Capricor Therapeutics Announces Pricing of Offerings of Common Stock

Capricor Therapeutics Announces Pricing

of Offerings of Common Stock

LOS ANGELES, September

16, 2016 - Capricor Therapeutics, Inc. (NASDAQ: CAPR) today announced the pricing of its offerings of 3,000,000 shares

of its common stock at an offering price of $3.20 per share, before underwriting discounts. 2,687,500 shares of Capricor's

common stock will be purchased by the underwriters in an underwritten registered public offering and 312,500 shares will be purchased

by Cedars-Sinai Medical Center, a stockholder of Capricor, from Capricor directly and not through the underwriters in a concurrent

registered direct offering. Capricor has granted the underwriters a 30-day option to purchase up to an additional 403,125 shares

of its common stock. The proceeds to Capricor from the offerings are expected to be approximately $8.7 million after deducting

underwriting discounts and commissions and other estimated offering expenses but excluding any exercise of the underwriters'

option. All shares of common stock to be sold in the offerings are being offered by Capricor. The offerings are expected to close

on or about September 21, 2016, subject to customary closing conditions.

Roth Capital Partners

and National Securities Corporation, a wholly-owned subsidiary of National Holdings, Inc. (NASDAQ: NHLD), are acting as joint book-running

managers for the registered public offering.

described above are being offered by Capricor pursuant to a shelf registration statement on Form S-3 (File No. 333-207149) previously

filed with the Securities and Exchange Commission (the "SEC") on September 28, 2015 and declared effective by the SEC

on October 26, 2015. The securities may be offered only by means of a prospectus. A preliminary prospectus supplement related to

the underwritten registered public offering was filed with the SEC on September 15, 2016 and is available on the SEC's website

at www.sec.gov, and a final prospectus supplement related to each of the offerings will be filed with the SEC and will be available

on the SEC's website. When available, copies of the final prospectus supplement and the accompanying prospectus for the securities

being offered in the underwritten registered public offering may also be obtained from Roth Capital Partners, LLC, 888 San Clemente,

Newport Beach, CA 92660, (800) 678-9147, and National Securities Corporation, 410 Park Avenue, 14th Floor, New York,

NY 10022, (212) 417-8164.

does not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of these securities in

any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under

the securities laws of any such state or jurisdiction.

Capricor Therapeutics,

Inc. (NASDAQ: CAPR) is a clinical-stage biotechnology company focused on the discovery, development and commercialization of biological

therapies for the treatment of cardiac and other serious medical conditions. Capricor's lead candidate, CAP-1002, is a cardiac

cell therapy that is currently being evaluated for the treatment of heart disease associated with Duchenne muscular dystrophy and

myocardial infarction (heart attack). Capricor is advancing its proprietary exosome product candidate, CAP-2003, for the treatment

of ophthalmic disorders and is exploring other therapeutic areas. Capricor's portfolio also features Cenderitide, a dual natriuretic

peptide receptor agonist, which may have application for the outpatient treatment of advanced heart failure and other potential

Note Regarding Forward-Looking Statements

in this press release regarding the efficacy, safety, and intended utilization of Capricor's product candidates; the initiation,

conduct, size, timing and results of discovery efforts and clinical trials; the pace of enrollment of clinical trials; plans regarding

regulatory filings, future research and clinical trials; plans regarding current and future collaborative activities and the ownership

of commercial rights; scope, duration, validity and enforceability of intellectual property rights; future royalty streams, expectations

with respect to the expected use of proceeds from the recently completed offering and the anticipated effects of the offerings,

and any other statements about Capricor's management team's future expectations, beliefs, goals, plans or prospects constitute

forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Any statements that are

not statements of historical fact (including statements containing the words "believes," "plans," "could,"

"anticipates," "expects," "estimates," "should," "target," "will,"

"would" and similar expressions) should also be considered to be forward-looking statements. There are a number of important

factors that could cause actual results or events to differ materially from those indicated by such forward-looking statements.

More information about these and other risks that may impact Capricor's business are set forth in Capricor's Annual Report on Form

10-K for the year ended December 31, 2015, as filed with the Securities and Exchange Commission on March 30, 2016, in its Registration

Statement on Form S-3, as filed with the Securities and Exchange Commission on September 28, 2015, and in its Quarterly Report

on Form 10-Q for the quarter ended June 30, 2016, as filed with the Securities and Exchange Commission on August 15, 2016. All

forward-looking statements in this press release are based on information available to Capricor as of the date hereof, and Capricor

assumes no obligation to update these forward-looking statements.

Cenderitide are Investigational New Drugs and are not approved for any indications. Capricor's exosomes technology has not yet

been investigated in any clinical trial.

For more information,

Capricor Therapeutics,

President of Finance