▸ Changes in the U.S. political and regulatory environment could affect availability of government funding that we or our third party collaborators may rely on, which could negatively impact the development of our product candidates.· · · · ● 1 ▸ Each Series B-1 Preferred Share is convertible into a number of our common shares calculated by dividing (i) the sum of the stated value of such Series B-1 Preferred Share by (ii) a fixed conversion price of $1.92.· · · · ● 1 ▸ International trade policies, including tariffs, sanctions and trade barriers may adversely affect our current and future business, financial condition, results of operations and prospects.· · · · ● 1 ▸ We may not be able to obtain or maintain orphan drug designation or exclusivity for our product candidates.· · · · ● 1 ▸ Any failures on our part to satisfy any of our obligations under the above agreements could adversely affect or terminate our development of EB05.· · · ● ● 2 ▸ Any issuance of our common shares upon conversion of our preferred shares will cause dilution to our then existing stockholders and may depress the market price of our common shares.· · · ● ● 2 rw ▸ Our common shares rank junior to our preferred shares in the event of a liquidation, dissolution or winding-up of the Company.· · · ● ● 2 rw ▸ Our directors, executive officers and certain other holders of our securities have control over us and could delay or prevent a change of corporate control.· · · ● ● 2 rw ▸ Our recurring losses from operations have raised substantial doubt regarding our ability to continue as a going concern.· · · ● ● 2 ▸ We may incur future indebtedness that will rank senior to our preferred shares or issue additional series of preferred shares that rank on a parity with, or senior to, the preferred shares as to dividend payments and liquidation preference.· · · ● ● 2 rw ▸ Any product candidate we advance into and through clinical trials may cause unacceptable adverse events or have other properties that may delay or prevent their regulatory approval or commercialization or limit their commercial potential.· · ● ● ● 3 ▸ If the commercial opportunity in vitiligo, chronic ACD, ARDS, or pulmonary fibrosis is smaller than we anticipate, our future revenue from our drug candidates will be adversely affected and our business will suffer.· · ● ● ● 3 rw ▸ If we fail to comply with environmental, health and safety laws and regulations, we could become subject to fines or penalties or incur costs that could have a material adverse effect on the success of our business.· · ● ● ● 3 ▸ Increasing use of social media platforms could give rise to liability, breaches of data security and privacy laws, or reputational damage.· · ● ● ● 3 ▸ Risks Related to Our Business, Financial Position and Capital Requirements· · ● ● ● 3 ▸ A sale of a substantial number of our common shares in the public market could cause the market price of our common shares to drop significantly, even if our business is doing well.· ● ● ● ● 4 ▸ If equity research analysts do not publish research or reports about our business or if they issue unfavorable commentary or downgrade our common shares, the price of our common shares could decline.· ● ● ● ● 4 ▸ Our Articles allow for our board of directors to create new series of preferred shares without further approval by the shareholders, which could adversely affect the rights of the holders of our common shares.· ● ● ● ● 4 ▸ We do not currently intend to pay dividends on our common shares in the foreseeable future, and consequently, any gains from an investment in our common shares will likely depend on appreciation in the price of our common shares.· ● ● ● ● 4 ▸ Our existing and any future indebtedness could adversely affect our ability to operate our business.· · ● · · 1 ▸ If the commercial opportunity in chronic ACD or ARDS is smaller than we anticipate, our future revenue from EB01 or EB05, as applicable, will be adversely affected and our business will suffer.● ● · · · 2 rw ▸ Public health threats could have an adverse effect on our operations and financial results.● ● · · · 2 ▸ Regulators have broad discretion regarding emergency use authorizations for medical products, and such authorizations may only be valid during a public health emergency.● ● ● ● · 4 rw ▸ group Risks Related to Our Business● ● · · · 2 ▸ Use of social media platforms presents new risks.● ● · · · 2 ▸ We have incurred significant losses since our inception and expect to continue to incur losses and may never generate profits from operations or maintain profitability.● · · · · 1 ▸ We may expend our limited resources to pursue a particular product candidate and fail to capitalize on product candidates that may be more profitable or for which there is a greater likelihood of success.