venBio Select Advisor LLC (“venBio”), the beneficial owner of approximately 10.5 million shares, or 9.9%, of Immunomedics, Inc. (NASDAQ:IMMU) (“Immunomedics” or the “Company”) and its largest stockholder, today released a presentation titled: “The Case for Change at Immunomedics, Inc.” This presentation can be found at: http://www.okapivote.com/immunomedics.

In this presentation, venBio highlights the Company’s decades-long value destruction and underperformance and discusses how the Board of Directors and management have failed to advance the best interests of stockholders, especially due to the Company’s failure to form a strategic partnership to bring to market the Company’s promising Triple Negative Breast Cancer drug, IMMU-132. venBio strongly believes that it is crucial to provide experienced and competent oversight to realize the significant potential of IMMU-132. In venBio’s view, the Company’s leadership and newly-configured Board lack the independence and experience needed to right the course of Immunomedics and to maximize the value of the Company’s assets.

Highlights of venBio’s presentation and strategic plan for Immunomedics include:

  • In venBio’s view, Immunomedics’ newly-appointed Board members lack the manufacturing, regulatory, and pharmaceutical deal experience that is vital to reverse the string of strategic missteps at the Company. Furthermore, this group is highly interconnected and lacks the independence to adequately oversee the Company.
  • Newly-appointed Vice-Chairman Jason Aryeh does not have the necessary skillset or experience to position the Company for success, and has a history of overpromising, under-delivering and destroying stockholder value. Boards in which Aryeh is a director have experienced share price decline and loss of key stockholders, likely due to his history of failing to execute on promises and acting on behalf of the best interests of stockholders. His Board experience to date has been characterized by inability to complete promised acquisitions, failure to generate public market interest and poor financial performance under his oversight. In addition, while Aryeh is currently on five different Boards, none of these have relevance to Immunomedics’ core business.
  • The current Immunomedics management team that has overseen decades-long value destruction and underperformance – while simultaneously enriching themselves – will retain control with the new Board structure. Failure to execute on striking a pharma partnership in order to advance IMMU-132 threatens to add it to the long list of drug failures that have taken place at the Company under the current management team. Even with the recent success of IMMU-132, the stock price continues to underperform, in our view, largely due to management missteps. Despite poor company performance, management continues to generously reward themselves at the expense of stockholders.
  • venBio’s nominees have defined a 100-day plan with clear objectives. These include moving quickly to evaluate strategic options for Immunomedics while advancing IMMU-132 towards the market, bolstering corporate governance to rebuild confidence among key stakeholders, and improving operations and financial management of the Company.
  • venBio’s four highly-qualified nominees possess the necessary qualities to restore independent and competent governance and to maximize value for stockholders. venBio believes its nominees – Scott Canute, Peter Barton Hutt, Dr. Khalid Islam, and Dr. Behzad Aghazadeh – have the right pharmaceutical development background, commercial manufacturing expertise and pharmaceutical partnering/deal making experience needed to advance IMMU-132, build stockholder value and position the Company for long-term value creation.

We believe urgent change is necessary at Immunomedics in order to advance the IMMU-132 drug and to ultimately maximize value for all stockholders. Your vote is critical to electing a Board with the right capabilities necessary to advance the best interests of stockholders.

Vote FOR all four of venBio’s nominees on the GOLD Proxy Card today.

About venBio Select Advisor LLC

venBio Select Advisor LLC (“venBio Select”) is the SEC registered investment manager for venBio’s public markets strategy and its main equity investment vehicle – the venBio Select Fund – which primarily invests across the biotechnology and therapeutics sector. The venBio Select Fund is managed by Dr. Behzad Aghazadeh, supported by a team of seasoned professionals with advanced medical and scientific backgrounds, and extensive investment experience in the biopharmaceutical industry. The investment and business operations for venBio Select are based in New York. venBio’s separate venture capital team operates and manages their funds from San Francisco, partnering with industry leaders to build biotechnology companies with a focus on novel therapeutics for unmet medical needs.

About the Proxy Solicitation

venBio Select Advisor LLC, Behzad Aghazadeh, Scott Canute, Peter Barton Hutt and Khalid Islam (collectively, the “Participants”) have filed with the Securities and Exchange Commission (the “SEC”) a definitive proxy statement and accompanying form of proxy to be used in connection with the solicitation of proxies from the stockholders of Immunomedics (the “Company”). All stockholders of the Company are advised to read the definitive proxy statement and other documents related to the solicitation of proxies by the Participants, as they contain important information, including additional information related to the Participants. The definitive proxy statement and an accompanying proxy card is being furnished to some or all of the Company’s stockholders and is, along with other relevant documents, available at no charge on the SEC website at http://www.sec.gov/ or from Okapi Partners at 212-297-0720 or info@okapipartners.com.

Information about the Participants and a description of their direct or indirect interests by security holdings is contained in the definitive proxy statement on Schedule 14A filed by the Participants with the SEC on December 6, 2016. This document is available free of charge from the sources indicated above.

Warning Regarding Forward Looking Statements

THIS PRESS RELEASE CONTAINS FORWARD LOOKING STATEMENTS. FORWARD LOOKING STATEMENTS CAN BE IDENTIFIED BY USE OF WORDS SUCH AS "OUTLOOK", "BELIEVE", "INTEND", "EXPECT", "POTENTIAL", "WILL", "MAY", "SHOULD", "ESTIMATE", "ANTICIPATE", AND DERIVATIVES OR NEGATIVES OF SUCH WORDS OR SIMILAR WORDS. FORWARD LOOKING STATEMENTS IN THIS PRESS RELEASE ARE BASED UPON PRESENT BELIEFS OR EXPECTATIONS. HOWEVER, FORWARD LOOKING STATEMENTS AND THEIR IMPLICATIONS ARE NOT GUARANTEED TO OCCUR AND MAY NOT OCCUR AS A RESULT OF VARIOUS RISKS, REASONS AND UNCERTAINTIES. EXCEPT AS REQUIRED BY LAW, VENBIO AND ITS AFFILIATES AND RELATED PERSONS UNDERTAKE NO OBLIGATION TO UPDATE ANY FORWARD LOOKING STATEMENT, WHETHER AS A RESULT OF NEW INFORMATION, FUTURE DEVELOPMENTS OR OTHERWISE.