AC Immune Receives First Milestone Payment from Lilly in Small Molecule Tau Morphomer Program Lilly to pay CHF30 million development milestone Recognizes progress in ACI-3024 Small Molecule Tau Morphomer de

AC Immune Receives First Milestone Payment

from Lilly in Small Molecule Tau Morphomer Program

pay CHF30 million development milestone

progress in ACI-3024 Small Molecule Tau Morphomer development

Switzerland, September 20, 2019 - AC Immune SA (NASDAQ: ACIU), a Swiss-based, clinical-stage biopharmaceutical

company, today announced that it will receive the first milestone payment of CHF30 million from Eli Lilly and Company

on or before October 7, 2019. This payment is a recognition of progress in the collaboration between the two companies

and follows initiation in July 2019 of the Phase 1 study of ACI-3024, a first-in-class investigational oral small molecule

Tau Morphomer in development for treatment of Alzheimer's disease (AD) and other neurodegenerative disorders. A

second milestone payment of CHF30 million is scheduled in Q1 2020 linked to achievement of further development

Andrea Pfeifer, CEO of AC Immune SA, commented: "Lilly has brought substantial experience in neurology, and particularly

in Alzheimer's disease, to this collaboration. This milestone payment recognizes that the development of the lead small

molecule MorphomerTM in our collaboration, ACI-3024, is progressing. At AC Immune, we are proud to be advancing

in collaboration with our partners the clinical development of three additional products targeting Tau - an antibody, a

therapeutic vaccine and a diagnostic biomarker - for treatment of Alzheimer's and other neurodegenerative diseases."

start of the ACI-3024 Phase 1 study, represents an important advancement in the broader effort we are making and further expands

our robust clinical pipeline to address neurodegenerative diseases, in particular for therapeutics and diagnostics targeting Tau."

treatment paradigm for AD, Tau pathology is a potential therapeutic target. Tau spreads with a characteristic spatiotemporal pattern

throughout the brain that coincides with both clinical symptoms and disease progression in AD. Slowing the propagation of Tau

pathology may slow disease progression and reduce cognitive decline. Anti-Tau therapies already have shown promise in slowing

the progression of Tau pathology in animal models.

is the lead molecule being developed in the license and collaboration agreement between AC Immune and Lilly to research and

develop small molecule Tau aggregation inhibitors for the treatment of AD and other neurodegenerative diseases. The collaboration

combines AC Immune's proprietary Morphomer discovery platform and early development experience with Lilly's

established clinical development expertise and commercial capabilities in central nervous system disorders. Under the agreement

AC Immune is conducting the initial Phase 1 development of the Morphomer Tau aggregation inhibitors while Lilly will

fund and conduct additional research and further clinical development.

1 trial initiated in July is a randomized, placebo controlled, double blind, sequential single and multiple ascending dose study

that aims to assess the safety, tolerability, pharmacokinetics, and pharmacodynamics of ACI-3024 in healthy volunteers.

the AC Immune and Lilly and Company Agreement

terms of the agreement, Lilly received worldwide commercialization rights for Tau aggregation inhibitors, including in the

area of Alzheimer's disease. AC Immune received an upfront payment of CHF80 million as well as $50 million in exchange for a note,

convertible to equity at a premium. AC Immune is also eligible to receive an additional CHF30 million near-term milestone in Q1

2020, and is eligible to receive other development, regulatory and commercial milestones, up to approximately CHF1.7 billion,

and tiered royalty payments in the low double digits.

SA is a Nasdaq-listed clinical-stage biopharmaceutical company, which aims to become a global leader in precision medicine for

neurodegenerative diseases. The Company is utilizing two proprietary discovery platforms, SupraAntigenTM and MorphomerTM,

to design, discover and develop small molecule and biological therapeutics as well as diagnostic products intended to diagnose,

prevent and modify neurodegenerative diseases caused by misfolding proteins. The Company's pipeline features nine therapeutic

and three diagnostic product candidates, with five currently in clinical trials. It has collaborations with major pharmaceutical

companies including Roche/Genentech, Lilly, and Janssen Pharmaceuticals Inc.

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Forward looking statements

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Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Forward-looking statements are statements other

than historical fact and may include statements that address future operating, financial or business performance or AC Immune's

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under the captions "Item 3. Key Information - Risk Factors" and "Item 5. Operating and Financial Review

and Prospects" in AC Immune's Annual Report on Form 20-F and other filings with the Securities and Exchange Commission.

Forward-looking statements speak only as of the date they are made, and AC Immune does not undertake any obligation to update

them in light of new information, future developments or otherwise, except as may be required under applicable law. All forward-looking

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