Can-Fite Enters into Collaborative Research Agreement with Hadassah Medical Center to Further Explore Namodenoson Mechanism of Action in NASH Namodenoson improves steatosis, inflammation and ballooning in pre-clinical st

Enters into Collaborative Research Agreement with Hadassah

Medical Center to Further Explore Namodenoson Mechanism of Action in

TIKVA, Israel, January 3, 2018 -- Can-Fite BioPharma Ltd. (NYSE American: CANF) (TASE:CFBI), a biotechnology company advancing

a pipeline of proprietary small molecule drugs that address cancer, liver and inflammatory diseases, today announced the entry

into of a collaborative research agreement with Hadassah Medical School. This agreement will support research directed by Rifaat

Safadi, M.D. aimed at further elucidating the Namodenoson mechanism of action in experimental models of non-alcoholic steatohepatitis

(NASH) which represent the human disease.

pre-clinical studies with Namodenoson showed an improvement in three cardinal NASH parameters including steatosis, inflammation

and ballooning which collectively define the histopathologic NAS (non-alcoholic fatty liver disease [NAFLD] Activity Score). The

data, summarized below, demonstrate a significant anti-NASH effect and represent the basis for the collaborative research program

Safadi is the Head of the Liver Unit, Gastroenterology and Liver Diseases, Division of Medicine at Hadassah Medical Center and

Professor of Internal Medicine, Bowel, Liver Disease, and Metabolic Syndrome at Hadassah University in Israel. He is a prolific

researcher and a highly respected thought leader in the field of NASH. Dr. Safadi's areas of expertise include liver and

bowel diseases, and the metabolic syndrome. He has published widely in high-impact journals and is also a member of Can-Fite's

Clinical Advisory Board.

Namodenoson drug is unique among today's NASH drugs under development due to its excellent safety profile and the positive

effect on steatosis, inflammation and fibrosis. We are very happy to initiate this collaboration," said Dr. Safadi.

Can Fite initiated patient enrolment for a Phase II study with namodenoson in NAFLD/NASH patients with evidence of active inflammation.

Based on the recent pre-clinical data, the company has changed the primary end point of the Phase II study to the anti-inflammatory

effect of the drug, as determined by blood ALT levels, and changed the major secondary end point to % of liver fat, measured by

PDFF (proton density fat fraction). The Company believes this amendment sets the stage to increase the chances of trial success

by aligning the clinical outcomes with the drug's mechanism of action.

are privileged to work with Dr. Safadi to further study and advance the drug's mechanism of action," said Pnina Fishman,

Ph.D., Founder and Chief Executive Officer of Can-Fite.

is a small orally bioavailable drug that binds with high affinity and selectivity to the A3 adenosine receptor (A3AR). Namodenoson

is being evaluated in Phase II trials for two indications, as a second line treatment for hepatocellular carcinoma, and as a treatment

for non-alcoholic fatty liver disease (NAFLD) and non-alcoholic steatohepatitis (NASH). A3AR is highly expressed in diseased cells

whereas low expression is found in normal cells. This differential effect accounts for the excellent safety profile of the drug.

Can-Fite BioPharma Ltd.

BioPharma Ltd. (NYSE American: CANF) (TASE: CFBI) is an advanced clinical stage drug development Company with a platform technology

that is designed to address multi-billion dollar markets in the treatment of cancer, inflammatory disease and sexual dysfunction.

The Company's lead drug candidate, Piclidenoson, is currently in a Phase III trial for rheumatoid arthritis and is expected

to enter a Phase III trial for psoriasis in early 2018. Can-Fite's liver cancer drug, Namodenoson, is in Phase II trials

for hepatocellular carcinoma (HCC), the most common form of liver cancer, and for the treatment of non-alcoholic steatohepatitis

(NASH). Namodenoson has been granted Orphan Drug Designation in the U.S. and Europe and Fast Track Designation as a second line

treatment for HCC by the U.S. Food and Drug Administration. Namodenoson has also shown proof of concept to potentially treat other

cancers including colon, prostate, and melanoma. CF602, the Company's third drug candidate, has shown efficacy in the treatment

of erectile dysfunction in preclinical studies and the Company is investigating additional compounds, targeting A3AR, for the

treatment of sexual dysfunction. These drugs have an excellent safety profile with experience in over 1,000 patients in clinical

studies to date. For more information please visit: www.can-fite.com.

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