NEOVACS: Fundraising of 0.5 MEUR – 09/15/2023 at 6:00 p.m.

Suresnes, September 15, 2023 – 6:00 p.m. CET – Néovacs (Euronext Growth Paris: ALNEV) announces a fundraising of €0.1 million through the issue of OCEANE-BSA, with a nominal value of €500,000, subscribed by European High Growth Opportunities Securitization Fund
[1]
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The net proceeds from this operation (€480,000) will be used, 50%, to finance the Kinoïd® research program on allergies.

[2]

and, for 50%, to strengthen investment capacities in promising projects, both in the development of drug candidates (BioTech) and medical devices (MedTech). This activity, which has given rise to several equity investments to date (Bio Detection K9, Signia Therapeutics, Netri Medical Devices Venture and Pharnext more recently) will make it possible to diversify the risk carried by Néovacs by investing in ambitious but realistic projects.

Before the drawing announced today, the issue of OCEANE-BSA raised €22.6 million, gave rise to the creation of 20,197,148,155 new shares and could still give rise to the creation of 116,363,636 new shares on the basis of the last listed price. The participation of a shareholder holding 1% of the capital prior to these drawings is today less than 0.23%.

The issuance of OCEANE-BSA announced today gives rise to the issue of 27,777,777 BSA which will be transferred to the company Néovacs with a view to their cancellation

[3]

and could give rise to the creation of 60,606,060 new shares based on the last listed price. The participation of a shareholder holding 1% of the capital prior to this new drawing would be 0.28%.

All of the OCEANE-BSA issues carried out to date could result in the creation of 176,969,696 new shares based on the last listed price. The participation of a shareholder holding 1% of the capital to date could thus amount to 0.12%.

The characteristics of the OCEANE-BSA and the dilutive impact of the operation are detailed in the press release of September 5, 2021

[4]

. This issue does not give rise to the preparation of a prospectus subject to approval by the AMF. The role of the initial subscriber is to ensure that the company gradually raises funds. It is not intended to keep the securities and remain a long-term shareholder of the company but to gradually sell them on the market. The monitoring table for OCEANE-BSA and outstanding shares is available on the company’s website.

The public’s attention is drawn to the risk factors relating to the company and its activity, described in the 2021 Annual Financial Report available on the company’s website. The realization of all or part of these risks is likely to have an adverse effect on the activity, financial situation, results, development or prospects of the company. On the date of the last Financial Report, the company carried out a specific review of its liquidity risk and considered itself able to meet its upcoming maturities over the next 12 months thanks in particular to the use of this bond financing line. .

Warning :

The company Néovacs has set up financing in the form of OCEANE-BSA with the company European High Growth Opportunities Securitization Fund, which, after having received the shares resulting from the conversion or exercise of these instruments, has not vocation to remain a shareholder of the company.

The shares resulting from the conversion or exercise of the above-mentioned securities will, in general, be sold in the market very quickly, which may create strong downward pressure on the share price.

Shareholders may suffer a loss of their invested capital due to a significant decrease in the value of the company’s stock, as well as significant dilution due to the large number of securities issued to the European High Growth Company. Opportunities Securitization Fund.

Investors are advised to be very vigilant before making the decision to invest in the securities of the company admitted to trading which carries out such dilutive financing transactions, particularly when they are carried out successively. The company recalls that this dilutive financing operation is not the first that it has implemented.

Investors are particularly invited to take note of the risks relating to these operations, mentioned in the press release below.

ABOUT NEOVACS

Néovacs is a French biotechnology company, listed on Euronext Growth since 2010, specializing in therapeutic vaccines targeting the treatment of autoimmune diseases. Its innovative technology called Kinoid®, patented until 2038, makes it possible to induce a polyclonal immune response, applicable in several indications. Neovacs has developed IFNα Kinoid for the treatment of lupus in a phase IIb clinical study. The main study has been completed, full results were presented on 13

^th

2019 international lupus congress. The Company has also completed promising preclinical work with another therapeutic vaccine, IL-4/IL-13 Kinoid, for the treatment of allergies. The ambition of this “Kinoid® approach” is to enable patients to better tolerate a lifelong treatment that would be more effective, well tolerated and very flexible in its administration.

For more information :

www.neovacs.fr

[1]

There is no capital link or concerted action between HBR Investment Group, Hugo Brugière and European High Growth Opportunities Securitization Fund (or more generally the Alpha Blue Ocean group)

[2]

See press release of December 8, 2020: “ADVANCES IN THE KINOÏDE® RESEARCH PROGRAM ON ALLERGIES”

[3]

As mentioned in the press release of October 29, 2021

[4]

See Press release of September 5, 2021: “New financing contract with a maximum nominal amount of €50 million over a maximum period of 48 months”

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