KemPharm Announces Proposed Public Offering of Common Stock Coralville, IA

KemPharm Announces Proposed Public Offering of Common Stock

Coralville, IA October 4, 2018 KemPharm, Inc. (NASDAQ:KMPH), a specialty pharmaceutical company focused on the

discovery and development of proprietary prodrugs, today announced that it intends to offer and sell shares of its common stock in an underwritten public offering. All of the shares of common stock to be sold in the offering will be offered by

KemPharm. In addition, KemPharm intends to grant the underwriters a 30-day option to purchase up to an additional 15% of the shares of its common stock offered in the public

offering. The offering is subject to market conditions, and there can be no assurance as to whether or when the offering may be completed, or the actual size or terms of the offering.

KemPharm intends to use the net proceeds of the offering primarily to fund an NDA submission for KP415, to initiate a pivotal trial for KP484 and for general

RBC Capital Markets is acting as the sole book-running manager for the offering. Oppenheimer & Co. Inc. is acting as the

lead manager and Janney Montgomery Scott and Roth Capital Partners are acting as co-managers for the offering.

shelf registration statement relating to the shares of common stock offered in the public offering described above was filed with the Securities and Exchange Commission (SEC) on October 3, 2016, and declared effective by the SEC on

October 17, 2016. The offering will be made only by means of a written prospectus and prospectus supplement that form a part of the registration statement. A preliminary prospectus supplement and accompanying prospectus relating to the offering

will be filed with the SEC and will be available on the SEC s website at www.sec.gov. Copies of the preliminary prospectus supplement and the accompanying prospectus, when available, may also be obtained by contacting:

RBC Capital Markets, LLC

Vesey Street, 8th Floor

Attn: Equity Syndicate

Email: equityprospectus@rbccm.com.

This press release shall not constitute an offer to sell or the solicitation of an offer to buy the securities being offered, nor shall there be any sale of

the securities being offered in any state or other jurisdiction in which such offer, solicitation or sale would be unlawful prior to the registration or qualification under the securities laws of any such state or other jurisdiction.

KemPharm is a specialty pharmaceutical

company focused on the discovery and development of proprietary prodrugs to treat serious medical conditions through its proprietary LATTM (Ligand Activated Therapy) platform

technology. KemPharm utilizes its proprietary LAT platform technology to generate improved prodrug versions of FDA-approved drugs in the high need areas of ADHD, pain and other central nervous system

disorders. KemPharm s co-lead clinical development candidates are KP415 and KP484, both based on a prodrug of d-methylphenidate, but with differing

extended-release/effect profiles for the treatment of ADHD. In addition, KemPharm has received FDA approval for APADAZ , an immediate-release combination product containing benzhydrocodone, a

prodrug of hydrocodone, and acetaminophen.

Forward Looking Statements:

Any statements in this press release about future expectations, plans and prospects for KemPharm, including statements about the anticipated public offering,

anticipated use of proceeds and other statements containing the words anticipate, believe, estimate, expect, intend, may, plan, predict,

project, target, potential, will, would, could, should, continue, and similar expressions, constitute forward-looking statements within the meaning of

The Private Securities Litigation Reform Act of 1995. Actual results may differ materially from those indicated by such forward-looking statements as a result of various important factors, including: the uncertainties related to market conditions

and the completion of the public offering on the anticipated terms or at all, uncertainties inherent in the initiation of future clinical trials and such other factors as are set forth in the risk factors detailed in KemPharm s Quarterly Report

on Form 10-Q for the quarter ended June 30, 2018, filed with the SEC on August 10, 2018, and KemPharm s other filings with the SEC under the heading Risk Factors. In addition, the

forward-looking statements included in this press release represent KemPharm s views as of the date hereof. KemPharm anticipates that subsequent events and developments will cause KemPharm s views to change. However, while KemPharm may

elect to update these forward-looking statements at some point in the future, KemPharm specifically disclaims any obligation to do so. These forward-looking statements should not be relied upon as representing KemPharm s views as of any date

subsequent to the date hereof.

Investor/Media Contacts:

Jason Rando / Joshua Drumm,

Tiberend Strategic Advisors, Inc.