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ALGAE YOU CAN TRUST

June 2020

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This presentation has been prepared by Fermentalg

1

NETWORK OF SALES DISTRIBUTORSwith 1st focus on USA, EU & China

FIRST PRODUCT LAUNCH IN 2018 (OMEGA-3)& projection of new launch in 2021 (alternative proteins)

PLANT CAPACITY TO INSURE COMMERCIAL RAMP-UPPartnership with ADL Biopharma

35 ACTIVE PATENT FAMILIES & 2,000+ MICROALGAE STAINSpowered by 64 talents ie. ¾ in R&D department

FERMENTATION TECHNOLOGY PLATFORMregularly improved since 2009

An integrated biotechnological platform strengthened by partnerships

2

€5.1M CASH POSITION* + €19M RAISED IN JUNE 2020& a strict cash management to insure value creation for shareholders *: Cash position at end of May 2020

What’s up on 18 June, 2020

3

STRATEGIC PARTNERSHIPwith the U.S. industrial group DDW, a worldwide leader in natural colors,

to bring BLUE ORIGINS®, the natural blue color developed by Fermentalg, to market

GLOBAL FINANCING OF THE COMPANYAt least €19 million secured

to finance the scale-up and marketing activities of its product portfolio through 2022

4

SUSTAINABLE SOLUTIONS IN NUTRITION, HEALTH & ENVIRONNEMENT

1

Consumers demanding healthy, natural & environment-friendly food

Feeding 10bn people by 2050 while reducing the environmental impact

Increasing urbanization & associated pollution that create new public health issues

Our DNA: provide sustainable solutions for…

5

DHA ORIGINS®: a vegan omega-3 contributing to human health

KALVEA®: a disruptive alternative protein source helping to secure world food supply for a growing population

CARBON SINKS: targeting atmospheric pollution

6

Premium Omega-3 (DHA)

Ongoing sales since 2018

Alternative proteins & natural colors

Industrial scale-up stage

Cleaner air solutionJoint R&D

Agreement

Commercial Development

&

Pre-industrial

Sustainable micro-algae solutions for the future of nutrition & health

Our missionTo provide nutrition & health markets with innovative and responsible solutions by harnessing the huge potential of micro-algae.

Our strengthsOne of the largest banks of non-GMO strains worldwide An integrated biotechnological platform.

Fermentalg contributes to 7 out of 17 goalsof sustainable development defined by the United Nations

7

DHA ORIGINS® Replaces intensive fishing and reduces depletion of fish population

KALVEA®Increase protein supply by 50% within the next 30 years with sustainable production methods

KALVEA®Reduce water consumption and arable land use

CARBON SINKSReduce the adverse per capita environmental impact of cities

CARBON SINKSEnhance scientific research, upgrade the technologicalcapabilities

DHA ORIGINS®Enhances mental health, vision and cardiovascular health

CARBON SINKSSubstantially reduce the number of deaths and illnesses caused by hazardous chemicals and air pollution and contamination

KALVEA®Substantially increase water-use efficiency across all sectors

An in-depth knowledge to bring innovative micro-algae based commercial

products to the world

8

FERMENTATION TO NATURALLY EXTRACT ALL THE ALGAL BENEFITSSCIENCE TO UNDERSTAND NATURE

Searching for unique micro-algae

in the wild

Screening for strain

characteristics

Selecting the most promising

strains

Archiving strains for the future

Sustainable manufacturingNot subject to the vagaries

of seasons or weather

Gentle extractionThe processes avoid

drying the biomass and use just water for separation

Scaling up to innovateBring innovative micro-algae based commercial products

to the world

A strategy focus on partnerships to accelerate the “go-to-market”

