SIGA Announces Successful Completion of Rights Offering; Funding of Loan; Completion of Payment of PharmAthene Obligation

NEW YORK–(BUSINESS WIRE)– SIGA Technologies, Inc. (“SIGA” or the “Company”) (OTCMKTS:SIGA) today
announced the successful completion of its previously announced rights
offering (the “Rights Offering”), pursuant to which it raised
approximately $35.3 million through the sale of 23,523,195 shares of its
common stock. The final subscription price was $1.50 per share. Through
basic subscriptions and oversubscriptions, the Rights Offering was fully
subscribed and the Company did not need to draw on the commitment made
by the parties to the previously disclosed backstop agreement.

The Company also announced the funding of its previously disclosed loan
agreement, which, together with the proceeds of the Rights Offering ,
and with the use of cash on hand, enabled the Company today to satisfy,
in its entirety, the remaining portion of PharmAthene, Inc.’s judgment
against the Company.

“This marks a significant milestone for SIGA. The Company has now fully
satisfied the prior judgment, and is poised for future growth,” said CEO
Phil Gomez.

ABOUT SIGA TECHNOLOGIES, INC.

We are a company specializing in the development and commercialization
of solutions for serious unmet medical needs and biothreats. Our lead
product is Tecovirimat, TPOXX®, also known as ST-246®, an orally
administered antiviral drug that targets orthopoxvirus infections.
While TPOXX® is not yet approved as safe and effective by the U.S. Food
& Drug Administration, it is a novel small-molecule drug that is being
delivered to the Strategic National Stockpile under Project BioShield.
In August 2016, the company announced completion of enrollment and
dosing in the second and final cohort of healthy subjects for the Phase
III clinical study of TPOXX®. For more information about SIGA, please
visit SIGA’s web site at www.siga.com.

FORWARD-LOOKING STATEMENTS

This press release contains certain « forward-looking statements » within
the meaning of the Private Securities Litigation Reform Act of 1995, as
amended, including statements relating to the submission and approval of
TPOXX® by the U.S. FDA Such forward-looking statements are subject to
various known and unknown risks and uncertainties and SIGA cautions you
that any forward-looking information provided by or on behalf of SIGA is
not a guarantee of future performance. SIGA’s actual results could
differ materially from those anticipated by such forward-looking
statements due to a number of factors, some of which are beyond SIGA’s
control, including, but not limited to, (i) the risk that potential
products that appear promising to SIGA or its collaborators cannot be
shown to be efficacious or safe in subsequent pre-clinical or clinical
trials, (ii) the risk that SIGA or its collaborators will not obtain
appropriate or necessary governmental approvals to market these or other
potential products, (iii) the risk that SIGA may not be able to obtain
anticipated funding for its development projects or other needed
funding, including from anticipated governmental contracts and grants,
(iv) the risk that SIGA may not complete performance under
the Biomedical Advanced Research Development Authority (BARDA) Contract
on schedule or in accordance with contractual terms, (v) the risk that
SIGA may not be able to secure or enforce sufficient legal rights in its
products, including intellectual property protection, (vi) the risk that
any challenge to SIGA’s patent and other property rights, if adversely
determined, could affect SIGA’s business and, even if determined
favorably, could be costly, (vii) the risk that regulatory requirements
applicable to SIGA’s products may result in the need for further or
additional testing or documentation that will delay or prevent seeking
or obtaining needed approvals to market these products, (viii) the risk
that one or more protests could be filed and upheld in whole or in part
or other governmental action taken, in either case leading to a delay of
performance under the BARDA Contract or other governmental contracts,
(ix) the risk that the BARDA Contract is modified or canceled at the
request or requirement of the U.S. government, (x) the risk that the
volatile and competitive nature of the biotechnology industry may hamper
SIGA’s efforts to develop or market its products, (xi) the risk that the
changes in domestic and foreign economic and market conditions may
affect SIGA’s ability to advance its research or may affect its products
adversely, (xii) the effect of federal, state, and foreign regulation,
including drug regulation and international trade regulation, on SIGA’s
businesses, (xiii) the risk that our internal controls will not be
effective in detecting or preventing a misstatement in our financial
statements, (xiv) the risk that some amounts received and recorded as
deferred revenue may someday be determined to have been more properly
characterized as revenue when received, and (xv) the risk that some
amounts received and recorded as deferred revenue ultimately may not be
recognized as revenue. More detailed information about SIGA and risk
factors that may affect the realization of forward-looking statements,
including the forward-looking statements in this press release, is set
forth in SIGA’s filings with the Securities and Exchange Commission,
including SIGA’s Annual Report on Form 10-K for the fiscal year
ended December 31, 2015, and in other documents that SIGA has filed with
the SEC. SIGA urges investors and security holders to read those
documents free of charge at the SEC’s web site at http://www.sec.gov.
Interested parties may also obtain those documents free of charge from
SIGA. Forward-looking statements are current only as of the date on
which such statements were made, and except for our ongoing obligations
under the United States of America federal securities laws, we undertake
no obligation to update publicly any forward-looking statements whether
as a result of new information, future events, or otherwise.

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