AMOEBA (EPA:ALMIB) - AMOEBA announces half-year results in line with those of 2019 and continues to develop its biocide and biocontrol applications.

Transparency directive : regulatory news

24/09/2020 17:45

PRESS RELEASE

Amoéba announces half-year results in line with those of 2019 and continues to
              develop its biocide and biocontrol applications.

Chassieu, September 24, 2020, 5.45 pm, AMOEBA (FR0011051598-ALMIB) - producer
of a biological biocide capable of eliminating the risk in water and human
wounds, and of a biocontrol product for plant protection, still in the testing
phase, announces today its 2020 half-year results.

The Board of Directors, which met on September 24, 2020, approved the company's
consolidated financial statements for the first half of 2020.

The Statutory Auditors have performed their limited review of the consolidated
financial statements for the six months ended June 30, 2020 and have not
identified any material misstatements that could call into question their
conformity.

The interim report is currently being issued and will be available on the
company's website (www.amoeba-biocide.com) in the coming days.

(In KEUR)                         30/06/2020       30/06/2019
Turnover
                       -               60
Industrial deployment costs           (409)            (589)
Research & Development expenses     (1 235)          (1 852)
Grants                                 285              218
Sales & marketing expenses             (92)            (156)
General admin expenses              (1 539)          (1 162)
Operating income                    (2 990)          (3 481)
Financial Result                      (913)            (843)
Net income                          (3 903)          (4 324)

Results in line with 2019

Amoéba's operating loss for the six months ended June 30, 2020 was
EUR2,990,000 compared to a loss of EUR3,481,000 for the first half of 2019.
This difference is mainly due to the integration of an exceptional provision
for depreciation of EUR933 K on intangible assets at June 30, 2019. No
significant impairment was recorded during the first half of 2020.

- The company did not generate any revenues during the 1st half of 2020.

- Industrial deployment costs remain stable compared to the previous year.

- Research and Development expenses net of grants amounted to EUR950 K, down
  from KEUR1,634 K in the first half of 2019. This decrease is mainly due to a
  EUR933 K write-down of development expenses in June 2019 following the
  withdrawal of the marketing authorization request in the United States and
  the subsequent postponement of production operations (see press release of
  August 19, 2019).

- Marketing and sales expenses (EUR92 K) are down (EUR156 K in H1 2019).

- General and administrative expenses amounted to EUR1,538 K as of June 30,
  2020, an increase of EUR376 K compared to the previous year due to the
  expenses incurred for the registration of regulatory files and fees related
  to the filing and monitoring of patents.

- The financial result mainly includes interest charges related to bank loans
  (EUR805 K) and changes in fair value of derivatives for EUR85 K.

The net result for the first half of the year thus amounts to -3,903 KEUR
compared to - 4,324 in H1 2019.

At June 30, 2020, the company's shareholders' equity amounted to EUR2.7 million
compared to EUR4.2 million at December 31, 2019.

The company's financial debt amounted to EUR8.3 million and is mainly made up
of the EIB loan (EUR5 million) and capitalized interest (EUR2.9 million), and
debts related to rental obligations (EUR0.3 million).

The Company's cash and cash equivalents at June 30, 2020 amounted to EUR4,356K
compared to EUR4,761K at December 31, 2019.

A first half of the year marked by the acceleration of the development of the
biocontrol application for plant protection and the follow up of regulatory
files for the marketing of the biocide application.

During the first half of 2020, Amoéba focused on the following main areas:

1. Acceleration of the development of the biocontrol application, notably
through research partnerships with major industrial groups

o Signing of Material Transfer Agreements (MTA):

Between the months of March and April 2020, the Company announced the signature
of 8 material transfer agreements with De Sangosse, Certis Europe, Stähler
Switzerland, BASF, Philagro France, Nichino Europe, Evergreen Garden Care,
Syngenta and Bayer.

The purpose of these agreements is to make available to these companies various
formulations of experimental products containing the active substance of
Amoeba: the lysate of Willaertia magna C2c Maky. In return, the eight
agrochemical groups will finance and conduct their own field trials across
Europe to evaluate the performance of these products in preventing diseases on
different crops.

o Design of the Biocontrol plant

Cooperative work is being actively carried out with an external expert service
provider to design the amoeba lysate production plant for use in Biocontrol. To
date, plans for the construction of the production units and utilities have
been drawn up and will be costed before the end of 2020. The Biocontrol plant
could be operational from 2022 and will require new financing.

