DGAP-News

MagForce AG: MagForce publishes financial results for the first half of 2014 and operative highlights

DGAP-News: MagForce AG / Key word(s): Half Year Results
MagForce AG: MagForce publishes financial results for the first half
of 2014 and operative highlights

14.08.2014 / 08:30

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- Start of post-marketing study (MF1001) with glioblastoma patients in
Germany

- Positive pre-IDE meeting with U.S. Food and Drug Administration (FDA)
about the registration process for NanoTherm(TM) therapy in the USA

- Incorporation of subsidiary MagForce USA, Inc.

- Outlicensing of NanoTherm(TM) therapy for the treatment of prostate
cancer to MagForce USA, Inc. leads to net profit of EUR 3.8 million

- Successful closing of growth financing round for MagForce USA, Inc.
with proceeds of USD 15 million with an additional USD 15 million in
warrants under the lead of Mithril Capital Management (after period
end)

- Outlook for 2014 confirmed

Berlin, Germany, and Nevada, USA, August 14, 2014 - MagForce AG (Frankfurt,
Entry Standard, XETRA: MF6, ISIN: DE000A0HGQF5), a leading medical device
company in the field of nanomedicine focused on oncology, today published
financial results for the first half of 2014, ending on June 30, 2014, and
operative highlights.

Ben J. Lipps, CEO of MagForce, commented: "I am pleased to inform you that
we are well on track, both in Europe and the US, and that I am very happy
with MagForce's performance. With our EU-wide certification, we are
planning to begin the commercial treatment of brain tumors in Germany
sometime at the end of this year. In the US, from a long-term perspective,
the greatest market potential comes from the treatment of prostate cancer.
In view of the extremely positive development we have experienced over the
past ten months, I am convinced that we will meet our financial targets in
Europe and North America. We are continuing our preparations for
registration in the US and are planning to begin clinical trials in 2015.
In August, we also successfully completed the first round of financing for
MagForce USA, Inc. and raised USD 15 million with an additional USD 15
million in warrants to finance the development of the NanoTherm(TM) therapy
in the US. I am delighted that we have managed to convince important
strategic investors such as PayPal founder Peter Thiel to invest in
MagForce USA."

Results of operations, net assets and financial position

MagForce's financial development in the half-year period that ended June
30, 2014, was in line with the management's expectations. In particular,