OneMedForumSF 2012 Conference. January 10th

Transcription

1 OneMedForumSF 2012 Conference January 10th

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. 2

3 Future Today KOOL Strategic Overview Who we are: Enabling technology provider for the automation of adult cell processing, storage and administration (in the lab and at the point of care): Cell Sources Cell Products Indications Treated Cord blood Peripheral blood Bone marrow HSC BMC PRP Cord blood transplant Spinal fusion Non-union fractures Cardiac (pre-clinical) Cord blood Peripheral blood Bone marrow Cord tissue Adipose tissue HSC BMC PRP MSC ADSC ipsc Cord blood transplant Spinal fusion Non-union fractures Cardiac (pre-clinical) Orthopedic Critical Limb Ischemia PAD, CHF Neurological disorders Commercialization pathways for Growth: First - Existing products into new geographies and territories Second- Line extensions for new applications via existing distribution Third - New products for new applications 3

4 Major New Res-Q Distribution Deal Worldwide leader in sports medicine product development and educational services for orthopaedic surgeons. More than 5,000 products for arthroscopic and minimally invasive orthopaedic surgical procedures have been developed by Arthrex and are currently marketed worldwide Global 5 yr private label Res-Q PRP & BMC distribution agreement targeting sports medicine/ orthopaedic procedures Estimated worth up to $25M in new revenues over initial contract term Expect initial shipments in the second calendar quarter of &

5 Key Highlights Location: Rancho Cordova, California Incorporated: 1986 IPO: 1987 General 52 Wk High/Low $3.82/$0.71 as of 12/31/11 Total Employees: 76 9/30/11: $10.8M Financial No Debt $25.0 $20.0 $15.0 Total Revenues (FY) $21.9 ($ in millions) $19.8 $16.8 $12.0 $23.0 $23.4 $0 $2 $4 Net Loss (FY) ($2.5) 5 $10.0 $5.0 $ $6 $8 $10 ($6.1) ($6.8) ($ in millions) ($9.2) ($8.6) ($5.2)

6 Growth Opportunity Worldwide leader in cell processing and cryopreservation technology Multiple product opportunities: cord blood / tissue, bone marrow stem cells, adipose, etc. Positioned to capitalize from macro trends in regenerative medicine diversified surrogate play Strong Installed Base: Two of the world s leading cord blood banks as established customers: Cord Blood Registry New York Blood Center Entering breakout international markets Establishing foothold in Asia: China, India, and Southeast Asia China cord blood banking opportunity expected to exceed $200 million 1 Positioned for sales acceleration through worldwide distribution partnerships (1) Rodman & Renshaw China Cord Corp. initiation report February 18,

7 Cord Blood Regenerative Medicine The Worldwide Opportunity for Advanced Cell Processing - 31 cord blood banking companies in U.S. and 41 in EU 1 - ThermoGenesis addressable part of total CB market is 10-15% 2 Cord Blood Market by 2016 >$3B 3 Regenerative Stem Cell Market by 2018 >$8B 4 7 Cord Blood Market Today $500M Stem Cell Therapy Market Today $200M Over 3,000 in-patient trials ongoing in the U.S. with new indications forthcoming 4 (1) Rodman & Renshaw China Cord Corp initiation report February 18, 2010 (2) Company Estimate (3) Cord blood market opportunity assumes newborn population of 7 million in urban areas, $730 initiation fee, $73 annual storage fee, and average storage contract length of 18 years present value adjusted at 10% to $600; Opportunity for ThermoGenesis assumes 10% share of total market (4) Stem Cell Summit Executive Summary, Analysis and Market Forecasts; February 17, 2009

