Oncolytics Biotech® Inc. Announces Receipt of Nasdaq Notice of Deficiency

CALGARY, Nov. 4, 2014 /PRNewswire/ – Oncolytics Biotech® Inc. (“Oncolytics” or the “Company”) (TSX:ONC; NASDAQ:ONCY) announced
today that on October 29, 2014 it received a letter from the NASDAQ OMX
Group (“Nasdaq”) stating that the bid price of the Company’s common
stock for the 30 consecutive trading days from September 17, 2014 to
October 28, 2014 had closed below the minimum $1.00 per share required
for continued listing under Listing Rule 5550(a)(2).

The Nasdaq notification letter makes clear that the Company’s common
stock will continue to trade uninterrupted on The Nasdaq Capital Market
under the symbol “ONCY”, and it does not result in the immediate
delisting of the Company’s common stock. The Company’s shares continue
to trade on the Toronto Stock Exchange (“TSX”) under the symbol “ONC”
and are in full compliance with TSX listing requirements. The Company’s
listing on the TSX is completely independent of, and will not be
affected by, the status of its Nasdaq listing.

Oncolytics has a period of 180-calendar days, or until April 27, 2015,
to regain compliance with the minimum bid price requirement. When at
any time during the 180-day period, the minimum closing bid price per
share of the Company’s common stock closes at or above $1.00 for a
minimum of ten consecutive business days, Oncolytics will regain
compliance and the matter will be closed. In the event the Company does
not regain compliance, it may be eligible to receive an additional
180-day period; provided that Oncolytics meets the continued listing
requirement for market value of publicly held shares and all other
initial listing standards for The Nasdaq Capital Market, with the
exception of the minimum bid price requirement, and provides written
notice of its intention to cure the minimum bid price deficiency during
the second 180-day compliance period. If it appears to the Nasdaq staff
that the Company will not be able to cure the deficiency or if the
Company is not otherwise eligible for the additional grace period, the
Company’s common stock will be subject to delisting by Nasdaq.

About Oncolytics Biotech® Inc.
Oncolytics is a Calgary-based biotechnology company focused on the
development of oncolytic viruses as potential cancer therapeutics. 
Oncolytics’ clinical program includes a variety of later-stage,
randomized human trials in various indications using REOLYSIN®, its proprietary formulation of the human reovirus. For further
information about Oncolytics, please visit: www.oncolyticsbiotech.com.

This press release contains forward-looking statements within the
meaning of the U.S. Securities Act of 1933, as amended, and U.S.
Securities Exchange Act of 1934, as amended, and forward-looking
information within the meaning of Canadian securities laws. Statements,
other than statements of historical facts, included in this press
release that address activities, events or developments that Oncolytics
expects or anticipates will or may occur in the future, including such
things as the actions that could be taken by members of the Nasdaq
staff, and any exercise of discretion by members of the Nasdaq staff
with respect to compliance by the Company with the Nasdaq Listing
Rules, and other such matters are forward-looking statements and
forward-looking information and involve known and unknown risks and
uncertainties, which could cause the Company’s actual results to differ
materially from those in the forward-looking statements and
forward-looking information. Such risks and uncertainties include,
among others, risks related to market conditions. Investors should
consult the Company’s quarterly and annual filings with the Canadian
and U.S. securities commissions for additional information on risks and
uncertainties relating to the forward-looking statement and
forward-looking information. Investors are cautioned against placing
undue reliance on forward-looking statements and forward-looking
information. The Company does not undertake to update these
forward-looking statements and forward-looking information, except as
required by applicable laws.

SOURCE Oncolytics Biotech Inc.