    |   |   |   |   |   |   |   |   |   |
| Adjustments to reconcile net loss to net cash used in operating activities: |   |                   |    |   |   |   |   |   |   |   |   |   |
|                                                                        |   |                   |    |   |   |   |   |   |   |   |   |   |
| Adjustments to the profit or loss items:                                    |   |                   |    |   |   |   |   |   |   |   |   |   |
|                                                                        |   |                   |    |   |   |   |   |   |   |   |   |   |
| Depreciation and amortization                                               |   |                   | 2,279   |   |   |   | 2,433 |   |   |   | 2,249 |   |
| Share-based compensation                                                    |   |                   | 2,943   |   |   |   | 4,365 |   |   |   | 3,230 |   |
| Net financing income                                                        |   |                   | (1,688  | ) |   |   | (845 | ) |   |   | (926 | ) |
| Loss from sale of property, plant and equipment                             |   |                   | 39      |   |   |   | - |   |   |   | - |   |
| Taxes on income                                                             |   |                   | 36      |   |   |   | - |   |   |   | - |   |
|                                                                        |   |                   |    |   |   |   |   |   |   |   |   |   |
|                                                                        |   |                   | 3,609   |   |   |   | 5,953 |   |   |   | 4,553 |   |
| Changes in asset and liability items:                                       |   |                   |    |   |   |   |   |   |   |   |   |   |
|                                                                        |   |                   |    |   |   |   |   |   |   |   |   |   |
| Decrease (increase) in trade receivables                                    |   |                   | 2,506   |   |   |   | (1,492 | ) |   |   | 730 |   |
| Decrease (increase) in other receivables                                    |   |                   | (100    | ) |   |   | (293 | ) |   |   | 58 |   |
| Decrease (increase) in long term deposits                                   |   |                   | 9       |   |   |   | (1 | ) |   |   | 7 |   |
| Decrease in trade payables                                                  |   |                   | (215    | ) |   |   | (68 | ) |   |   | (267 | ) |
| Decrease in other payables                                                  |   |                   | (303    | ) |   |   | (640 | ) |   |   | (895 | ) |
| Increase (decrease) in severance pay liability, net                         |   |                   | 5       |   |   |   | (3 | ) |   |   | 10 |   |
| Decrease in deferred revenues and other advances                            |   |                   | (81     | ) |   |   | (1,055 | ) |   |   | (571 | ) |
| Increase (decrease) in liabilities in respect of government grants          |   |                   | 115     |   |   |   | (284 | ) |   |   | - |   |
|                                                                        |   |                   |    |   |   |   |   |   |   |   |   |   |
|                                                                        |   |                   | 1,936   |   |   |   | (3,836 | ) |   |   | (928 | ) |
|                                                                        |   |                   |    |   |   |   |   |   |   |   |   |   |
| Cash received (paid) during the year for:                                   |   |                   |    |   |   |   |   |   |   |   |   |   |
|                                                                        |   |                   |    |   |   |   |   |   |   |   |   |   |
| Interest received                                                           |   |                   | 2,360   |   |   |   | 2,689 |   |   |   | 2,010 |   |
| Taxes paid                                                                  |   |                   | (6      | ) |   |   | - |   |   |   | - |   |
|                                                                        |   |                   |    |   |   |   |   |   |   |   |   |   |
| Net cash used in operating activities                                       |   |                   | (11,693 | ) |   |   | (12,407 | ) |   |   | (8,895 | ) |
|                                                                        |   |                   |    |   |   |   |   |   |   |   |   |   |
| Cash flows from investing activities:                                       |   |                   |    |   |   |   |   |   |   |   |   |   |
|                                                                        |   |                   |    |   |   |   |   |   |   |   |   |   |
| Purchase of property, plant and equipment                                   |   |                   | (808    | ) |   |   | (2,005 | ) |   |   | (3,564 | ) |
| Proceeds from sale of marketable securities                                 |   |                   | 23,926  |   |   |   | 38,164 |   |   |   | 31,195 |   |
| Purchase of marketable securities                                           |   |                   | (24,561 | ) |   |   | (31,168 | ) |   |   | (80,615 | ) |
| Proceeds from (investment in) bank deposits, net                            |   |                   | 5,466   |   |   |   | 11,443 |   |   |   | (30,046 | ) |
| Proceeds from sale of property, plant and equipment                         |   |                   | 5       |   |   |   | - |   |   |   | - |   |
| Decrease (increase) in restricted cash                                      |   |                   | -       |   |   |   | 953 |   |   |   | (1,000 | ) |
|                                                                        |   |                   |    |   |   |   |   |   |   |   |   |   |
| Net cash provided by (used in) investing activities                         |   |                   | 4,028   |   |   |   | 17,387 |   |   |   | (84,030 | ) |

----

----

|                                                          |   | Year endedDecember 31, |   |
|---------------------------------------------------------------|--------|------------------------|--------|
|                                                          |   | 2016                   |   |   | 2015 |   |   | 2014 |   |
|                                                          |   |                   |   |   |   |   |   |   |   |
| Cash flows from financing activities:                         |   |                   |   |   |   |   |   |   |   |
|                                                          |   |                   |   |   |   |   |   |   |   |
| Proceeds from exercise of options                             |   |                   | 186    |   |   |   | 296 |   |   |   | 2,857 |   |
| Proceeds from government grants                               |   |                   | 802    |   |   |   | 167 |   |   |   | 339 |   |
| Repayment of government grants                                |   |                   | (333   | ) |   |   | (418 | ) |   |   | (530 | ) |
|                                                          |   |                   |   |   |   |   |   |   |   |   |   |   |
| Net cash provided by financing activities                     |   |                   | 655    |   |   |   | 45 |   |   |   | 2,666 |   |
|                                                          |   |                   |   |   |   |   |   |   |   |   |   |   |
| Exchange rate differences - cash and cash equivalent balances |   |                   | 25     |   |   |   | (17 | ) |   |   | 18 |   |
|                                                          |   |                   |   |   |   |   |   |   |   |   |   |   |
| Increase (decrease) in cash and cash equivalents              |   |                   | (6,985 | ) |   |   | 5,008 |   |   |   | (90,241 | ) |
|                                                          |   |                   |   |   |   |   |   |   |   |   |   |   |
| Cash and cash equivalents, beginning of the year              |   |                   | 10,221 |   |   |   | 5,213 |   |   |   | 95,454 |   |
|                                                          |   |                   |   |   |   |   |   |   |   |   |   |   |
| Cash and cash equivalents, end of the year                    |   | $                      | 3,236  |   |   | $ | 10,221 |   |   | $ | 5,213 |   |
|                                                          |   |                   |   |   |   |   |   |   |   |   |   |   |
| Significant non-cash activities:                              |   |                   |   |   |   |   |   |   |   |   |   |   |
|                                                          |   |                   |   |   |   |   |   |   |   |   |   |   |
| Acquisition of property, plant and equipment                  |   | $                      | 150    |   |   | $ | 349 |   |   | $ | 536 |   |

