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Initiation of Research Coverage: Halozyme Therapeutics, Inc.

CHICAGO, April 8, 2010 - William Blair & Company initiated research coverage of Halozyme Therapeutics, Inc. (HALO $8.12), a biotechnology company whose technology platform (Enhanze) enables subcutaneous administration of intravenous drugs, with an Outperform rating and Aggressive Growth company profile.

Analyst John Sonnier said, “We believe Halozyme’s innovative and validated technology platform positions it well for significant shareholder value creation through strategic collaborations and proprietary drug development. In our view, subcutaneous administration offers numerous potential advantages to patients, including greater delivery of drug to intended targets, faster onset of therapeutic activity, potential for more-efficient home-based administration with less pain, and reduced injection-site reactions. Moreover, for partners that license Enhanze, the technology offers competitive differentiation, pharmacoeconomic benefits, and product life cycle extension for products coming off patent. Use of Halozyme’s approach with its Enhanze technology has led to one FDA-approved product—Baxter’s Hylenex—and two late-stage initiatives with blockbuster potential, Gammagard SC from Baxter and Herceptin SC from Roche.”

Sonnier continued, “Beyond its partnered programs, Halozyme is leveraging its expertise in PH20 (the enzyme that acts to enable subcutaneous drug delivery) as well as other multifunctional matrix platforms to assemble a proprietary pipeline. To date, we see most development emphasis in the area of diabetes, where the addition of PH20 to regular and rapid-acting insulin may enable a best-in-class profile; preliminary data have been encouraging. The technology may have additional utility in certain forms of cancer. We see 2010 and 2011 as formative years with potential for significant shareholder value creation and an active news calendar that should keep investor interest high.”

William Blair & Company, L.L.C. is a global investment firm offering investment banking, asset management, equity research, institutional and private brokerage, and private capital to individual, institutional, and issuing clients. Since 1935, we have been committed to helping clients achieve their financial objectives. As an independent, employee-owned firm, our philosophy is to serve our clients' interests first and foremost. We place a high value on the enduring nature of our client relationships, the quality of our products and services, and the continuity and integrity of our people. William Blair & Company is based in Chicago, with office locations including Boston, London, New York, San Francisco, Shanghai, Tokyo, and Zurich. For more information, please visit www.williamblair.com.

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Current Ratings Distribution (as of 3/31/10)

Coverage Universe
Outperform (Buy): 65%
Market Perform (Hold): 34%
Underperform (Sell): 1%

Inv. Banking Relationships*
Outperform (Buy): 6%
Market Perform (Hold): 2%
Underperform (Sell): 0%

* Percentage of companies in each rating category that are investment banking clients, defined as companies for which William Blair has received compensation for investment banking services within the past 12 months.

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