2. Follow up of the applications for marketing authorization of the biocide
application

o In Europe: Continued discussions with the Maltese authorities and Dutch
experts.
Regular discussions and exchanges with the authorities and experts have so far
confirmed that the date of receipt of their valuation report will be maintained
in the first quarter of 2021.

o In the United States: Finalization of the studies and drafting of conclusions
for the submission of the Biocide USA dossier at the end of 2020.
The last complementary studies to the USA biocide dossier will be completed by
November 2020 at the latest. These studies conducted according to an EPA
protocol - as a complement to the OECD studies - have again demonstrated the
safety of the amoeba Willaertia magna C2c Maky.
As a result, the dossier should be filed with the American authorities at the
end of 2020.

3. Continued research on the knowledge of the amoeba Willaertia magna C2c Maky

On February 7, 2020, the Company announced the publication by Pathogens, a
peer-reviewed, high- impact international scientific journal, of an article
co-authored with the Institut Hospitalo- Universitaire Méditerranée Infection
in Marseille.
The published article reports on the efficacy of the amoeba Willaertia magna
C2c Maky to ingest and eliminate several strains of Legionella pneumophila and
reaffirms the direct effect of predation and elimination of legionella by the
amoeba Willaertia magna C2c Maky.

4. Transfer of the Company's shares from the regulated market of Euronext in
Paris to Euronext Growth

The Company has decided to submit to a vote of the Company's shareholders at
the Shareholders' Meeting of June 24, 2020, the transfer of the listing of its
shares from the regulated market of Euronext Paris (compartment C) to the
multilateral trading facility Euronext Growth Paris.
The purpose of this transfer, which was completed on September 14,2020, is
intended to enable Amoéba to be listed on a market more suited to its size and
market capitalization, simplify the Company's operations and reduce the costs
related to its listing, while allowing it to continue to benefit from the
attractiveness of the financial markets.

5. Securing of the Company's financial situation

o Renegotiation of the bank financing with the EIB and signature of an
agreement for the issuance of Warrants in favor of the EIB

On March 31, 2020, the Company signed an amendment to the loan agreement
entered into on October 6, 2017 with the European Investment Bank (EIB) in
order to issue 200,000 Warrants (BSA) in favor of the EIB.
Under the terms of the amendment, the EIB has agreed to definitely cancel the
Company's commitment to maintain the ratio between its equity and assets above
a certain level.
The issuance of these warrants was approved by the General Meeting of
Shareholders on June 24, 2020 and decided on July 29, 2020.
The amendment signed between the EIB and Amoéba does not change the
contractual due date of the EIB loan in 2022.

o Bond financing

The Combined Shareholders' Meeting of March 13, 2020 approved the
implementation of the new contract for the issue of convertible bonds with an
incentive program (OCAPI) between Amoéba and Nice & Green SA. The
implementation of this convertible bond issue agreement signed on December 17,
2019 is intended to ensure the Company's continuity of operations.
As of June 30, 2020, 78 bonds had been issued and fully converted, representing
the creation of 1,318,585 new shares. At each bond issue, the Company informs
of the dilutive impact of the operation by press release.

Impact of the Covid 19 health crisis on the Company's development

As of the date of the interim report and considering that this pandemic and the
disruptions it will cause will not exceed a few months, the Company considers
that its activities should not be significantly affected.
Since the beginning of April 2020, the production of the Company's active
substance has continued under normal operating conditions. The health crisis
has had no impact on the preparation and follow- up of ongoing regulatory
files. The company made limited use of the partial activity mechanism and did
not request a state-guaranteed loan (French PGE)

The Company does not market its products, and does not recognize, to date, any
significant revenues, and the Covid-19 crisis had therefore little impact on
its income statement.

Recent developments and outlook

Within the framework of the biocontrol application for the prevention of plant
diseases, the company has confirmed the efficacy of its amoeba lysate
Willaertia Magna C2c Maky against downy mildew in grapevine during the second
field test campaign (see press release of July 27, 2020).

It also announced the first efficacy results of its biocontrol solution on
several major wheat diseases during its 2020 trial campaign (see press release
of July 22, 2020).

At the end of the testing period, which runs from spring to early fall 2020,
the industrial partners who were able to test the biological solution developed
by the Company will send Amoéba their results. If the tests are conclusive,
further negotiations should take place between Amoéba and these various
players to define possible milestone payments and the basis of future
commercial relationships. Three or four partners could be selected to move to
the next phase of product development and commercialization.

