(RXII) Provides Strategic Update

MARLBOROUGH, Mass., May 10, 2016  — RXi Pharmaceuticals Corporation (NASDAQ: RXII), a clinical-stage RNAi company developing innovative therapeutics in dermatology and ophthalmology that address significant unmet medical needs, today announced that it is in the process of exploring strategic options including a range of potential M&A and business development opportunities designed to enhance shareholder value.  As part of this effort, RXi has engaged Griffin Securities, Inc. (“Griffin”) for one of these transactions.

“Following our recent reverse stock split and the full conversion of our preferred stock at the end of 2015, we have successfully reset the Company’s capital structure and are now better positioned to execute on one or more strategic transactions that would significantly advance our Company,” stated Dr. Geert Cauwenbergh, President and Chief Executive Officer of RXi. “In furtherance of this goal, we have engaged Griffin Securities and are in active discussions regarding a potential merger transaction that, if successful, would be expected to bring substantial synergies to the combined business and significantly advance our clinical pipeline.”  He added that: “We are pleased to be working with the highly experienced team at Griffin, and to tap into their expertise in working on this type of project.  Although there can be no assurance that the exploration of any alternatives will result in RXi entering into or consummating a transaction, we are committed to enhancing our growth through this type of transactions, and are actively engaged in activities to arrive at this goal.”

There can be no assurance that the exploration of strategic alternatives will result in a transaction. The Company does not intend to provide updates unless or until it determines that disclosure is appropriate or necessary.

About RXi Pharmaceuticals Corporation

RXi Pharmaceuticals Corporation (NASDAQ: RXII) is a clinical-stage RNAi company developing innovative therapeutics in dermatology and ophthalmology that address significant unmet medical needs.  Building on the pioneering work of RXi’s Scientific Advisory Board Chairman and Nobel Laureate Dr. Craig Mello, our discovery and clinical development programs are based on our proprietary RNAi (sd-rxRNA) platform and Samcyprone™, a topical immunomodulator.  Our clinical development programs include RXI-109, an sd-rxRNA, for the treatment of dermal and ocular scarring, and Samcyprone™ for the treatment of such disorders as warts, alopecia areata, non-malignant skin tumors and cutaneous metastases of melanoma.  RXi’s robust pipeline, coupled with an extensive patent portfolio, provides for multiple product and business development opportunities across a broad spectrum of therapeutic areas. We are committed to being a partner of choice for academia, small companies, and large multinationals. We welcome ideas and proposals for strategic alliances, including in- and out-licensing opportunities, to advance and further develop strategic areas of interest. Additional information may be found on the Company’s website, www.rxipharma.com.

About Griffin Securities

Griffin Securities, Inc. is a full service investment banking firm based in New York City focused on identifying world changing ideas and people in the areas of Technology, Healthcare, Energy, Industry and Synthetic Biology. Griffin offers a range of services including raising capital, merger and acquisitions, partnerships and collaborations and financial advisory services complemented by institutional sales and trading and proprietary research. Griffin has established itself as a trusted and respected ally deeply knowledgeable about strategies, development, and operations that deliver sustained growth and shareholder value.

Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements include, but are not limited to, statements about: our ability to successfully execute on the Company’s strategic goals, including pursuit of the merger transaction referred to in this press release; any benefits of such transaction, if successfully consummated; our ability to successfully develop RXI-109, Samcyprone™ and our other product candidates (collectively “our product candidates”); the future success of our clinical trials with our product candidates; the timing for the commencement and completion of clinical trials; our ability to enter into strategic partnerships and the future success of these strategic partnerships; and our ability to deploy our sd-rxRNA® technology through partnerships, as well as the prospects of these partnerships to provide positive returns. Forward-looking statements about expectations and development plans of RXi’s product candidates and partnerships involve significant risks and uncertainties, including the following: risks that we may not be able to successfully develop and commercialize our product candidates; risks that product development and clinical studies may be delayed, not proceed as planned and/or be subject to significant cost over-runs; risks related to the development and commercialization of products by competitors; risks related to our ability to control the timing and terms of collaborations with third parties; and risks that other companies or organizations may assert patent rights preventing us from developing or commercializing our product candidates. Additional risks are detailed in our most recent Annual Report on Form 10-K and subsequent Quarterly Reports on Form 10-Q under the caption “Risk Factors.”  Readers are urged to review these risk factors and to not act in reliance on any forward-looking statements, as actual results may differ from those contemplated by our forward-looking statements. Forward-looking statements are provided only as of the date of this release and RXi does not undertake to update forward-looking statements to reflect a change in its views, events or circumstances that occur after the date of this release.

Contact

RXi Pharmaceuticals Corporation
Tamara McGrillen
508-929-3646
tmcgrillen@rxipharma.com