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<P STYLE="margin: 0">&nbsp;&nbsp;</P>

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<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"><B>&nbsp;</B></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"><B>UNITED STATES</B></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"><B>SECURITIES AND EXCHANGE COMMISSION</B></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"><B>WASHINGTON, D.C. 20549</B></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"><B>FORM 8-K</B></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"><B>CURRENT REPORT</B></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"><B>Pursuant to Section 13 or 15(d) of the</B></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"><B>Securities Exchange Act of 1934</B></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center">Date of Report (Date of Earliest event Reported):
June 1, 2012</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"><B>PROTEA BIOSCIENCES GROUP, INC.</B></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center">(Exact name of registrant as specified in
its charter)</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">&nbsp;</P>

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    <TD STYLE="width: 32%; border-bottom: black 1.5pt solid; text-align: center">Delaware</TD>
    <TD STYLE="width: 36%; border-bottom: black 1.5pt solid; text-align: center">000-51474</TD>
    <TD STYLE="width: 32%; border-bottom: black 1.5pt solid; text-align: center">20-2903252</TD></TR>
<TR STYLE="vertical-align: top">
    <TD STYLE="text-align: center">(State or other jurisdiction of incorporation or organization)</TD>
    <TD STYLE="text-align: center">(Commission File Number)</TD>
    <TD STYLE="text-align: center">(IRS Employer Identification No.)</TD></TR>
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<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center">955 Hartman Run Road</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center">Morgantown, West Virginia 26507</P>

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<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center">(Address of principal executive offices)</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center">(304) 292-2226</P>

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<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center">(Registrant&rsquo;s telephone number, including
area code)</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"><B>&nbsp;</B></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"></P>

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<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center">&nbsp;(Former name or former address, if
changed since last report)</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><BR>
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant
under any of the following provisions (<U>see</U> General Instruction A.2. below):</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">&nbsp;</P>

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    <TD STYLE="width: 5%"><FONT STYLE="font-family: Wingdings">&#168;</FONT></TD>
    <TD STYLE="width: 1%">&nbsp;</TD>
    <TD STYLE="width: 94%">Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)</TD></TR>
<TR STYLE="vertical-align: top">
    <TD><FONT STYLE="font-family: Wingdings">&#168;</FONT></TD>
    <TD>&nbsp;</TD>
    <TD>Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)</TD></TR>
<TR STYLE="vertical-align: top">
    <TD><FONT STYLE="font-family: Wingdings">&#168;</FONT></TD>
    <TD>&nbsp;</TD>
    <TD>Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))</TD></TR>
<TR STYLE="vertical-align: top">
    <TD><FONT STYLE="font-family: Wingdings">&#168;</FONT></TD>
    <TD>&nbsp;</TD>
    <TD>
        <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">Pre-commencement communications pursuant to Rule 13e-4(c)
under the Exchange Act (17 CFR 240.13e-4(c))&nbsp;</P></TD></TR>
</TABLE>
<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"></P>

