Presented at: Jefferies 2015 Global Healthcare Conference
Agenda 1 Overview & Service Platforms 2 Adaptability, Scalability & Expansion Plans 3 Best Practices 4 Blue Chip Customer Base 5 Roadmap of Evolution 6 Strategic Alliances & Growth Plan 7 Value Proposition Putting Science to Work 2
Introduction India s Largest CRO Integrated Discovery, Development & Manufacturing Platform Small & Large Molecules, ADCs, Oligonucleotides Shareholding Pattern Listed on NSE & BSE Market Cap: ~ USD 1 Bn India s 1 st Listed CRO Global Clientele Servicing 221+ clients globally Clients across Pharma, Biotech, Speciality Chemicals, Cosmetics etc. 3
A View of the Site End-to-end discovery and development from a single site 4
Who We Are Today: A Global High Growth CRO Company 21+ years of unparalleled experience Strong Growth and Profitability Discovery & Development, Clinical development and manufacturing services for small molecules & biologics Focus on novel molecular entities 2,200+ highly experienced multi-disciplinary scientific team Quality driven organization with excellent track record World-class R&D and manufacturing infrastructure spread over 900,000 sq. ft. Impeccable track record in confidentiality & intellectual property since inception Customized and adaptive models 143 117 101 87 70 48 22 29 31 37 FY 2011 FY 2012 FY 2013 FY 2014 FY 2015 Revenue (USD Mn) EBITDA (USD Mn) 5
Established Integrated Service Platforms Discovery Chemistry Development Drug Substance Development Manufacturing Clinical Supplies Small Molecules Large Molecules Biology Integrated drug discovery Therapeutic Antibody Discovery & Engineering; Cell Line Development Drug Product Development Integrated Drug Substance Drug Product Clinical Services (India) Allied Services Specialty Molecules Commercial Supplies Bioprocess Development Process Characterisation Clinical Manufacturing (Microbial & Mammalian) Wide Spectrum of Services Across a Range of Molecules Including Antibody-Drug Conjugates and Oligonucleotides 6
End-to-End Integrated Capabilities Providing Clients With Multiple Entry Points Discovery Development Commercialisation Target Identification Target Validation Lead Generation Target Optimisation Lead Selection Preclinical Animal Safety Ph I Clinical Ph II API and Drug product Development Ph III Drug filing with FDA & other global regulatory authorities Product launch Manufacture Marketing/ Phase IV Syngene offers an integrated Service Platform for both small and large molecules 7
Adaptability & Scalability Proven Track Records 1 FTE 400 + FTEs Lab scale supplies Clinical supplies of NCEs /biologics Adequate scale & capacity Start-up / virtual companies Dedicated areas to customers Customized project management support Global pharma/ biotech companies Dedicated Centres-of-Excellence Establishing Governance Model for strategic collaborations Track record of Customer retention Operational efficiencies Centralized project management team Start small track record to think big and deliver big 8
Expansion Plans # Capex Investment Area Key Highlight Operational by Discovery, Development & Associated GMP Operations 1 Syngene Research Centre State-of-the art R&D centre supporting integrated programs 1H 2016 2 Formulation Centre Late Stage & Commercial Manufacturing 3 Commercial chemical API Manufacturing 4 Biologics Manufacturing Other Services & New Capabilities OSD, Parenteral, liquid oral & semi solid formulations (Development & early clinical) Commercial manufacturing of NCEs & advanced intermediates Commercial-scale manufacturing for antibodies & other mammalian culture products 2H 2016 1H 2017 1H 2017 5 New capabilities Oligonucleotide facility, ADC facility, viral testing lab Staggered Investments to be funded by Internal Accruals 9 Investment of up to $200 Mn in our facilities over FY16 to FY18
Syngene Research Centre Building State-of-the art R&D centre Supporting increasing demands providing integrated discovery & development programs Operational in 1H 2016 10
Best Practices R&D and Manufacturing Infrastructure Conform with international accreditations Focus on Quality Quality certified processes and instruments Intellectual Property Protection Strong IP and confidentiality procedures Global Standards Scientist Talent Ability to attract global scientist talent 11
World-class R&D & Manufacturing Facilities Over 900,000 sq. ft. of labs and manufacturing facilities USD 165 Mn (1) total tangible fixed assets (gross block) Key accreditations USFDA audited EMA audited End-to-end discovery and development services on a single platform OHSAS 8001 ISO 14001 Operate to standards that are consistent with large global clients Successful audits by global regulators Intention to evolve from a CRO into a CRAMS GLP Certificate ISO 15189 AAALAC Accredited Infrastructure Qualified to Meet International Standards 12 (1) As of September 30, 2015
Talented and Qualified Pool of Scientists Densest cluster of scientists in the country 85% of scientists with a Masters/Doctorate in Science Global talent - significant no. of senior management is US/ EU trained Others 15% Ph.Ds. 11% Recruitment from top International and Indian research institutions High retention rate HR management philosophy - hire-train-retain 2,153 (1) scientists Master's Degree 74% Highly Experienced and Qualified Team of Scientists has Helped Syngene Create a Competitive Edge over its Peers 13 (1) As of September 30, 2015
Attractive Blue Chip Customer Base Highly successful track-record in molecule development Client base includes 8 of the top 10 global pharma company by 2014 sales (1) 8 of our top 10 clients have been associated for more than 5 years illustrating their longstanding and extensive relationship Services to 221 Clients (FY15) across diverse sectors Pharma Biotech Nutrition 71% of FY15 revenue from top 10 customers compared to 79% in FY2012 14 (1) Top 10 pharmaceuticals companies are by sales for 2014 as per IMS Health Midas, December 2014. Animal Health Specialty Chemicals Agro Chemicals
Flexible Business Model to Serve a Wide Client Base Extend Expand Engage Component plays Cluster plays Full Time Equivalent (FTE) + Fee For Service (FFS) Integrated play Dedicated play Dedicated Centers 15
Dedicated Centres Largest R&D Centre in Asia for BMS (2009). Contract extended till 2020. Dedicated centre of research excellence with world class facilities. Over 400 scientists supporting Novel Molecule research in small and large molecules. Produced nine drug candidates for further study and advanced new compounds for first-in-human studies. Dedicated research centre in India for Baxter (2013). State of the art facility supporting R&D of medical products and devices worldwide. Engages a multidisciplinary team of c.150 scientists. R&D activities centred on product and analytical development, preclinical evaluation in parenteral nutrition and renal therapy. Abbott Nutrition s 1st R&D centre in India set up in collaboration with Syngene (2012). Dedicated research centre supporting development of affordable, nutrition products. c.30 multi-disciplinary scientists engaged in product development lifecycle. Focus on maternal, pediatric, neo-natal nutrition and diabetes care in line with emerging market needs. 16
Strong Track Record Of Topline Growth Growth driven by increase in sales from existing clients and acquisition of new clients Total Revenue (USD Mn) 143 Engage, expand and extend strategy to extend client relationship over a longer period of time 70 87 101 117 78 Growth in total number of clients Increase in average revenue from largest clients Increase in number of services offered to clients FY 2011 FY 2012 FY 2013 FY 2014 FY 2015 H1 FY 2016 17
Value Proposition Putting Science to Work World class infrastructure and systems Quality systems global compliance Strong scientific team Global mindset and standards Data protection & confidentiality IP assured and client owned Affordable Innovation 18
THANK YOU www.syngeneintl.com