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Transgene posts €35.3 million in cash and cash equivalents in Q1 2020

­ Readouts for key clinical trials remain on track

­ Minor impact from the Covid-19 pandemic seen to-date

STRASBOURG, France–(BUSINESS WIRE)–#Transgene–Regulatory News:

Transgene (Euronext Paris: TNG) (Paris:TNG), a biotech company that designs and develops virus-based immunotherapies for the treatment of cancer, today announces its business update for the quarter ending March 31, 2020, and provides an update on its progress of clinical trial portfolio taking into account the impact of the Covid-19 pandemic.

Operating revenue

During the first quarter of 2020, revenue from collaborative and licensing agreements was mainly composed of the revenue under the collaboration with AstraZeneca.

As of March 31, 2020, government financing for research expenditures mainly consisted of 25% of the research tax credit expected for 2020 (€1.5 million in the first quarter of 2020, as in 2019).

Cash, cash equivalents and other financial assets

In the first quarter of 2020, Transgene’s cash burn was €8.0 million, compared to €7.8 million for the same period in 2019. Cash, cash equivalents and other financial assets stood at €35.3 million as of March 31, 2020, compared to €43.3 million as of December 31, 2019.

This cash position does not include the €20 million credit facility available for the Company until June 2022.

Summary of key ongoing clinical trials and expected milestones

Transgene continues to monitor the development of the of Covid-19 pandemic and its potential consequences on its activities. To-date the pandemic has had limited impact.

Transgene expects its cash burn for 2020 to be around €25 million, based on its current development plan.

Post-closing events

On May 4, 2020, Transgene announced the sale of its proprietary DuckCelt®-T17 cell line to Vaxxel, a French biotech start up focused on respiratory vaccines. As a result of this transaction, Transgene has become a significant shareholder in Vaxxel. Vaxxel will use the DuckCelt®-T17 cell line to enable the production of prophylactic vaccines against respiratory viruses (Metapneumovirus and Respiratory Syncytial Virus).

On April 9, 2020, Transgene sold its entire 8.25% holding in ElsaLys Biotech in a private operation.

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