----

----

|  | a. | Evogene Ltd. together with its subsidiaries ("the Company" or "Evogene") is a leading biotechnology company focused on the improvement of crop productivity and performance, addressing the world’s increasing demand for food, feed and fuel. We have developed a proprietary innovative technology platform, leveraging scientific understanding and computational technologies to harness agriculture ‘Big Data’ in order to develop improved seed traits, innovative ag-chemical products and novel ag-biological products. Furthermore, we operate a seed business under our wholly-owned subsidiary, Evofuel Ltd., or Evofuel, currently focusing on the development of improved castor bean seeds to serve as a feedstock source for biofuel and other industrial uses. |
|--|----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | b. | The Company principally derives its revenues from collaboration arrangements, see note 5. As to major customers, see Note 21(c). In a case of termination of collaboration agreement with a major customer, the Company may not be able to make up the lost revenue and this may have a material adverse effect on its results of operations. |
|--|----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | d. | Definitions In these Financial Statements – |
|--|----|--------------------------------------------------------|

|  | Subsidiary | - Company that is controlled by the Company (as defined in IFRS 10) and whose accounts are consolidated with those of the Company. |
|--|------------|------------------------------------------------------------------------------------------------------------------------------------|

|  | Related parties | - As defined in IAS 24. |
|--|-----------------|-------------------------|

----

----

|  | a. | Basis of presentation of the financial statements: |
|--|----|----------------------------------------------------|

|  | b. | Consolidated financial statements: |
|--|----|------------------------------------|

|  | c. | Functional currency, presentation currency and foreign currency: |
|--|----|------------------------------------------------------------------|

|  | 1. | Functional currency and presentation currency: |
|--|----|------------------------------------------------|

----

----

|  | 2. | Transactions, assets and liabilities in foreign currency: |
|--|----|-----------------------------------------------------------|

|  | d. | Cash equivalents: |
|--|----|-------------------|

|  | e. | Short-term deposits: |
|--|----|----------------------|

|  | f. | Government grants: |
|--|----|--------------------|

----

----

|  | g. | Leases: |
|--|----|---------|

|  | h. | Property, plant and equipment: |
|--|----|--------------------------------|

|                               |   | %         |     |   | Mainly % |   |
|------------------------------------|--------|-----------|----------|--------|----------|--------|
|                               |   |      |     |   |     |   |
| Laboratory equipment               |   |      | 10-33.33 |   |     |   | 15 |   |
| Computers and peripheral equipment |   |      | 33.33    |   |     |   |   |   |
| Office equipment and furniture     |   |      | 6        |   |     |   |   |   |
| Motor vehicles                     |   |      | 15       |   |     |   |   |   |
| Leasehold improvements             |   | see below |     |   |     |   |   |

----

----

|  | i. | Intangible assets: |
|--|----|--------------------|

|  | j. | Impairment of non-financial assets: |
|--|----|-------------------------------------|

|  | k. | Revenue recognition: |
|--|----|----------------------|

----

----

|  | - | Revenues from agreements that do not contain a general right of return and are composed of multiple elements such as license, services, royalties and milestone events are allocated to the different elements and are recognized in respect of each element separately. An element constitutes a separate accounting unit if and only if it has a separate value to the customer. Revenue from each element is recognized when the criteria for revenue recognition have been met and only to the extent of the consideration that is not contingent upon completion or performance of future services in the contract. |
|--|---|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | - | Revenues from research and development services as part of the Company's collaboration agreements are recognized as service revenues. Recognition of the service is throughout the services period and is determined based on the proportion of actual costs incurred for each reporting period to the estimated total costs, subject to the enforceable rights. |
|--|---|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | - | Revenues from milestone events stipulated in the agreements are recognized upon the occurrence of a substantive element specified in the agreement. |
|--|---|-----------------------------------------------------------------------------------------------------------------------------------------------------|

|  | l. | Taxes on income: |
|--|----|------------------|

|  | 1. | Current taxes: |
|--|----|----------------|

|  | 2. | Deferred taxes: |
|--|----|-----------------|

----

----

|  | m. | Financial instruments: |
|--|----|------------------------|

|  | 1. | Financial assets: |
|--|----|-------------------|

|  | a) | Financial assets at fair value through profit or loss: |
|--|----|--------------------------------------------------------|

|  | b) | Loans and receivables: |
|--|----|------------------------|

|  | 2. | Financial liabilities at amortized cost: |
|--|----|------------------------------------------|

----

----

|  | 3. | Derecognition of financial instruments: |
|--|----|-----------------------------------------|

|  | a) | Financial assets: |
|--|----|-------------------|

|  | b) | Financial liabilities: |
|--|----|------------------------|

|  | n. | Derivative financial instruments designated as hedges: |
|--|----|--------------------------------------------------------|

----

----

|  | o. | Fair value measurement: |
|--|----|-------------------------|

----

----

| Level 1 | -      | Quoted prices (unadjusted) in active markets for identical assets or liabilities.                                                         |
|---------|--------|-------------------------------------------------------------------------------------------------------------------------------------------|
|    |   |                                                                                                                                      |
| Level 2 | -      | Inputs other than quoted prices included within Level 1 that are observable directly or indirectly.                                       |
|    |   |                                                                                                                                      |
| Level 3 | -      | Inputs that are not based on observable market data (valuation techniques which use inputs that are not based on observable market data). |

|  | p. | Provisions: |
|--|----|-------------|

|  | q. | Employee benefit liabilities: |
|--|----|-------------------------------|

|  | 1. | Short-term employee benefits: |
|--|----|-------------------------------|

|  | 2. | Post-employment benefits: |
|--|----|---------------------------|

----

----

|  | r. | Share-based payment transactions: |
|--|----|-----------------------------------|

|  | s. | Loss per share: |
|--|----|-----------------|

----

----

| NOTE 3: - | SIGNIFICANT ACCOUNTING JUDGMENTS, ESTIMATES AND ASSUPMTIONS USED IN THE PREPARATION OF THE FINANCIAL STATEMENTS |
|-----------|-----------------------------------------------------------------------------------------------------------------|

|  | a. | Judgments: |
|--|----|------------|

|  | b. | Estimates and assumptions: |
|--|----|----------------------------|

|  | - | Government grants: |
|--|---|--------------------|

|  | - | Legal claims: |
|--|---|---------------|

----

----

| NOTE 3: - | SIGNIFICANT ACCOUNTING JUDGMENTS, ESTIMATES AND ASSUPMTIONS USED IN THE PREPARATION OF THE FINANCIAL STATEMENTS (Cont.) |
|-----------|-------------------------------------------------------------------------------------------------------------------------|

|  | - | Determining the fair value of share-based payment transactions: |
|--|---|-----------------------------------------------------------------|

| NOTE 4: - | DISCLOSURE OF NEW STANDARDS IN THE PERIOD PRIOR TO THEIR ADOPTION |
|-----------|-------------------------------------------------------------------|

|  | a. | IFRS 15, "Revenue from Contracts with Customers": |
|--|----|---------------------------------------------------|

----

----

| NOTE 4: - | DISCLOSURE OF NEW STANDARDS IN THE PERIOD PRIOR TO THEIR ADOPTION (Cont.) |
|-----------|---------------------------------------------------------------------------|

|  | b. | IFRS 9, "Financial Instruments": |
|--|----|----------------------------------|

----

----

| NOTE 4: - | DISCLOSURE OF NEW STANDARDS IN THE PERIOD PRIOR TO THEIR ADOPTION (Cont.) |
|-----------|---------------------------------------------------------------------------|

|  | c. | Amendments to IAS 7, "Statement of Cash Flows", regarding additional disclosures of financial liabilities: |
|--|----|------------------------------------------------------------------------------------------------------------|

|  | d. | IFRS 16, "Leases": |
|--|----|--------------------|

|  | · | Lessees are required to recognize an asset and a corresponding liability in the statement of financial position in respect of all leases (except in certain cases) similar to the accounting treatment of finance leases according to the existing IAS 17, "Leases". |
|--|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | · | Lessees are required to initially recognize a lease liability for the obligation to make lease payments and a corresponding right-of-use asset. Lessees will also recognize interest and depreciation expenses separately. |
|--|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

