DGAP-News: G-Therapeutics raises EUR 36 million to develop novel neuro-stimulation therapy for spinal cord injury

DGAP-News: G-Therapeutics / Key word(s): Financing
G-Therapeutics raises EUR 36 million to develop novel neuro-stimulation
therapy for spinal cord injury

19.04.2016 / 08:00
The issuer is solely responsible for the content of this announcement.

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PRESS RELEASE G-THERAPEUTICS

DISTRIBUTION VERSION, NOT TO BE RELEASED BEFORE TUE APRIL 19, 2016, 8:00
hrs.

G-Therapeutics raises EUR 36 million to develop novel neuro-stimulation
therapy for spinal cord injury

Eindhoven, the Netherlands; Lausanne, Switzerland; April 19, 2016 --
G-Therapeutics announces today that it has raised EUR 36 million to develop
its novel neuro-stimulation therapy for people with spinal cord injuries
(SCI). G-Therapeutics is a spin-off from École Polytechnique Fédérale de
Lausanne (EPFL), with offices in Eindhoven, the Netherlands, and Lausanne,
Switzerland. An amount of EUR 26 million is raised in a Series A investment
round co-led by LSP, INKEF Capital, Gimv and Wellington Partners. In
addition, G-Therapeutics has secured a EUR 10 million deferred,
risk-bearing 'innovation loan' from the Rijksdienst voor Ondernemend
Nederland (RvO, part of Dutch ministry of Economic Affairs) to support the
development of its innovative therapeutic solutions.

G-Therapeutics B.V. (G-Therapeutics or the Company) will use the funds to
bring a unique, new therapy for improved rehabilitation of spinal-cord
injuries from the lab to patients. In particular, the Company is developing
a unique, Implantable Neuro-stimulation System (INS) for electrical
stimulation of specific areas of the spinal cord and will subsequently
perform a multi-center clinical study to obtain regulatory approval.

The Swiss-Dutch Company is building further upon the scientific
achievements of Professor Grégoire Courtine, who occupies the International
Paraplegic Foundation Chair in Spinal Cord Repair, and his colleagues at
the Center for Neuro-prosthetics and Brain Mind Institute, of the Swiss
Federal Institute of Technology (EPFL) and at the University Hospital of
Vaud (CHUV). For over 15 years, Professor Courtine has been working on
unravelling the mechanisms underlying an effective treatment for people
with a spinal cord injury affecting the lower limbs. As one of the
founders and Chief Scientific Officer of the Company, Professor Courtine
comments: "I am delighted that after a decade of dedicated research and all
the scientific accomplishments of my team, G-Therapeutics will enable the
development of realistic therapeutic solutions for people with spinal cord
injury."

There are two unique attributes about this new therapeutic approach: an
implantable neuro-stimulation system (INS) for the spinal cord with
real-time motion feedback, and intent-driven rehabilitation. The system
enables the INS to deliver electrical pulses to the correct nerves at the
appropriate timing to facilitate raising and lowering the legs and feet
during walking. It was shown by Professor Courtine's team that this
combination of neuro-stimulation and will-powered training results in a
massive remodelling of residual neural connections, restoring voluntary
control over paralysed limbs.

The clinical and regulatory activities of the Company will remain in
Lausanne, in the vicinity of the lab of Professor Courtine at EPFL, and
CHUV, the academic hospital of Lausanne that will be involved in the
clinical studies, under the guidance of Dr Jocelyne Bloch, who is the lead
functional neurosurgeon at the CHUV and co-founder of the Company. The INS
development activities and general management of the Company will be based
at the High Tech Campus, Eindhoven, the Netherlands. Sjaak Deckers, one of
the founders and CEO of the Company, remarks: "It is very rewarding to
start this unique European endeavor that can bring enormous benefits to
these individuals with spinal cord injury. Our international team has all
the necessary capabilities to realize Professor Courtine's vision, backed
by a strong investor syndicate of highly renowned medical technology
investors."

Dirk Kersten, Managing Director at INKEF Capital, notes: "INKEF is excited
to be part of the G-Therapeutics story which combines world-class science
with a team of proven entrepreneurs led by Sjaak Deckers. It is a great
opportunity for INKEF working together again with this talented group of
people to build towards continued success."

John de Koning, Partner at LSP, adds: "G-Therapeutics is uniquely
positioned to translate an exciting and highly promising technology into
products that have the potential to transform the future of spinal cord
injury treatment. At LSP, we are looking forward to working once again with
this team of experienced professionals, both in the management and at
supervisory board level."

