CARMAT obtains non-dilutive financing of €13.2 million within the framework of the “France 2030” plan
Cash runway extended to mid-October 2023
Paris, April 24, 2023 – 6 pm CEST
CARMAT (FR0010907956, ALCAR), designer and developer of Aeson®, the world’s most advanced total artificial heart, aiming to provide a therapeutic alternative for people suffering from advanced biventricular heart failure, today announces that it has obtained non-dilutive financing of €13.2 million as part of the “France 2030” plan, and the extension of its cash runway through to mid-October 2023.
Non-dilutive financing of €13.2 million to increase and optimize production
The purpose of the financing of €13.2 million obtained by CARMAT as part of the “Industrialisation et Capacités Santé 2030” call for proposals is to support the increase in the annual production capacity of Aeson® artificial hearts to 1,000 a year within 5 years, and the reduction of the production cost of the prosthesis.
It consists of a €7.9 million grant and a €5.3 million repayable advance. The total financing will be received in four tranches over 2023-2026, in accordance with the project’s progress. The Company anticipates to receive a first tranche of €3.3 million no later than in the third quarter of 2023.
Subject to the success of the project, the repayable advance will be reimbursed over a period of 5 years starting on September 30, 2029.
Cash runway extended to mid-October 2023
Based exclusively on its current financial resources, including the €3.3 million first tranche of the “Industrialisation et Capacités Santé 2030” financing, CARMAT can fund its activities, according to its updated Business Plan, until mid-October 2023 without the need for any further financing.
Moreover, the Company continues to work on additional financing options to extend its cash runway beyond that date.
Stéphane Piat, Chief Executive Officer of CARMAT, commented: “This significant funding further demonstrates the French State’s confidence in the strength of our project and the potential of our Aeson® artificial heart. Not only is it crucial to enable us to rapidly increase our production capacity, it will also help us – via its optimization – to considerably reduce our prosthesis’ production cost. In this way, we will be able to meet the substantial demand from the medical community, and thus enable a large number of patients to benefit from our therapy, while embarking on the road to profitable growth. We are also very proud to be able to contribute to the reindustrialization and the growth of employment in France”.
CARMAT is a French MedTech that designs, manufactures and markets the Aeson® artificial heart. The Company’s ambition is to make Aeson® the first alternative to a heart transplant, and thus provide a therapeutic solution to people suffering from end-stage biventricular heart failure, who are facing a well-known shortfall in available human grafts. The world’s first physiological artificial heart that is highly hemocompatible, pulsatile and self-regulated, Aeson® could save, every year, the lives of thousands of patients waiting for a heart transplant. The device offers patients quality of life and mobility thanks to its ergonomic and portable external power supply system that is continuously connected to the implanted prosthesis. Aeson® is commercially available as a bridge to transplant in the European Union and other countries that recognize CE marking. Aeson® is also currently being assessed within the framework of an Early Feasibility Study (EFS) in the United States. Founded in 2008, CARMAT is based in the Paris region, with its head offices located in Vélizy-Villacoublay and its production site in Bois-d’Arcy. The Company can rely on the talent and expertise of a multidisciplinary team of more than 200 highly specialized people. CARMAT is listed on the Euronext Growth market in Paris (Ticker: ALCAR / ISIN code: FR0010907956).
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