----

| NOTE 5: - | COLLABORATION AGREEMENTS |
|-----------|--------------------------|

|  | a. | Our most significant collaboration in the seed traits activity is with Monsanto, addressing yield, drought tolerance and fertilizer utilization in corn, soybean, cotton and canola through biotechnology. The collaboration, initiated in 2008, originally focused on gene discovery, and a 2011 expansion of the agreement added new research activities for increasing trait efficacy. The collaboration was extended and expanded for a second time in October 2013, to address corn resistance to Fusarium, a fungus responsible for Stalk Rot disease in corn. Our activities under the extended agreement are scheduled to expire in August 2019. |
|--|----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | b. | Our collaboration with Bayer, initiated in 2010, was originally focused on discovery of genes and other genomic elements addressing yield, abiotic stress and nitrogen use efficiency in wheat. In 2014 the collaboration agreement was amended and the collaboration's focus was shifted to discovery of promoters, which are segments of DNA that determine how a gene will be expressed in the plant. |
|--|----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | c. | We have a collaboration with a multinational consumer goods company, addressing yield improvement in a certain field crop through non-GM methods. In this collaboration, initiated in 2014, we generate new varieties of the target crop using a molecular biology method known as TILLING with the goal that our partner includes such new varieties in its breeding pipeline. Our activities under this agreement are scheduled to expire in 2018. |
|--|----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| NOTE 6: - | LONG-TERM INVESTMENT |
|-----------|----------------------|

----

----

|                                                       |   | December 31, |   |
|------------------------------------------------------------|--------|--------------|--------|
|                                                       |   | 2016         |   |   | 2015 |   |
|                                                       |   |         |   |   |   |   |
| Cash for immediate withdrawal in USD                       |   | $            | 1,741  |   |   | $ | 2,604 |   |
| Cash equivalents in NIS bank deposit (1)                   |   |         | 1,170  |   |   |   | 26 |   |
| Cash for immediate withdrawal in NIS                       |   |         | 281    |   |   |   | 64 |   |
| Cash for immediate withdrawal in Euro and other currencies |   |         | 44     |   |   |   | 227 |   |
| Cash equivalents in USD bank deposits                      |   |         | -      |   |   |   | 7,300 |   |
|                                                       |   |         |   |   |   |   |   |   |
|                                                       |   | $            | 3,236  |   |   | $ | 10,221 |   |

|  | (1) | As of the reporting date, the NIS deposit bear interest of 0.09%. The deposit is withdrawable daily. |
|--|-----|------------------------------------------------------------------------------------------------------|

|                                                            |   | December 31, |   |
|-----------------------------------------------------------------|--------|--------------|--------|
|                                                            |   | 2016         |   |   | 2015 |   |
|                                                            |   |         |   |   |   |   |
| Financial assets measured at fair value through profit or loss: |   |         |   |   |   |   |
|                                                            |   |         |   |   |   |   |
| Corporate bonds and government treasury notes                   |   | $            | 71,738 |   |   | $ | 71,807 |   |
|                                                            |   |         |   |   |   |   |   |   |

|                      |   | December 31, |   |
|---------------------------|--------|--------------|--------|
|                      |   | 2016         |   |   | 2015 |   |
|                      |   |         |   |   |   |   |
| Government authorities    |   | $            | 354    |   |   | $ | 257 |   |
| Patent cost reimbursement |   |         | 283    |   |   |   | 246 |   |
| Accrued bank interests    |   |         | 110    |   |   |   | 70 |   |
| Prepaid expenses          |   |         | 157    |   |   |   | 182 |   |
| Other receivables         |   |         | 259    |   |   |   | 268 |   |
|                      |   |         |   |   |   |   |   |   |
|                      |   | $            | 1,163  |   |   | $ | 1,023 |   |

----

----

| NOTE 10: - | PROPERTY, PLANT AND EQUIPMENT, NET |
|------------|------------------------------------|

|                                  |   | Laboratory equipment |   |   | Computers and peripheral equipment |   |   | Office equipment and furniture |   |   | Leasehold improvements |   |   | Vehicles |   |   | Total  |   |
|---------------------------------------|--------|----------------------|--------|--------|------------------------------------|--------|--------|--------------------------------|--------|--------|------------------------|--------|--------|----------|--------|--------|--------|--------|
| Cost:                                 |   |                 |   |   |                               |   |   |                           |   |   |                   |   |   |     |   |   |   |   |
|                                  |   |                 |   |   |                               |   |   |                           |   |   |                   |   |   |     |   |   |   |   |
| Balance at January 1, 2016            |   | $                    | 4,340  |   |                               | $      | 3,194  |                           |   | $      | 216                    |   |   | $        | 12,582 |   |   | $      | 98 |   |   | $ | 20,430 |   |
| Additions                             |   |                 | 219    |   |                               |   | 356    |                           |   |   | 8                      |   |   |     | 26     |   |   |   | - |   |   |   | 609 |   |
| Disposals                             |   |                 | -      |   |                               |   | -      |                           |   |   | -                      |   |   |     | -      |   |   |   | (98 | ) |   |   | (98 | ) |
|                                  |   |                 |   |   |                               |   |   |                           |   |   |                   |   |   |     |   |   |   |   |   |   |   |   |   |   |
| Balance at December 31, 2016     |   |                 | 4,559  |   |                               |   | 3,550  |                           |   |   | 224                    |   |   |     | 12,608 |   |   |   | - |   |   |   | 20,941 |   |
|                                  |   |                 |   |   |                               |   |   |                           |   |   |                   |   |   |     |   |   |   |   |   |   |   |   |   |   |
| Accumulated Depreciation:             |   |                 |   |   |                               |   |   |                           |   |   |                   |   |   |     |   |   |   |   |   |   |   |   |   |   |
|                                  |   |                 |   |   |                               |   |   |                           |   |   |                   |   |   |     |   |   |   |   |   |   |   |   |   |   |
| Balance at January 1, 2016            |   |                 | 2,751  |   |                               |   | 2,376  |                           |   |   | 100                    |   |   |     | 6,962  |   |   |   | 44 |   |   |   | 12,233 |   |
| Additions                             |   |                 | 409    |   |                               |   | 480    |                           |   |   | 14                     |   |   |     | 1,366  |   |   |   | 10 |   |   |   | 2,279 |   |
| Disposals                             |   |                 | -      |   |                               |   | -      |                           |   |   | -                      |   |   |     | -      |   |   |   | (54 | ) |   |   | (54 | ) |
|                                  |   |                 |   |   |                               |   |   |                           |   |   |                   |   |   |     |   |   |   |   |   |   |   |   |   |   |
| Balance at December 31, 2016          |   |                 | 3,160  |   |                               |   | 2,856  |                           |   |   | 114                    |   |   |     | 8,328  |   |   |   | - |   |   |   | 14,458 |   |
|                                  |   |                 |   |   |                               |   |   |                           |   |   |                   |   |   |     |   |   |   |   |   |   |   |   |   |   |
| Depreciated cost at December 31, 2016 |   | $                    | 1,399  |   |                               | $      | 694    |                           |   | $      | 110                    |   |   | $        | 4,280  |   |   | $      | - |   |   | $ | 6,483 |   |