After the new financing, the Company's supervisory board will consist of
Jan Ohrstrom, former CEO of Profibrix, as Chairman; Patrick Van Beneden,
partner at Gimv; Professor Grégoire Courtine; Regina Hodits, general
partner at Wellington Partners; Jan Keltjens, Senior Director at INKEF
Capital; and John de Koning, partner at LSP.

----- # End # -----

For further inquiries, please contact:

Sjaak Deckers, CEO G-Therapeutics: Sjaak.Deckers@gtherapeutics.com +31 622
49 01 04

ABOUT G-THERAPEUTICS

G-Therapeutics is a spin-off company from Professor Courtine's laboratory
at the École Polytechnique Fédérale de Lausanne (EPFL, Switzerland), with
offices in Switzerland and the Netherlands. The Company is developing an
Implantable Neuro-stimulation System (INS) with real-time motion feedback
and uses training tools to rehabilitate patients suffering from
neurological disorders such as spinal cord injury (SCI). The initial focus
of G-Therapeutics will be paraplegic patients with incomplete SCI due to a
lesion in the cervical or thoracic segments of the spinal cord.

ACKNOWLEDGEMENT

The Company, incorporated in December 2014, acknowledges its early
supporters whose support and financial contributions have been critical to
turn the early endeavor into a Company: EPFL, Fondation pour l'Innovation
Technologique (FIT, Lausanne, Switzerland), Venture Kick (Switzerland),
Venture.ch (Switzerland), Lausanne Region (Switzerland), Hello Tomorrow
Challenge (France), Universal Biotech (France), Stimulus (Netherlands), The
Wellcome Trust (UK), Eurostars (EU) and RVO (Netherlands).

ABOUT INKEF

INKEF Capital is an Amsterdam, the Netherlands, based venture capital firm
that is focused on the long-term collaboration and active support of
innovative technology companies. INKEF was founded in 2010 by Dutch pension
fund ABP and with EUR 200 million under management it is one of the largest
venture capital funds in the Netherlands. INKEF focuses on investment
opportunities in Healthcare, Technology and IT/NewMedia and prefers to
participate from series A round financing onwards. www.inkefcapital.com

ABOUT LSP

LSP (Life Sciences Partners) is a leading independent European investment
firm, providing financing for private and public life-science companies.
Since the late 1980s, LSP's management has invested in a large number of
highly innovative enterprises, many of which have grown to become leaders
of the global life-science industry. With over EUR 1 billion of investment
capital raised to date and offices in Amsterdam, Munich and Boston, LSP is
one of Europe's largest and most experienced specialist life-science
investors. For more information, please visit www.lspvc.com

ABOUT GIMV
Gimv is a European investment company with over three decades experience in
private equity and venture capital. The company is listed on Euronext
Brussels. Gimv currently manages around 1.8 billion EUR (including
co-investment partnerships) of investments in about 50 portfolio companies.
As a recognized market leader in selected investment platforms, Gimv
identifies entrepreneurial and innovative companies with high-growth
potential and supports them in their transformation into market leaders.
Gimv's four investment platforms are: Connected Consumer, Health & Care,
Smart Industries and Sustainable Cities. Each of these platforms works with
a skilled and dedicated team across Gimv's home markets of the Benelux,
France and Germany and can count on an extended international network of
experts. More information on Gimv can be found on www.gimv.com.

ABOUT WELLINGTON PARTNERS
Partners Wellington Partners is among the most successful pan-European
Venture Capital firms. With more than EUR 800 million under management and
offices in Munich, London and Zurich, Wellington Partners invests in
start-up companies throughout Europe that have the potential to become
global leaders in the areas of digital media, resource efficiency and life
sciences. Since 1998, Wellington Partners has invested in more than 100
companies, including publicly listed firms like Actelion, Evolva, Genticel,
, Oxford Immunotec, Supersonic Imagine, Wavelight (acquired by Alcon) and
Xing as well as privately held companies like AyoxxA, Definiens (acquired
by Medimmune), Grandis (acquired by Novartis), ImevaXx, immatics,
Immobilienscout24 (acquired by Deutsche Telekom), invendo medical, MPM
Medical, MTM Laboratories (acquired by Roche), NEUWAY Pharma,
Oxagen/Atopix, Quanta, Rigontec, Sapiens (acquired by Medtronic), Sensimed,
Symetis, Spotify and Themis. For further information, please visit
www.wellington-partners.com.


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19.04.2016 Dissemination of a Corporate News, transmitted by DGAP - a
service of EQS Group AG.
The issuer is solely responsible for the content of this announcement.

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455283 19.04.2016