Partnerships with world leaders

in each market we target to insure Fermentalg’s capability

to success on commercial ramp-up &

the best Return On Investment

9

Technological validation+Marketing experience & Sales force+Financial capability

…

ALTERNATIVE PROTEINS & NATURAL COLORS: A PLATFORM AT PRE-INDUSTRIAL STAGE

2

A platform providing natural colors

Aqua blue for appealing soft gels

Fight blues with algae-based colors

Naturally blue colors for resfreshing drinks

Natural pigment for vibrant colors

11

outperforms spirulina as a natural color option for beverages

Acid stabilityPasteurization

12

ORIGIN BLUE®Control Spirulina ORIGIN BLUE® Spirulina

*testing in progress

Tests performed by a company independent from Fermentalg

June 2020: Fermentalg & world leader DDW join to launch Blue Origins®

A strategic partnership to accelerate the market launch

of a natural blue colorantfor the food and beverage markets.

Founded in 1865, DDW, the second largest producer of natural food

coloring worldwide Principal supplier of green, red and oranges

to the dairy industries, also used for the sweets and of caramel color for

the production of colas.

13

Signing of a Join Development

& Supply Agreement (JDSA)

Milestone 1Increase performance & productivity of the

phycocyanin production process

~12 month

Milestone 2Transfer of the process to industrially relevant

scales

~24 month

Pre-commercial launchCompletion of regulatory

approval to allow the use of phycocyanin as a colorant in

USA, Canada, EU & UK

The success of the first two key phases will include supplier advances for a total of €2 million

Flexitarians & Vegans Sports & Seniors nutrition Aqua & Animal Feed

A “2 in 1” platform that also addresses 3 major segments with Alternative protein

14

Traditional agricultural models are unsustainable

Alternative proteins are a disruptive force for the food industry

15

Consumer aspire of sustainable protein with similar nutritional profile to animal-derived proteins

16

Roadmap for alternative protein in 2020

17

“Regulatory files to obtain approvals in

Europe (CE) and the United States (GRAS)

have been filed by the end of 2019. Self GRAS

approval obtained in January 2020”

Sports Nutrition Market opportunity of €8 billion in 2018 with CAGR of 7% for the period 2017-2024*

*Credence Research, 2017 ; Statista, 2016 ; Research and Markets, 2016 ; Lux Research, 2015 and Frost & Sullivan, 2013. Nutraingredients-USA.com, World of Food Ingredients magazine.

Pre-industrial scale-up of the platform completed

18

Successful completion of several 1,000 & 2,000 liters fermentation trials

“Fermentalg is exploring the possibility of using existing biotech platforms to minimize the investments associated with industrial scale-up stage and accelerate the time to market.”

3

OMEGA-3 PLATFORM: BREAKTHROUGH IN THE DHA MARKET

Health Impact of Omega-3s…

20

34%

22%

14%

6%

10%

14%

USA EuropeChina JapanRest of APAC Other

…and food supplementation is criticalin large parts of the world

21

14%

86%

Microalgal DHA

Other Omega-3

€1.5 bn€1.5 bn

DHA ORIGINS®: get your omega-3 at the source

22

Naturally highly concentratedMinimum (…)mg/g DHA

Yellow Colourfor applications

requiring neutral colours

Orange ColourContains astaxanthin

and beta-carotene

DHA ORIGINS®: 2 years from lab to market

23

Production on partner site

in 180m3 fermenters

Initial runs in Q4 2017

Process validation and optimisation

in H1 2018

Technological transfer to partner started

in H2 2018

INDUSTRIAL REGULATORY COMMERCIALSCIENTIFIC

Strain selectedin 2016

Laboratory tests

in 2016-2017

Pre-industrial scale-up in 2017

European approval in January 2018

US GRAS approvalin February 2018

International presentation at

VITAFOODS 2018

Distributionagreements in Europe

(H2 2017), USA (H1 2018) & Asia (H2 2018)

First volumes sold in Q4 2018

Creation of combo formula (Blue light capsule with

Catalent)

