Oncodesign Continues to Grow With a Strong Increase in Its Service Activity's Turnover in the First Half of 2022

• Group turnover of €16.5 million, mainly driven by strong organic growth in the Service business, with external turnover of €16 million (+27%) and an increased order book at €17.8 million (+14%)
• Operating income stable at €18.8 million
• Strong cash position of €23 million as of June 30, 2022
• Group structuring: separation of the Service and Biotech/IA business units

Regulatory News:

ONCODESIGN (ALONC FR0011766229) (Paris:ALONC), a biopharmaceutical group specializing in precision medicine, announced its turnover and income for the first half of 2022.

Oncodesign Group Key figures
in M€ Unaudited consolidated data	H1 2022	H1 2021		Evolution
				in of total		in value
Service BU turnover	16.0	12.6		+ 27%		+ 3.5
Biotech BU turnover	0.4	3.2		- 87%		- 2.8
Artificial Intelligence BU turnover	0.1	0.0		+ 208%		+ 0.1
Total turnover	16.5	15.8		+ 4%		+ 0.6
Other turnover and operating income	2.3	2.3		- 2%		- 0.0
Total turnover and operating income	18.8	18.1		+ 3%		+ 0.6
Cash position (as of June 30)	22.9	27.1		- 15%		- 4.2

Philippe GENNE, Chairman and CEO of Oncodesign, said: "In the context of intense negotiations regarding the acquisition of the company by the ELYAN fund, Oncodesign has succeeded in increasing its Service turnover by nearly 27% for the third consecutive year, reaching €16 million in the first half of 2022, and is thus continuing to grow before the finalization of the demerger and subsequent sale of the Service business, which is scheduled to take place in the fourth quarter of 2022. The Service order book also keeps growing, with nearly €18 million in orders signed in the first half of this year and good prospects for the second half of the year. North America (United States and Canada) is the main driver of our order growth, allowing us to expect sustained activity in the second half of 2022. The Biotech business achieved a turnover of €0.4 million during the first half of the year, driven solely by the two promising early partnerships with TiumBio and SEngine. The LRRK2 program is fully internalized by Servier, and the milestone associated with the compound's entry into the clinic is scheduled for the second half of the year. ODS-101 continues its development as well with an objective to enter phase 1 (Healthy Volunteers) at the end of the year. Finally, we are pleased that the commercial offer EXPLORE associating the AI BU with the Service BU and based on our OncoSniper technology has generated its first turnover for the AI BU. The second half of the year should follow this trend and engage us in the unfolding of the ongoing transaction, that will lead to the emergence at the end of the year of the two companies Oncodesign Service and Oncodesign Precision Medicine."

Arnaud LAFFORGUE, Oncodesign's Chief Financial Officer, added: We remain in full control of our cash consumption, with the Service activity generating cash thanks to the vitality of its order book and with the receipt of €4 million from the CIR in the first half of 2022. The high level of activity with international customers allows us to anticipate a high level of CIR in the future

Service Business Unit: order backlog close to €18 million, a new historical high for a 1^st semester, and total turnover of €17 million (+14%)

BU Service Turnover
in €M	H1 22	H1 21	Evolution
External turnover	16.0	12.6	+ 27%
Internal turnover	1.0	2.4	- 60%
Total BU Service turnover	17.0	15.0	+ 14%

Continuing the trend of the last two years, the Service BU has achieved a 27% increase in external turnover to 16m, after €9m in H1 2020 and €12.6m last year. The LRRK2 and RIPK2 internal programs are now at a stage close to clinical entry and are therefore no longer carried out by the Service BU on behalf of the Biotech BU, hence the negative impact on internal turnover.

Oncodesign Group Order backlog
in €M	H1 22	H1 21	Evolution
			in of total	in value
France and Southern Europe	4.7	4.3	+ 8.4%	+ 0.4
Central Europe	2.9	3.0	- 1%	- 0.0
Asia	2.1	3.5	- 39.1%	- 1.4
North America	7.0	2.3	+ 201.4%	+ 4.6
Northern Europe	1.1	2.6	- 56.1%	- 1.4
Total	17.8	15.6	+ 7.4%	+ 1.2

Despite a complicated geopolitical context, marked by a significant drop in international investments, particularly in the health sector, the order book stands at €17.8 million for the first half of 2022, marked by a significant jump in orders signed in North America (United States and Canada), mainly with the signing of several DRIVE contracts for major multi-year programs with prominent customers. France, Southern Europe and Central Europe remained at the same level as last year.

