Lucy Turnbull, AO Message from the Chair Dear Fellow Shareholders, As this constitutes the first newsletter since shareholders approved the A$15m investment in our Company by US-based Ridgeback Capital Investments, I wou

The Ridgeback investment provided significant funding for the exciting immuno-oncology programs we acquired late last year

with the Immutep SA transaction. In addition, as stated at the EGM, I believe that having Ridgeback as a shareholder elevates the reputation of our Company with key opinion leaders in the Life Sciences investment field. As we highlight in the

Investor Relations Update, US activity in our stock has increased markedly since Ridgeback s involvement was announced.

The shareholder vote on

31 July came shortly after completion of a Share Purchase Plan that raised A$10m at 5 cents per share. This SPP closed oversubscribed, which I think reflects the enthusiasm with which many of Prima s long-standing shareholders in Australia

have welcomed the Immutep programs into our Company. Gratifyingly, the funds from the SPP, when combined with the Ridgeback investment and more recent smaller institutional placements provide us funding certainty into 2017, by which time we expect

to have made considerable progress with our new lead compound, IMP321.

Prima BioMed today is a company that is in very good shape; commercially,

clinically and financially. Commercially, we have products that are partnered with GlaxoSmithKline and Novartis, two of the largest pharmaceutical companies in the world, where both programs have entered the clinic, and we also have a partnership

over IMP321 with Eddingpharm, one of the fastest growing pharma companies in China. Clinically, we are on track to commence two studies of IMP321 in the next few months, one of them having recently received Scientific Advice from the European

Medicines Agency (EMA). And financially, we have sufficient cash to allow us to make good progress with our existing programs.

That is not to say that the Board and management team at Prima can relax now that Immutep is integrated and the

company is well funded. Far from it. Our CEO, Marc Voigt, and his team continue to work hard making sure that the Company realises the potential of IMP321 and our other programs. The team also continues to work on new intellectual property and

business development opportunities.

We are frequently asked about the state of play with CVac , the immunocellular therapy that was Prima s

foundation product. As we announced on 27 February 2015, we have ceased recruitment into our CVac studies and are seeking partners for further development. Especially since mid of this year we have had various discussions with potential

partners and these are ongoing.

Prima will be holding its 2015 Annual General Meeting in Sydney on 25 November. In addition to the meeting formali- ties,

CEO Marc Voigt will be updating shareholders on our Company s tremendous progress. I would encourage you, if you can, to attend.

To begin, let me give you some background on IMP321 and the Phase I/IIa data which was generated a few years ago in metastatic

IMP321 is a soluble form of a checkpoint molecule called LAG-3. Checkpoints are key intersections in cell signalling

mechanisms that either turn up an immune response (stimulatory checkpoints) or turn it down (inhibitory checkpoints). On the T cells designed to eliminate cancer or infected or abnormal cells, LAG-3 is an inhibitory receptor. However, on the Antigen

Presenting Cells (APCs) which help direct our immune systems, Prima s soluble LAG-3 is an activator, meaning that IMP321 can boost T cell responses.

In the past, Immutep showed in a study of 30 women with metastatic breast cancer, that IMP321 as an APC activator could double the response rate of patients

being administered a conventional chemotherapy drug called paclitaxel.

AIPAC, short for Active Immunotherapy PAClitaxel , will recruit

the same cohort of HER-2 negative metastatic breast cancer patients as the previous Phase I/IIa trial, which is described in more detail in the adjacent box, and dose them in the same format. Whereas the original Phase I/IIa had no control group,

this multicentre study will be randomised, double blind and placebo-controlled.

After a smaller safety run-in phase (15 patients) that will extend into

2016 and will yield valuable safety, pharmacokinetic and pharmacodynamic data, AIPAC will recruit 196 patients with HER-2 negative metastatic breast cancer, randomising them 1:1 to either standard-of-care paclitaxel or paclitaxel plus IMP321.

Progression-Free Survival will be Primary Endpoint, but response rates according to the RECIST criteria and Overall Survival will be among the secondary endpoints. The study has been powered to increase PFS advantage for the treatment group.

