InCog™, Enzymotec's Innovative Lipid Composition for Cognitive Functioning, Enhances Brain Development and Improves Surviva...

Enzymotec Ltd., (NASDAQ:ENZY) (“Company” or "Enzymotec"), a developer, manufacturer and marketer of innovative bio-active lipid based nutritional ingredients and medical foods, announced today that InCogTM, an innovative lipid composition that is intended to mimic certain characteristics of human breast milk contributing to cognitive development, demonstrated enhanced brain development and improved survival in a preclinical study.

The study evaluated the effects of InCogTM in a term and preterm piglet model relevant for infants and demonstrated beneficial effects on brain development. In the preclinical study, only preterm piglets fed with a diet supplemented with InCogTM showed a significant increase in the weight of the cerebellum, leading to no discernible difference from normal term piglets. Additionally, only piglets on the diet that included InCogTM showed significantly elevated levels, by 52% as compared to control, of specialized cells within the cerebellum. These cells are responsible for motor and sensory information transmission. The study results also indicated substantial improvement in survival rates in both term and preterm piglets that were provided with supplemental InCogTM  in their diet as compared to piglets on a diet without InCogTM. The study was conducted in collaboration with the University of Memphis.

These positive results will be presented at the Third International Conference on Nutrition & Growth in Vienna, Austria on March 17 – 19, 2016.

“We are extremely encouraged by the results of this preclinical trial for InCogTM. Enzymotec remains dedicated to our research and development efforts as we continue to expand our product offering in infant nutrition. This trial is just another example of the value proposition that we can offer to our customers and our clinical research efforts stand at the core of our ability to advance up the value chain,” stated Dr. Ariel Katz, Enzymotec’s Chief Executive Officer.

About Enzymotec Ltd.Enzymotec is a leading global supplier of specialty lipid-based products and solutions. The Company develops, manufactures, and markets innovative bio-active lipid based nutritional ingredients and medical foods, driven by a deep core of cutting-edge, proprietary technologies intended to improve people's health. For more information, visit www.enzymotec.com.

Forward Looking Statements This press release may contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, Section 21E of the Securities Exchange Act of 1934, as amended and the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995, that are based on our management’s beliefs and assumptions and on information currently available to our management. Forward-looking statements include all statements that are not historical facts and can be identified by terms such as “anticipates,” “believes,” “could,” “seeks,” “estimates,” “expects,” “intends,” “may,” “plans,” “potential,” “predicts,” “projects,” “should,” “will,” “would” or similar expressions that convey uncertainty of future events or outcomes and the negatives of those terms.  Forward-looking statements include information concerning our possible or assumed future results of operations, business strategies, financing plans, competitive position, industry environment, potential growth opportunities, potential market opportunities and the effects of competition.   Such statements involve a number of known and unknown risks and uncertainties that could cause our future results, performance or achievements to differ significantly from the results, performance or achievements expressed or implied by such forward-looking statements. Some of the important factors that could cause or contribute to such differences include the following: a high proportion of the sales of the InFat product is to our customers who then use it in their infant formula products sold to end users in China and therefore our revenues are subject to the effects of Chinese market trends and competition from locally produced products that are not subject to import taxes; growth in the Chinese economy has moderated and this slowdown and related volatility could adversely impact demand for our products in China; we are subject to a degree of customer concentration and our customers do not enter into long-term purchase commitments with us; the demand for products based on omega-3, and, in particular, premium products such as krill oil, has declined in the past and may continue to decline, which, together with a significant increase in capacity by competing manufacturers, may continue to cause intense competition and price pressures; Chinese regulations relating to infant formula are under re-examination, and any regulatory changes affecting the ability of our customers to market infant nutrition products containing InFat could adversely affect our business; we rely on our Swedish joint venture partner to manufacture InFat and certain matters related to the joint venture are the subject of a pending arbitration with said partner; A significant portion of the sales of our InFat product is to a single company. If this company were to suffer financially or reduce its use of InFat our business could be materially adversely affected; Our offering of products as "medical foods" in the United States may be challenged by regulatory authorities; our product development cycle is lengthy and uncertain, and our development or commercialization efforts for our products may be unsuccessful; Our inventories include sensitive compounds which may face spoilage or obsolescence; Potential future acquisitions of companies or technologies may require management’s time and attention, may disrupt our business and may not yield the returns expected; Variations in the cost of raw materials for the production of InFat may have a material adverse effect on our business; we are dependent on a single facility that houses the majority of our operations; we depend on third parties to obtain raw materials, in particular krill, necessary for the production of our products; we anticipate that the markets in which we operate will become more competitive and we may be unable to compete effectively; we may have to pay royalties with respect to sales of our krill oil products in the United States or Australia and any infringement of intellectual property of others could also require us to pay royalties; Unfavorable publicity or consumer perception of our products, the supplements that contain them as ingredients and any similar products distributed by other companies could have a material adverse effect on our reputation, the demand for our products and our business; we depend on third parties to obtain raw materials, in particular krill, necessary for the production of our products; we are generally reliant upon third parties for the distribution or commercialization of our products; We may not be able to maintain or increase market acceptance for our products; We may not be able to maintain or increase market acceptance for our products; We are subject to risks relating to the operation and expansion of our production or processing facilities and capabilities; Disruption to our IT system could adversely affect our reputation and have a material adverse impact on our business and results of operations; We are not able to predict the results of clinical trials, which may prove unsuccessful or be delayed by certain factors;  our ability to obtain krill may be affected by conservation regulation or initiatives; We could be subject to product liability lawsuits, which could result in costly and time-consuming litigation and significant liabilities, and other factors discussed under the heading "Risk Factors" in our annual report on Form 20-F for the year ended December 31, 2015 filed with the Securities and Exchange Commission on March 3, 2016.

You should not put undue reliance on any forward-looking statements. Although we believe that the expectations reflected in the forward-looking statements are reasonable, we cannot guarantee that future results, levels of activity, performance and events and circumstances reflected in the forward-looking statements will be achieved or will occur. These forward-looking statements are made only as of the date hereof, and the Company undertakes no obligation to update or revise the forward-looking statements, whether as a result of new information, future events or otherwise.

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