Dr. Robert Gundel reports

AMORFIX ANNOUNCES PRIVATE PLACEMENT

Amorfix Life Sciences Ltd. intends to complete, subject to regulatory and shareholder approvals, a non-brokered private placement of a minimum of 50 million shares up to a maximum of 83,333,333 shares at a price of three cents per common share of Amorfix for gross proceeds of a minimum of $1.5-million and up to $2.5-million. There will be no warrants attached to this offering. In connection with this offering, Amorfix may pay finder fees of up to 7 per cent of the gross proceeds. It is anticipated that insiders will be participating as part of this offering.

Following on from the company's March 16, 2015, announcement to seek strategic alternatives to develop its business, and after careful consideration of various financing vehicles, the board of directors has decided to relaunch the company with a clear focus on neurodegenerative diseases, in particular Alzheimer's disease and amyotrophic lateral sclerosis. Accordingly, in addition to paying off outstanding debt, the net proceeds of this financing will be used to generate new intellectual property, allowing future development of specific diagnostics and therapeutics for neurodegenerative disease; continue support and maintenance of existing IP; engage an experienced senior management team; and for general corporate purposes.

"This financing will allow us to relaunch Amorfix based on recent and significant scientific discoveries in the field of neurodegenerative disease," said William Wyman, Amorfix chairman of the board of directors. "The company's strong science foundation under the continuing leadership of Dr. Neil Cashman, particularly in the field of misfolded proteins, and a new management team with deep and broad experience bode well for this relaunch of Amorfix as a potential leader in the development of precision medicines for neurodegenerative disease."

All securities issued in connection with this offering will be subject to a four-month hold period from the date of issuance in accordance with applicable securities law. The closing of the offering is subject to receipt of both Toronto Stock Exchange approval and shareholder approval.

If any insiders of the company participate in the private placement, any such subscription will be considered to be a related-party transaction within the meaning of Multilateral Instrument 61-101. Amorfix intends to rely on the exemptions from the valuation and minority shareholder approval requirements of MI 61-101 contained in sections 5.5(a) and 5.7(1)(a) of MI 61-101 in respect of any insider participation. Currently, the company expects $400,000 or more in insider participation.

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