Lyon - Theranexus, an innovative biopharmaceutical company in the treatment of neurological diseases and a pioneer in the development of drug candidates playing on the interaction between neurons and glial cells, announces today a proforma cash flow of EUR 13.3 million as of June 30, 2020 and the establishment, with the assistance of Kepler Cheuvreux, of a line of equity financing with Iris of a maximum amount of EUR 4.2 million to support the development of the company.

Franck Mouthon, Chairman and CEO of the Company comments: 'Proforma cash of EUR 13.3 million as of June 30, 2020 reflects the various initiatives carried out in the second quarter to strengthen our non-dilutive sources of funding. We are now supplementing these resources with the establishment of a line of equity financing which will provide us with increased financial flexibility. The company therefore has excellent financial visibility with regard to its rate of expenditure, at least for the next 18 months. The Company's intention is to end this line of financing following the industrial agreement on THN102 which we want to conclude by the end of 2020. '

Proforma cash position as of June 30, 2020

Free cash flow stood at EUR 11.6 million at June 30, 2020 compared to EUR 7.8 million at March 31, 2020, illustrating the good control of spending. Proforma cash at June 30 includes the State Guaranteed Loan (PGE) of EUR 3.4 million, the accelerated and full repayment of the 2019 Research Tax Credit (CIR) in the amount of EUR 2 million as well as the financing of Bpifrance for the first tranche of funding of the Neurolead project for EUR 1 million. The Company must collect another EUR 3 million spread over the next 3 years as part of this project.

ABOUT THERANEXUS

Founded in 2013, THERANEXUS is a biopharmaceutical company at the clinical stage, resulting from the CEA which develops drug candidates for the treatment of diseases of the nervous system. THERANEXUS has identified the major role of non-neuronal cells (otherwise called 'glial cells') in the response to psychotropic drugs (targeting neurons). The company is a pioneer in the design and development of drug candidates acting on the interaction between neurons and glial cells. The unique and patented technology exploited by THERANEXUS aims to increase the effectiveness of psychotropic drugs already approved and marketed by combining them with a glial cell modulator.This strategy of combining repositioned drugs allows it to significantly reduce development time and costs and considerably increase the chances of market access for its drugs.

Proprietary and available, the THERANEXUS platform allows the generation of different proprietary drug candidates with high added value in several indications.

The public's attention is also drawn to the risk factors relating to the Company and its activity, presented in the universal registration document of the Company filed with the Autorite des Marches Financiers on April 30, 2020, which is available without fees on the Company's website. The realization of all or part of these risks is likely to have an unfavorable effect on the activity, the financial situation, the results, the development or the prospects of the Company.

Contact:

Tel: 33 (0) 6 07 76 82 83

Email: fportejoie@fp2com.fr

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