During the fourth quarter of 2012, Allon announced that its pivotal clinical trial evaluating its lead product candidate davunetide as a treatment for progressive supranuclear palsy (PSP) failed to demonstrate efficacy in this population.  Since that time the Company has been pursuing strategic options for the business to exploit the economic potential of its assets.  The Company expects to conclude this process during the second quarter of 2013.

Results of operations
Allon reported a net loss of $1,071,311 ($0.01 per share) for the three months ended March 31, 2013, compared to a net loss of $2,778,704 ($0.03 per share) for the three months ended March 31, 2012, representing a decrease in net loss of $1,707,393. R&D expenses for the three months ended March 31, 2013 were $578,790, consisting primarily of closing costs related to the PSP clinical trial.  At March 31, 2013, the Company had cash and cash equivalents of $589,484.

About Allon
Allon Therapeutics Inc. is a clinical-stage biotechnology company focused on bringing to market innovative central nervous system therapies. The Company is listed on the Toronto Stock Exchange under the trading symbol “NPC”.

Forward Looking Statements
Statements contained herein, other than those which are strictly statements of historical fact may include forward-looking information. Such statements will typically contain words such as “believes”, “may”, “plans”, “will”, “estimate”, “continue”, “anticipates”, “intends”, “expects”, and similar expressions. While forward-looking statements represent management’s outlook based on assumptions that management believes are reasonable, forward-looking statements by their nature are subject to known and unknown risks, uncertainties and other factors that may cause the actual results, events or developments to be materially different from any future results, events or developments expressed or implied by them. Such factors include, among others, the inherent uncertainty involved in scientific research and drug development, Allon’s early stage of development, lack of product revenues, its additional capital requirements, the risks associated with successful completion of clinical trials and the long lead-times and high costs associated with obtaining regulatory approval to market any product which Allon may eventually develop. Other risk factors include the limited protections afforded by intellectual property rights, rapid technology and product obsolescence in a highly competitive environment and Allon’s dependence on collaborative partners and contract research organizations. These factors can be reviewed in Allon’s public filings at www.sedar.com and should be considered carefully. Readers are cautioned not to place undue reliance on such forward-looking statements. Similarly, nothing in this press release is meant to promote a pharmaceutical product or make a regulated claim of efficacy.

FOR FURTHER INFORMATION PLEASE CONTACT:
Carrie Christenson
Allon Therapeutics Inc.
(604) 736-0634
info@allontherapeutics.com
www.allontherapeutics.com

During the fourth quarter of 2012, Allon announced that its pivotal clinical trial evaluating its lead product candidate davunetide as a treatment for progressive supranuclear palsy (PSP) failed to demonstrate efficacy in this population.

Gordon McCauley, Allon’s President & CEO, said “the Company is continuing to evaluate its strategic options going forward, and believes that there are logical strategic options for the business.  Assuming that one of these transactions completes, we believe the Company will be able to meet its obligations, however until that process is complete we will continue to aggressively manage cash.”

This strategic review includes all options for exploiting Allon’s assets and aggressive management of ongoing operating expenses.

Results of operations
Allon reported a net loss of $14,916,297 ($0.12 per share) for the year ended December 31, 2012, compared to a net loss of $12,774,995 ($0.15 per share) for the year ended December 31, 2011, representing an increase in net loss of $2,141,302.  At December 31, 2012, the Company had cash and cash equivalents of approximately $1.37 million.

About Allon
Allon Therapeutics Inc. is a clinical-stage biotechnology company focused on bringing to market innovative central nervous system therapies. The Company is listed on the Toronto Stock Exchange under the trading symbol “NPC”.

