innovotech agm presentation april 19 2011
DESCRIPTION
TRANSCRIPT
© Innovotech, 2011
Annual General Meeting
19 April 2011Edmonton, Alberta
Innovotech Inc.
© Innovotech, 2011
Innovotech Inc
A G E N D A Welcome Formal Administrative Business Adjournment of AGM Business Update Q&A
© Innovotech, 2011
© Innovotech, 2011
www.innovotech.ca
Innovotech Inc.
Pursuing the Greatest Opportunity
in Microbiology Since Penicillin
Annual General Meeting 19 April 2011
© Innovotech, 2011
Forward Looking StatementsThis presentation contains forward-looking statements that are predictive in nature and subject to risks and uncertainties that cannot be predicted or quantified; consequently, actual results may differ materially from past results and those expressed or implied by any forward-looking statements. Forward-looking statements may include words such as “expects”, “plans”, “will”, “believes”, “estimates”, “intends”, “may”, and other words of similar meaning and may relate to future financial performance, business strategies, or safety and efficacy of unapproved products.
Factors that could cause or contribute to such risks or uncertainties include, but are not limited to: the regulatory environment including the difficulty of predicting regulatory outcomes; changes in the value of the Canadian dollar; the Company’s reliance on a small number of customers including government organizations; the demand for new products and the impact of competitive products, service and pricing; availability and cost of raw materials; fluctuations in operating results; government policies or actions; progress and cost of clinical trials; reliance on key strategic relationships; uncertainty related to intellectual property protection and potential costs associated with its defence; the Company’s exposure to lawsuits and other matters beyond the control of management.
© Innovotech, 2011
Detachment and reversion to planktonic growth
Opportunity Planktonic (free-floating)
Much knowledge All regulatory standards, disinfectants,
diagnostics and antibiotics 20% of the problem
Biofilm (community of organisms)Little knowledge
Few products 80% of the problem
FACT: 17 million patients (US) suffer from biofilm infectionsOf those patients, 550,000 die Cost to healthcare = $94 billion
© Innovotech, 2011
Opportunity
New hospital superbugs proving resistant to antibiotics
A new hospital superbug resistant to antibiotics has been brought into the country by patients returning home after surgery abroad. 13 Aug 2009
Health Authorities Link 12 Deaths to Contaminated Meat
Twelve deaths in Canada have now been linked to listeriosis, according to federal health officials who said Monday the deaths are among 26 confirmed cases of an outbreak across the country stemming from contaminated meat.Monday, Aug. 25, 2008
Florida Orange Acres Fall as Farmers Cut Sick TreesOrange-crop acreage in Florida, the world's second-biggest producer, fell to a 24-year low as growers removed trees to slow the spread of disease affecting citrus crops, the U.S Department of Agriculture said.Thursday, September 23, 2010
© Innovotech, 2011
Market Opportunity
One Platform Technology …
… Many Product Opportunities
Market PotentialCrop protection ($13B)
Antibiotics ($30B)
Medical Device Coat-ings ($5B)
Susceptibility Tests ($6B)
Food Safety Disin-fectant ($2B)
Other ($50B) eg. Pulp & Paper, Min-ing
© Innovotech, 2011
Product Pipeline
Research &
Development
Regulatory
Market Introduction
AgreGuard™ is a Silver technology for coating catheters; Sani Lux™ is a hard surface disinfectant
Phase of Development
bioFILM PA™Agress®Sani-Lux™Gram +/-ve testAgreGuard™
One Platform Technology – Many Product Opportunities
Product
$2B $6B total*$13B$5B*
Market Potential
Vet
© Innovotech, 2011
Path to Market - Healthcare
bioFILM PA™
•Sick Kids trial•U of Alberta CF clinic - Clinical & health economic evaluation
Product - bioFILM PA™ (Susceptibility test)
•LevPharm – Israel•Veterinary partner
•Health Canada Approval•Israel Reimbursement
•Veterinary – world•Israel•Human testing service•Alberta Health Service
•Worldwide partner?