● · · · · 1 ▸ We may not be successful in our efforts to identify and acquire or in-license additional product candidates.● · · · · 1 ▸ We may not qualify for or ultimately benefit from various expedited regulatory review programs or other special designations.● ● ● ● · 4 rw ▸ A successful sPLA2, anti-TLR4 or anti-CXCL10 drug has not been developed to date and we can provide no assurances that we will be successful or that there will be no adverse side effects.● ● ● ● ● 5 rw ▸ Even if one of our product candidates receives marketing approval, it may fail to achieve the degree of market acceptance by physicians, patients, third-party payors and others in the medical community necessary for commercial success.● ● ● ● ● 5 ▸ Even if we are able to commercialize one of our product candidates, the product may become subject to unfavorable pricing regulations, third-party reimbursement practices or healthcare reform initiatives, which would harm our business.● ● ● ● ● 5 ▸ Failure to maintain effective internal control over financial reporting could have a material adverse effect on our share price.● ● ● ● ● 5 rw ▸ If clinical trials for our product candidates are prolonged or delayed, we may incur additional costs, and may not be able to commercialize our product candidates on a timely basis or at all.● ● ● ● ● 5 ▸ If we are not able to establish or maintain additional partnerships or collaborations, we may have to alter our development and commercialization plans.● ● ● ● ● 5 rw ▸ If we are unable to protect the confidentiality of our trade secrets, our business and competitive position would be harmed.● ● ● ● ● 5 ▸ Intellectual property litigation could cause us to spend substantial resources and could distract our personnel from their normal responsibilities.● ● ● ● ● 5 ▸ Interim results, top-line, initial data may not accurately reflect the complete results of a particular study or trial.● ● ● ● ● 5 ▸ Our future success depends on our ability to retain key executives and to attract, retain and motivate qualified personnel.● ● ● ● ● 5 ▸ Our limited operating history may make it difficult for you to evaluate the success of our business to date and to assess our future viability.● ● ● ● ● 5 ▸ Product liability lawsuits against us could cause us to incur substantial liabilities and limit commercialization of any products that we may develop.● ● ● ● ● 5 ▸ Raising additional capital may cause dilution to our investors, restrict our operations or require us to relinquish rights to our technologies or product candidates.● ● ● ● ● 5 rw ▸ Risks Related to Clinical Development, Regulatory Approval and Commercialization● ● ● ● ● 5 ▸ group Risks Related to Our Intellectual Property● ● ● ● ● 5 ▸ group Risks Related to Owning Our Securities● ● ● ● ● 5 ▸ The ownership of our common shares is highly concentrated, which may prevent you and other shareholders from influencing significant corporate decisions and may result in conflicts of interest that could cause our common shares price to decline.● ● ● ● ● 5 ▸ The price of our common shares may continue to be volatile.● ● ● ● ● 5 ▸ Third parties may initiate legal proceedings alleging that we are infringing their intellectual property rights, the outcome of which would be uncertain and could have a material adverse effect on the success of our business.● ● ● ● ● 5 ▸ We are dependent on license relationships with third parties for our key drug development programs.● ● ● ● ● 5 ▸ We are exposed to risks related to currency exchange rates.● ● ● ● ● 5 ▸ We expect to expand our capabilities, and as a result, we may encounter difficulties in managing our growth, which could disrupt our operations.● ● ● ● ● 5 ▸ We face substantial competition, which may result in others discovering, developing or commercializing products to treat our target indications or markets before or more successfully than we do.● ● ● ● ● 5 ▸ We may become involved in lawsuits or other enforcement proceedings to protect or enforce our patents or other intellectual property, which could be expensive, time consuming and potentially unsuccessful.● ● ● ● ● 5 ▸ We rely on third parties to conduct our clinical trials and those third parties may not perform satisfactorily, including failing to meet deadlines for the completion of such clinical trials.● ● ● ● ● 5 ▸ We rely significantly on information technology and any failure, inadequacy, interruption or security lapse of that technology, including any cybersecurity incidents, could harm our ability to operate our business effectively.● ● ● ● ● 5 rw ▸ We will be dependent on third parties for manufacturing, including optimization, technology transfers and scaling up of clinical scale quantities of all of our product candidates.● ● ● ● ● 5 
