Notification of Major Interest in Shares

1. Identity of the issuer or the underlying issuerof existing shares to which voting rights areattached: ii

Circassia Pharmaceuticals plc

2 Reason for the notification (please tick the appropriate box or boxes):

An acquisition or disposal of voting rights

An acquisition or disposal of qualifying financial instruments which may result in the acquisition of shares already issued to which voting rights are attached

An acquisition or disposal of instruments with similar economic effect to qualifying financial instruments

An event changing the breakdown of voting rights

Other (please specify):

Passive change: threshold passed due to an increase in the total number of voting rights in the company

X

3. Full name of person(s) subject to thenotification obligation: iii

OppenheimerFunds, Inc.

4. Full name of shareholder(s)  (if different from 3.):iv

5. Date of the transaction and date onwhich the threshold is crossed orreached: v

12 April 2017

6. Date on which issuer notified:

13 April 2017

7. Threshold(s) that is/are crossed orreached: vi, vii

10% (decreased to 9.79%)

8. Notified details:

Investor Relations Contact:

Circassia Pharmaceuticals plc

Northbrook House

Robert Robinson Avenue

The Oxford Science Park

Oxford OX4 4GA

United Kingdom

Tel +44 (0) 1865 405560

A: Voting rights attached to shares viii, ix

Class/type ofshares

if possible usingthe ISIN CODE

Situation previousto the triggeringtransaction

Resulting situation after the triggering transaction

NumberofShares

NumberofVotingRights

Numberof shares

Number of votingrights

% of voting rights x

Direct

Direct xi

Indirect xii

Direct

Indirect

GB00BJVD3B28

32,540,657

32,540,657

32,540,657

9.79%

B: Qualifying Financial Instruments

Resulting situation after the triggering transaction

Type of financialinstrument

Expirationdate xiii

Exercise/Conversion Period xiv

Number of votingrights that may beacquired if theinstrument isexercised/ converted.

% of votingrights

C: Financial Instruments with similar economic effect to Qualifying Financial Instruments xv, xvi

Resulting situation after the triggering transaction

Type of financialinstrument

Exercise price

Expiration date xvii

Exercise/Conversion period xviii

Number of voting rights instrument refers to

% of voting rights xix, xx

Nominal

Delta

Total (A+B+C)

Number of voting rights

Percentage of voting rights

32,540,657

9.79%

9. Chain of controlled undertakings through which the voting rights and/or thefinancial instruments are effectively held, if applicable: xxi

OppenheimerFunds, Inc. ("OFI") is a registered investment advisor with the U.S. SEC. Its ultimate parent company, Massachusetts Mutual Life Insurance Company, qualifies for disaggregation under FSA regulations. The shares of the issuer are held by investment accounts managed by OFI and its wholly owned subsidiary, OFI Global Asset Management, Inc. ("OFIG").

Proxy Voting:

10. Name of the proxy holder:

11. Number of voting rights proxy holder will ceaseto hold:

12. Date on which proxy holder will cease to holdvoting rights:

13. Additional information:

The percentage of holdings noted above is based on the updated total number of voting rights in the company to be 332,244,588, as disclosed by the company on 12 April 2017 (Completion of the Transaction and admission to trading on the London Stock Exchange), which has caused OFI to cross below the 10% threshold.

14. Contact name:

Julien Cotta

15. Contact telephone number:

01865 405560