Cadus Pharmaceutical Corporation
Ticker: KDUS 777 Old Saw Mill River Road
Exchange: NASDAQ-National Market Tarrytown, New York 10591
Industry: Service (914) 345-3344

Type of Shares:Common Shares Filing Date:5/24/96
U.S. Shares:2,750,000 Offer Date:7/17/96
Non-U.S. Shares:0 Filing Range:$10.50 - $12.50
Primary Shares:2,750,000 Offer Price:$7.00
Secondary Shares:0 Gross Spread:$0.49
Offering Amount: $31,625,000 Selling:$0.25
Expenses:$675,000 Reallowance:$0.10
Shares Out After:11,633,190

ManagerTierPhone
Hambrecht & Quist IncorporatedLead Manager (415) 576-3423
Genesis Merchant Group SecuritiesCo-manager (800) 833-6482
Montgomery SecuritiesCo-manager 4156272220

Auditor: KPMG Peat Marwick
Audited
Income
Latest
Unaudited
Income
Prior
Unaudited
Income
Balance
Sheet
12/31/95 3/31/96 3/31/95 3/31/96
Revenue:$4.42$1.63$1.00Assets:$30.59
Net Income:-$1.48-$0.04-$0.16Liabilities:$2.89
EPS:-$0.16$0.00Equity:$27.69

Note: Dollar amounts are in U.S. millions; Audited figures expressed as full year,
unaudited figures are partial year

Business Description
The company is engaged in the discovery of novel small molecule therapeutics that act on targets in human cell signaling pathways. The company has developed proprietary drug discovery technologies based on genetically engineered yeast cells. Cadus uses these and other proprietary technologies to identify human cell surface receptors and other molecule targets, to elucidate the function of such targets and to identify lead compounds that act on such targets. The company conducts drug discovery programs both independently and with its collaborative partners, Bristol-Myers Squibb Company and Solvay Duphar B.V. Cadus is a leader in the development of proprietary technologies that exploit the similarities between yeast and human genes to elucidate gene function and cell signaling pathways. The company has developed four proprietary drug discovery technologies. Two of these technologies are used to identify small molecules that act as agonists or antagonists to cell surface receptors and other targets in the signal transaction pathway.

Use of Proceeds
The proceeds from the offering will be used for research and development, working capital and other general corporate purposes.

Last updated: 10/28/96

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