LINEAGE CELL THERAPEUTICS REPORTs SECOND QUARTER 2022 FINANCIAL RESULTS AND PROVIDES BUSINESS UPDATE Advanced RG6501 (OpRegen ) Development in Partnership with Roche and Genentech Published OPC1 Phase 1/2a Clinical Study

CELL THERAPEUTICS REPORTs SECOND QUARTER 2022 FINANCIAL RESULTS AND PROVIDES BUSINESS UPDATE

CA - August 11, 2022 - Lineage Cell Therapeutics, Inc. (NYSE American and TASE: LCTX), a clinical-stage biotechnology

company developing allogeneic cell therapies for unmet medical needs, today reported financial and operating results for the second quarter

of 2022. Lineage management will host a conference call and webcast today at 4:30 p.m. Eastern Time/1:30 p.m. Pacific Time to discuss

its second quarter 2022 financial and operating results and to provide a business update.

are pleased with the progress on RG6501 (OpRegen) product development under our collaboration with Roche and Genentech. During the second

quarter this year, we have made progress across multiple functional areas, including clinical, regulatory, and technology transfer activities,"

stated Brian M. Culley, Lineage CEO. "As we continue to position Lineage as a leader in regenerative medicine through the transplant

of specific cell types, our focus is on completing the necessary clinical, regulatory and related activities which can create value and

reduce risk across our portfolio of five cell transplant assets. In particular, our efforts have been focused on preparing for OPC1 and

VAC2 regulatory interactions to enable their next phases of clinical testing in spinal cord injury and oncology, respectively. In parallel,

we are advancing our auditory neuron and photoreceptor programs through preclinical development activities which are necessary to support

initial clinical testing. We believe our disciplined use of capital and our increased strategic business development activities can support

multiple years of growth and the achievement of important milestones in the months and years to come."

quarter milestones and activities included:

of the key upcoming milestones and activities anticipated by Lineage include:

cash equivalents, and marketable securities totaled $72 million as of June 30, 2022, which is expected to support operations through

Quarter Operating Results

Lineage's revenue is generated primarily from licensing fees, royalties, collaboration revenues, and research grants. Total revenues

for the three months ended June 30, 2022 were approximately $4.6 million, a net increase of $4.0 million as compared to $0.5 million

for the same period in 2021. The increase was primarily related to licensing fees recognized from deferred revenues in connection with

the $50.0 million upfront licensing payment received in the first quarter of 2022 from Roche.

Expenses: Operating expenses are comprised of research and development ("R&D") expenses and general and administrative

("G&A") expenses. Total operating expenses for the three months ended June 30, 2022 were $8.6 million, an increase of

$1.1 million as compared to $7.5 million for the same period in 2021.

Expenses: R&D expenses for the three months ended June 30, 2022 were $3.3 million, a net increase of $0.4 million as compared

to $2.9 million for the same period in 2021. The net increase was driven by $0.1 million in higher OpRegen related expenses to support

the Roche Collaboration. Another $0.2 million and $0.1 million of the increase was related to R&D spending on the new auditory neuron

and photoreceptor cell therapy programs, respectively.

Expenses: G&A expenses for the three months ended June 30, 2022 were $5.3 million, a net increase of approximately $0.7 million

as compared to $4.5 million for the same period in 2021. The increase was primarily attributable to $0.4 million in payroll and related

benefits expense, and $0.5 million in share-based compensation, partially offset by $0.2 million in lower investor relations expense.

from Operations: Loss from operations for the three months ended June 30, 2022 was $4.2 million, a decrease of $2.9 million as compared

to $7.1 million for the same period in 2021.

Income/(Expenses), Net: Other income (expenses), net for the three months ended June 30, 2022 reflected other expense, net of ($2.5)

million, compared to other income, net of $2.1 million for the same period in 2021. The net change was primarily driven by exchange rate

fluctuations related to Lineage's international subsidiaries, as well as a decrease in the value of marketable equity securities,

and partially offset by the gain on extinguishment of debt from Lineage's Paycheck Protection Program loan forgiveness recognized

in the prior year's quarter.

Loss Attributable to Lineage: The net loss attributable to Lineage for the three months ended June 30, 2022 was $6.8 million, or

$0.04 per share (basic and diluted), compared to a net loss attributable to Lineage of $4.8 million, or $0.03 per share (basic and diluted),

for the same period in 2021.

parties may access today's conference call by dialing (800) 715-9871 from the U.S. and Canada and (646) 307-1952 from elsewhere

outside the U.S. and Canada and should request the "Lineage Cell Therapeutics Call" or provide conference ID number 6448886 .

