Synergy Pharmaceuticals Announces Closing of Public Offering of Shares of Common Stock

Synergy Pharmaceuticals Announces Closing of Public Offering of Shares of
Common Stock

NEW YORK, April 16, 2013 (GLOBE NEWSWIRE) -- Synergy Pharmaceuticals
Inc.(Nasdaq:SGYP), a developer of new drugs to treat gastrointestinal
disorders and diseases, announced the closing of its underwritten public
offering of 16,375,000 shares of common stock at an offering price of $5.50
per share. Synergy received net proceeds, after deducting the underwriting
discount and estimated offering expenses, of approximately $84.5 million.
Synergy has also granted the underwriters a 30-day option to purchase up to an
additional 2,456,250 shares of common stock to cover over-allotments, if any.

Synergy intends to use the net proceeds from this offering to fund its
research and development activities, including further clinical development of
plecanatide and its other pipeline programs, for working capital, other
general corporate purposes, and possibly acquisitions of other companies,
products or technologies, though no such acquisitions are currently
contemplated.

Credit Suisse, Citigroup and Canaccord Genuity are acting as book-running
managers in this offering, and Cantor Fitzgerald is acting as a co-manager.

A registration statement relating to the shares described above was previously
filed with and has become effective by rule of the Securities and Exchange
Commission (SEC). A final prospectus supplement relating to the offering was
filed with the SEC and is available on the SEC's website at
http://www.sec.gov. Copies of the final prospectus supplement and related
prospectus may be obtained from Credit Suisse Securities (USA) LLC, Attention:
Prospectus Department, One Madison Avenue, New York, NY 10010, or by telephone
at (800) 221-1037, or by e-mail at newyork.prospectus@credit-suisse.com; or
Citigroup, c/o Broadbridge Financial Solutions, 1155 Long Island Avenue,
Edgewood, New York 11717, or by telephone at (800) 831-9146, or by e-mail at
batprospectus@citi.com; or Canaccord Genuity Inc., Attention: Syndicate
Department, 99 High Street, 12th Floor, Boston, Massachusetts 02110, or by
telephone at (617) 371-3900.

This press release shall not constitute an offer to sell or the solicitation
of an offer to buy, nor shall there be any sale of, the shares in any state or
other jurisdiction which such offer, solicitation or sale would be unlawful
prior to the registration or qualification under the securities laws of any
such state or other jurisdiction.

About Synergy Pharmaceuticals Inc.

Synergy is a biopharmaceutical company focused on the development of new drugs
to treat gastrointestinal disorders and diseases. Synergy's lead proprietary
drug candidate, plecanatide, is a synthetic analog of the human
gastrointestinal hormone uroguanylin, and functions by activating the
guanylate cyclase C receptor on epithelial cells of the GI tract. Synergy
completed a positive Phase I study of plecanatide in healthy volunteers, and
positive Phase IIa and Phase IIb/III clinical trials in patients with chronic
idiopathic constipation (CIC). Detailed positive findings from a recently
completed 951 patient CIC clinical trial will be presented at a major
scientific meeting this year. Synergy is also developing plecanatide for the
treatment of irritable bowel syndrome with constipation (IBS-C), having
initiated the first trial in IBS-C patients in late 2012. Synergy's second
GC-C agonist, SP-333, is in clinical development to treat inflammatory bowel
diseases, and is currently in a Phase Ib trial in healthy volunteers having
recently completed a Phase Ia trial.

Certain statements in this press release are forward-looking within the
meaning of the Private Securities Litigation Reform Act of 1995. These
statements may be identified by the use of forward-looking words such as
"plan," "expect," "anticipate," "believe," "forecast," "estimated" and
"intend," among others. These forward-looking statements are based on
Synergy's current expectations and actual results could differ materially.
These statements include, but are not limited to, statements regarding our
expectations regarding clinical trials, the timing of clinical results,
development timelines and regulatory filings and submissions for our product
candidates, our current Phase 2b 90-day clinical trial of plecanatide in IBS-C
patients, our current Phase 1b clinical trial of SP-333, our intention to
initiate a Phase 1 clinical trial of SP-333 for the treatment of ulcerative
colitis during the second half of 2012, our liquidity and our expectations
regarding our needs for and ability to raise additional capital and the
amount, and our expected uses, of the net proceeds of this offering. Synergy
does not undertake an obligation to update or revise any forward-looking
statement. These forward-looking statements are based on our current
expectations and projections about future events and they are subject to risks
and uncertainties known and unknown to us that could cause actual results and
developments to differ materially from those expressed or implied in such
statements, including the risks described under "Risk Factors" in our Annual
Report on Form 10-K for the year ended December 31, 2012 and other periodic
reports filed with the Securities and Exchange Commission.

CONTACT: Investor Contact Information:
        
         Danielle Spangler
         The Trout Group
         synergy@troutgroup.com
         (646) 378-2924