GI Dynamics : Expands Availability of EndoBarrier Therapy in Australia

GI Dynamics, Inc. - ASX Announcement

Inc. (ASX: GID) today announced that it has further expanded the availability of EndoBarrier®Therapy in Australia through two additional centres. Physicians at Adelaide Obesity Surgery in Adelaide and Upper GI West in Perth are currently treating patients with EndoBarrier Therapy, the world's first and only endoscopically-delivered device technology approved to treat type 2 diabetes and obesity.

"These well respected and highly trained centres will increase geographic access to EndoBarrier Therapy for people struggling with type 2 diabetes and obesity," said Stuart A. Randle, president and chief executive officer, GI Dynamics. "Australia continues to be an important market for GI Dynamics. With expert centres now in place in Melbourne, Sydney, Perth and Adelaide and additional centres currently being trained, we are on track to achieve our goal of creating broader access to EndoBarrier Therapy in Australia."

According to Diabetes Australia, diabetes is the country's fastest growing chronic condition. Nearly 300 Australians are diagnosed every day and by 2031, it is estimated that 3.3 million Australians will have type 2 diabetes.

EndoBarrier was listed on the Australian Register of Therapeutic Goods in 2011. It is also approved in Europe for the treatment of type 2 diabetes and obesity for up to 12 months, as well as by a number of countries in South America and the Middle East.

An advertisement that the Australian subsidiary of GI Dynamics placed in an Australian newspaper in September 2013 was the subject of an anonymous complaint to the Therapeutic Goods Administration Complaints Resolution Panel (CRP). The CRP has made a determination against the subsidiary regarding certain aspects of the advertisement (including recommending certain sanctions regarding the content of any future advertisements in Australia). GI Dynamics strongly disagrees with many of the findings of the CRP and is currently considering avenues to have the determination reviewed and has reserved all of its rights in this regard.

GI Dynamics, Inc. (ASX: GID) is the developer of EndoBarrier®, the first endoscopically-delivered device therapy approved for the treatment of type 2 diabetes and/or obesity. EndoBarrier is approved and commercially
available in multiple countries outside the U.S. EndoBarrier is not approved for sale in the U.S. and is limited by
federal law to investigational use only in the United States. GI Dynamics is conducting a pivotal clinical trial

DPM/ARB/3166652/515697/AUM/1206003371.2

of EndoBarrier in the U.S. for the treatment of patients who have uncontrolled type 2 diabetes and are
obese. Founded in 2003, GI Dynamics is headquartered in Lexington, Massachusetts. For more information, please visit www.gidynamics.com.

This announcement contains forward-looking statements concerning: our development and commercialization
plans; our potential revenues, costs, profitability and financial performance; our ability to obtain reimbursement for our products; our clinical trials, and associated regulatory submissions and approvals; the number and location of commercial centres offering the EndoBarrier®; and our intellectual property position. These forward-looking statements are based on the current estimates and expectations of future events by the management of GI Dynamics, Inc. as of the date of this announcement and are subject to a number of risks and uncertainties that could cause actual results to differ materially and adversely from those indicated in or implied by such forward- looking statements. These risks and uncertainties include, but are not limited to: risks associated with the possibility that clinical trials will not be successful or confirm earlier results; risks associated with obtaining funding from third parties; risks relating to the timing and costs of clinical trials, results of clinical trials, the timing of regulatory submissions, the timing and receipt of regulatory approvals, the timing and amount of other expenses; execution risks; competition; risks related to market acceptance of products; intellectual property risks;

and assumptions regarding the size of the available market, benefits of our products, product pricing, timing of product launches, future financial results and other factors. Given these uncertainties, you should not place undue reliance on these forward-looking statements. We do not assume any obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, unless required by law.

Investor Enquiries: Media Enquiries:

United States
Robert Crane, Chief Financial Officer
+1 (781) 357-3250
United States/Europe:
Dan Budwick, Pure Communications Inc.
+1 (973) 271-6085
Australia
David Allen or John Granger, Hawkesbury Partners
Pty Limited
+61 2 9325 9046
Australia
Angela Ceberano, Flourish PR
+61 3 9092 8445
www.gidynamics.com

US OFFICE & HEADQUARTERS: 25 Hartwell Avenue, Lexington MA 02421 T +1 (781) 357-3300 F +1 (781) 357-3301

EUROPEAN OFFICE: De Tweeling 20-22 's-Hertogenbosch 5215 MC, THE NETHERLANDS T: + 31 13 547 9300

AUSTRALIAN OFFICE: Level 8, 17-19 Bridge Street, Sydney, NSW 2000 T +61 2 9325 9046

GI Dynamics, Inc., is a corporation incorporated in Delaware, USA, whose stockholders have limited liability. ARBN 151 239 388

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