Novartis AG — Director's Dealing 2017

Jul 6, 2017

SEC Form 4 — Statement of Changes in Beneficial Ownership

Issuer: AILERON THERAPEUTICS INC (ALRN)
CIK: 0001420565
Period of Report: 2017-07-05

Reporting Person: Novartis Bioventures Ltd (10% Owner)
Reporting Person: NOVARTIS AG (10% Owner)

Non-Derivative Transactions

Date	Security	Code	Shares	Price	A/D	Holdings After	Ownership
2017-07-05	Common Stock	C	2277515	—	Acquired	2277515	Direct
2017-07-05	Common Stock	P	266667	$15.00	Acquired	2544182	Direct

Derivative Transactions

Date	Security	Exercise Price	Code	Shares	A/D	Expiration	Underlying	Ownership
2017-07-05	Series C Preferred Stock	$	C	2967025	Disposed		Common Stock (298583)	Direct
2017-07-05	Series C-2 Preferred Stock	$	C	4238607	Disposed		Common Stock (426547)	Direct
2017-07-05	Series D Preferred Stock	$	C	6781770	Disposed		Common Stock (682476)	Direct
2017-07-05	Series E-2 Preferred Stock	$	C	2644558	Disposed		Common Stock (266132)	Direct
2017-07-05	Series E-3 Preferred Stock	$	C	2293829	Disposed		Common Stock (230837)	Direct
2017-07-05	Series F Preferred Stock	$	C	3705882	Disposed		Common Stock (372937)	Direct

Footnotes

F1: The Series C, Series C-2, Series D, Series E-2, Series E-3 and Series F Preferred Stock converted into Common Stock on a 9.937-for-one basis upon the closing of the Issuer's initial public offering without payment of consideration. The Series C, Series C-2, Series D, Series E-2, Series E-3 and Series F Preferred Stock were convertible at any time at the holder's election and automatically upon the closing of the Issuer's initial pubic offering. The shares had no expiration date.

F2: The shares are directly owned by Novartis Bioventures Ltd. Novartis Bioventures Ltd. is a wholly-owned indirect subsidiary of Novartis AG, which is an indirect beneficial owner of the reported securities.

F3: Novartis Bioventures Ltd., a wholly-owned indirect subsidiary of Novartis AG, acquired 266,667 shares of Common Stock in the Issuer's initial public offering.