ThermoGenesis Corp. May 2012

Transcription

1 ThermoGenesis Corp. May 2012

2 Safe Harbor Certain matters discussed in this presentation are "forward-looking statements." These forward-looking statements can generally be identified as by the context of the statement that includes words such as the Company "expects," "anticipates" or words of similar import. Similarly, statements that describe the Company's future plans, initiatives, milestones, objectives or goals are also forward-looking statements. Such forward-looking statements are subject to certain risks and uncertainties, including the financial performance of the Company and market valuations of its stock, which could cause actual results to differ materially from those currently anticipated, and other risks outlined from time-to-time in our reports filed with the Securities and Exchange Commission. Although the Company believes the expectations reflected in any forward-looking statements are based on reasonable assumptions, the Company can give no assurance that its expectations will be attained, or that risk factors listed will not affect those results or expectations in the future. Shareholders, potential investors and other readers are urged to consider these factors carefully in evaluating any forward-looking statements. Forwardlooking statements made in this presentation are only made as of the date of this presentation and the Company undertakes no obligation to publicly update such forwardlooking statements to reflect subsequent events or circumstances

3 ThermoGenesis Overview We design and commercialize devices and disposable tools for the processing, storage and administration of cell therapies A worldwide leader in cell processing and cryopreservation technology with a strong installed base currently generating $18M in annual revenue Our Products: (AXP) Automated, closed system for the separation of stem cells from cord blood BioArchive Automated cord blood cryopreservation system (MXP ) Lab-based, closed system for the separation of stem cells from bone marrow Point-of-Care, closed system for the separation of stem cells from bone marrow and production of PRP from whole blood Disposable cord blood processing bag set Our Partners: - 3 -

4 Key Highlights Strong installed base currently generating $18M in annual recurring revenue Cord Blood Registry (largest family bank); New York Cord Blood Bank (largest public bank) 35+ cord blood banks (globally) process stem cells using our AXP System 100+ cord blood banks store stem cells in our BioArchive System (more than 200 placed worldwide) Recent selection of BioArchive by Canadian Blood Services for new public cord blood bank 4,000+ bone marrow procedures performed annually using our technologies Management realignment to focus on core capabilities Reduced annual operating expenses by 15%, or $2M (January 2012) Divest wound care business expected to generate $2M in cash, to be completed 2012 Continued reduction of operating expenses related to non-core businesses Outsource manufacturing Lower cost, high quality Strategic realignment to parlay expertise into therapeutic delivery Partner to embed TG technologies into FDA approved biotherapeutics at point-of-care and in Cell Factory applications Pursue FDA approved biotherapeutics in Cardiac; CLI and Orthopedics Expand direct service and sales capabilities - 4 -

5 New Geographies Business Model three dimensional growth Well positioned for organic and strategic growth Geographic Growth - Establishing foothold in Asia: New Products: Recent approval of AXP in India, BioArchive in China & Taiwan Arthrex for Res-Q 60 PRP & China & Southeast Asia cord blood banking automation business to BMC commence following regulatory approval (expected 2012) Collection disposables Adipose & Cord tissue ClinicalData: Favorable data from two Res-Q clinical evaluations (CLI/long bone fracture) Strategic Alliances: Near-term therapeutic/poc strategic alliances targeting cardiac and orthopedics 2-D Growth Potential New products - 5 -

6 TG s Addressable Market by Phase $B s Tools embedded in approved therapeutics (TG owns BLA) Tools embedded in approved therapeutics (Partner owns BLA) $500M Tools with On-Label Indications (510k s) $100M $50M Tools Provider

7 Cord Blood Stem Cell Opportunity Our Solution for Scaling Automated Manufacturing Process Highest cell yield Turnkey scalable Closed Systems Faster Market Metrics: AutoXpress Market Metrics: BioArchive Market size: $30M Current revenues: $6-7M/year Attributes: Highly scalable -6 units in 30 mins High TNC & MNC cell recovery Milestones: Market share gains China registration Leverage installed base Market size: $20M Current revenues: $6-7M/year* Attributes: Eliminates transient warming events - Computer controlled freezing curve - Robotic and optical storage and retrieval Large sample capacity 3,600+ Milestones: Exploring market adjacencies * Incl. $3M in manual disps

