NEOVACS : SUCCESSFULLY RAISES €6.0 MILLION IN PRIVATE...

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Participation in the capital increase is limited to institutional investors active in the biotechnology sector. Neovacs will issue a total of 9,230,769 ordinary shares with attached equity warrants at a price of €0.65 per share. The warrants will entitle their holders to purchase up to 7,846,154 additional ordinary shares at an exercise price of €1.00 per share.

Miguel Sieler, CEO of Neovacs, commented: "This capital increase follows FDA acceptance of a new Investigational New Drug (IND) application to expand into the U.S. our IFNα Kinoid Clinical development program in dermatomyositis, which supports Neovacs' development strategy in the U.S., a country whith a very high prevalence of lupus and where dermatomyositis is an orphan disease. The funds raised through this private placement will enable Neovacs to accelerate the development of our lead therapeutic vaccine, IFNα Kinoid through the completion of preclinical and clinical trials in lupus, dermatomyositis and type 1 diabetes. This capital increase from funds specializing in biotechnology provide important validation of the significant potential of Neovacs' Kinoid technology for the treatment of severe and rare auto-immune diseases".

The proceeds of the capital increase will provide additional funding to the Company to finance the development plan of IFNα Kinoid, including:

• Completion of international Phase IIb clinical trial in Lupus

• Completion of Phase IIa clinical trial in Dermatomyositis (orphan disease)

• Completion of preclinical proof of concept study in Type 1 Diabetes

The capital increase was authorized by the Company's Board of Directors on July 25, 2017. It will be carried out without preferential subscription rights and reserved to the benefits of a category of

beneficiaries (investment funds investing in the area of health and biotechnology), in accordance with article L. 225-138 of the French commercial code and the fifteenth resolution of the Company's Annual General Meeting of Shareholders held on June 14, 2017. It is specified that none of the current directors nor any significant shareholders of the Company are among the beneficiaries of the capital increase.

Following the transaction, Neovacs' share capital is distributed as follows:

Shareholders Category Number of Shares % ownership

The subscription price of the shares with equity warrants is €0.65, which corresponds to a discount of 17.7% on the reference price1. The subscription price of the shares with equity warrants compared to the sum of the reference share price1 and of the theoretical value of a warrant evidences an aggregate discount of 22.5%.

The settlement of the new shares should take place (subject to usual market conditions) no later than August 3, 2017.

The new shares to be issued would represent 17.62% of the share capital of the Company to date (pre- issuance).

For indicative purpose, a shareholder holding 1% of the share capital of the Company would hold 0.85% of the share capital after the transaction, and 0.75% of the share capital if all of the warrants were to be exercised.

In accordance with Article 211-3 of the General Regulation of the French Financial Market Authority (AMF), the capital increase does not and will not require a prospectus to be submitted for approval to the AMF.

Each new share issued comes with an equity warrant, the total of warrants so issued being 9,230,769. One warrant will give the right to subscribe to 0.85 ordinary share of the Company.

1 Volume-weighted average price over the last 5 trading days (€0.79)

The shares potentially issued upon exercise of the warrants would represent 14.98% of the share capital of the Company to date (pre-issuance).

The warrants shall be exercisable within 48 months of their issuance. The warrants shall be exercisable at €1.00 per ordinary share.

The theoretical value of a warrant is €0.04, assuming a volatility of 27.7%, based on the closing share price on July 27, 2017 of €0.80 (Black Scholes formula).

If all the warrants are exercised, the Company would receive an additional €7.85 million of proceeds.

The Company has committed to request the listing of the warrants on Euronext Growth Paris by September 30, 2017.

The new shares, with a par value of €0.15, will be of the same category as the existing shares of the Company and will be listed on the same line as the existing shares of the Company under ISIN code FR0004032746. They will carry the same dividend rights as the existing shares and will be entitled, after issuance, to all dividends declared by the Company from that date.

In connection with the private placement, the Company has agreed to a lock-up period of 90 calendar days following the issuance of the new shares, subject to standard exemptions (including the issuance of new shares resulting from the exercise of warrants already in circulation on this date).

Mr. Miguel Sieler (CEO) and the directors holding shares and warrants2 of the Company will enter into lock-up undertakings for 90 calendar days following the issuance of the new securities with respect to 100% of the securities of the Company they hold (including the shares resulting from the exercise of their warrants).

Detailed information about Neovacs, notably regarding its activity, results, outlook and related risk factors, are laid out in the Company's annual financial report for 2016 and the half-yearly financial report for H1 2017 that are available on the website of the Company, along with other regulated information and all of the Company's press releases, at the following address: http://neovacs.fr/en/investissors/.

Roth Capital Partners acted as sole placement agent in connection with the capital increase.

2"BSA 2012-1" , "BSA 2014-1", "BSA 2015-1", "BSA 2016-1" depending on the director

Listed on Euronext Growth since 2010, Neovacs is today a leading biotechnology company focused on an active immunotherapy technology platform (Kinoids) with applications in autoimmune and/or inflammatory diseases. On the basis of the company's proprietary technology for inducing a polyclonal immune response (covered by five patent families that potentially run until 2032) Neovacs is focusing its clinical development efforts on IFNα Kinoid, an immunotherapy being developed for the indication of lupus and dermatomyositis. Neovacs is also conducting preclinical development works on other therapeutic vaccines in the fields of auto-immune diseases, oncology, allergies and Type 1 diabetes. The goal of the Kinoid approach is to enable patients to have access to safe and effective long-term treatments for these life-long diseases. www.neovacs.fr

For more information on Neovacs, please visit www.neovacs.fr

+33 (0)1 53 10 93 14

cmasson@neovacs.com

+33 1 44 71 00 12 / + 33 6 88 20 35 59

afloyer@newcap.fr

+33 1 44 71 20 41 / +33 6 58 14 84 66

ljacquin@newcap.fr

+41 79 367 6254

chris@lifesciadvisors.com

This announcement is for information purposes only. It does not, and shall not, in any circumstances, constitute a public offering of securities by Neovacs nor a solicitation of an offer to subscribe for securities in any jurisdiction, including France.