ESSA Pharma reports net loss of $5.9 million for second quarter 2015

ESSA Pharma Inc. ("ESSA" or the "Company") (TSX-V: EPI) today reported financial results for the second quarter and three and six months ended March 31, 2015. Amounts, unless specified otherwise, are expressed in Canadian dollars and in accordance with International Financial Reporting Standards ("IFRS").

Summary Results

ESSA recorded a net loss of $5.9 million ($0.35 per common share) for the six months ended March 31, 2015 (Q2-2015), compared to a net loss of $0.4 million ($0.03 per common share) for the six months ended March 31, 2014 (Q2-2014).

Research and Development ("R&D") expenditures for Q2-2015 were $3.8 million compared to $0.2 million for Q2-2014. The increase was primarily due to increased R&D activity related to preclinical work on the clinical candidate EPI-506, leading up to the filing of the Investigational New Drug application on March 31, 2015.

General and administration expenditures for Q2-2015 were $1.2 million compared to $0.2 million for Q2-2014. The increase was primarily due to increased activity as a corporate entity as the Company successfully completed a listing on the TSX Venture Exchange in January 2015. The Company has applied for a listing on the NASDAQ Capital Market and has filed a registration statement on Form 20-F with the United States Securities and Exchange Commission.

Liquidity and Outstanding Share Capital

At March 31, 2015, ESSA had cash and cash equivalents of $13.2 million which included net proceeds of $14.2 million from the issuance of special warrants in January 2015.

As of March 31, 2015, the company had 18,144,322 common shares issued and outstanding, 4,363,634 special warrants ("2015 Special Warrants"), 1,634,750 common shares issuable upon the exercise of outstanding stock options at a weighted-average exercise price of $1.12 per share, and 312,604 common shares issuable upon the exercise of outstanding warrants at a weighted-average exercise price of $3.22 per share.

The 2015 Special Warrants are exercisable for, without payment of any additional consideration, one common share at any time by the holder thereof and all of the special warrants will be deemed to be exercised on the earlier of: (i) October 16, 2015 and (ii) the date on which the common shares first begin to trade on either (i) the Nasdaq Global Select Market, the Nasdaq Global Market or the Nasdaq Capital Market securities trading platforms of the NASDAQ Stock Market or (ii) the NYSE MKT securities trading platform of the New York Stock Exchange (the "U.S. Listing Date"). Should the U.S. Listing Date not occur on or prior to October 16, 2015, instead of one common share, each 2015 Special Warrant shall entitle the holder thereof to receive 1.5 common shares upon exercise or deemed exercise thereof.