7

135

338

1 550

H1 2018 H2 2018 H1 2019 H2 2019

DHA ORIGINS®: commercial scale-up underway

24

REVENUES FROM OMEGA-3 SALES IN €000

Fermentalg & world leader DSM join to accelerate commercial ramp-up

Convinced by the power of our Omega-3 platform

& the quality of DHA ORIGINS® product, DSM has signed a 5 years

commercial contract with the potential of elevating Fermentalg

to the top tier of the world’s largest algal DHA producers

25

Exclusivity for selling in certain market segments

INGREDIENTS / CONTRACTS MANUFACTURERS

DISTRIBUTORS

US

UE

China

FIRST ORDERS COME FROM NEW STRATEGIC PARTNERS

26

A commercial set-up to addressvarious market segments and geography

Key accounts

MAJOR DEAL WITH PARTIAL EXCLUSIVITY

27

A manufacturing contract to ensure commercial ramp-up

&

“The largest fermentation facility in the south of Europe”

ADL BioPharma

• Spanish company based in Leon (northwestern Spain)

• 250 people• Total fermentation capacity

of 2,400 m3

• 60 years of experience in biotechnology and development of processes

Roadmap

ADL will dedicate a part of its fermentation capacity

to Fermentalg productions

Target: hundreds of

tons / year

ADL & Fermentalg enter in a continuousimprovement process

FINANCIALS

4

29

At least €19 million secured to finance the scale-up and marketing activities of its product portfolio

On June 18, 2020, the French Autorité des

marchés financiers (AMF) approved the prospectus

relating to the transactions.

Nominal value: €1.75

Maturity period: 5 years

Annual interest rate: 3%

Subscription commitments:• DDW: €3.5 million• Ecotechnologies (Bpifrance

Investissement): €1.75 million• Bpifrance Participations: €1.75 million

ISSUANCE OF CONVERTIBLE BONDS WITH ATTACHED WARRANTS

ISSUANCE OF FREE SHARE SUBSCRIPTION WARRANTS TO EXISTING SHAREHOLDERS

RENEWAL OF THE EQUITY FINANCING LINE

FROM €7.0 TO €12.0 MILLION UP TO €5.1 MILLION €12.0 MILLION

1 warrant per share held as of the close of trading on June 1, 2020

7 warrants for 1 new share

Exercise price: €1.75

Maturity period: 2 years

Contract with Kepler Cheuvreux

Subscription amount: min. of €500,000 per month

Maximum period: 2 years

Maximum discount: 6.5%

APPENDICES

5

Marie-Jane FallourdProtein program Director

Management & Board of Directors

31

Stéphane Villecroze

DEMETER

Gilles Schang

BPIFRANCE INVEST.

Fabienne Saadane-Oaks

*

Audrey Ménassé

*

Philippe Lavielle

CEO

* Independent member

Hélène Moncorger

Pilicer*

MANAGEMENT BOARD OF DIRECTORS

Philippe LavielleChief Executive Officer

Hywel Griffiths Scientific Director

Emmanuelle TouryHR Director

Jean-Louis CaradecSales Director

Sonia Da Rocha Gomes Project Manager

Philippe Cia Industrial Director

Bertrand DevillersChief Financial Officer

Shareholding structure

32

STRATEGIC SHAREHOLDERS

16%

21%63%

19,228,199SHARES

FREE FLOAT

CAPITAL(31/03/20)

Individuals> 5,000 shareholders

Institutional50 funds

Partnership with SUEZ: carbon sinksserving the environment and quality of life

2015-2027Joint Development Agreement (JDA)

of carbon sink

33

Our specifically selected micro-algae can

capture and transform carbon dioxide into oxygen, which reduces

greenhouse gases and contributes to slowing down global warming.

Fermentalg & the SUEZ Group intend to introduce these carbon sinks in the form of

columns of micro-algae both in urban and industrial environment to

provide concrete and sustainable solutions in a circular economy.

