EANS-Adhoc: Valneva SE / Completion of Merger between Vivalis and Intercell to form Valneva / Creating a European Biotech Leader in Vaccines and Antibodies

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Mergers - Acquisitions - Takeovers/Company Information
28.05.2013

Lyon (France), May 28th, 2013 - Valneva SE (Valneva) today announces
the completion of the merger of equals between Vivalis and Intercell,
creating a new European biotech company focusing on vaccines and
antibodies, striving to become a leader in its field.

Valneva ordinary shares (ISIN FR0004056851) start trading today on
the regulated market of NYSE Euronext in Paris under the ticker
symbol "VLA.PA" and on the Prime Market segment of the Vienna Stock
Exchange under the ticker symbol "VLA". Valneva preferred shares
(ISIN FR0011472943) will start trading today on the regulated market
of NYSE Euronext in Paris under ticker symbol "VLApr.PA" and on the
unregulated Third Market Segment of the Vienna Stock Exchange under
the ticker symbol "VLAP".

Thomas Lingelbach, President and Chief Executive Officer and Franck
Grimaud, President and Chief Business Officer of Valneva, commented:
"Today is a major milestone for our new company. Valneva combines the
strengths and capabilities of Vivalis and Intercell in antibody
discovery and vaccine development and commercialization. We have a
clear growth strategy to build a sustainable business by growing
revenues through marketed products as well as through existing and
future partnerships, and to invest into vaccines development and
antibody discovery. We believe this value proposition will generate
substantial rewards for our shareholders."

Valneva operates across the whole biopharmaceutical value chain with
innovative technology platforms, discovery and development
capabilities, state-of-the-art manufacturing and commercialization
expertise. Valneva generates revenue from diversified sources
including its marketed product as well as current and new commercial
partnerships.

Valneva has a broad portfolio of product candidates
(in-house/partnered) including a pandemic Influenza vaccine in Phase
III, a Pseudomonas vaccine in Phase II/III and a Tuberculosis vaccine
in Phase II.

It has also a portfolio of technology platforms that are becoming
widely adopted by the biopharmaceutical industry at large. These
include the validated and commercialized technology platforms EB66®
cell line for human and veterinary product development, VIVA|ScreenTM
antibody discovery platform and IC31® novel adjuvant.

Intended Rights Issue of an envisaged amount of EUR 40 million

As announced on December 16th 2012, Valneva plans to launch, subject
to market conditions and to the approval from the French Autorité des
marchés financiers on the Prospectus which will be prepared for this
purpose, rights issue of an envisaged amount of EUR 40 million.

Valneva has received the following commitments with respect to the
intended rights issue, and therefore already secured EUR 40 million:

1. The FSI has undertaken to participate to the rights issue for a
maximum amount of EUR 25 million (within the limit of 62.5% of the
proceeds of the issue) on the basis of irrevocable entitlement (à
titre irréductible) and on the basis of entitlement subject to
reduction (à titre réductible); 2. Groupe Grimaud and Unigrains (one
of Groupe Grimaud's long-term shareholders) have irrevocably
undertaken to participate in aggregate to the rights issue for EUR 5
million and on the basis of entitlement subject to reduction (à titre
réductible); 3. Two banks have committed to underwrite EUR 10 million
under market-standard terms and conditions.

Goldman Sachs International and Société Générale Corporate and
Investment Banking are acting as advisors on the merger. Credit
Agricole Corporate and Investment Bank and Société Générale Corporate
and Investment Banking are acting as Joint Lead Managers and Joint
Bookrunners for the rights issue.

Further inquiry note:
Valneva SE
Corporate Communications
Tel.: +43-1-20620-1222/-1116
Email: communications@valneva.com

end of announcement euro adhoc
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issuer: Valneva SE
Gerland Plaza Techsud, 70, rue Saint Jean de Dieu
F-69007 Lyon
phone: +33 4 78 76 61 01
mail: communications@valneva.com
WWW: www.valneva.com
sector: Biotechnology
ISIN: FR0004056851
indexes:
stockmarkets: regulated dealing: Euronext Paris, regulated dealing/prime
standard: Wien
language: English