GenSight Biologics Announces the Drawdown of the First EUR 8 Million Tranche Under Its Credit Agreement With the European Investment Bank

Regulatory News:

GenSight Biologics (Euronext: SIGHT, ISIN: FR0013183985, PEA-PME eligible) (the "Company"), a biopharma Company focused on developing and commercializing innovative gene therapies for retinal neurodegenerative diseases and central nervous system disorders, announced today that it has received the payment of EUR 8 million under the first tranche (the "Tranche A") of the unsecured credit facility executed with the European Investment Bank (the "EIB") on November 3, 2022 maturing in November 2027 (the "Credit Facility").

"Thanks to this first EUR 8 million tranche of the EIB facility, and the EUR 12 million of Heights Capital's convertible notes announced last December, we have been able to extend our cash runway to May 2023, while minimizing dilution for our shareholders, despite particularly challenging market conditions in 2022," said Thomas Gidoin, Chief Financial Officer of GenSight. "With the EIB Tranche B expected in Q2 2023, our cash runway would be extended from May 2023 to early 2024. We are now focusing our resources on the commercial launch of LUMEVOQ in Europe expected by the end of the year."

The Credit Facility provides funding in three tranches of EUR 8 million, EUR 12 million and EUR 15 million, each subject to the fulfillment of certain conditions precedent. All drawdowns under the terms of the Credit Facility that have not been completed within 5 years from the date of signature of the Credit Facility, i.e. November 3, 2027, may not be completed at a later date. No guarantee can be given as to the satisfaction by the Company of the conditions precedent and the completion of the second and third tranches.

The disbursement of Tranche A (with fixed annual interest of 2% and capitalized interest of 5%) was subject to, among other conditions:

• the conclusion of an agreement to offer warrants (the "Warrants") with the EIB on December 22, 2022, and the issuance of the Warrants for Tranche A on January 25, 2023 (as detailed below),
• the full repayment of the remaining financing with Kreos (condition met),
• the successful production of a pilot batch of LUMEVOQ (condition met on September 19, 2022),
• the decision by the Company to launch the validation batch production campaign ("PPQ") (condition met), and
• a cash injection of EUR 10 million in cash, in the form of convertible bond equity (to the extent that repayment is subordinated to the EIB debt under the terms of a subordination agreement to be entered into) or licensing revenues, a condition fulfilled by the raising of EUR 10.8 million by the Company through the issuance of bonds convertible into new shares fully subscribed by Heights Capital on December 23, 2022.

The disbursement of EUR 12 million Tranche B is subject to, among other things: