Taysha Gene Therapies Secures Up to $100 Million in Non-Dilutive Term Loan Funding

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DALLAS–()–Taysha Gene Therapies, Inc. (Nasdaq: TSHA), a patient-centric gene therapy company focused on the development and commercialization of AAV-based gene therapies for the treatment of monogenic diseases of the nervous system in Rare and Large Patient Populations, announced today that it has entered into a loan and guarantee agreement with Silicon Valley Bank (SVB) that provides Taysha with borrowing capacity of up to $100 million.

“Access to this non-dilutive funding at an attractive cost of capital, along with current liquidity, will provide Taysha with operational and financial flexibility to achieve numerous value-enhancing milestones, including possible regulatory approval for TSHA-120 in giant axonal neuropathy, or GAN,” said RA Session II, CEO of Taysha. “Additional milestones include the release of phase 1/2 data in the highest dose cohort in GAN and phase data 1/2 in GM2 Gangliosidosis, Rett Syndrome, CLN1 Disease and SURF1 Associated Leigh Syndrome We are delighted to partner with SVB as we continue to execute on our ambitious business plan.

This non-dilutive financing provides Taysha with up to 0 million, including $40 million available upon closing of which Taysha has drawn down $30.0 million. The Company has the option to draw the remaining tranches, subject to certain conditions. The interest rate is the greater of 7.0% or the WSJ prime rate plus 3.75%. There are no financial covenants or warrants associated with the term loan.

“Our financial commitment to Taysha demonstrates our confidence in its core strategies and is consistent with our support for innovative life science companies,” said Michael White, Business Development Manager, Life Sciences and Healthcare, Silicon Valley Bank. “We are excited to provide additional capital to the company to advance its strong development pipeline and achieve key value-enhancing milestones in the years ahead.”

“Over the past 12 months, we have rapidly transitioned from a private to a public company and from preclinical to clinical to pivotal stage,” said Kamran Alam, Chief Financial Officer of Taysha. “Building on this momentum, we anticipate that this non-dilutive financing will position us well to maximize long-term shareholder value.”

About Taysha Gene Therapies

Taysha Gene Therapies (Nasdaq: TSHA) is on a mission to eradicate monogenic CNS disease. With a particular focus on the development of curative drugs, we aim to rapidly translate our treatments from bench to bedside. We have combined our team’s proven experience in gene therapy drug development and commercialization with the world-class UT Southwestern gene therapy program to build an extensive AAV gene therapy pipeline focused on rare and large-scale indications. . Together, we are leveraging our fully integrated platform – a powerhouse for potential new treatments – to dramatically improve the lives of patients. More information is available at www.tayshagtx.com.

About Silicon Valley Bank

For nearly 40 years, Silicon Valley Bank (SVB) has helped innovative companies and their investors move bold ideas forward quickly. SVB provides targeted financial services and expertise through its offices in innovation centers around the world. With commercial, international and private banking services, SVB helps meet the unique needs of innovators. Learn more about svb.com.

Forward-looking statements

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Words such as “anticipates”, “believes”, “expects”, “intends”, “projects and “future” or similar expressions are intended to identify forward-looking statements. Forward-looking statements include statements regarding or involving the potential of our product candidates to positively impact quality of life and alter the course of disease in the patients we seek to treat, our plans for research, development and regulatory requirements for our product candidates, the intended use of proceeds from the borrowings under the loan and guarantee agreement, our ability to access all of the $100 million potentially available under the loan agreement and collateral and our ability to fund operations through the second half of 2023. Forward-looking statements are based on management’s current expectations and are subject to various risks and uncertainties that could cause actual results to differ materially and adversely of those expressed or implied by such forward-looking statements. Accordingly, these forward-looking statements are not guarantees of future performance, and you are cautioned not to place undue reliance on these forward-looking statements. Risks relating to our business are described in detail in our filings with the Securities and Exchange Commission (“SEC”), including our Annual Report on Form 10-K for the fiscal year ended December 31, 2020 and our Quarterly Report on Form 10-Q for the quarter ended June 30, 2021, both available on the SEC’s website at www.sec.gov. Additional information will be made available in other documents filed from time to time with the SEC. These risks may be amplified by the impacts of the COVID-19 pandemic. These forward-looking statements speak only as of the date hereof, and we assume no obligation to update these statements except as required by law.

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