Abivax secures up to EUR 150M from two structured debt financing transactions

• Up to EUR 75M from Kreos Capital and Claret European Growth Capital
• Up to EUR 75M from Heights Capital Management
• EUR 27M of additional cash resources for Abivax at drawdown of the first tranches

PARIS, France, August 21, 2023, 8:00 a.m. CEST – Abivax SA (Euronext Paris : FR0012333284 – ABVX) (“Abivax” or the “Company”) today announced that it has concurrently signed two structured debt financing transactions for a total amount of up to EUR 150M consisting of (i) up to EUR 75M from Kreos Capital and Claret European Growth Capital (the “Kreos / Claret Financing”) together with the issuance of warrants (bons de souscription d’actions) exercisable to receive up to EUR 8M worth of ordinary shares of the Company, par value of EUR 0.01 per share (“Ordinary Shares”), and (ii) up to EUR 75M from a fund advised by Heights Capital Management, Inc. (the “Heights Financing” and together with the Kreos / Claret Financing, the “Transaction”).

Marc de Garidel, Chief Executive Officer of Abivax, said: “We believe that the strength of the data we have generated in our Phase 2 clinical trials uniquely position obefazimod as a potential leader for treating moderately to severely active ulcerative colitis (“UC”). The entire Abivax team is committed to bringing obefazimod to the market for the benefit of the many UC patients in need of safe and long-term efficient treatment options. We believe this additional capital will allow us to pursue that mission with an even more intense focus.”

Didier Blondel, Chief Financial Officer of Abivax, added: “We welcome the support of Kreos, Claret and Heights who are committed to helping us deliver meaningful therapies to as many people as possible suffering from chronic inflammatory diseases. Access to this additional capital strengthens our financial position and further supports our strategic priority to complete our global Phase 3 clinical trials of obefazimod for the treatment of moderately to severely active UC. It provides us with increased flexibility for our future funding strategy, which remains centered on potentially accessing the broader capital markets. Based on our current assumptions and the EUR 27M to be received at drawdown of the first tranches, we expect our cash runway to extend until the end of Q2 2024.”

Overall Structure of the Transaction

The first tranches of the Kreos / Claret Financing and the Heights Financing, for EUR 25,000,000 and EUR 35,000,000, respectively, are expected to be drawn on or around August 22, 2023, and August 24, 2023, respectively, subject to satisfaction of customary closing conditions. In addition, the Company expects to concurrently grant to Kreos Capital and Claret European Growth Capital, for no additional consideration, warrants exercisable to receive to EUR 4,000,000 worth of Ordinary Shares. The subsequent tranches of the Kreos / Claret Financing and the Heights Financing are subject to certain conditions, as further set forth below.

As part of the Transaction, Abivax is also repaying in full a total outstanding amount of EUR 32,762,852 under (i) the pre-existing debt agreements with Kreos for a total amount of EUR 7,660,993, and (ii) the pre-existing OCEANE bonds for a total amount of EUR 25,101,859 by way of set-off with the Heights Financing, thereby fully repaying such pre-existing indebtedness.

After giving effect to the repayment of EUR 32,762,852 of existing indebtedness, the net proceeds to Abivax from the first tranches of the Kreos / Claret Financing and the Heights Financing (once drawn on) are expected to be EUR 27,237,148 in total, consisting of EUR 17,339,007 from the Kreos / Claret Financing and EUR 9,898,141 from the Heights Financing.

The maximum proceeds from the Transaction (if all the tranches described below were drawn on), net of the refinancing of the existing indebtedness, are expected to be EUR 117,237,148 in total, consisting of EUR 67,339,007 for the Kreos / Claret Financing and EUR 49,898,141 for the Heights Financing.

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Media Contacts

English:

Stacey Gandler
Calcium+Company
stacey.gandler@calciumco.com
+1 646 327 0999

French:

Ghislaine Gasparetto
Actifin
ggasparetto@actifin.fr
+33 1 56 88 11 22

German:

Anne Hennecke
MC Services
abivax@mc-services.eu
+49 211 529 25222