Orphazyme completes the sale of substantially all of its assets and business operations to KemPharm

ORPHAZYME A/S

Orphazyme AS
company announcement

No. 29/2022
Inside information
www.orphazyme.com
Company registration number 32266355

Copenhagen, Denmark, May 31, 2022 – With reference to company announcement no. 24/2022 dated May 15, 2022, regarding the execution of an agreement to sell substantially all of the assets and business operations of Orphazyme to KemPharm Denmark A/S, a wholly owned subsidiary of KemPharm Inc. (KMPH : NASDAQ, NY), (“KemPharm”), and company announcement no. 28/2022 dated May 30, 2022, with respect to the approval of the proposed restructuring, Orphazyme A/S (ORPH) (“Orphazyme” or the “Company”), announces today that it has completed the sale of the substantially all of its assets and business operations for cash consideration of $12.8 million and the assumption of liabilities estimated at approximately $5.2 million (the “Asset Sale”) to KemPharm following the adoption of the restructuring proposal.

Following the completion of the sale of assets to KemPharm, Orphazyme will no longer have ongoing operational business activities and KemPharm will retain all remaining Danish Orphazyme employees, to continue early access programs with arimoclomol and to pursue potential approval of arimoclomol as a treatment option for NPC.

“We are very pleased to have completed the sale of assets to KemPharm given Orphazyme’s situation in legal restructuring, as the agreement is able to satisfy our obligations to creditors and employees and given that KemPharm has a particular interest in taking possession of arimoclomol and pursuing the development of arimoclomol in the hope of making it available to NPC patients,” said Georges Gemayel, Chairman of the Board of Orphazyme.

For more information, please contact

Orphazyme A/S

Anders Vadsholt, Managing Director and Chief Financial Officer: +45 2898 9055

Forward-looking statement
This company announcement may contain certain forward-looking statements under the United States Private Securities Litigation Reform Act of 1995 and others, including forward-looking statements regarding the company’s restructuring process and the company’s completion of the sale of substantially all of its assets and business activities to KemPharm Denmark A/S. Although the Company believes that its expectations are based on reasonable assumptions, all statements other than statements of historical facts included in this Company announcement regarding future events are subject to (i) change without notice and (ii) factors beyond the Company’s control, including pursuant to regulatory or judicial intervention. Except as required by law, the Company undertakes no obligation to update these forward-looking statements publicly, or to update the reasons why actual results could differ materially from those anticipated in the forward-looking statements, even if new information becomes available in the future.

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