Anika Announces $5 Million Milestone Payment from U.S. Commercial Sales of MONOVISC

Company Expects Total Revenue Growth of 23% to 26% for Q2 2017

BEDFORD, Mass.–(BUSINESS WIRE)–Anika
Therapeutics, Inc.
(NASDAQ: ANIK), a global, integrated orthopedics
medicines company specializing in therapeutics based on its proprietary hyaluronic
acid (“HA”) technology
, today announced that it will
receive a $5 million milestone payment under the terms of the Company’s
license agreement with its U.S. commercial partner. The milestone
payment was triggered by MONOVISC® achieving $100 million in
U.S. end-user sales within a consecutive 12-month period at the end of
June 2017. The Company will recognize this milestone payment as revenue
in the second quarter of 2017.

“This significant commercial milestone reflects a strong 12 months of
growth in U.S. end-user demand for MONOVISC, especially in the second
quarter of 2017,” said Charles H. Sherwood, Ph.D., President and Chief
Executive Officer of Anika Therapeutics. “We are proud of MONOVISC’s
growth and success in the U.S., and we remain focused on the global
expansion of MONOVISC to drive future growth.”

The Company also announced preliminary revenue for the second quarter of
2017. Anika expects total revenue growth for the second quarter of 2017
to be in the range of 23% to 26% year-over-year, including licensing,
milestone and contract revenue of approximately $5 million as a result
of the milestone payment announced today. The company will provide a
complete update on its second quarter 2017 financial results on July 26,
2017.

About MONOVISC

MONOVISC is Anika’s second-generation hyaluronic acid-based therapy for
treating osteoarthritis that features enhanced durability in a safe,
easy-to-use, single injection regimen. MONOVISC is made from highly
purified, non-animal, natural hyaluronan. Hyaluronan occurs naturally
throughout the body, especially in articular cartilage, synovial fluid
in joints and in the skin. For more information about MONOVISC, please
visit www.monovisc.com.

About Anika Therapeutics, Inc.

Anika
Therapeutics, Inc.
 (NASDAQ: ANIK) is a global, integrated
orthopedic medicines company based in Bedford, Massachusetts. Anika is
committed to improving the lives of patients with degenerative
orthopedic diseases and traumatic conditions with clinically meaningful
therapies along the continuum of care, from palliative pain management
to regenerative cartilage repair. The Company has over two decades of
global expertise developing, manufacturing, and commercializing more
than 20 products based on its proprietary hyaluronic
acid (HA) technology
. Anika’s orthopedic medicine portfolio
includes ORTHOVISC®MONOVISC,
and CINGAL®,
which alleviate pain and restore joint function by replenishing depleted
HA, and HYALOFAST®,
a solid HA-based scaffold to aid cartilage repair and regeneration. For
more information about Anika, please visit www.anikatherapeutics.com.

Forward-Looking Statements

The statements made in the third paragraph of this press release, which
are not statements of historical fact, are forward-looking statements
within the meaning of Section 27A of the Securities Act of 1933, as
amended, and Section 21E of the Securities Exchange Act of 1934, as
amended. These statements include, but are not limited to, those
relating to the Company’s expectations regarding its financial results
for the second quarter of 2017, which preliminary results were announced
herein. These statements are based upon the current beliefs and
expectations of the Company’s management and are subject to significant
risks, uncertainties, and other factors. The Company’s actual results
could differ materially from any anticipated future results,
performance, or achievements described in the forward-looking statements
as a result of a number of factors including, but not limited to, (i)
the Company’s ability to successfully commence and/or complete clinical
trials of its products on a timely basis or at all; (ii) the Company’s
ability to obtain pre-clinical or clinical data to support domestic and
international pre-market approval applications, 510(k) applications, or
new drug applications, or to timely file and receive FDA or other
regulatory approvals or clearances of its products; (iii) that such
approvals will not be obtained in a timely manner or without the need
for additional clinical trials, other testing or regulatory submissions,
as applicable; (iv) the Company’s research and product development
efforts and their relative success, including whether we have any
meaningful sales of any new products resulting from such efforts; (v)
the cost effectiveness and efficiency of the Company’s clinical studies,
manufacturing operations, and production planning; (vi) the strength of
the economies in which the Company operates or will be operating, as
well as the political stability of any of those geographic areas; (vii)
future determinations by the Company to allocate resources to products
and in directions not presently contemplated; (viii) the Company’s
ability to successfully commercialize its products, in the U.S. and
abroad; (ix) the Company’s ability to provide an adequate and timely
supply of its products to its customers; and (x) the Company’s ability
to achieve its growth targets. Additional factors and risks are
described in the Company’s periodic reports filed with the Securities
and Exchange Commission, and they are available on the SEC’s website at www.sec.gov.
Forward-looking statements are made based on information available to
the Company on the date of this press release, and the Company assumes
no obligation to update the information contained in this press release.

Contacts

For Investor Inquiries:
Anika Therapeutics, Inc.
Sylvia
Cheung, Chief Financial Officer
781-457-9000
or
For Media
Inquiries:
Pure Communications, Inc.
Sonal Vasudev
917-523-1418
sonal@purecommunicationsinc.com