Item 1.03. Bankruptcy or Receivership.

On October 26, 2012, 2:00 p.m. Pacific Time, Bionovo, Inc. a Delaware corporation (the "Company"), filed a Voluntary Petition for Chapter 7 with the U.S. Bankruptcy Court, Northern District of California, Office 4, Oakland, CA.

The case number is 12-48725 assigned to Judge William J. Lafferty and Trustee Michael G. Kasolas. The first meeting of creditors with 341(a) will be held on November 19, 2012 at 11:30 a.m. at the Oakland U.S. Trustee Office.

The Company's assets and liabilities were filed with the U.S. Bankruptcy Court, Northern California District. All of the Company's assets will be liquidated. The Company estimates that, after any exempt property is excluded and administrative expenses paid, there will be no funds available for distribution to unsecured creditors.

"Despite scientific, clinical and regulatory success, Bionovo was unable to secure funding for its Phase 3 clinical trial for MF101 (Menerba), a novel botanical drugs for the treatment of menopausal symptoms", said Dr. Isaac Cohen, Ex- Chairman and Ex- CEO of Bionovo, Inc. "On October 4, 2012, Bionovo received a response to a formal dispute appeal with the FDA, stating that MF101 is approvable if safety and efficacy were to be demonstrated in clinical testing. More so, the FDA stated clearly and unambiguously that the CMC package and the 10 batch records for MF101, Bionovo provided for the Phase 3 clinical testing were accepted by the Agency."