Market Leaders Becton Dickinson BioMérieux Siemens Trek
Proof of Concept
Partner
Regulatory
Proof of Sales
Sales
© Innovotech, 2011
Path to Market - AgricultureProduct – Agress® (Crop Protection)
Seed Treatment Field Trials:•Efficacy, costing•Pulse, horticulture, potato
Syngenta:•Worldwide, US, Canada•Include in all products•Extends patent protection
Agress®
•EPA – pre-submission consult (Feb 2011)•TSG - managed more silver product registrations with EPA than any other consultant
Market Leaders Syngenta Monsanto Bayer Dow DuPont BASF
* Potential discontinuation of imported streptomycin-treated seed to enter Canada from the U.S. as early as 2012
Proof of Concept
Partner
Regulatory
Proof of Sales
© Innovotech, 2011
Agress® - Bean Blight Seed Treatment
Agress® Untreated Untreated
Naturally infested bean seed Untreated
Agress®
© Innovotech, 2011
Financial Highlights
Revenue for 2010 – $1.6M*R&D expenditures - $764,000*Net burn rate - $80,000/month*Cash - $767,000*
$4.5M raised since inception = 3 late stage productsShares outstanding – 24M*
Approx. 25% held by insidersOptions = 850,400, Warrants = 0*
Patents – 8 excl. license (UofCalgary), 15 IOT
* As of December 31, 2010
© Innovotech, 2011
Milestones
2011 2012 2013 2014 2015
-5
0
5
10
15
20
25
30
35
Contract ResearchbioFILM AgressEBITDA
EPA Application(Pulse, Horticulture, Potatoes)
- PMRA Application (Pulse)
- EPA Approval (Pulse, Horticulture, Potatoes)
- EPA Application (Foliar)
- EU Application (Pulse & Other)
- Sick Kids trial complete
- Hlth Canada approval for Gram +/-ve test
- Marketing partner
FDA approval for Gram +/-ve test; initiate trial
EU Approval Gram +/-ve test
Revenue (000,000)
© Innovotech, 2011
Summary
New hospital superbugs proving resistant to antibiotics
A new hospital superbug resistant to antibiotics has been brought into the country by patients returning home after surgery abroad. 13 Aug 2009
Health Authorities Link 12 Deaths to Contaminated Meat
Twelve deaths in Canada have now been linked to listeriosis, according to federal health officials who said Monday the deaths are among 26 confirmed cases of an outbreak across the country stemming from contaminated meat.Monday, Aug. 25, 2008
Florida Orange Acres Fall as Farmers Cut Sick TreesOrange-crop acreage in Florida, the world's second-biggest producer, fell to a 24-year low as growers removed trees to slow the spread of disease affecting citrus crops, the U.S Department of Agriculture said.Thursday, September 23, 2010
© Innovotech, 2011
Contact Information
Ken Boutilier, President Innovotech [email protected] Ph: 780-448-0585 ext 221Fax: 780-424-0941
© Innovotech, 2011
© Innovotech, 2011
People - Board Vice President Research, University of Alberta. Former-
Director, VIDO, University of Saskatchewan, a renowned vaccine development institute.
Former-Chairman, Foundation Equity Corporation, a successful technology venture capital firm.
Partner with Parlee McLaws LLP, specializing in intellectual property and technology development.
Executive in pharmaceutical manufacturing at Laporte PLC, Degussa GmbH and Rhodia Pharma Solutions. CEO of Raylo Chemicals.
Founding Partner, St Arnaud Pinsent, Steman a technology-focused chartered accounting firm. Former Director of Technology at Ernst and Young LLP.
Experience in the creation, management, and financing of knowledge-based companies. Former-Chair & CEO of Innovotech, Raylo Chemicals and Cytovax Biotechnologies.
Former CFO at Raylo Chemicals. Former Chairman of the Board at Ricon Resins Inc. Serial investor and board member in over 15 early-stage technology companies.
Lorne Babiuk, PhD
Kerry Brown , CA
Bruce Hirsche, LLMCorporate Secretary
Wolfgang Muhs, PhDChairman of the Board
John Pinsent , CA
Gerard Tertzakian, PhD
James Timourian, PhDChief Financial Officer
© Innovotech, 2011
People – Senior Management
Former senior manager at Glaxo SmithKline Inc, McKesson Canada and Canada Safeway Pharmacies Ltd with experience in operations and marketing spanning biotechnology, pharmaceutical manufacturing and distribution, and retail pharmacy.
World recognized biofilm expert. Experienced researcher and entrepreneur holding over 35 patents in medical and veterinary science and over 170 published papers. Inventor of the MBEC Assay™ and founder of MBEC Biofilm Technologies.
Former CFO at Raylo Chemicals. Former Chairman of the Board at Ricon Resins Inc. Serial investor and board member in over 15 early-stage technology companies.
Ken Boutilier, MBAPresident and CEO
Merle Olson, DVMResearch Director
Jim Timourian, PhDChief Financial Officer