|                                  |   | Laboratory equipment |   |   | Computers and peripheral equipment |   |   | Office equipment and furniture |   |   | Leasehold improvements |   |   | Vehicles |   |   | Total  |   |
|---------------------------------------|--------|----------------------|--------|--------|------------------------------------|--------|--------|--------------------------------|--------|--------|------------------------|--------|--------|----------|--------|--------|--------|--------|
| Cost:                                 |   |                 |   |   |                               |   |   |                           |   |   |                   |   |   |     |   |   |   |   |
|                                  |   |                 |   |   |                               |   |   |                           |   |   |                   |   |   |     |   |   |   |   |
| Balance at January 1, 2015            |   | $                    | 3,550  |   |                               | $      | 2,728  |                           |   | $      | 209                    |   |   | $        | 12,027 |   |   | $      | 98 |   |   | $ | 18,612 |   |
| Additions                             |   |                 | 790    |   |                               |   | 466    |                           |   |   | 7                      |   |   |     | 555    |   |   |   | - |   |   |   | 1,818 |   |
|                                  |   |                 |   |   |                               |   |   |                           |   |   |                   |   |   |     |   |   |   |   |   |   |   |   |   |   |
| Balance at December 31, 2015     |   |                 | 4,340  |   |                               |   | 3,194  |                           |   |   | 216                    |   |   |     | 12,582 |   |   |   | 98 |   |   |   | 20,430 |   |
|                                  |   |                 |   |   |                               |   |   |                           |   |   |                   |   |   |     |   |   |   |   |   |   |   |   |   |   |
| Accumulated Depreciation:             |   |                 |   |   |                               |   |   |                           |   |   |                   |   |   |     |   |   |   |   |   |   |   |   |   |   |
|                                  |   |                 |   |   |                               |   |   |                           |   |   |                   |   |   |     |   |   |   |   |   |   |   |   |   |   |
| Balance at January 1, 2015            |   |                 | 2,339  |   |                               |   | 1,932  |                           |   |   | 87                     |   |   |     | 5,413  |   |   |   | 29 |   |   |   | 9,800 |   |
| Additions                             |   |                 | 412    |   |                               |   | 444    |                           |   |   | 13                     |   |   |     | 1,549  |   |   |   | 15 |   |   |   | 2,433 |   |
|                                  |   |                 |   |   |                               |   |   |                           |   |   |                   |   |   |     |   |   |   |   |   |   |   |   |   |   |
| Balance at December 31, 2015          |   |                 | 2,751  |   |                               |   | 2,376  |                           |   |   | 100                    |   |   |     | 6,962  |   |   |   | 44 |   |   |   | 12,233 |   |
|                                  |   |                 |   |   |                               |   |   |                           |   |   |                   |   |   |     |   |   |   |   |   |   |   |   |   |   |
| Depreciated cost at December 31, 2015 |   | $                    | 1,589  |   |                               | $      | 818    |                           |   | $      | 116                    |   |   | $        | 5,620  |   |   | $      | 54 |   |   | $ | 8,197 |   |

----

----

| NOTE 11: - | OTHER PAYABLES |
|------------|----------------|

|                           |   | December 31, |   |
|--------------------------------|--------|--------------|--------|
|                           |   | 2016         |   |   | 2015 |   |
|                           |   |         |   |   |   |   |
| Employees and payroll accruals |   | $            | 1,953  |   |   | $ | 2,133 |   |
| Accrued expenses               |   |         | 471    |   |   |   | 577 |   |
| Government authorities         |   |         | 379    |   |   |   | 339 |   |
|                           |   |         |   |   |   |   |   |   |
|                           |   | $            | 2,803  |   |   | $ | 3,049 |   |

|                               |   | 2016   |   |   | 2015   |   |
|------------------------------------|--------|--------|--------|--------|--------|--------|
|                               |   |   |   |   |   |   |
| Balance at January 1,              |   | $      | 3,139  |   |   | $      | 3,673 |   |
| Grants received                    |   |   | 474    |   |   |   | 167 |   |
| Royalties paid                     |   |   | (333   | )      |   |   | (418 | ) |
| Amounts recorded in profit or loss |   |   | 148    |   |   |   | (283 | ) |
|                               |   |   |   |   |   |   |   |   |
| Balance at December 31,       |   | $      | 3,428  |   |   | $      | 3,139 |   |

----

----

| NOTE 13: - | FINANCIAL INSTRUMENTS |
|------------|-----------------------|

|  | a. | Classification of financial instruments by fair value hierarchy: |
|--|----|------------------------------------------------------------------|

|                  |   | Level 2 |   |
|-----------------------|--------|---------|--------|
|                  |   |    |   |
| Financial assets:     |   |    |   |
|                  |   |    |   |
| Marketable securities |   | $       | 71,738 |   |

|                  |   | Level 2 |   |
|-----------------------|--------|---------|--------|
|                  |   |    |   |
| Financial assets:     |   |    |   |
|                  |   |    |   |
| Marketable securities |   | $       | 71,807 |   |

|  | b. | Financial risk factors: |
|--|----|-------------------------|

|  | 1. | Market Risk: |
|--|----|--------------|

|  | a) | Foreign currency risk: |
|--|----|------------------------|

|  | b) | Price risk: |
|--|----|-------------|

----

----

| NOTE 13: - | FINANCIAL INSTRUMENTS (Cont.) |
|-----------------|-------------------------------|

|  | 2. | Credit Risk: |
|--|----|--------------|

|  | 3. | Liquidity Risk: |
|--|----|-----------------|

|                                        |   | Up to 1 year |   |   | 1 year to 2 years |   |   | 2 yearsto 3 years |   |   | 3 years to 4 years |   |   | 4 years to 5 years |   |   | Over 5 years |   |   | Total  |   |
|---------------------------------------------|--------|--------------|--------|--------|-------------------|--------|--------|-------------------|--------|--------|--------------------|--------|--------|--------------------|--------|--------|--------------|--------|--------|--------|--------|
| Trade payables                              |   | $            | 1,330  |   |              | $      | -      |              |   | $      | -                  |   |   | $                  | -      |   |         | $      | -      |   |   | $ | - |   |   | $ | 1,330 |   |
| Other payables                              |   |         | 2,803  |   |              |   | -      |              |   |   | -                  |   |   |               | -      |   |         |   | -      |   |   |   | - |   |   |   | 2,803 |   |
| Liabilities in respect of government grants |   |         | 179    |   |              |   | 712    |              |   |   | 513                |   |   |               | 481    |   |         |   | 598    |   |   |   | 1,576 |   |   |   | 4,059 |   |
|                                        |   |         |   |   |              |   |   |              |   |   |               |   |   |               |   |   |         |   |   |   |   |   |   |   |   |   |   |   |
|                                        |   | $            | 4,312  |   |              | $      | 712    |              |   | $      | 513                |   |   | $                  | 481    |   |         | $      | 598    |   |   | $ | 1,576 |   |   | $ | 8,192 |   |

|                                        |   | Up to 1 year |   |   | 1 year To 2 years |   |   | 2 yearsTo 3 years |   |   | 3 years to 4 years |   |   | 4 years to 5 years |   |   | Over 5 years |   |   | Total  |   |
|---------------------------------------------|--------|--------------|--------|--------|-------------------|--------|--------|-------------------|--------|--------|--------------------|--------|--------|--------------------|--------|--------|--------------|--------|--------|--------|--------|
| Trade payables                              |   | $            | 1,771  |   |              | $      | -      |              |   | $      | -                  |   |   | $                  | -      |   |         | $      | -      |   |   | $ | - |   |   | $ | 1,771 |   |
| Other payables                              |   |         | 3,049  |   |              |   | -      |              |   |   | -                  |   |   |               | -      |   |         |   | -      |   |   |   | - |   |   |   | 3,049 |   |
| Liabilities in respect of government grants |   |         | 304    |   |              |   | 865    |              |   |   | 467                |   |   |               | 843    |   |         |   | 1,005  |   |   |   | 302 |   |   |   | 3,786 |   |
|                                        |   |         |   |   |              |   |   |              |   |   |               |   |   |               |   |   |         |   |   |   |   |   |   |   |   |   |   |   |
|                                        |   | $            | 5,124  |   |              | $      | 865    |              |   | $      | 467                |   |   | $                  | 843    |   |         | $      | 1,005  |   |   | $ | 302 |   |   | $ | 8,606 |   |

