Oncolytics Biotech Inc. Announces Presentation of REOLYSIN Preclinical Research at the 2016 ASGCT Annual Meeting CALGARY

Oncolytics Biotech Inc. Announces Presentation of REOLYSIN

Preclinical Research at the 2016 ASGCT Annual Meeting

CALGARY, May 5, 2016 /CNW/ - Oncolytics Biotech

Inc. ("Oncolytics" or the "Company") (TSX: ONC) (OTCQX: ONCYF) (FRA: ONY) today announced a poster

presentation by researchers, covering preclinical work in squamous cell carcinoma of the head and neck ("SCCHN"), is

being made at the 2016 American Society of Gene and Cell Therapy ("ASGCT") annual meeting being held from May 4th

to 7th, 2016 in Washington, DC.

"Preclinical work continues to play an important role

in REOLYSIN 's further development," said Dr. Brad Thompson, President and CEO of Oncolytics. "We are

evaluating REOLYSIN in combination with both established and emerging treatment options in a range of indications

in order to determine which pairings merit clinical testing."

The abstract/poster is titled "The Potency of a Histone

Deacetylase Inhibitor and REOLYSIN in Head and Neck Squamous Cell Carcinoma," and was authored by Old, et

al. The authors used the first FDA approved histone deacetylase inhibitor ("HDACi"), vorinostat (suberoylanilide hydroxamic

acid) ("SAHA"), in combination with REOLYSIN in vitro and in vivo. They had previously

found a synergistic combination of SAHA and REOLYSIN in a nude mouse model. Preclinical models using oncolytics

are often conducted in immunocompromised mice, negating the significant impact of the immune system. The data demonstrates that

combination of reovirus plus SAHA therapy has significant activity in the treatment of SCCHN, even in an immunocompetent model

and that immune system rebound likely plays a significant role in the long-term anti-tumor response.

About Oncolytics Biotech Inc.

Oncolytics is a Calgary-based biotechnology company focused

on the development of oncolytic viruses as potential cancer therapeutics. Oncolytics' clinical program includes a variety

of later-stage, randomized human trials in various indications using REOLYSIN , its proprietary formulation of the

human reovirus. For further information about Oncolytics, please visit: www.oncolyticsbiotech.com.

This press release contains forward-looking statements,

within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act

of 1934, as amended. Forward-looking statements, including the Company's expectations related to preclinical work and the Company's

belief as to the potential of REOLYSIN as a cancer therapeutic, involve known and unknown risks and uncertainties,

which could cause the Company's actual results to differ materially from those in the forward-looking statements. Such risks and

uncertainties include, among others, the availability of funds and resources to pursue research and development projects, the efficacy

of REOLYSIN as a cancer treatment, the tolerability of REOLYSIN outside a controlled test, the

success and timely completion of clinical studies and trials, the Company's ability to successfully commercialize REOLYSIN ,

uncertainties related to the research, development and manufacturing of pharmaceuticals, changes in technology, general changes

to the economic environment and uncertainties related to the regulatory process. Investors should consult the Company's quarterly

and annual filings with the Canadian and U.S. securities commissions for additional information on risks and uncertainties relating

to the forward-looking statements. Investors should consider statements that include the words "believes", "expects",

"anticipates", "intends", "estimates", "plans", "projects", "should",

or other expressions that are predictions of or indicate future events or trends, to be uncertain and forward-looking. Investors

are cautioned against placing undue reliance on forward-looking statements. The Company does not undertake to update these forward-looking

statements, except as required by applicable laws.

SOURCE Oncolytics Biotech Inc.

For further information: NATIONAL Equicom: Nick Hurst, 800

6th Ave. SW, Suite 1600, Calgary, Alberta T2P 3G3, Tel: 403.218.2835, Fax: 403.218.2830, nhurst@national.ca; NATIONAL Equicom:

Michael Moore, San Diego, CA, Tel: 858.886.7813, mmoore@national.ca; Dian Griesel, Inc., Susan Forman, 335 West 38th Street, 3rd

Floor, New York, NY 10018, Tel: 212.825.3210, Fax: 212.825.3229, sforman@dgicomm.com

CO: Oncolytics Biotech Inc.

CNW 06:30e 05-MAY-16