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<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><FONT STYLE="color: black"><B>Item 5.02. &nbsp;&nbsp;&nbsp;&nbsp;Departure of Directors
or Certain Officers; Election of Directors; Appointment of Certain Officers; Compensatory Arrangements of Certain Officers.</B></FONT>&#9;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">(d) Appointment of New Director</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><B>&nbsp;</B></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Effective June 1 2012, to fill an existing
vacancy on the board of directors (the &ldquo;Board&rdquo;) of Protea Biosciences Group, Inc. (the &quot;Company&quot;), the Board
elected Andrew Zulauf as a Director.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Andrew Zulauf, 49, is Executive Director
of the West Virginia Jobs Investment Trust (WVJIT) and has served in such capacity since March, 2009. WVJIT is a Charleston, West
Virginia-based public venture capital firm created by the West Virginia Legislature in 1992 to promote new businesses in West Virginia.
Previously, from 2006 to 2009, Mr. Zulauf was Vice President and Upper Middle Market Commercial Relationship Officer for Fifth
Third Bank, headquartered in Cincinnati, Ohio. Mr. Zulauf was Partner and Managing Director of West Virginia Operations for Adena
Ventures based in Athens, OH from 2002 to 2006, and Executive Director and Senior Loan Officer at the West Virginia Capital Corporation
in Charleston, West Virginia from 1994 to 2002. Mr. Zulauf&rsquo;s experience promoting new businesses in the area and his relationship
with WVJIT, a stockholder and lender to the Company led the Board to believe that Mr. Zulauf should serve as a director on the
Board. Mr. Zulauf is a 1985 graduate of Marshall University and in 1994 received his MBA from the University of Charleston&rsquo;s
Executive MBA program.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Mr.&nbsp;Zulauf is the Executive Director
of WVJIT, which is the beneficial owner of more than five percent of the Company&rsquo;s outstanding common stock, and therefore
has a direct or indirect material interest in the following transactions required to be reported under Section&nbsp;404(a) of Regulation
S-K.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">&nbsp;</P>

<TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><TR STYLE="vertical-align: top">
<TD STYLE="width: 0.25in"></TD><TD STYLE="width: 0.25in">1.</TD><TD STYLE="text-align: justify">On March 31, 2011, the Company and WVJIT entered into a loan modification agreement, pursuant to
which the parties amended the terms of two outstanding notes with principle amounts of $250,000 and $100,000, to extend the maturity
dates to March 31, 2013 and amend the conversion feature of the notes so that all of the outstanding principal and accrued but
unpaid interest on the two notes would convert into shares of common stock of the Company at $1.50 per share. Upon conversion or
payment in full of the obligations of the Company, WVJIT's security interest on the assets of the Company would be released.</TD></TR></TABLE>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">&nbsp;</P>

<TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><TR STYLE="vertical-align: top">
<TD STYLE="width: 0.25in"></TD><TD STYLE="width: 0.25in">2.</TD><TD STYLE="text-align: justify">On September 30, 2011, the entire outstanding principal amounts and accrued unpaid interest on
all WVJIT notes, which includes the above notes as well as an additional note with a principle amount of $1,200,000, were converted
into shares of Common Stock of the Company.</TD></TR></TABLE>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">&nbsp;</P>

<TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><TR STYLE="vertical-align: top">
<TD STYLE="width: 0.25in"></TD><TD STYLE="width: 0.25in">3.</TD><TD STYLE="text-align: justify">On March 20, 2012 the Company issued a convertible debenture, dated as of March 15, 2012, to WVJIT
with a principal amount of $290,000 for the purpose of funding the build-out and related investments and expenses associated with
the relocation and expansion of the Company&rsquo;s bioanalytical services lab. The convertible debenture bears interest at a rate
of 6% per annum, has a maturity date of September 14, 2013 and is convertible into shares of common stock. The Company is required
to pay accrued interest only each month until the maturity date. WVJIT has the right at any time to convert the principal amount
and any accrued interest into shares of common stock of the Company at $2.00 per share (subject to certain adjustments). As part
of the transaction, WVJIT received a warrant to purchase 72,500 shares of common stock at an exercise price of $2.25 per share.</TD></TR></TABLE>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">&nbsp;</P>

<TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><TR STYLE="vertical-align: top">
<TD STYLE="width: 0.25in"></TD><TD STYLE="width: 0.25in">4.</TD><TD STYLE="text-align: justify"><FONT STYLE="color: black">On April 18, 2012, the Company issued a convertible debenture with a
principal amount of $400,000 to the WVJIT. The convertible debenture bears interest at a rate of 10% per annum, has a maturity
date of July 17, 2012 and is subordinated to outstanding senior indebtedness of the Company. </FONT>The Company is required to
pay accrued interest only each month until the maturity date. WVJIT has the right at any time to convert the principal amount and
any accrued interest into <FONT STYLE="color: black">(1) common stock of the Company, at an initial conversion rate of $2.00 per
share, subject to certain adjustments or (2) preferred stock of the Company, at an initial conversion rate equal to the lowest
price paid for such preferred stock by other purchasers, subject to certain adjustments. </FONT>As part of the transaction, WVJIT
received a warrant to purchase 88,889 shares of common stock at an exercise price of $2.25 per share.</TD></TR></TABLE>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.5in; text-align: justify">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"></P>