|  | c. | Fair Value: |
|--|----|-------------|

----

----

| NOTE 13: - | FINANCIAL INSTRUMENTS (Cont.) |
|------------|-------------------------------|

|  | d. | Sensitivity tests relating to changes in market factors: |
|--|----|----------------------------------------------------------|

|                                                                  |   | December 31, |    |
|-----------------------------------------------------------------------|--------|--------------|---------|
|                                                                  |   | 2016         |    |   | 2015 |   |
|                                                                  |   |         |    |   |   |   |
| Sensitivity test to changes in the NIS exchange rate:                 |   |         |    |   |   |   |
|                                                                  |   |         |    |   |   |   |
| Gain (loss) from the change:                                          |   |         |    |   |   |   |
| Increase of 5% in exchange rate                                       |   | $            | 84      |   |   | $ | 176 |   |
| Decrease of 5% in exchange rate                                       |   | $            | (84     | ) |   | $ | (176 | ) |
|                                                                  |   |         |    |   |   |   |   |   |
| Sensitivity test to changes in the market price of listed securities: |   |         |    |   |   |   |   |   |
|                                                                  |   |         |    |   |   |   |   |   |
| Gain (loss) from the change:                                          |   |         |    |   |   |   |   |   |
| Increase of 5% in market price                                        |   | $            | 3,587   |   |   | $ | 3,590 |   |
| Decrease of 5% in market price                                        |   | $            | ( 3,587 | ) |   | $ | ( 3,590 | ) |

|  | e. | Hedging activities and derivatives: |
|--|----|-------------------------------------|

----

----

| NOTE 14: - | SEVERANCE PAY LIABILITY, NET |
|------------|------------------------------|

|                                 |   | Year ended December 31, |   |
|--------------------------------------|--------|-------------------------|--------|
|                                 |   | 2016                    |   |   | 2015 |   |   | 2014 |   |
|                                 |   |                    |   |   |   |   |   |   |   |
| Expenses - defined contribution plan |   | $                       | 769    |   |   | $ | 782 |   |   | $ | 835 |   |

| NOTE 15: - | TAXES ON INCOME |
|------------|-----------------|

|  | a. | Tax rates applicable to the Company: |
|--|----|--------------------------------------|

|  | 1. | The Israeli corporate income tax rate was 25% in 2016 and 26.5% in 2015 and 2014. |
|--|----|-----------------------------------------------------------------------------------|

|  | 2. | Evogene Inc, a company incorporated in the U.S., is subject to U.S. income taxes. In 2016 the weighted tax rate applicable to Evogene Inc. was approximately 26% (Federal tax and state tax where the company operates). |
|--|----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | b. | Tax benefits under the Israel Law for the Encouragement of Capital Investments, 1959 (the "Investment Law"): |
|--|----|--------------------------------------------------------------------------------------------------------------|

----

----

| NOTE 15: - | TAXES ON INCOME (Cont.) |
|------------|-------------------------|

----

----

| NOTE 15: - | TAXES ON INCOME (Cont.) |
|------------|-------------------------|

|  | c. | Tax assessments: |
|--|----|------------------|

|  | d. | Carryforward losses for tax purposes and other temporary differences: |
|--|----|-----------------------------------------------------------------------|

|  | e. | Deferred taxes: |
|--|----|-----------------|

|  | f. | Theoretical tax: The reconciliation between the tax expense, assuming that all the income and expenses, gains and losses in the statement of income were taxed at the statutory tax rate and the taxes on income recorded in profit or loss, does not provide significant information and therefore is not presented. |
|--|----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

----

|  | a. | The Company leases facilities for its offices and research and development activities, as well as motor vehicles under operating leases. Future minimum lease payments under non-cancelable operating leases for the years ended December 31, are as follows: |
|--|----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 2017           |   | $      | 876    |   |
|----------------|--------|--------|--------|--------|
| 2018           |   |   | 781    |   |
| 2019 and after |   |   | 851    |   |
|           |   |   |   |   |
|           |   | $      | 2,508  |   |

|  | b. | Claims |
|--|----|--------|

|  | c. | Government grants The Company received research and development grants from the OCS, BIRD and CIIRDF, see note 12. If no economic benefits are expected from the research activity, the royalty obligation is not recorded as a liability and instead is treated as a contingent liability in accordance with IAS 37. The grants from the OCS impose certain restrictions on the transfer outside of Israel of the underlying know-how and the manufacturing or manufacturing rights of the underlying products and technologies.  |
|--|----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

----

|  | a. | General: |
|--|----|----------|

|  | b. | Share capital: |
|--|----|----------------|

|                                       |   | December 31,     |        |
|--------------------------------------------|--------|------------------|-------------|
|                                       |   | 2016             |        |   | 2015 |   |
|                                       |   | Authorized       |        |   | Issued and Outstanding |   |   | Authorized |   |   | Issued and Outstanding |   |
|                                       |   | Number of shares |        |
| Ordinary shares of NIS 0.02 par value each |   |             | 150,000,000 |   |   |   | 25,480,809 |   |   |   | 150,000,000 |   |   |   | 25,404,362 |   |

|  | c. | Changes in share capital: |
|--|----|---------------------------|

|                             |   | Number of shares |       |   | NIS par value |   |
|----------------------------------|--------|------------------|------------|--------|---------------|--------|
| Outstanding at January 1, 2015   |   |             | 25,350,954 |   |          |   | 507,019 |   |
|                             |   |             |       |   |          |   |   |   |
| Exercise of options              |   |             | 53,408     |   |          |   | 1,068 |   |
|                             |   |             |       |   |          |   |   |   |
| Outstanding at December 31, 2015 |   |             | 25,404,362 |   |          |   | 508,087 |   |
|                             |   |             |       |   |          |   |   |   |
| Exercise of options              |   |             | 76,447     |   |          |   | 1,529 |   |
|                             |   |             |       |   |          |   |   |   |
| Outstanding at December 31, 2016 |   |             | 25,480,809 |   |          |   | 509,616 |   |

|  | d. | Rights attached to shares: Voting rights at the general meeting, rights to dividends, rights upon liquidation of the Company and the right to appoint directors of the Company. |
|--|----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | e. | Capital management in the Company: |
|--|----|------------------------------------|

----

----

|  | a. | Expenses recognized in the financial statements: |
|--|----|--------------------------------------------------|

|                     |   | Year ended December 31, |   |
|--------------------------|--------|-------------------------|--------|
|                     |   | 2016                    |   |   | 2015 |   |   | 2014 |   |
|                     |   |                    |   |   |   |   |   |   |   |
| Share-based compensation |   | $                       | 2,943  |   |   | $ | 4,365 |   |   | $ | 3,230 |   |

|  | b. | Share-based payment plan for employees and consultants: |
|--|----|---------------------------------------------------------|

|  | c. | Option grants to key officers and directors: |
|--|----|----------------------------------------------|