A live webcast of the conference call will be available online in the Investors section of Lineage's website. A replay of

the webcast will be available on Lineage's website for 30 days and a telephone replay will be available through August 18, 2022,

by dialing (800) 770-2030 from the U.S. and Canada and entering conference ID number 6448886 .

Lineage Cell Therapeutics, Inc.

Cell Therapeutics is a clinical-stage biotechnology company developing novel cell therapies for unmet medical needs. Lineage's

programs are based on its robust proprietary cell-based therapy platform and associated in-house development and manufacturing capabilities.

With this platform Lineage develops and manufactures specialized, terminally differentiated human cells from its pluripotent and progenitor

cell starting materials. These differentiated cells are developed to either replace or support cells that are dysfunctional or absent

due to degenerative disease or traumatic injury or administered as a means of helping the body mount an effective immune response to

cancer. Lineage's clinical programs are in markets with billion dollar opportunities and include five allogeneic ("off-the-shelf")

product candidates: (i) OpRegen, a retinal pigment epithelial cell therapy in development for the treatment of geographic atrophy secondary

to age-related macular degeneration, is being developed under a worldwide collaboration with Roche and Genentech, a member of

the Roche Group; (ii) OPC1, an oligodendrocyte progenitor cell therapy in Phase 1/2a development for the treatment of acute spinal cord

injuries; (iii) VAC2, a dendritic cell therapy produced from Lineage's VAC technology platform for immuno-oncology and infectious

disease, currently in Phase 1 clinical development for the treatment of non-small cell lung cancer; (iv) ANP1, an auditory neuronal progenitor

cell therapy for the potential treatment of auditory neuropathy; and (v) PNC1, a photoreceptor neural cell therapy for the treatment

of vision loss due to photoreceptor dysfunction or damage. For more information, please visit www.lineagecell.com or follow the

company on Twitter @LineageCell.

cautions you that all statements, other than statements of historical facts, contained in this press release, are forward-looking statements.

Forward-looking statements, in some cases, can be identified by terms such as "believe," "aim," "may,"

"will," "estimate," "continue," "anticipate," "design," "intend,"

"expect," "could," "can," "plan," "potential," "predict," "seek,"

"should," "would," "contemplate," "project," "target," "tend to,"

or the negative version of these words and similar expressions. Such statements include, but are not limited to, statements relating

to: our ability to support our operations for at least two years with our existing cash, cash equivalents and marketable securities;

our ability to create value and reduce risk across our portfolio; our ability to support multiple years of progress and achieve important

milestones; our collaboration and license agreement with Roche and Genentech and the potential to receive milestone and other consideration

thereunder; the potential benefits of treatment with OpRegen; the potential future achievements of our clinical and preclinical programs;

the timing of anticipated FDA interactions, preclinical activities, clinical trials, and clinical data updates related to our programs,

and the submission of a grant application to the CIRM; plans and expectations regarding publications relating to our programs; plans

and expectations regarding potential new partnership opportunities and existing collaborations; our ability to broaden awareness of our

mission and accomplishments; plans and expectations regarding our products in development. Forward-looking statements involve known and

unknown risks, uncertainties and other factors that may cause Lineage's actual results, performance or achievements to be materially

different from future results, performance or achievements expressed or implied by the forward-looking statements in this press release,

including, but not limited to, the following risks: that we may need to allocate our cash to unexpected events and expenses causing us

to use our cash more quickly than expected; that positive findings in early clinical and/or nonclinical studies of a product candidate

may not be predictive of success in subsequent clinical and/or nonclinical studies of that candidate; that competing alternative therapies

may adversely impact the commercial potential of OpRegen; that Roche and Genentech may not successfully advance OpRegen or be successful

in completing further clinical trials for OpRegen and/or obtaining regulatory approval for OpRegen in any particular jurisdiction; that

we may not establish new partnerships or expand existing collaborations; that we do not successfully broaden awareness of our mission

or accomplishments; that Lineage may not be able to manufacture sufficient clinical quantities of its product candidates in accordance

with current good manufacturing practice; and those risks and uncertainties inherent in Lineage's business and other risks discussed

in Lineage's filings with the Securities and Exchange Commission (SEC). Lineage's forward-looking statements are based upon

its current expectations and involve assumptions that may never materialize or may prove to be incorrect. All forward-looking statements

are expressly qualified in their entirety by these cautionary statements. Further information regarding these and other risks is included

under the heading "Risk Factors" in Lineage's periodic reports with the SEC, including Lineage's most recent

Annual Report on Form 10-K and Quarterly Report on Form 10-Q filed with the SEC and its other reports, which are available from the SEC's

website. You are cautioned not to place undue reliance on forward-looking statements, which speak only as of the date on which they were

made. Lineage undertakes no obligation to update such statements to reflect events that occur or circumstances that exist after the date

on which they were made, except as required by law.