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Synergy Pharmaceuticals Inc. (SGYP) Loss Submission Form

The Klein Law Firm announces that class action complaints have been filed on behalf of shareholders of Synergy Pharmaceuticals Inc. (NASDAQ: SGYP) who purchased shares between November 10, 2016 and November 14, 2017. The action, which was filed in the United States District Court for the Eastern District of New York, alleges that the Company violated federal securities laws.

In particular, the complaints allege that throughout the Class Period, defendants made materially false and/or misleading statements and/or failed to disclose that (1) the loan from CRG Partners III L.P. (“CRG Loan”) did not fund Synergy’s operations through 2019; (2) the Company could not access the second tranche of $100 million financing on or before February 28, 2018 without issuing dilutive equity; and (3) the Company could not access the third tranche of the CRG Loan if and when needed because terms were required to be met in order to access those tranches.

On September 5, 2017, Synergy issued a press release announcing it had closed on a “non-dilutive” $300 million loan from CRG Partners III L.P., which would be available to Synergy “when needed” and fund the Company’s operations through 2019. On November 14, 2017, Synergy revealed that terms of the loan agreement, omitted from prior statements regarding the loan, prevented it from accessing $200 million of the loan without conducting a dilutive secondary offering or offerings of shares to raise cash and, as such, the Company was conducting a secondary offering of its shares.

Shareholders have until April 10, 2018 to petition the court for lead plaintiff status. Your ability to share in any recovery does not require that you serve as lead plaintiff. You may choose to be an absent class member.

Keep Me Informed

There is no cost or obligation. This submission does not create an attorney-client relationship. If we believe that you might be an appropriate lead plaintiff, we will contact you to discuss whether to establish an attorney-client relationship.

This letter confirms that you have retained The Klein Law Firm to represent you as a named plaintiff in a shareholder action involving Synergy Pharmaceuticals Inc.

We agree to advance all expenses in the litigation, which means that you are not liable to pay any of the expenses of the lawsuit, whether attorneys' fees or costs. Regardless of the result, we will never ask you to directly pay for any attorneys' fees or costs. Should we obtain a favorable result, we may ask the court to award us compensation to be paid by the defendants or as a portion of any class benefit, but, again, we will never ask you to directly pay any of the costs of this litigation.

As the client you are entitled to direct the litigation in any way you deem proper, and may at any time order us to dismiss the case or opt-out. Should you choose to do so, we will never ask you to reimburse us directly for any legal fees or expenses. During the course of this litigation, we may employ and/or work with other law firms to prosecute your case.

We look forward to representing you and other Synergy Pharmaceuticals Inc. shareholders.

Sincerely,

The Klein Law Firm

Joseph Klein

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