Clinical data from the safety run in phase

can be expected from mid-2016 onwards. Allowing time for patient recruitment and follow-up, AIPAC s expected duration is approximately three years.

Initiating any clinical study requires being on top of a myriad of details and co-ordinating activities with multiple site administrators, regulators and

other stakeholders, not to mention collaborators at the Clinical Research Organisations. I want to thank the team for all the hard work they are putting into AIPAC as well as the very exciting Phase I immunooncology combination we intend to initiate

shortly in Australia.

Looking back one year since we first announced the acquisition of Immutep, I am very pleased that now all three programs (IMP321,

IMP731, and GSK 2831781 derived from IMP701)) are at clinical stage, instead of just one (IMP321) at the time of the acquisition. Our partners GSK and Novartis have been advancing the programs to clinical stage and we look forward to further

milestones being reached.

Active business development continues to be an important part of our strategy moving forward, with a number of interesting

activities which are ongoing. We will of course keep shareholders updated on any significant events.

Prima s financial position

As at September 2015 Prima held A$24.4m cash, which reflects the impact of the May 2015 Ridgeback transaction and the SPP. The A$5.1m of cash spent during the

quarter mainly represented increased costs to prepare for the clinical studies and higher G&A costs related to the capital raising.

the first fiscal quarter Prima has raised 1m (A$1.55m) through a small placement at A$0.05 per share to Nyenburgh Investment Partners, a Netherlands-based healthcare fund. We also secured a A$2m placement with similar conditions to an

Australian institutional investor. The growth in institutional investor interest in Prima is a very welcome and positive indication of the strength of Prima s asset portfolio.

These transactions, with selective and credible long term institutional investors, further strengthen our share register while providing opportunities to

raise further funds on attractive terms and at a low cost of capital. As a micro-cap company, it is important that we take advantage of efficient financing opportunities that allow us to deliver our growth plans and create long term value for

shareholders. Also helping Prima s cash position has been the recent receipt of approx. 306,000 (A$475,000)

in grant funding for the 2015 financial year from the European Union and the German Free State of Saxony.

Together, these transactions provide Prima with cash reach into 2017. We continue to be vigilant in managing our cash. One example of this is the recent

relocation of our head office to Pitt Street. Finance Director Karl Pechmann did an outstanding job in facilitating the move with minimal disruption to the business.

I believe AIPAC can potentially create

considerable value for shareholders. Firstly, hormone receptor positive but HER-2 negative metastatic breast cancer, which represents 65-75% of all breast cancer, has not had many treatment options specifically developed for it in recent years, so

this represents a large market opportunity. Secondly, AIPAC is being conducted under the auspices of Scientific Advice from the European Medicines Agency. The legally non-binding Agency s communication to

Prima has suggested that the achievement of certain clinical endpoints may lead to full Marketing Authorisation

for IMP321 in the EU based on this one pivotal study.

In addition, we are looking forward to starting a Phase I study with IMP321 in combination with a

checkpoint inhibitor in melanoma in Australia early next year and will go into more detail regarding this exciting initiative soon.

speaking with many of you again at our Annual General Meeting in November if you are able to attend. On behalf of Prima, I also wish you and your family a very happy Christmas!

Explaining our Phase I/IIa trial of

IMP321 in metastatic breast cancer

When cancer patients receive paclitaxel, their actively dividing cancer cells die and the result is tumour

debris produced as cancer cells are destroyed. Adding an APC activator like IMP321 after chemotherapy should boost the patients APC s to activate more T cells specific against the patients own tumour antigens present in the

debris. As a result, the immune system should kill more cancer cells. In Immutep s Phase I/IIa trial, patients received IMP321 the day after paclitaxel for two of the three doses during a four week cycle when paclitaxel was being administered.

