Zealand Pharma

Delisting Announcement • Jun 2, 2016

-- A proposed voluntary liquidation of certain Sunstone managed funds during
Q3 2016 will lead to the distribution of 13% of Zealand’s share capital to
a broad group of institutional investors
-- Zealand has been informed that no single investor will receive more than 5%
of the share capital
-- Following the liquidation, Sunstone will remain an 8.5% shareholder in
Zealand
-- Peter Benson, managing partner in Sunstone, steps down from Zealand’s Board
of Directors. He remains a member of Zealand’s Nomination Committee

Copenhagen, 2 June 2016 – Zealand announces that it has received information
from its major shareholder, Sunstone LSV Management A/S, that the following
funds are expected to enter into voluntary liquidation during the third quarter
of 2016; P/S Sunstone Biomedicinsk Venture III, K/S Sunstone Biomedical
Ventures Annex I, K/S Sunstone Biomedical Ventures Annex II and K/S Sunstone
Biomedical Ventures Annex III.

The four funds hold a total of 3,177,593 shares in Zealand, representing 13% of
Zealand’s total share capital. As part of the liquidation, these shares will be
distributed to the funds’ investors, who represent a broad group of Danish
institutional investors. Zealand has been informed by Sunstone LSV Management
A/S that no single investor will receive more than 5% of Zealand’s share
capital. Following the liquidations, Sunstone LSV Management A/S will remain a
significant shareholder in Zealand through its management of Sunstone Life
Science Ventures Fund I K/S, which holds 2,083,483 shares or 8.5% of Zealand’s
total share capital.

Søren Lemonius, Partner in Sunstone LSV Management A/S, commented:

“We are pleased to be able to place a relatively large amount of Zealand shares
with Danish investors in connection with the planed liquidation of certain of
our funds. At the same time, we are committed to Sunstone’s remaining
shareholding in the company as we believe Zealand is at an exciting point in
its trajectory towards accelerated value creation and look forward to following
its continued development.”

In connection with the upcoming liquidation of Sunstone managed funds and
subsequent expected distribution of Zealand ownership, Peter Benson, managing
partner of Sunstone and independent Zealand board member, will step down from
the Board of Directors with effect from today. Peter Benson has served on
Zealand’s Board of Directors since 2007. He continues as member of Zealand’s
Nomination Committee.

Martin Nicklasson, Chairman of the Board of Directors of Zealand, said:

“Sunstone has been a long-term supportive investor in Zealand both before and
after the company went public. This includes valuable contributions by Peter
Benson, who during his 10 years on our board has been instrumental for the
successful development of Zealand from its early years and till today. On
behalf of everyone on the board I would like to extend my most sincere thanks
to Peter and at the same time express my full respect for his decision to now
step down.

“We are pleased that Sunstone remains a major shareholder while welcoming an
increased diversification of ownership in our company. Together with Zealand’s
management, I look forward to engaging in dialogue with our coming new
shareholders.”

Zealand expects to receive a formal shareholder notification from Sunstone LSV
Management A/S when the liquidation has taken place.