Transgene Halts Trading for Pivotal €105M Cancer Vaccine Fundraise

STRASBOURG, FRANCE – November 25, 2025 – In a move that signals both urgency and ambition, French biotechnology firm Transgene S.A. (Euronext Paris: TNG) has initiated a temporary suspension of its shares on the Euronext Paris exchange. The halt, effective before markets open on November 26, is a standard procedural step preceding the announcement of results from a significant capital increase. While brief—with trading expected to resume on November 27—the suspension puts a spotlight on a critical juncture for the company as it seeks to secure its financial future and accelerate its cutting-edge cancer immunotherapy pipeline.

For a clinical-stage biotech, cash is king, and this maneuver is designed to refill the royal coffers. The move is not just a routine financial transaction; it's a strategic bet on the company's proprietary science at a time when the broader biotech funding market remains challenging. Investors are now keenly watching to see the terms of this deal and what it reveals about the company's trajectory.

The Financial Imperative: Securing the Runway

The trading halt is the public-facing element of a comprehensive fundraising effort aiming to secure approximately €105 million. This vital capital infusion is structured in several parts, including a private placement to specialized investors, a public offering to retail investors via the PrimaryBid platform, and, crucially, a concurrent capital increase of roughly €39.4 million reserved for TSGH, an entity of Transgene's largest shareholder, Institut Mérieux.

This strong insider participation is a significant vote of confidence. The funds from TSGH will settle outstanding advances from a pre-existing credit facility, tidying up the balance sheet while reinforcing the major shareholder's long-term commitment. The urgency for this raise is clear when examining Transgene's recent financials. The company reported a net loss of €19.3 million for the first half of 2025, with a net cash burn of €18.8 million over the same period. While a credit line from TSGH had previously extended its financial visibility to the end of 2026, this new, larger capital raise is designed to push that runway out to early 2028.

This extended timeline is critical. It provides the necessary breathing room to navigate the costly and lengthy process of late-stage clinical trials without the constant pressure of near-term financing needs. In a market that has shown a distinct "flight to quality," securing a multi-year cash reserve allows Transgene to focus on execution and hitting key clinical milestones, rather than on mere survival.

Beyond the Balance Sheet: Fueling Personalized Cancer Therapy

While the headlines focus on the financial mechanics, the true purpose of this €105 million raise lies in the laboratory and the clinic. The capital is the fuel needed to propel Transgene’s most promising asset: TG4050, a first-of-its-kind individualized cancer vaccine. The company has stated that approximately 70% of the net proceeds will be dedicated to advancing its myvac® platform, with TG4050 at its core.

TG4050 represents a paradigm shift in cancer treatment. Developed for patients with HPV-negative head and neck cancer, it is not a one-size-fits-all drug. Instead, each dose is custom-built for a single patient. Using Transgene's myvac® viral vector platform, the therapy integrates tumor mutations—identified and selected using artificial intelligence from its partner NEC—into a vaccine designed to train the patient's immune system to recognize and destroy its own specific cancer cells.

The potential of this approach was powerfully demonstrated at the American Society of Clinical Oncology (ASCO) meeting in June 2025. Transgene presented Phase I data showing that 100% of patients treated with TG4050 remained disease-free after a median follow-up of 30 months. This stellar result, further supported by immunological data confirming a potent T-cell response, provides the clinical proof-of-concept that investors demand.

The new funds will directly support the ongoing randomized Phase II portion of the trial, with the company aiming to complete the enrollment of approximately 80 patients by the end of this year. This capital ensures that the program can advance toward key data readouts anticipated in 2026 and 2027. The funding also supports other pipeline assets, such as BT-001, an oncolytic virus from the invir.IO® platform that has shown encouraging activity in turning immunologically "cold" tumors "hot."

What Investors Should Watch Next

As trading resumes on November 27, the immediate focus will be on the market's reaction. The pricing of the new shares, which will almost certainly be set at a discount to the pre-suspension closing price of €1.28, will determine the level of dilution for existing shareholders. A minimal discount and strong uptake from institutional investors would be a bullish signal, validating the company's strategy and the perceived value of its pipeline.

Looking further ahead, the key catalyst remains clinical progress. The completion of patient randomization for the TG4050 Phase II trial by the end of 2025 is the next operational milestone. Following that, all eyes will be on the second half of 2026 for the first immunogenicity data from this cohort, which will offer the first glimpse into whether the powerful immune responses seen in Phase I are being replicated in a larger, randomized setting.

Ultimately, the preliminary efficacy data expected in the second half of 2027 will be the pivotal moment that could define the future of Transgene and its personalized vaccine platform. By securing its financial footing now, Transgene has bought itself the time and resources needed to reach that critical inflection point.