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<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"><B>&nbsp;</B></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"><B>SIGNATURES </B></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"><B>&nbsp;</B></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">Pursuant to the requirements
of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned
hereunto duly authorized.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">&nbsp;<P STYLE="font: 10pt Times New Roman, Times, Serif; text-align: left; text-indent: 0; margin-top: 0pt; margin-bottom: 6pt">&nbsp;</P>

<TABLE BORDER="0" CELLSPACING="0" CELLPADDING="0" STYLE="width: 100%; font: 10pt Times New Roman, Times, Serif">
<TR>
    <TD STYLE="vertical-align: top">Dated: June 7, 2012</TD>
    <TD COLSPAN="2"><B>PROTEA BIOSCIENCES GROUP, INC.</B></TD></TR>
<TR>
    <TD STYLE="vertical-align: top">&nbsp;</TD>
    <TD COLSPAN="2">&nbsp;</TD></TR>
<TR>
    <TD STYLE="vertical-align: top; width: 50%">&nbsp;</TD>
    <TD STYLE="width: 4%">By:&nbsp;</TD>
    <TD STYLE="vertical-align: top; width: 46%">/s/ Stephen Turner</TD></TR>
<TR>
    <TD STYLE="vertical-align: top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD STYLE="vertical-align: top; border-top: #000000 1px solid">Stephen Turner<BR>Chief Executive Officer</TD></TR>
</TABLE>

<P STYLE="font: 10pt Times New Roman, Times, Serif; text-align: left; text-indent: 0pt; margin-top: 0pt; margin-bottom: 6pt">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; text-align: left; text-indent: 0pt; margin-top: 0pt; margin-bottom: 6pt">&nbsp;</P>