Biotech Business Unit: continued progress on ODS-101 programs and Servier partnership for LRRK2 and start of 2 early partnerships

The Biotech BU continues to advance the company's leading programs, ODS-101 and the LRRK2 inhibitor, which are still scheduled to enter the Phase I clinical trial in healthy volunteers at the end of the year.

The Biotech BU signed two early partnerships in late 2021 and early 2022: with the South Korean company TiumBio for an R&D collaboration on the discovery of drug candidates active in the treatment of fibrosis, and with the American company SEngine for the discovery of a new personalized treatment targeting metastatic tumors without therapeutic solutions. The Biotech BU generated sales of €0.4m from these two partnerships.

IA Business Unit records its first turnover and continues its structuring

The Artificial Intelligence BU, with its target-associated biomarker identification offer, recorded its 1^st turnover in the first half of 2022 and continues to build the OncoSNIPER therapeutic target selection platform.

Following Oncodesign's philosophy of designing collaborative projects, FederAIdd, an international virtual campus on the theme of AI and Drug Discovery, is under advanced construction in collaboration with private and academic partners.

Strong cash position as of June 30, 2022, at €23 million, ensuring excellent financial visibility

The Group's cash consumption remains very limited in the first half of 2022. The Service's order book, as well as the receipt of the €4 million CIR 2021, have enabled the Group to maintain a good level of cash.

The cash consumption is mainly related to the RIPK2 inhibitor ODS-101 program, which is scheduled to enter the clinic (Phase I Healthy Volunteers) at the end of 2022.

Separation of the two business lines Service and Biotech and entry into exclusive negotiations with Elyan Partners for the sale of a majority stake in Oncodesign (Service), followed by a Simplified Takeover Offer

As announced on July 1^st, Oncodesign is in exclusive negotiations with Elyan Partners in a structured transaction that includes the following:

• Partial contribution of assets from the Biotech and AI activities to the newly created company called Oncodesign Precision Medicine (OPM)
• Spin-off/listing of OPM with distribution to Oncodesign shareholders of 1 OPM share for 1 Oncodesign share held
• Sale of themajority of the capital of Oncodesign, now Oncodesign Service, to Elyan Partners, followed by the launch of a Simplified Takeover Offer and, if necessary, a delisting.

The price per share retained by Elyan Partners for the shares of Oncodesign Service is €14.41.

Next financial release:

Results for the first half of 2022, September 15, 2022 (after market close)

About ONCODESIGN: www.ONCODESIGN.com

ONCODESIGN is a biopharmaceutical company specializing in precision medicine, founded in 1995 by its current CEO and majority shareholder. It has been listed on the Euronext Growth Market since April 2014. Its mission is to discover effective therapies to fight cancer and other diseases without a therapeutic solution. With its unique experience, enriched thanks to over 1,000 customers including the world's largest pharmaceutical companies and based on a one-of-a-kind technological platform combining artificial intelligence, medicinal chemistry, pharmacology, regulatory bioanalysis and cutting-edge medical imaging, ONCODESIGN is able to select new therapeutic targets, then design and develop potential preclinical candidates up to the clinical phase stage. ONCODESIGN has configured its organization to offer innovative services to its customers and licenses for its proprietary molecules. Applied to kinase inhibitors molecules that represent a market estimated to be worth more than $65 billion by 2027 and nearly 25% of R&D investments in the pharmaceutical industry ONCODESIGN's technology has already made it possible to target several molecules of interest with a high therapeutic potential, both in and outside of oncology, and has signed partnerships with international pharmaceutical groups. Based in Dijon, France, at the heart of the University Hospital complex and part of the Paris-Saclay complex, ONCODESIGN has 230 employees across three Business Units (BU): Service, Biotech, Artificial Intelligence, and has subsidiaries in Canada and in the United States.

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