8 Near-Term Cord Blood Growth Catalysts Achieve registration approvals in China for AXP/BioArchive/Res-Q; initiate commercial sales Aggressively grow share in cord blood: Convert manual processing banks to automated systems Lead China and India conversion from manual to automated Cord Blood Processing Market Today ($30M) 1 Other Manual 36% Other Auto 30% 34% of Market KOOL 34% Cord Blood Processing Market in 2015 ($33M) 1 Replace competitive automated systems Be positioned for U.S. and European market rebounds when economy recovers Other Auto 27% Other Manual 21% KOOL 52% 1 ThermoGenesis Estimate % of Market

9 Bone Marrow Stem Cell & PRP Opportunity Our Solution to the Challenges of Manual Processing Highest cell yield Turnkey scalable Closed Systems Faster Market Metrics: Today 2016 Market size: $200M $1.6B* Current revenues: $1-2M/year Attributes: Res-Q BMC/PRP Point-of-care product High MNC cell recovery Flexible volume capacity Milestones: Q3 Arthrex ramp up (BMC/PRP) Market share gains China registration Market Metrics: Today 2016 Market size: <$10M $1.6B* Current revenues: $.5M/year Attributes: MarrowXpress Highly scalable -6 units in 30 mins High TNC & MNC cell recovery Milestones: Market share gains Cell factory applications (strategic Alliances) * Robin R Young NY Stem Cell Summit 2012

10 Near & Mid-Term BMC Growth Opportunity TG s addressable market for top 5 indications Stem Cell Revenue in $M $800 $700 $600 $500 $400 $300 $200 $100 Cardiac CLI Cartilage Repair Spinal procedures Cord Blood Leverage base platforms in bone marrow and PRP into new indications/new markets, including spine, cartilage and cardiovascular Develop new platform applications, such as cord tissue and adipose tissue as new, less invasive cell sources are adopted Explore applications in cell collection, expansion and delivery $ TG s % of addressable market is ~15% today We expect to double our % market share by

11 Business Development Opportunity Matrix Complement organic growth efforts with business development for new and adjacent market opportunities Other Tissue Adipose Cell Source Peripheral Blood Bone Marrow Cord Blood Collect Process Store Expand Deliver Regenerative Medicine Delivery Continuum ThermoGenesis Today Business Development Targets

12 Milestones New BD initiatives launched (2012) $2M Wound Care business divestiture (2012) Continued base business organizational optimization Ramp up of China & SE Asia cord blood business (2012) Ramp up of Arthrex BMC and PRP business (2012)

13 Management Team Matthew Plavan, CEO/CFO, Board Member CFO since 2005; COO, Prior experience includes McKesson/Ernst & Young Hal Baker, VP, Commercial Operations & Marketing Joined company in 2009 as VP, Sales Prior experience includes Pall/Gambro Healthcare Ken Pappa, VP, Quality, Engineering & Operations Joined company in 2006 and has held several management positions, most recently VP, Operations & Engineering Prior experience with Hewlett-Packard/Agilent Technologies Kevin Cooksy, VP, Corporate Development, Scientific Affairs & Regulatory Joined as Vice President of Corporate Development in 2011 Prior experience includes Agilent Technologies/Nektar Therapeutics

14 Key Highlights Strong installed base currently generating $18M in annual recurring revenue Cord Blood Registry (largest family bank); New York Cord Blood Bank (largest public bank) 35+ cord blood banks (globally) process stem cells using our AXP System 100+ cord blood banks store stem cells in our BioArchive System (more than 200 placed worldwide) Recent selection of BioArchive by Canadian Blood Services for new public cord blood bank 4,000+ bone marrow procedures performed annually using our technologies Management realignment to focus on core capabilities Reduced annual operating expenses by 15%, or $2M (January 2012) Divest wound care business expected to generate $2M in cash, to be completed 2012 Continued reduction of operating expenses related to non-core businesses Outsource manufacturing Lower cost, high quality Strategic realignment to parlay expertise into therapeutic delivery Partner to embed TG technologies into FDA approved biotherapeutics at point-of-care and in Cell Factory applications Pursue FDA approved biotherapeutics in Cardiac; CLI and Orthopedics Expand direct service and sales capabilities

15 Thank You