----

----

----

----

|  | d. | Options exercised: |
|--|----|--------------------|

|  | e. | Share options activity: |
|--|----|-------------------------|

|                             |   | 2016              |      |   | 2015                                 |   |   | 2014              |   |
|----------------------------------|--------|-------------------|-----------|--------|--------------------------------------|--------|--------|-------------------|--------|
|                             |   | Number of options |      |   | Weighted average exercise prices ($) |   |   | Number of options |   |   | Weighted average exercise prices ($) |   |   | Number of options |   |   | Weighted average exercise prices ($) |   |
|                             |   |              |      |   |                                 |   |   |              |   |   |   |   |   |   |   |   |   |   |
| Outstanding at January 1         |   |              | 4,970,028 |   |                                 |   | 9.65   |              |   |   | 3,770,762 |   |   |   | 9.75 |   |   |   | 3,565,793 |   |   |   | 9.08 |   |
|  Grants                     |   |              | 377,500   |   |                                 |   | 6.94   |              |   |   | 1,455,250 |   |   |   | 8.90 |   |   |   | 714,300 |   |   |   | 14.80 |   |
|   Exercised                 |   |              | (76,447   | )      |                                 |   | 2.45   |              |   |   | (53,408 | ) |   |   | 5.58 |   |   |   | (449,627 | ) |   |   | 6.14 |   |
|   Forfeited                 |   |              | (831,197  | )      |                                 |   | 9.87   |              |   |   | (202,576 | ) |   |   | 7.15 |   |   |   | (59,704 | ) |   |   | 11.73 |   |
|                             |   |              |      |   |                                 |   |   |              |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Outstanding at December 31       |   |              | 4,439,884 |   |                                 |   | 9.50   |              |   |   | 4,970,028 |   |   |   | 9.65 |   |   |   | 3,770,762 |   |   |   | 9.75 |   |
| Exercisable at  December 31 |   |              | 3,203,850 |   |                                 |   | 9.18   |              |   |   | 2,794,672 |   |   |   | 8.79 |   |   |   | 2,166,364 |   |   |   | 7.57 |   |

----

----

|                         |   |   | Options outstanding |      |
|------------------------------|--------|--------|---------------------|-----------|
| Range of exercise prices ($) |   |   | Number outstanding  |      |   | Averageremainingcontractuallife |   |   | Weightedaverageexerciseprice |   |
| 2.02 - 6.83                  |   |   |                | 723,238   |   |   |   | 3.47 |   |   |   | 4.87 |   |
| 6.96 – 7.85            |   |   |                | 1,055,672 |   |   |   | 5.29 |   |   |   | 7.40 |   |
| 8.09 - 9.78                  |   |   |                | 1,146,272 |   |   |   | 7.63 |   |   |   | 9.21 |   |
| 10.03 – 13.7           |   |   |                | 1,289,735 |   |   |   | 6.89 |   |   |   | 12.47 |   |
| 17.65 - 20.39                |   |   |                | 224,967   |   |   |   | 7.36 |   |   |   | 18.74 |   |
|                         |   |   |                |      |   |   |   |   |   |   |   |   |   |
| Total                        |   |   |                | 4,439,884 |   |   |   | 6.17 |   |   |   | 9.50 |   |

|  | f. | The weighted average outstanding remaining contractual term of the options as of December 31, 2016 is 6.17 years (as of December 31, 2015, it was 7 years). |
|--|----|-------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | g. | The weighted average fair value of options granted during 2016 was $2.93 (for options granted during 2015, the fair value was $3.24). |
|--|----|---------------------------------------------------------------------------------------------------------------------------------------|

|  | h. | The fair value of the Company's share options granted to employees, directors and consultants for the years ended December 31, 2016, 2015 and 2014 was estimated using the binomial model with the following assumptions: |
|--|----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|                                        |   | 2016      |   |   | 2015    |   |   | 2014      |   |
|---------------------------------------------|--------|-----------|--------|--------|---------|--------|--------|-----------|--------|
|                                        |   |      |   |   |    |   |   |      |   |
| Dividend yield (%)                          |   | -         |   |   | -       |   |   | -         |   |
| Expected volatility of the share prices (%) |   | 45-54     |   |   | 48-51   |   |   | 53-59     |   |
| Risk-free interest rate (%)                 |   | 1.87-2.35 |   |   | 1.8-2.7 |   |   | 0.64-5.77 |   |
| Suboptimal factor                           |   | 1.8-2     |   |   | 1.8-2   |   |   | 1.8-2     |   |
| Post-vesting forfeiture rate (%)            |   | 5-10      |   |   | 5-10    |   |   | 5-10      |   |

----

----

|  | i. | Modifications to the conditions of the options: |
|--|----|-------------------------------------------------|

----

----

|  | a. | Cost of revenues: |
|--|----|-------------------|

|                            |   | Year ended December 31, |   |
|---------------------------------|--------|-------------------------|--------|
|                            |   | 2016                    |   |   | 2015 |   |   | 2014 |   |
|                            |   |                    |   |   |   |   |   |   |   |
| Salaries and benefits           |   | $                       | 3,520  |   |   | $ | 4,381 |   |   | $ | 5,030 |   |
| Share-based compensation        |   |                    | 231    |   |   |   | 831 |   |   |   | 708 |   |
| Sub-contractors and consultants |   |                    | 594    |   |   |   | 757 |   |   |   | 1,087 |   |
| Materials                       |   |                    | 162    |   |   |   | 325 |   |   |   | 954 |   |
| Depreciation                    |   |                    | 599    |   |   |   | 960 |   |   |   | 999 |   |
| Rentals and maintenance         |   |                    | 448    |   |   |   | 689 |   |   |   | 855 |   |
| Other                           |   |                    | 85     |   |   |   | 312 |   |   |   | 76 |   |
|                            |   |                    |   |   |   |   |   |   |   |   |   |   |
|                            |   | $                       | 5,639  |   |   | $ | 8,255 |   |   | $ | 9,709 |   |

|  | b. | Research and development, net: |
|--|----|--------------------------------|

|                                          |   | Year ended December 31, |   |
|-----------------------------------------------|--------|-------------------------|--------|
|                                          |   | 2016                    |   |   | 2015 |   |   | 2014 |   |
|                                          |   |                    |   |   |   |   |   |   |   |
| Salaries and benefits                         |   | $                       | 9,207  |   |   | $ | 7,930 |   |   | $ | 8,173 |   |
| Share-based compensation                      |   |                    | 1,369  |   |   |   | 1,531 |   |   |   | 897 |   |
| Materials and sub-contractors                 |   |                    | 2,120  |   |   |   | 1,508 |   |   |   | 1,152 |   |
| Plant growth and greenhouse maintenance       |   |                    | 473    |   |   |   | 730 |   |   |   | 573 |   |
| Rentals and office maintenance                |   |                    | 1,081  |   |   |   | 761 |   |   |   | 1,285 |   |
| Depreciation and amortization                 |   |                    | 1,679  |   |   |   | 1,475 |   |   |   | 1,250 |   |
| Other                                         |   |                    | 656    |   |   |   | 819 |   |   |   | 784 |   |
| Participation in respect of government grants |   |                    | (180   | ) |   |   | (305 | ) |   |   | (92 | ) |
|                                          |   |                    |   |   |   |   |   |   |   |   |   |   |
|                                          |   | $                       | 16,405 |   |   | $ | 14,449 |   |   | $ | 14,022 |   |

|  | c. | Business development: |
|--|----|-----------------------|

|                     |   | Year ended December 31, |   |
|--------------------------|--------|-------------------------|--------|
|                     |   | 2016                    |   |   | 2015 |   |   | 2014 |   |
|                     |   |                    |   |   |   |   |   |   |   |
| Salaries and benefits    |   | $                       | 947    |   |   | $ | 1,010 |   |   | $ | 1,287 |   |
| Share-based compensation |   |                    | 508    |   |   |   | 685 |   |   |   | 347 |   |
| Travel                   |   |                    | 136    |   |   |   | 160 |   |   |   | 139 |   |
| Legal                    |   |                    | 16     |   |   |   | 56 |   |   |   | 55 |   |
| Other                    |   |                    | 89     |   |   |   | 53 |   |   |   | 23 |   |
|                     |   |                    |   |   |   |   |   |   |   |   |   |   |
|                     |   | $                       | 1,696  |   |   | $ | 1,964 |   |   | $ | 1,851 |   |