Forward Looking Statements
Statements contained herein, other than those which are strictly statements of historical fact may include forward-looking information. Such statements will typically contain words such as “believes”, “may”, “plans”, “will”, “estimate”, “continue”, “anticipates”, “intends”, “expects”, and similar expressions. While forward-looking statements represent management’s outlook based on assumptions that management believes are reasonable, forward-looking statements by their nature are subject to known and unknown risks, uncertainties and other factors that may cause the actual results, events or developments to be materially different from any future results, events or developments expressed or implied by them. Such factors include, among others, the inherent uncertainty involved in scientific research and drug development, Allon’s early stage of development, lack of product revenues, its additional capital requirements, the risks associated with successful completion of clinical trials and the long lead-times and high costs associated with obtaining regulatory approval to market any product which Allon may eventually develop. Other risk factors include the limited protections afforded by intellectual property rights, rapid technology and product obsolescence in a highly competitive environment and Allon’s dependence on collaborative partners and contract research organizations. These factors can be reviewed in Allon’s public filings at www.sedar.com and should be considered carefully. Readers are cautioned not to place undue reliance on such forward-looking statements. Similarly, nothing in this press release is meant to promote a pharmaceutical product or make a regulated claim of efficacy.

FOR FURTHER INFORMATION PLEASE CONTACT:
Carrie Christenson
Allon Therapeutics Inc.
(604) 736-0634
info@allontherapeutics.com
www.allontherapeutics.com

In addition, the Company has been informed by the Toronto Stock Exchange (“TSX”) that the TSX is reviewing the eligibility for continued listing of Allon’s common shares on the TSX.  The market value of Allon’s listed equity has declined to less than the required $3.0 million for a period of 30 consecutive days.  Based on the strategic review Allon believes that a transaction, or series of transactions, are achievable that will allow the Company to maintain its TSX listing and maximize the value of the Company’s assets.

The Company is being reviewed under the TSX’s Remedial Review Process and has been granted 120 days to comply with all requirements for continued listing. If the Company is unable to demonstrate on or before May 30, 2013 that it meets all TSX requirements for continued listing, the Company’s securities will be delisted 30 days from such date.

At this time, Allon intends to defend its listing.  However, no assurances can be given that the Company will be able to satisfactorily resolve the issues which have led to the review and continue to meet all other listing obligations and as a result, the Company’s securities may be delisted.

About Allon
Allon Therapeutics Inc. is a clinical-stage biotechnology company focused on bringing to market innovative central nervous system therapies. The Company is listed on the Toronto Stock Exchange under the trading symbol “NPC”.

Forward Looking Statements
Statements contained herein, other than those which are strictly statements of historical fact may include forward-looking information. Such statements will typically contain words such as “believes”, “may”, “plans”, “will”, “estimate”, “continue”, “anticipates”, “intends”, “expects”, and similar expressions. While forward-looking statements represent management’s outlook based on assumptions that management believes are reasonable, forward-looking statements by their nature are subject to known and unknown risks, uncertainties and other factors that may cause the actual results, events or developments to be materially different from any future results, events or developments expressed or implied by them. Such factors include, among others, the inherent uncertainty involved in scientific research and drug development, Allon’s early stage of development, lack of product revenues, its additional capital requirements, the risks associated with successful completion of clinical trials and the long lead-times and high costs associated with obtaining regulatory approval to market any product which Allon may eventually develop. Other risk factors include the limited protections afforded by intellectual property rights, rapid technology and product obsolescence in a highly competitive environment and Allon’s dependence on collaborative partners and contract research organizations.  Examples of forward looking statements in this press release include statements regarding the Company’s strategic review process and the ability of the Company to complete a transaction, or series of transactions, that will allow the Company to meet all TSX continued listing requirements. These factors can be reviewed in Allon’s public filings at www.sedar.com and should be considered carefully. Readers are cautioned not to place undue reliance on such forward-looking statements. Similarly, nothing in this press release is meant to promote a pharmaceutical product or make a regulated claim of efficacy.

