Liege - Mithra (Euronext Brussels: MITRA), a company dedicated to Women's Health, today announces its financial results for the year ended 31 December 2020, prepared in accordance with IFRS.

Leon Van Rompay, CEO Mithra Women's Health, commented: 'In 2020 and despite the emergence of Covid-19, Mithra has managed to strongly consolidate its financial structure thanks to various financing operations for a total amount of EUR 260 million signing one of the most important fund raising operations in the Belgian biotech sector. Once again investors have clearly demonstrated their confidence and interest in the potential of our company and in particular in its flagship asset Estetrol. Estetrol is recognized as a new active substance by the European Medicines Agency, 80 years after the last such designation in contraception. This is a true recognition of the innovative nature of our contraceptive pill candidate Estelle, which has just received its first Marketing Authorization for the Canadian market ahead of the decisions of American and European agencies expected during the first semester of 2021.

The record high cash position has also enabled us to pursue the Donesta phase III clinical program in the current Covid -19 context. This puts us in an comfortable position to negotiate a global marketing deal for Donesta targeting the growing menopause market. Finally, and also thanks to this financial position, we initiated last year a strategic shift by exploring the action of Estetrol outside of women's health, particularly in the treatment of covid-19 and neuroprotection of newborns. As for our CDMO, we met all planned production targets for the Myring contraceptive ring to ensure the success of commercial launches in Europe, particularly in Germany and Italy, the world's 2nd and 4th largest markets respectively. Today our ring is marketed in 7 countries representing a total market of more than 60 million euros and nearly 7 million rings per year with further launches planned for 2021.

The renewal of our Board of Directors last November provided a dynamic momentum to the development of Mithra entering this groundbreaking year in its existence. Supported by the vast experience of the new governance team, we are more determined than ever to successfully delivering on our promises.'

Financial highlights

Revenues of EUR 9 million (EUR 96.5 million for the year ended December 2019), mainly driven by product sales, including the first sales of Myring and by Estelle out-licensing fees in Latam. The decrease in revenues reflects the business development strategy for Donesta, which is progressing well, targeting major global partners. At the same time, we are generating more data in the Phase III trial to be able to conclude a higher deal value.

From the backlog of contracts signed for Estelle, Mithra should collect more than EUR 300 million in cash of licencing milestones revenues in the coming years (EUR 286 million to be recognized under IFRS 15).

EBITDA1 amounts to EUR -73 million compared to EUR +32.7 million in 20192. As expected, the decrease is mainly explained by lower revenues collected in 2020 compared to 2019, which was a year driven by record highlicense revenues following partnership agreements for Estelle with Mayne Pharma, Gedeon Richter and Searchlight. In addition to the lower revenues, the R&D expenses increased by 38% due to the ramp up of the Donesta Phase III 'E4 Comfort' clinical program and the Covid study, resulting in a significant decrease of the reported EBITDA.

Fair value of earnout debt related to Estelle increased by EUR 18.1 million to EUR -115.7 million, which is the result of a timing effect. As a reminder, thanks to the successful renegotiation of the earnout payments to the former owners of Uteron Pharma, the earnouts are now capped at a lump sum payable in annual instalments (depending on the cash position of the group).

Record cash position of EUR 138 million at the 31 December 2020 (EUR 49 million at 31 December 2019). Together with the convertible bond of EUR 125 million, the private placement via an accelerated bookbuild offering of EUR 65 million, the capital commitment line with LDA Capital Limited for up to EUR 50 million (EUR 3.2 million drawn down to date and committed until April 2023), and a bank loan of EUR 20 million (fully undrawn and committed until June 2022), Mithra has secured the necessary financial resources to finance its business development strategy, and to carry on its R&D expenses.

Contact:

Benoit Mathieu

Tel: +32 473 35 80 18

Email: investorrelations@mithra.com

Annual report 2020

The Annual Report for the year ended 31 December 2020 will be published on 20 April 2021, on the website of the Company. The auditor, BDO Reviseurs d'Entreprises SCRL, has confirmed that the audit procedure, which is substantially complete, has not revealed any material corrections required to be made to the financial information included in this press release.

About Mithra

Mithra (Euronext: MITRA) is a Belgian biotech company dedicated to transforming Women's Health by offering new choices through innovation, with a particular focus on contraception and menopause. Mithra's goal is to develop products offering better efficacy, safety and convenience, meeting women's needs throughout their life span. Its three lead development candidates are built on Mithra's unique native estrogen platform, Estetrol (E4): Estelle, a new era in oral contraception, PeriNesta, the first complete oral treatment targeting perimenopause and Donesta, the next-generation hormone therapy. Mithra also develops and manufactures complex therapeutics in the areas of contraception, menopause and hormone-dependent cancers. It offers partners a complete spectrum of research, development and specialist manufacturing at its technological platform Mithra CDMO. Active in more than 100 countries around the world, Mithra has an approximate headcount of 300 staff members and is headquartered in Liege, Belgium.

Important information

The contents of this announcement include statements that are, or may be deemed to be, 'forward-looking statements'. These forward-looking statements can be identified by the use of forward-looking terminology, including the words 'believes', 'estimates,' 'anticipates', 'expects', 'intends', 'may', 'will', 'plans', 'continue', 'ongoing', 'potential', 'predict', 'project', 'target', 'seek' or 'should', and include statements the Company makes concerning the intended results of its strategy. By their nature, forward-looking statements involve risks and uncertainties and readers are cautioned that any such forward-looking statements are not guarantees of future performance. The Company's actual results may differ materially from those predicted by the forward-looking statements. The Company undertakes no obligation to publicly update or revise forward-looking statements, except as may be required by law.

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