|  | d. | General and administrative: |
|--|----|-----------------------------|

|                     |   | Year ended December 31, |   |
|--------------------------|--------|-------------------------|--------|
|                     |   | 2016                    |   |   | 2015 |   |   | 2014 |   |
|                     |   |                    |   |   |   |   |   |   |   |
| Salaries and benefits    |   | $                       | 1,551  |   |   | $ | 1,608 |   |   | $ | 1,780 |   |
| Share-based compensation |   |                    | 835    |   |   |   | 1,317 |   |   |   | 1,278 |   |
| Professional fees        |   |                    | 1,228  |   |   |   | 1,200 |   |   |   | 1,004 |   |
| Other                    |   |                    | 275    |   |   |   | 257 |   |   |   | 123 |   |
|                     |   |                    |   |   |   |   |   |   |   |   |   |   |
|                     |   | $                       | 3,889  |   |   | $ | 4,382 |   |   | $ | 4,185 |   |

----

----

|  | e. | Financing income and expenses Financing income: |
|--|----|------------------------------------------------------|

|                      |   | Year ended December 31, |   |
|---------------------------|--------|-------------------------|--------|
|                      |   | 2016                    |   |   | 2015 |   |   | 2014 |   |
|                      |   |                    |   |   |   |   |   |   |   |
| Exchange differences, net |   | $                       | 17     |   |   | $ | 41 |   |   | $ | 18 |   |
| Interest income           |   |                    | 2,400  |   |   |   | 2,530 |   |   |   | 2,224 |   |
| Hedging instruments       |   |                    | 7      |   |   |   | - |   |   |   | - |   |
|                      |   |                    |   |   |   |   |   |   |   |   |   |   |
|                      |   | $                       | 2,424  |   |   | $ | 2,571 |   |   | $ | 2,242 |   |

|                                                       |   | Year ended December 31, |   |
|------------------------------------------------------------|--------|-------------------------|--------|
|                                                       |   | 2016                    |   |   | 2015 |   |   | 2014 |   |
|                                                       |   |                    |   |   |   |   |   |   |   |
| Bank expenses and commissions                              |   | $                       | 155    |   |   | $ | 195 |   |   | $ | 200 |   |
| Change in the fair value of marketable securities          |   |                    | 703    |   |   |   | 1,237 |   |   |   | 832 |   |
| Hedging instruments                                        |   |                    | -      |   |   |   | 99 |   |   |   | 164 |   |
| Devaluation of investment                                  |   |                    | -      |   |   |   | 332 |   |   |   | 89 |   |
| Revaluation of liabilities in respect of government grants |   |                    | 33     |   |   |   | - |   |   |   | 231 |   |
|                                                       |   |                    |   |   |   |   |   |   |   |   |   |   |
|                                                       |   | $                       | 891    |   |   | $ | 1,863 |   |   | $ | 1,516 |   |

|                                                                                      |   | Year ended December 31,      |       |
|-------------------------------------------------------------------------------------------|--------|------------------------------|------------|
|                                                                                      |   | 2016                         |       |   | 2015 |   |   | 2014 |   |
|                                                                                      |   | Weighted number of shares *) |       |   | Loss |   |   | Weighted number of shares *) |   |   | Loss |   |   | Weighted number of shares *) |   |   | Loss |   |
|                                                                                      |   |                         |       |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Number of shares and net loss for the computation of basic and diluted net loss per share |   |                         | 25,444,733 |   |   |   | (19,592 | ) |   |   | 25,378,325 |   |   |   | (17,213 | ) |   |   | 25,100,556 |   |   |   | (14,530 | ) |

|  | *) | To compute diluted net loss per share, potential ordinary shares, detailed below, have not been taken into account due to their anti-dilutive effect. |
|--|----|-------------------------------------------------------------------------------------------------------------------------------------------------------|

----

----

| NOTE 21: - | OPERATING SEGMENTS |
|------------|--------------------|

|  | a. | General: |
|--|----|----------|

| Evogene segment | -      | Develops seed traits, ag-chemical products, and ag-biological products to improve plant performance.      |
|-----------------|--------|-----------------------------------------------------------------------------------------------------------|
|            |   |                                                                                                      |
| Evofuel segment | -      | Develops improved castor bean seeds to serve as a feedstock source for biofuel and other industrial uses. |

|  | b. | The following table presents our revenues and operating loss by segments: |
|--|----|---------------------------------------------------------------------------|

|                                      |   | Evogene |    |   | Evofuel |   |   | Adjustments |   |   | Total  |   |
|-------------------------------------------|--------|---------|---------|--------|---------|--------|--------|-------------|--------|--------|--------|--------|
|                                      |   |    |    |   |    |   |   |        |   |   |   |   |
| For the Year Ended December 31, 2016 |   |    |    |   |    |   |   |        |   |   |   |   |
|                                      |   |    |    |   |    |   |   |        |   |   |   |   |
| Revenues                                  |   | $       | 6,540   |   |    | $      | -      |        |   | $      | -      |   |   | $ | 6,540 |   |
|                                      |   |    |    |   |    |   |   |        |   |   |   |   |   |   |   |   |
| Operating loss                            |   | $       | (20,168 | )      |    | $      | (921   | )           |   | $      | -      |   |   | $ | (21,089 | ) |
|                                      |   |    |    |   |    |   |   |        |   |   |   |   |   |   |   |   |
| Net financing income                      |   |    |    |   |    |   |   |        |   |   |   |   |   |   | 1,533 |   |
|                                      |   |    |    |   |    |   |   |        |   |   |   |   |   |   |   |   |
| Loss before taxes on income               |   |    |    |   |    |   |   |        |   |   |   |   |   | $ | (19,556 | ) |

----

----

| NOTE 21: - | OPERATING SEGMENTS (Cont.) |
|-----------------|----------------------------|

|                                      |   | Evogene |    |   | Evofuel |   |   | Adjustments |   |   | Total  |   |
|-------------------------------------------|--------|---------|---------|--------|---------|--------|--------|-------------|--------|--------|--------|--------|
|                                      |   |    |    |   |    |   |   |        |   |   |   |   |
| For the Year Ended December 31, 2015 |   |    |    |   |    |   |   |        |   |   |   |   |
|                                      |   |    |    |   |    |   |   |        |   |   |   |   |
| Revenues                                  |   | $       | 11,129  |   |    | $      | -      |        |   | $      | -      |   |   | $ | 11,129 |   |
|                                      |   |    |    |   |    |   |   |        |   |   |   |   |   |   |   |   |
| Operating loss                            |   | $       | (16,146 | )      |    | $      | (1,775 | )           |   | $      | -      |   |   | $ | (17,921 | ) |
|                                      |   |    |    |   |    |   |   |        |   |   |   |   |   |   |   |   |
| Net financing income                      |   |    |    |   |    |   |   |        |   |   |   |   |   |   | 708 |   |
|                                      |   |    |    |   |    |   |   |        |   |   |   |   |   |   |   |   |
| Loss before taxes on income               |   |    |    |   |    |   |   |        |   |   |   |   |   | $ | (17,213 | ) |

