Dear Stockholders

Dear Shareholders,

As we head into the summer, I’m excited to highlight some of our key recent accomplishments as well as provide you with some of our thoughts on the vision of Savara as an orphan lung disease company.

In terms of the progress, we have advanced our pipeline steadily and are approaching probably the most exciting twelve months in our company’s history. As you all know, enrollment for our IMPALA PAP and OPTIMA NTM studies are nearing completion, with a number of important clinical trial data readouts expected over the next year. Savara’s stock is now covered by six Wall Street sell side analysts, with the most recent addition being Josh Schimmer from Evercore ISI who initiated on our stock earlier this month with an ‘Outperform’ rating and a $40 price target. In June, we were pleased to learn that Savara was added to the Russell 3000® Index and the small-cap Russell 2000® Index. We anticipate that inclusion in these indexes will broaden our shareholder base and provide additional value for our stock. To put the impact of the Russell Indexes in perspective, approximately $9 trillion in assets under management are benchmarked to or invested in products based on the Russell US Indexes.

One key theme we plan to increasingly highlight in our communications is the vision of Savara emerging as a consolidator in the orphan lung disease therapeutics space—extending well beyond our current portfolio of products and indications over time. We believe in building a unique company that specializes in a broad range of orphan lung diseases, many of which currently lack adequate treatments. The therapeutic programs for many of these diseases apply similar technical expertise, overlapping networks of KOLs and patient advocates, and consistent engagement with the same divisions of regulatory bodies like the FDA. The knowledge and experience of our personnel and the strategies and processes we use to develop and commercialize our products can be substantially leveraged to additional assets.  We believe we are well on track in building Savara into an efficient therapeutic development ‘engine’ for orphan lung diseases, and intend on continuing our efforts to become an acknowledged leader in our field.

Our business development group has identified over 100 orphan lung disease therapeutics, with an emphasis on clinical-stage drug candidates for patient populations poorly addressed by current treatments. In fact, a substantial number of these therapeutics would address indications for which there is no FDA-approved drug. We prioritized these therapeutics by scoring each one on a series of metrics key to assessing the potential value of the opportunities as well as strategic fit within Savara. This prioritization system enables us to focus our resources and efforts on those targets that would have the greatest impact on Savara and orphan lung disease patients.

Our acquisition of Serendex in 2016 and the subsequent expansion of the Molgradex program globally in multiple indications demonstrates our expertise and commitment to operate as a consolidator of orphan lung disease assets. Moving forward, one of our corporate goals is to add at least one new indication or clinical stage asset to our pipeline in 2018, and it is our belief that our growth strategy will continue driving value for shareholders for years to come.

We sincerely appreciate your continued support and look forward to keeping you updated through our various communication channels including @SavaraPharma, press releases and our SEC filings.

Regards,
Rob Neville
CEO


Savara cautions you that statements herein that are not a description of historical fact are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements may be identified by the use of words referencing future events or circumstances such as “expect,” “intend,” “plan,” “anticipate,” “believe,” and “will,” among others. Such statements include, but are not limited to, statements relating to Savara being at the forefront, challenging unmet needs and working tirelessly to impact the lives we touch, that we believe we are just beginning to explore the full potential of Molgradex, being hopeful that it could represent a paradigm shift in the treatment of lung infection via the stimulation of the innate immune system in the lung, that we are just in the beginning of our journey, and building a preeminent orphan lung disease company. Savara may not actually achieve any of the matters referred to in such forward-looking statements, and you should not place undue reliance on these forward-looking statements. Because such statements are subject to risks and uncertainties, actual results may differ materially from those expressed or implied by such forward-looking statements. These forward-looking statements are based upon Savara’s current expectations and involve assumptions that may never materialize or may prove to be incorrect. Actual results and the timing of events could differ materially from those anticipated in such forward-looking statements as a result of various risks and uncertainties, which include, without limitation, risks and uncertainties associated with the outcome of ongoing clinical trials for our product candidates, the ability to project future cash utilization and reserves needed for contingent future liabilities and business operations, the availability of sufficient resources for Savara’s operations and to conduct or continue planned clinical development programs, the ability to obtain the necessary patient enrollment for our product candidates in a timely manner, the timing and ability of Savara to raise additional equity capital as needed to fund continued operations; the ability to successfully develop our product candidates, and the risks associated with the process of developing, obtaining regulatory approval for and commercializing drug candidates that are safe and effective for use as human therapeutics. All forward-looking statements are expressly qualified in their entirety by these cautionary statements. For a detailed description of our risks and uncertainties, you are encouraged to review our documents filed with the SEC including our recent filings on Form 8-K, Form 10-Q and Form 10-K. You are cautioned not to place undue reliance on our forward-looking statements herein, which speak only as of February 28, 2018 which is the date on which they were made. Savara undertakes no obligation to update such statements to reflect events that occur or circumstances that exist after such date, except as may be required by law.