8 Cord Blood Products: AXP AutoXpress Our Solution for Scaling Automated Precision in Isolation and Capture Collect cord blood into bag set and load into AXP 1 Process up to 6 units of stem cells in centrifuge 2 Stem cell units ready for BioArchive 3 AXP Automated Closed System High speed processing ready in minutes for cryopreservation in BioArchive System High efficiency, GMP scalable processing 2-3 hours per sample Manual Processing 18-Steps to Isolate and Capture stem cells w/ sedimentation agents in a clean room High stem cell yield - typically 98% 1 VS. Low stem cell yield Approximately 75% 2 VS. VS. 8 (1) New York Blood Center (2) Bayer-Zwirello et al (Perinat Med, 2004)

9 Cord Blood Products: BioArchive System Stores cord blood stem cells in liquid -196 C Precision control for accuracy & quality - Only computer controlled freezing curve - Robotic and optical storage and retrieval High cell viability: - Eliminates transient warming events - 94% post-thaw cell viability when used in conjunction with AXP platform Large sample capacity 3,600+ 9

10 Cord Blood Stem Cells: Synergy with AXP & BA Cell Recovery Comparison-CD34+ cells AXP Automation Avg 97%, n=6826 BMT 44:635; Cytotherapy 11: % 100% 90% 90% 80% 80% 70% Manual Process 70% Avg=83%, n=181 60% 60% Cytotherapy 9:165 50% Manual Dewar Storage 50% 40% Avg 62%; n=10 40% Cryobiology 60:287 BA Storage Avg 93%; n=23 BMT 37:S310 30% 30% 20% 20% 10% 10% 0% 0% 93% CD34+ Cell Recovery 62% 10 Higher Cell Dose = Higher Patient Survival Rates

11 Bone Marrow Opportunity Our Solution to the Challenges of Manual Processing Private Label Disposable, Automated Point-of-Care Solution for Rapid and Easy Bone Marrow Processing Point-of-care product High MNC recovery (>85%) Simple and easy to use Fast processing time (<15 min) Flexible volume capacity 100% stem cell yield Closed sterile system Automated Closed (Sterile) System High MNC recovery (>85%) High RBC depletion (>90%) 6 unit simultaneous processing Laboratory product Product extension of AXP 11

12 Business Development Adjacency Analysis Complement organic growth efforts with business development for new and adjacent market opportunities Regenerative Medicine Landscape Other Tissue Adipose New Platform New Platform Partner Opportunity Cell Source Peripheral Blood Line Extensions Bone Marrow Line Extensions Partner Opportunity Cord Blood Line Extensions Collect Process Store Bag Sets Automated Systems Cell Factory Cryo- Preservation Workflow Expand/ Differentiate MSC-POC ADSC-POC MNC cell processing Delivery Catheters Scaffolds 12 ThermoGenesis Today Business Development Targets

13 Worldwide Distribution Footprint - Today Res-Q, MXP China, Hong Kong Res-Q, MXP India, Malaysia, Thailand Global Distribution 13 AXP, BioArchive China, India, Japan AXP, Res-Q Canada, US, 19 European Countries, 11 Other Countries Res-Q, MXP, AXP, BioArchive 14 Asian, 3 European & 5 African countries CEI Res-Q, MXP (orthopedic indications) US (exclusive) and ROW (nonexclusive) AXP, BioArchive, Res-Q, MXP 9 countries in Latin America for non-orthopedic indications BioArchive 8 European & 1 African country

14 Fiscal 2012 Milestones/Objectives 1. Grow top line; continue to improve bottom line results 2. Achieve registration for cord blood/bone marrow products in China and other markets 3. Grow market share in U.S./European cord blood markets; continue penetration of new markets 4. Replicate Arthrex deal (line extensions) 5. Advance new product/business development initiatives 6. Complete current clinical evaluations 14

15 Major New Res-Q Distribution Deal Worldwide leader in sports medicine product development and educational services for orthopaedic surgeons. More than 5,000 products for arthroscopic and minimally invasive orthopaedic surgical procedures have been developed by Arthrex and are currently marketed worldwide Global 5 yr private label Res-Q PRP & BMC distribution agreement targeting sports medicine/ orthopaedic procedures Estimated worth up to $25M in new revenues over initial contract term Expect initial shipments in the second calendar quarter of &