Vical Announces Review of Potential Strategic Transactions

Vical Incorporated (Nasdaq:VICL) today announced that its Board of Directors plans to explore a range of strategic options to enhance shareholder value. The company has retained MTS Health Partners, L.P. as its financial advisor to assist in the strategic review process.

Vical is currently developing its novel anti-fungal drug VL-2397, which is currently in a Phase 2 clinical trial, and, in addition, has a preclinical program focused on a novel approach to chronic HBV infections. The Company anticipates ending 2018 with a minimum of $40 million, which, in the absence of a strategic transaction, Vical believes to be sufficient to fund operations through the announcement of top-line data from its Phase 2 program, expected in 2020.

There is no set timetable for the review process and there can be no assurance that the process will result in a transaction. There will be no further disclosures regarding the evaluation process unless a transaction is approved by the Board of Directors, or is otherwise deemed appropriate.

About VicalVical develops biopharmaceutical products for the prevention and treatment of chronic or life-threatening infectious diseases, including antiviral and antifungal candidates in clinical development. Additional information on Vical is available at www.vical.com.

Forward-Looking StatementsThis press release contains forward-looking statements that are subject to risks and uncertainties that could cause actual results to differ materially from those projected. Forward-looking statements include Vical’s plans to explore strategic alternatives, the potential benefits of a strategic transaction, clinical and development plans and timing and cash burn guidance. Risks and uncertainties include Vical’s ability to identify potential strategic transactions and to complete any transaction that it pursues; whether Vical will be able to realize the expected benefits of any transaction; whether Vical or others will continue development of Vical’s VL-2397 drug candidate or its HBV program; potential delays in the Phase 2 program for VL-2397; whether any product candidates will be shown to be safe and efficacious in clinical trials; the timing of clinical trials; potential demands on Vical’s cash resources; and additional risks set forth in the Company's filings with the Securities and Exchange Commission. These forward-looking statements represent the Company's judgment as of the date of this release. The Company disclaims, however, any intent or obligation to update these forward-looking statements.

Contact:	Andrew Hopkins
	[phone]
	Website:  www.vical.com