Aqua Pharmaceuticals, LLC

Corporate Presentation

June 2011

AQUA PHARMACEUTICALS, LLC 1

Company Overview

Specialty dermatology pharmaceutical company currently focusing on acquiring, developing and marketing prescription medical dermatology products Founded in 2004

Focus on under or non-promoted, branded dermatology drugs in US Market

Commercial infrastructure with track record of success

Stable and growing base business with high margins and strong cash flows

Sales coverage in all major, high-value targets

RoundTable made a controlling investment in June 2010

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Strength in Management

Jay Gooding, Co-Founder, Chief Executive Officer

26 years in Dermatology

Stiefel Laboratories – Sales, Training & Management

Healthpoint – Manager of Marketing & Product Development

Bioglan – Vice President of Marketing & Managed Care, Officer

Craig Ballaron, Co-Founder, President, Treasurer and Secretary

26 years in Senior Management

Ultra Precision – President

Bioglan - Senior Vice President, Sales & Finance / CFO

David H. Crean, Vice President, Corporate Development

18 Years in Specialty Pharmaceuticals

Allergan, Inc. – Business Development for Dermatology, Neurology and Ophthalmology

Allergan, Inc. – Project and Portfolio Management, Research & Development

Ted W. White, Vice-President, Sales

+19 Years in Sales & Marketing Leadership

Novartis – Managing Director – Primary Care, US Group Practice, Cardiovascular

Skip Williams, Vice-President, Product Development

19 Years in Specialty Pharmaceuticals

Watson Pharmaceuticals – Business Development – Nephrology, Dermatology, Biologics

Accenture, System Software Associates, and Lexis-Nexis

Kimberley Forbes-McKean, Vice-President, Research & Development

+20 Years in Specialty Pharmaceuticals

Dermik / Sanofi-Aventis- Global Development

Cutanea Life Sciences and Isolagen, Inc.- CSO/ CTO, Development

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RoundTable provides the experience, know how and capital to consummate a transaction

Invested over $250 million in capital over the past year

$1.9 billion in private equity buyout funds

• Fund I - $400 million private equity buyout fund raised in March 2002

• Fund II - $500 million private equity buyout fund raised in March 2005

• Capital Fund - $200 million subordinated debt investment fund raised in July 2006

• Fund III - $600 million private equity buyout fund raised in July 2010

• Capital Fund II - $200 million subordinated debt investment fund raised in July 2010

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RoundTable Healthcare Partners

Dermatology Sector

• Dermatology represents one of the largest global markets for healthcare

– $14B+ market (2009) with 5% CAGR

– Highly diverse sector with overlapping segments (therapeutic, aesthetic, skin care)

• Market served by multiple, global, US and EU players of varying sizes, with some recent consolidation

– Big pharma- Sanofi, J&J, GSK, Roche, Bayer

– Large specialty- Nycomed, Galderma, Valeant, Allergan, Medicis

– Independents- Graceway, Obagi, SkinMedica, Triax, many others

• Fragmented nature of market comprised of numerous dispersed specialty pharmaceuticals presenting attractive consolidation opportunity

– Significant potential to exploit synergies acrss products, distribution, sales and marketing infrastructures

– Historically not a focus area for large pharma due to sub threshold blockbuster indications (i.e., low hanging fruit)

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……….Supported by Macro and Clinical Growth Drivers

• Widespread need with 1 out of every 3 people suffering from a dermatologic condition

• Increasing demand from aging populations treating accumulated dermatological conditions and co-morbidities

• Overlapping drug development opportunities across other therapeutic categories

• Major physician preference driven by life cycle management, product bundling, repeat aesthetic procedures

• Aesthetics resilience to macro economic trends: out of pocket payments, not subject to Medicare/ Healthcare reform

Growth Drivers

Attractive Macro Characteristics

Source: 2011 BMO Capital Markets

Fragmented Market in U.S.

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2010 IMS Health, Dermatology All Topical, Tetracycline Antibiotics , Isotretinoins

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US Dermatology Top 30 Players

Aqua has leading branded prescription drugs in four therapeutic

categories including acne, steroid-responsive dermatoses,

seborrheic dermatitis and actinic keratosis

Acne market represents largest segment of overall dermatology market

• Sales of prescription and over-the-counter acne medications generate

approximately $5 billion annually

• 15-20% of all consultations in dermatology related to acne

Topical corticosteroid market is estimated at $500+ million

• Indications include atopic dermatitis, contact dermatitis and psoriasis

Seborrheic dermatitis market

• Affects 1-3% of the immunocompetent adults

• 1.3MM uses in 2010 (OTC, Rx)

AK market (actinic keratoses) pre-cancer skin condition: estimated 10

million people affected in the U.S.

• Estimated that 10% of AK advances to a cancerous state

• Favorable market dynamics with aging population

Dermatology Segments

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Marketed Products

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Acne

Steroid-responsive

Dermatoses

Actinic

Keratoses

Addressable Market Product

Seborrheic

dermatitis

Monodox

Active

Doxycycline,

Oral

Cordran Flurandrenolide,

topical

Ketoconazole,

topical

Xolegel

5-Fluorouracil,

topical

Fluoroplex

Corporate Growth Strategy

Value creation is fueled through three-pronged approach

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Organic Growth

Product Development

Corporate & Business Development

• Maximize Current Products Growth and Profit

• Acquire Companies and new products to expand product mix and core competencies

• Facilitate long term growth through R&D Pipeline and Product Development

Gro

win

g o

rgan

izat

ion

al

cap

abili

tie

s

Positioned for Future Growth

Key Success Factors: Strategy, People and Execution

What’s in our Sweet Spot?

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• Dermatology assets for North America (US & Canada)

Therapeutic, Aesthetic, Physician Dispensed, OTC

• No DESI products

• Brands, not generics

• Marketed assets with revenue and development stage assets for

longer term growth

• Open to Corporate M&A to add greater capabilities

• drug (505(b)(1), 505(b)(2) or device (PMA, 510K)

• Assets with patents or market/ regulatory exclusivity

Aqua is looking for assets to add to its existing portfolio

• Avoid capital equipment or “box plug-in” technology

For corporate and business development opportunities, please contact:

David H. Crean

VP, Corporate Development

Aqua Pharmaceuticals, LLC

158 West Gay Street

Suite 310

West Chester, PA 19380

610-644-7000

www.aquapharm.com

davidcrean@aquapharm.com

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