As a reminder, the commercialization of biocontrol products containing the
active substance (amoeba Willaertia magna C2c Maky amoeba lysate) is envisaged
by Amoeba in 2024 in Europe (dossier submitted, see press release of May 29,
2020) and in the first half of 2022 in the United States (submission envisaged
in July 2020, see press release of April 29, 2020, postponed to September
2020).

As the Company's Regulatory Affairs department worked on the marketing
authorization of the biocontrol application as a priority, the application for
the marketing of the biocide activity in the United States, previously planned
for mid-2020 ( see Universal registration Document of April 30, 2020) has been
postponed and will be submitted at the end of 2020 with a first marketing in
the United States estimated for the first half of 2022.

At the same time, Amoéba is receiving numerous requests to integrate its
solution into existing applications (biocide and biocontrol) in new fields.

A strict scientific assessment of these opportunities is constantly conducted
by our laboratory and external expert laboratories.

In the medium term, Amoéba envisages the development stages of its various
applications according to the following schedule

* The procedures for requesting authorization for biocide and biocontrol
applications from the regulatory authorities are detailed in the Universal
Registration Document filed with the Autorité des Marchés Financiers on April
30, 2020 under number D20-0416, in particular in subsection 5.4.3 "Product
registration procedures".
At September 24 2020 , the Company has sufficient net working capital to meet
its obligations and cash requirements over the next twelve months, and
considers it will be able to meet its commitments until the end of October
2021. The financial statements for the six months ended June 30, 2020 have been
approved by the Board of Directors on a going concern basis in view of the
business and cash flow forecasts.

About AMOEBA:

Amoéba's ambition is to become a major player in the treatment of bacterial
risk in the fields of water, healthcare and plant protection. Our biological
solution is an alternative to chemical products widely used today. Amoéba is
currently focusing on the market of industrial cooling towers estimated at
EUR1.7Bn (1) on a global chemical biocide market for water treatment, evaluated
at EUR21Bn (2) and on the biocontrol market for plant protection estimated
globally at EUR1.6Bn (4). In the future, the Company is looking at developing
new applications such as chronic wound care, estimated at EUR 751 million (3)
in the USA. Sales of associated products with healthcare, biocides and crop
protection are subject to the Company being granted local regulatory market
authorizations. The Company is currently in a trial phase for biocidal and
plant protection applications and does not market any products.
Created in 2010, based in Chassieu (Lyon, France) with a subsidiary in Canada
and in the United States, Amoéba is quoted on Euronext Growth Paris. The
Company is a member of the BPIfrance Excellence network and is eligible for the
PEA-PME SME equity savings plan setup. More information on
www.amoeba-biocide.com.

(1) : Amoéba data combined from sources: DRIRE 2013, Eurostat, ARHIA 2013
(2) : Sources combined by Amoéba from water treaters, Freedonia, Eurostat et
MarketsandMarkets
(3): BCC Research, "Markets for Advanced Wound Management Technologies,"
Wellesley, MA, 2017
(4): Biopesticides Worldwide Market 2013, CPL, Wallingford, UK

Contacts:

Amoéba
Valérie FILIATRE
General Manager
+33 4 26 69 16 00
valerie.filiatre@amoeba-biocide.com

Investors and Media Relations
Grégory BOSSON / Mathieu CALLEUX
Agence Calyptus
+33(0)1 53 65 37 90
amoeba@calyptus.net

Disclaimer

This press release contains certain forward-looking statements concerning
AMOEBA which are based on its own assumptions and hypothesis and on information
that are available to us. However, AMOEBA gives no assurance that the estimates
contained in such forward-looking statements will be verified, which estimates
are subject to numerous risks including the risks set forth in the Universal
Registration Document of AMOEBA filed with the French Financial Markets
Authority (Autorité des Marchés Financiers) on April 30, 2020 under number
D20-0416 (a copy of which is available on www.amoeba-biocide.com). The
forward-looking statements contained in this press release are also subject to
risks not yet known to AMOEBA or not currently considered material by AMOEBA.
The occurrence of all or part of such risks could cause actual results,
financial conditions, performance or achievements of AMOEBA to be materially
different from such forward- looking statements.

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AMOEBA (EPA:ALMIB) - AMOEBA announces half-year results in line with those of 2019 and continues to develop its biocide and biocontrol applications.

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