|                                      |   | Evogene |    |   | Evofuel |   |   | Adjustments |   |   | Total  |   |
|-------------------------------------------|--------|---------|---------|--------|---------|--------|--------|-------------|--------|--------|--------|--------|
|                                      |   |    |    |   |    |   |   |        |   |   |   |   |
| For the Year Ended December 31, 2014 |   |    |    |   |    |   |   |        |   |   |   |   |
|                                      |   |    |    |   |    |   |   |        |   |   |   |   |
| Revenues                                  |   | $       | 14,511  |   |    | $      | -      |        |   | $      | -      |   |   | $ | 14,511 |   |
|                                      |   |    |    |   |    |   |   |        |   |   |   |   |   |   |   |   |
| Operating loss                            |   | $       | (13,078 | )      |    | $      | (2,178 | )           |   | $      | -      |   |   | $ | (15,256 | ) |
|                                      |   |    |    |   |    |   |   |        |   |   |   |   |   |   |   |   |
| Net financing expenses                    |   |    |    |   |    |   |   |        |   |   |   |   |   |   | 726 |   |
|                                      |   |    |    |   |    |   |   |        |   |   |   |   |   |   |   |   |
| Loss before taxes on income               |   |    |    |   |    |   |   |        |   |   |   |   |   | $ | (14,530 | ) |

|  | c. | Major customers: |
|--|----|------------------|

|                     |   | Year ended December 31, |   |
|--------------------------|--------|-------------------------|--------|
|                     |   | 2016                    |   |   | 2015 |   |   | 2014 |   |
|                     |   |                    |   |   |   |   |   |   |   |
| Customer A (shareholder) |   |                    | 77     | % |   |   | 77 | % |   |   | 60 | % |
| Customer B               |   |                    | 11     | % |   |   | 14 | % |   |   | 27 | % |
| Customer C               |   |                    | 12     | % |   |   | - |   |   |   | - |   |

|  | d. | Geographical information: |
|--|----|---------------------------|

|          |   | Year ended December 31, |   |
|---------------|--------|-------------------------|--------|
|          |   | 2016                    |   |   | 2015 |   |   | 2014 |   |
|          |   |                    |   |   |   |   |   |   |   |
| United States |   |                    | 89     | % |   |   | 86 | % |   |   | 73 | % |
| Germany       |   |                    | 11     | % |   |   | 14 | % |   |   | 27 | % |
|          |   |                    |   |   |   |   |   |   |   |   |   |   |
|          |   |                    | 100    | % |   |   | 100 | % |   |   | 100 | % |

----

----

| NOTE 22: - | BALANCES AND TRANSACTIONS WITH KEY OFFICERS AND CERTAIN SHAREHOLDERS |
|------------|----------------------------------------------------------------------|

|  | a. | 2016 shareholders information refers to Monsanto, which to the best of the Company’s knowledge hold approximately 6.4%, of the Company's ordinary shares and is also a major customer (see also Notes 5, 21(c)). |
|--|----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | b. | Balances: |
|--|----|-----------|

|           |   | Key officers |   |   | Certain shareholder |   |
|----------------|--------|--------------|--------|--------|---------------------|--------|
|           |   |         |   |   |                |   |
| Receivables    |   | $            | -      |   |                | $      | 283 |   |
| Other payables |   | $            | 285    |   |                | $      | - |   |

|           |   | Key officers |   |   | Certain shareholder |   |
|----------------|--------|--------------|--------|--------|---------------------|--------|
|           |   |         |   |   |                |   |
| Receivables    |   | $            | -      |   |                | $      | 2,746 |   |
| Other payables |   | $            | 505    |   |                | $      | - |   |

|  | c. | Benefits to directors: |
|--|----|------------------------|

|                                                                      |   | Year ended December 31, |   |
|---------------------------------------------------------------------------|--------|-------------------------|--------|
|                                                                      |   | 2016                    |   |   | 2015 |   |   | 2014 |   |
|                                                                      |   |                    |   |   |   |   |   |   |   |
| Compensation to directors not employed by the Company or on its behalf    |   | $                       | 322    |   |   | $ | 371 |   |   | $ | 289 |   |
|                                                                           |   |                    |        |   |   |   |  |   |   |   |  |   |
|   Number of directors received the above compensation by the Company |   |                    | 9      |   |   |   | 8 |   |   |   | 8 |   |

|  | d. | Salary and Benefits to key officers: |
|--|----|--------------------------------------|

|                                               |   | Year ended December 31, |   |
|----------------------------------------------------|--------|-------------------------|--------|
|                                               |   | 2016                    |   |   | 2015 |   |   | 2014 |   |
|                                               |   |                    |   |   |   |   |   |   |   |
| Salary and related benefits                        |   | $                       | 1,714  |   |   | $ | 1,849 |   |   | $ | 1,935 |   |
| Share-based compensation                           |   |                    | 1,467  |   |   |   | 2,254 |   |   |   | 1,637 |   |
|                                               |   |                    |   |   |   |   |   |   |   |   |   |   |
|                                               |   | $                       | 3,181  |   |   | $ | 4,103 |   |   | $ | 3,572 |   |
| Number of people that received salary and benefits |   |                    | 10     |   |   |   | 8 |   |   |   | 6 |   |

----

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| NOTE 22: - | BALANCES AND TRANSACTIONS WITH KEY OFFICERS AND CERTAIN SHAREHOLDERS (Cont.) |
|------------|------------------------------------------------------------------------------|

|  | e. | Transactions: |
|--|----|---------------|

|                                |   | Key officers |   |   | Certain shareholders |   |
|-------------------------------------|--------|--------------|--------|--------|----------------------|--------|
|                                |   |         |   |   |                 |   |
| Revenues                            |   | $            | -      |   |                 | $      | (5,058 | ) |
| Cost of revenues                    |   |         | 104    |   |                 |   | (782 | ) |
| Research and development expenses   |   |         | 1,286  |   |                 |   | - |   |
| Business development expenses       |   |         | 710    |   |                 |   | - |   |
| General and administrative expenses |   |         | 1,081  |   |                 |   | - |   |
|                                |   |         |   |   |                 |   |   |   |
|                                |   | $            | 3,181  |   |                 | $      | (5,840 | ) |

|                                |   | Key officers |   |   | Certain shareholders |   |
|-------------------------------------|--------|--------------|--------|--------|----------------------|--------|
|                                |   |         |   |   |                 |   |
| Revenues                            |   | $            | -      |   |                 | $      | (10,095 | ) |
| Cost of revenues                    |   |         | 544    |   |                 |   | (656 | ) |
| Research and development expenses   |   |         | 1,194  |   |                 |   | - |   |
| Business development expenses       |   |         | 874    |   |                 |   | - |   |
| General and administrative expenses |   |         | 1,491  |   |                 |   | - |   |
|                                |   |         |   |   |                 |   |   |   |
|                                |   | $            | 4,103  |   |                 | $      | (10,751 | ) |

|                                |   | Key officers |   |   | Certain shareholders |   |
|-------------------------------------|--------|--------------|--------|--------|----------------------|--------|
|                                |   |         |   |   |                 |   |
| Revenues                            |   | $            | -      |   |                 | $      | (12,611 | ) |
| Cost of revenues                    |   |         | 185    |   |                 |   | (635 | ) |
| Research and development expenses   |   |         | 1,035  |   |                 |   | - |   |
| Business development expenses       |   |         | 937    |   |                 |   | - |   |
| General and administrative expenses |   |         | 1,415  |   |                 |   | - |   |
|                                |   |         |   |   |                 |   |   |   |
|                                |   | $            | 3,572  |   |                 | $      | (13,246 | ) |

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