APLS 2018 Proxy Statement

TRANSACTIONS WITH RELATED PERSONS The following is a description of transactions since January 1, 2017 to which we have been a party, and in which any of our directors, executive officers and holders of more than 5% of our voting securities and affiliates of our directors, executive officers and holders of more than 5% of our voting securities, had or will have a direct or indirect material interest. We believe that all of the transactions described below were made on terms no less favorable to us than could have been obtained from unaffiliated third parties. Series E Convertible Preferred Stock Financing In August 2017, we issued and sold an aggregate of 7,792,035 shares of our series E convertible preferred stock at a price per share of $2.571, for an aggregate purchase price of $20.0 million. The following table sets forth the number of shares of our series E convertible preferred stock purchased by directors, executive officers or 5% stockholders and their respective affiliates and the aggregate purchase price paid for such shares. Upon the closing of our initial public offering, all of the outstanding shares of our Series E convertible preferred stock converted into shares of our common stock. Name Shares of Series E Convertible Preferred Stock Purchased Aggregate Purchase Price Morningside Venture Investments, Ltd.(1)(2) . . . . . . . . . . . . . . . . . . . . . . . . . 259,302 $ 666,665 venBio Global Strategic Fund II LP(1) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 648,256 1,666,666 venBio Select Fund LLC(1) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 388,953 999,998 Cormorant Private Health Care Fund I, LP . . . . . . . . . . . . . . . . . . . . . . . . . . . 523,986 1,347,168 Cormorant Global Healthcare Master Fund . . . . . . . . . . . . . . . . . . . . . . . . . . . 102,878 264,499 CRMA SPV LP . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 21,392 54,998 New Emerging Medical Opportunities Fund III, L.P. (Sectoral) . . . . . . . . . . . 1,037,209 2,666,664 Sectoral Asset Management Holding Ltd. . . . . . . . . . . . . . . . . . . . . . . . . . . . . 259,302 666,665 Epidarex Capital I, LP . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12,965 33,333 Total . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3,254,242 $8,366,658 (1) See “Principal Stockholders” for more information about shares held by this entity. (2) Dr. Chan and Ms. O’Brien are members of our board of directors who have been designated by Morningside Venture Investments, Ltd., or MVIL. Each of Dr. Chan and Ms. O’Brien disclaims beneficial ownership of all shares held by MVIL. (3) Mr. Dunlop is a member of our board of directors who is an affiliate of Epidarex. Participation in Initial Public Offering In November 2017, we completed our initial public offering in which we issued and sold an aggregate of 10,714,000 shares of our common stock at a price to the public of $14.00 per share. In addition, in December 2017, we issued and sold an additional 981,107 shares of its common stock at a price to the public of $14.00 per share pursuant to the underwriters’ partial exercise of their over-allotment option. Certain of our 5% stockholders and their affiliates purchased an aggregate of 3,202,514 shares of our common stock in the initial public offering. Each of those purchases was made through the underwriters at the initial public offering price. The following table sets forth the number of shares of our common stock purchased by our 5% stockholders and their affiliates and the aggregate purchase price paid for such shares. - 24 -