FOR FURTHER INFORMATION PLEASE CONTACT:
Carrie Christenson
604-736-0634
info@allontherapeutics.com
www.allontherapeutics.com

“We are grateful for Michael’s involvement and expertise, which contributed to Allon’s achievements over the last few years,” said Gordon McCauley, President and CEO.

About Allon
Allon Therapeutics Inc. is a clinical-stage biotechnology company focused on bringing to market innovative central nervous system therapies. The Company is listed on the Toronto Stock Exchange under the trading symbol “NPC”.

Forward Looking Statements
Statements contained herein, other than those which are strictly statements of historical fact may include forward-looking information. Such statements will typically contain words such as “believes”, “may”, “plans”, “will”, “estimate”, “continue”, “anticipates”, “intends”, “expects”, and similar expressions. While forward-looking statements represent management’s outlook based on assumptions that management believes are reasonable, forward-looking statements by their nature are subject to known and unknown risks, uncertainties and other factors that may cause the actual results, events or developments to be materially different from any future results, events or developments expressed or implied by them. Such factors include, among others, the inherent uncertainty involved in scientific research and drug development, Allon’s early stage of development, lack of product revenues, its additional capital requirements, the risks associated with successful completion of clinical trials and the long lead-times and high costs associated with obtaining regulatory approval to market any product which Allon may eventually develop. Other risk factors include the limited protections afforded by intellectual property rights, rapid technology and product obsolescence in a highly competitive environment and Allon’s dependence on collaborative partners and contract research organizations. These factors can be reviewed in Allon’s public filings at www.sedar.com and should be considered carefully. Readers are cautioned not to place undue reliance on such forward-looking statements. Similarly, nothing in this press release is meant to promote a pharmaceutical product or make a regulated claim of efficacy.

FOR FURTHER INFORMATION PLEASE CONTACT:
Carrie Christenson
604-736-0634
info@allontherapeutics.com
www.allontherapeutics.com

As part of this process approximately 40% of its staff has been terminated. These changes are consistent with the strategic review announced on December 18.  As part of that strategic review, a number of additional personnel have accepted working notice of potential future termination while the Company assesses its strategic options.

Allon also announced that Dr. Michael Gold, Vice President, Clinical Development and Chief Medical Officer of the Company, has resigned.  “We are grateful for Mike’s leadership and expertise, which contributed so much to a well-designed and executed pivotal study”, said Gordon McCauley, President and CEO.

About Allon
Allon Therapeutics Inc. is a clinical-stage biotechnology company focused on bringing to market innovative central nervous system therapies. The Company is listed on the Toronto Stock Exchange under the trading symbol “NPC”.

Forward Looking Statements
Statements contained herein, other than those which are strictly statements of historical fact may include forward-looking information. Such statements will typically contain words such as “believes”, “may”, “plans”, “will”, “estimate”, “continue”, “anticipates”, “intends”, “expects”, and similar expressions. While forward-looking statements represent management’s outlook based on assumptions that management believes are reasonable, forward-looking statements by their nature are subject to known and unknown risks, uncertainties and other factors that may cause the actual results, events or developments to be materially different from any future results, events or developments expressed or implied by them. Such factors include, among others, the inherent uncertainty involved in scientific research and drug development, Allon’s early stage of development, lack of product revenues, its additional capital requirements, the risks associated with successful completion of clinical trials and the long lead-times and high costs associated with obtaining regulatory approval to market any product which Allon may eventually develop. Other risk factors include the limited protections afforded by intellectual property rights, rapid technology and product obsolescence in a highly competitive environment and Allon’s dependence on collaborative partners and contract research organizations. These factors can be reviewed in Allon’s public filings at www.sedar.com and should be considered carefully. Readers are cautioned not to place undue reliance on such forward-looking statements. Similarly, nothing in this press release is meant to promote a pharmaceutical product or make a regulated claim of efficacy.

FOR FURTHER INFORMATION PLEASE CONTACT:
Carrie Christenson
604-736-0634
info@allontherapeutics.com
www.allontherapeutics.com