2018: signing of

an exclusive 8-year partnership agreement (technological development

and industrialization phases) and

a 3-year marketing agreement(commercial offering)

The proven success of a technological innovation

34

Test on Europe’s unique test bench*:

• dust particles down by 66 to 99%• NO2 emissions cut by 76 to 97%

This represents the equivalent of the annual emissions of 150 cars.

*The French National Institute for Industrial Environment and Risks

Carbon sink in operation

wastewatertreatment plant

Alesia square

Poissy city

waste-to-energyrecovery plant

Partnership with DIC: 2 target products including an innovative phycocyanin

2017-2020Joint Development Agreement (JDA)

over 3 years

Fermentalg brings its bank of strains

and biotechnological platform

DIC brings its strong expertise

in applied research, industrial and commercial know-how

€5 million investment in

convertible bonds by DIC in Fermentalg*

35*Agreement on principles with DIC for extension until 31 October 2021 (cf. Universal Registration Document for details)

Income statement

36

(€ thousands) FY 2017 FY 2018 FY 2019 T1 2019 T1 2020

Revenue 170 246 1,888 89 595

Net operating expenses (7,407) (5,927) (9,777)

Operating income before share-based payments (7,237) (5,681) (7,889)

Payroll expenses linked to share-based payments (35) (1,440) (666)

Other non-recurring operating income and expenses 30 (526) (5,056)

Operating income after share-based payments and

non-recurring items (7,242) (7,647) (13,612)

Net cost of borrowings (29) (422) (447)

Other income and expenses - (23) -

Income Tax - - (3,236)

Consolidated net income/(loss) group share (7,269) (8,091) (17,294)

Total consolidated net income/(loss) (7,271) (8,147) (17,424)

Consolidated net earnings per share (in euros) (0.56) (0.47) (0.97)

Consolidated diluted net earnings per share (in euros) (0.56) (0.47) (0.97)

€1.9m revenue for the first year of marketing of DHA ORIGINS®

Δ 1,049 k€ in R&D costsΔ 1,427 k€ in production and industrial deployment costs, including initial costs of industrial deployment linked to the commercial launch of DHA ORIGINS®

Retroactive depreciation of assets, related to its development program around natural proteins and pigments, its Libourne site, and deferred taxes

Balance sheet at 31 December 2019

37

Cash and cash equivalents: €8.0m

BALANCE SHEET TOTAL

€34.5m

Intangible assets: €8.4m

Tangible assets: €13.2m

Shareholders' equity: €18.6m

Borrowings: €11.6mincl. CBs: €4.6m*

Other payables: €4.3m

Other assets: €3.3m

Inventories: €1.6m

*: €5.0m net of issuance costs and portion reclassified as equity

Cash flow statement

38

(€ thousands) FY 2017 FY 2018 FY 2019

Net income (7,271) (8,091) (17,295)

D&A 1,914 2,626 7,240

Change in deferred taxes - - 3,236

Expenses linked to share-based payments 35 1,290 662

Change in operating working capital (1,903) (400) (1,183)

Other 62 463 556

Cash flow from operations (7,164) (4,112) (6,784)

Production of assets (capitalized R&D) (2,481) (4,178) (2,450)

Acquisition of intangible & tangible assets (1,091) (842) (832)

Other 396 (37) 1,863

Cash flow from investing (3,176) (5,057) (1,419)

Capital increase 11,688 - 1,063

Acquisition / sale of treasury stocks 3 (30) (35)

New borrowings 4,694 190 2,956

Financial interests paid - (250) (250)

Cash flow from financing 16,385 (90) 3,734

Change in cash 6,045 (9,259) (4,470)

Cash BoP 15,708 21,752 12,494

Cash EoP 21,752 12,494 8,024

Increase in working capital, impacted by the commercial launch of DHA ORIGINS®

Additional financing secured through i) €2.6m public aid (repayable advance, subject to revenue, from 2023), and ii) €0.4m loan from Bpifrance

€1.1m capital increase by use of the equity financing line signed with Kepler Cheuvreux