After six months, half of the patients had experienced a reduction in tumour size measured by the sum of diameter of the target lesions by at least 30%

(a response as measured by the RECIST criteria2). A 30% reduction of the diameter would represent a shrinkage of app. 70% of the tumour volume. 90% of the patients (i.e. 27 out of 30)

had seen clinical benefit where

at least the tumour was not larger than it was at the beginning of the study or shrinking by less than 30%. Ordinarily paclitaxel was only expected to get a 25% response rate based on results of

a comparable unrelated study called ECOG21003, but IMP321-plus-paclitaxel produced a 50%4 response rate.

What was even more impressive was the fact that the patients in our trial were much older than those in ECOG2100 (averaging 64 years old vs 55 for ECOG2100)

and had a much greater percentage of patients with disease in three or more sites (73% vs 46%). This historical comparison had a p value of 0.007, meaning that it was highly unlikely to have happened by chance.

Basically, IMP321 seemed to double the response rate for metastatic breast cancer patients even after the patient recruitment process had made it less

likely that this could happen.

Investor Relations Update

One of the more interesting aspects of our stock over the last couple of months has been the involvement of US investors. Prima BioMed is traded on two markets

the Australian Securities Exchange in the form of ordinary shares (ASX Code: PRR), and on the Nasdaq Global Market in the form of American Depositary Receipts (ADR), in which each ADR represents 30 ordinary shares (Nasdaq Code: PBMD).

Since May 2015 the number of ADRs on issue and available for trading on Nasdaq, and the activity of those ADRs, has increased markedly. On 14 May, when

Prima announced the A$15m Ridgeback investment, there were approximately 2.8 million ADRs representing approximately 6% of the total ordinary shares on issue. On average 10,300 ADRs had been traded each day on Nasdaq over the month prior to the

announce- ment. At the end of October 2015 there were approximately 20.2 million ADRs on issue. a near sevenfold expansion on mid-May - and during the month of October the average turnover on Nasdaq was around 560,000 ADRs per day. More

than 30% of Prima s share register is now held in the form of ADRs.

The increased ADR activity has meant that a good part of the liquidity in Prima BioMed stock since May has been

generated by US investors. Indeed, Nasdaq has consistently represented more than 80% of the combined daily turnover in Prima stock since May. In August it was a massive 92%.

Nasdaq has been a natural market for biotechnology risk capital ever since the early 1980s, and in the US one can find large numbers of knowledgeable

professional biotech investors, both private and institutional, as well as analysts (many of them with PhDs), in a way unknown in other parts of the world. These US investors have seen, since the end of the Global Financial Crisis, a boom in

biotechnology invest- ment, and part of the fuel driving that boom has been the rise of companies focused on immuno-oncology. It s fair to say that Prima has now been discovered by US investors.

We have begun the process of harnessing this emerging US interest by introducing our Company to US biotech investors more directly. CEO Marc Voigt presented

at the Rodman and Renshaw Global Investment Conference in New York

(8-10 September), and at the Leerink Partners 4th Annual Rare Disease Roundtable in New York (30 September). Our

IR plan involves further visits to continue marketing to the kind of investors that have backed other cancer immunotherapy companies like Juno, Kite, Celldex, NewLink and Aduro (each of whom now has a current market capitalization in excess of

Having a bigger US shareholder base will only in turn benefit Australian shareholders because it is likely to lend greater stability to the

share register. However, as we have seen with the recent placement announcement, we are also beginning to attract the attention of Australian institutional investors.

We believe that the deep pools of institutional money that can build our Company into one considerably larger than it is today are mostly in the US, so we

need to be actively going after it.

As a result and in light of our expanded US shareholder base, it is important that we have someone on the ground in New York City and in the same time zone. We have therefore appointed a

specialist investor relations firm, Trout Group, which has considerable expertise in supporting Nasdaq-listed biotech companies.

Our Head of Investor

Relations, Stuart Roberts was brought on board following the acquisition of Immutep to help explain the benefits of our LAG-3 based immuno-oncology assets, primarily to the Australian investment community. We were encouraged by the strong

shareholder support for our recently oversubscribed SPP, and with Trout now supporting Prima in the US, Stuart is leaving Prima. We thank him for his contribution to our investor relations efforts and wish him well.