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Ad hoc announcement - Inside information pursuant to Article 17 MAR

Heidelberg Pharma AG and Partner Huadong Receive all Approvals for the Announced Transaction from the Authorities and Plan Capital Measure

Ladenburg, Germany, 9^th May 2022 – As of 27^th February 2022, Heidelberg Pharma and Huadong Medicine Co., Ltd., Hangzhou, China, (Huadong) have entered into a strategic partnership with the signing of an exclusive licensing agreement as well as an investment agreement regarding an equity investment in Heidelberg Pharma. The investment by Huadong is planned in August 2022 totaling EUR 105 million, representing 35% of outstanding shares after the transaction, consisting of a rights issue and a share transfer.

The investment agreement was subject to certain closing conditions such as the foreign trade clearance, Huadong's exemption from the obligation to make a mandatory offer by the Bundesanstalt für Finanzdienstleistungsaufsicht (BaFin, Federal Financial Supervisory Authority), as well as foreign direct investment (ODI) approval required under Chinese law. These closing conditions are now fulfilled. Therefore, Heidelberg Pharma is planning to implement the rights issue.

Terms of the rights issue

- Heidelberg Pharma is planning a rights issue in cash based on a prospectus of up to EUR 80 million, issuing up to 12,408,648 shares at EUR 6.44 per share, the price of the last funding round in April 2021, using authorized capital. The prospectus is expected to be approved by BaFin by 12^th August 2022. The rights offering will presumably be published on 15^th August 2022 in the German Federal Gazette.

- The subscription period is scheduled to start on 16^th August 2022 at 0:00 hours (CEST) and to end on 29^th August 2022 at 24:00 hours (CEST). The subscription ratio will be 11:4, so eleven old shares entitle to subscribe for four new shares whereby - in order to enable this subscription ratio - one shareholder will waive a respective number of subscription rights (based on the current share capital of EUR 34,175,809.00 such number amounts to 52,027 shares). The new shares will have an entitlement to profits from 1^st December 2021.

- Huadong plans to participate in the rights issue, acquiring up to approximately 26% of the outstanding shares after completion of the rights issue. In order to achieve this percentage, the main shareholder dievini Hopp BioTech holding GmbH & Co. KG, Walldorf, Germany, (dievini) and related entities have agreed to transfer their subscription rights to Huadong.

- The new shares will be offered for subscription to all shareholders. Any unsubscribed new shares will be assumed by Huadong.

- Additionally, Huadong will purchase existing shares from dievini of up to 9% of the outstanding shares to reach in total 35% of the outstanding shares following the capital increase.

- According to the current planning, the share capital of currently EUR 34,175,809.00 will increase to up to EUR 46,584,457.00 after the closing of the capital measure.

Utilization of the issue proceeds

Heidelberg Pharma AG intends to use the issue proceeds from the funding mainly for conducting the ongoing Phase I trial with HDP-101, the further development of the follow-on projects, HDP-102 and HDP-103, and for further advancing its proprietary ATAC^® technology.

Subscription offer and securities prospectus

Further details on the capital increase will be announced in the respective subscription offer, which is expected to be published in the German Federal Gazette (www.bundesanzeiger.de) on 15^th August 2022 and on the website of Heidelberg Pharma AG (www.heidelberg-pharma.com). The public offering of the new shares and admission of the new shares to trading on the Regulated Market (Prime Standard) of the Frankfurt Stock Exchange are based on a prospectus submitted to and subject to approval by BaFin. The prospectus is expected to be approved on 12^th August 2022, and the prospectus will subsequently be available on Heidelberg Pharma AG’s website (www.heidelberg-pharma.com). The new shares are expected to be included in the existing listing of the Company’s shares on the Frankfurt Stock Exchange on 5^th September 2022.

Baader Bank AG, Unterschleissheim, Germany, will carry out the capital increase as global coordinator and sole bookrunner.