Benzinga | Jul 1, 2021 08:13AM EDT

Adamis Pharma Sends Letter To Shareholders, Addresses Jerald Hammann's 'Costly, Distracting, Misguided' Campaign

July 1, 2021

Dear Stockholders,

The Board of Directors (the "Board") appreciates your continued investment in Adamis Pharmaceuticals Corporation ("Adamis" or the "Company" or "we"). The Board also appreciates the feedback that many stockholders have provided in recent weeks. As we work to position Adamis for long-term success, please trust that this input will be carefully assessed and factored into our go-forward plans.

We are writing to you today to once again urge you to vote to re-elect all five members of the Board at the Company's upcoming Annual Meeting of Stockholders (the "Annual Meeting") on July 16, 2021. In our view, maintaining boardroom continuity can help the Company achieve the following:

* Support the ongoing Food and Drug Administration ("FDA") review of our ZIMHI(tm) New Drug Application.

* Advance our Phase 2/3 trial for examining the effects of Tempol on COVID-19.

* Support ongoing efforts to obtain government funding for Tempol.

* Advance the Investigational New Drug for Tempol's use in radiation dermatitis.

* Demonstrate a further increase in SYMJEPI(r) sales.

* Maintain a strong capital position and healthy balance sheet.

* Prioritize progress across our entire product pipeline.

Based on our decades of collective experience in the biotechnology and pharmaceutical sectors, we firmly believe that Adamis is nearing a promising inflection point. We contend it is not the time to deviate from these priorities. The progress we are beginning to catalyze for SYMJEPI(r), ZIMHI(tm) and now Tempol stems from months and years of planning and work. This is the time to remain focused on -- not pull back from -- the efforts we are undertaking.

Unfortunately, Jerald A. Hammann -- a holder of 1,000 shares with no industry expertise, no public company experience and no articulated plan -- is trying to remove and replace 80% of your Board. We believe a more effective way for stockholders to communicate concerns is to write to the Company directly instead of seemingly throwing away a vote on Mr. Hammann's misguided effort.

We urge stockholders not to be misled for a number of reasons, including:

* Mr. Hammann initially demanded a lucrative and unjusitified paid consulting agreement -- which would have been paid for with stockholders' capital -- before he was even a stockholder of the Company.

* Mr. Hammann threatened to make books and records demands and to run a campaign against the Board if we did not quickly agree to award him the demanded consulting agreement.

* Mr. Hammann has no operating experience in the biotechnology or pharmaceutical sector.

* Mr. Hammann has no experience as a director or executive of a public company.

* Mr. Hammann has a history of filing serial lawsuits and being a vexatious litigator.

* Mr. Hammann submitted an untimely and invalid notice of director nominations. His nominations will not be accepted at the Annual Meeting.

* Mr. Hammann unsuccessfully sued the Company in an attempt to delay the Annual Meeting and forced us to expend precious stockholder capital on fending off litigation.

* Mr. Hammann has no plan for the Company.

We hope stockholders recognize that supporting Mr. Hammann's misguided campaign would be akin to taking what we believe is a major risk. Rather than support a litigious stockholder that is waging a costly and distracting battle with the Company, we urge you to reject his efforts by voting to re-elect your current Board.

Once again, we thank you for your investment in Adamis. We firmly believe that the Company is on the right path now that we have tangible pipeline momentum. Vote on the WHITE proxy card to elect our full five-member slate and help us sustain the Company's progress.

Sincerely,

The Adamis Board of Directors

***

PROTECT YOUR INVESTMENT IN ADAMIS -- PLEASE SIGN, DATE AND PROMPTLY RETURN THE WHITE PROXY CARD.

The Board urges you to carefully consider the information contained in the Company's proxy materials and cast your vote on the WHITE proxy card.

* DO NOT download any blue proxy card provided by Jerald A. Hammann.

* DO NOT return any blue proxy card to Jerald A. Hammann even as a protest vote against his campaign.

* DO NOT respond to any email or phone solicitations from Jerald A. Hammann.

CONTACT THE COMPANY'S PROXY SOLICITOR AT INFO@SARATOGAPROXY.COM OR (888) 368-0379 IF YOU HAVE ANY QUESTIONS REGARDING THE ANNUAL MEETING OR HOW TO VOTE.