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{"company-data": {"conformed-name": "Protea Biosciences Group, Inc.", "cik": "0001335103", "assigned-sic": "2834", "irs-number": "000000000", "state-of-incorporation": "DE", "fiscal-year-end": "1231"}, "filing-values": {"form-type": "8-K", "act": "34", "file-number": "000-51474", "film-number": "12895534"}, "business-address": {"street1": "955 HARTMAN RUN ROAD", "city": "MORGANTOWN", "state": "WV", "zip": "26507", "phone": "304 292-2226"}, "mail-address": {"street1": "955 HARTMAN RUN ROAD", "city": "MORGANTOWN", "state": "WV", "zip": "26507"}, "former-company": [{"former-conformed-name": "Protea Biosciences Inc.", "date-changed": "20110908"}, {"former-conformed-name": "SRKP 5 INC", "date-changed": "20050803"}]}
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
Date of Report (Date of Earliest event Reported):
June 1, 2012
PROTEA BIOSCIENCES GROUP, INC.
(Exact name of registrant as specified in
its charter)
Delaware
000-51474
20-2903252
(State or other jurisdiction of incorporation or organization)
(Commission File Number)
(IRS Employer Identification No.)
955 Hartman Run Road
Morgantown, West Virginia 26507
(Address of principal executive offices)
(304) 292-2226
(Registrant's telephone number, including
area code)
(Former name or former address, if
changed since last report)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant
under any of the following provisions (
see
General Instruction A.2. below):
¨
Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
¨
Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
¨
Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
¨
Pre-commencement communications pursuant to Rule 13e-4(c)
under the Exchange Act (17 CFR 240.13e-4(c))
Item 5.02.     Departure of Directors
or Certain Officers; Election of Directors; Appointment of Certain Officers; Compensatory Arrangements of Certain Officers.
(d) Appointment of New Director
Effective June 1 2012, to fill an existing
vacancy on the board of directors (the "Board") of Protea Biosciences Group, Inc. (the "Company"), the Board
elected Andrew Zulauf as a Director.
Andrew Zulauf, 49, is Executive Director
of the West Virginia Jobs Investment Trust (WVJIT) and has served in such capacity since March, 2009. WVJIT is a Charleston, West
Virginia-based public venture capital firm created by the West Virginia Legislature in 1992 to promote new businesses in West Virginia.
Previously, from 2006 to 2009, Mr. Zulauf was Vice President and Upper Middle Market Commercial Relationship Officer for Fifth
Third Bank, headquartered in Cincinnati, Ohio. Mr. Zulauf was Partner and Managing Director of West Virginia Operations for Adena
Ventures based in Athens, OH from 2002 to 2006, and Executive Director and Senior Loan Officer at the West Virginia Capital Corporation
in Charleston, West Virginia from 1994 to 2002. Mr. Zulauf's experience promoting new businesses in the area and his relationship
with WVJIT, a stockholder and lender to the Company led the Board to believe that Mr. Zulauf should serve as a director on the
Board. Mr. Zulauf is a 1985 graduate of Marshall University and in 1994 received his MBA from the University of Charleston's
Executive MBA program.
Mr. Zulauf is the Executive Director
of WVJIT, which is the beneficial owner of more than five percent of the Company's outstanding common stock, and therefore
has a direct or indirect material interest in the following transactions required to be reported under Section 404(a) of Regulation
S-K.
1.
On March 31, 2011, the Company and WVJIT entered into a loan modification agreement, pursuant to
which the parties amended the terms of two outstanding notes with principle amounts of $250,000 and $100,000, to extend the maturity
dates to March 31, 2013 and amend the conversion feature of the notes so that all of the outstanding principal and accrued but
unpaid interest on the two notes would convert into shares of common stock of the Company at $1.50 per share. Upon conversion or
payment in full of the obligations of the Company, WVJIT's security interest on the assets of the Company would be released.
2.
On September 30, 2011, the entire outstanding principal amounts and accrued unpaid interest on
all WVJIT notes, which includes the above notes as well as an additional note with a principle amount of $1,200,000, were converted
into shares of Common Stock of the Company.
3.
On March 20, 2012 the Company issued a convertible debenture, dated as of March 15, 2012, to WVJIT
with a principal amount of $290,000 for the purpose of funding the build-out and related investments and expenses associated with
the relocation and expansion of the Company's bioanalytical services lab. The convertible debenture bears interest at a rate
of 6% per annum, has a maturity date of September 14, 2013 and is convertible into shares of common stock. The Company is required
to pay accrued interest only each month until the maturity date. WVJIT has the right at any time to convert the principal amount
and any accrued interest into shares of common stock of the Company at $2.00 per share (subject to certain adjustments). As part
of the transaction, WVJIT received a warrant to purchase 72,500 shares of common stock at an exercise price of $2.25 per share.
4.
On April 18, 2012, the Company issued a convertible debenture with a
principal amount of $400,000 to the WVJIT. The convertible debenture bears interest at a rate of 10% per annum, has a maturity
date of July 17, 2012 and is subordinated to outstanding senior indebtedness of the Company.
The Company is required to
pay accrued interest only each month until the maturity date. WVJIT has the right at any time to convert the principal amount and
any accrued interest into
(1) common stock of the Company, at an initial conversion rate of $2.00 per
share, subject to certain adjustments or (2) preferred stock of the Company, at an initial conversion rate equal to the lowest
price paid for such preferred stock by other purchasers, subject to certain adjustments.
As part of the transaction, WVJIT
received a warrant to purchase 88,889 shares of common stock at an exercise price of $2.25 per share.
SIGNATURES
Pursuant to the requirements
of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned
hereunto duly authorized.
Dated: June 7, 2012
PROTEA BIOSCIENCES GROUP, INC.
By:
/s/ Stephen Turner
Stephen Turner
Chief Executive Officer