Company Presentation June 2011 0
Disclaimer This document contains forward-looking statements on overall economic development as well as on the business, earnings, financial and asset situation of and its subsidiaries. These statements are based on current plans, estimates, forecasts and expectations of the company and thus are subject to risks and elements of uncertainty that could result in deviation of actual developments from expected developments. The forward-looking statements are only valid at the time of publication. Biotest does not intend to update the forward-looking statements and assumes no obligation to do so. Company Presentation June 2011 1
Big Success for Biotest's Biotherapeutics: Biotest and Abbott signed a "Licence, Development and Commercialization Agreement" to ensure the further development as well as later on production and worldwide marketing and sales of BT-061 Company Presentation June 2011 2
Biotest and Abbott Global Agreement towards BT-061 Biotest receives upfront payment of USD 85 million Biotest will be eligible to milestone payments pending completion of certain development, regulatory, commercial and sales milestones Total Potential Milestone Payments USD 395 million Total Deal Value: USD 480 million Biotest will receive royalty payments on net sales achieved outside Europe EU5 1) For Europe EU5 cost/profit split agreed Partnership Structure Joint development by Biotest and Abbott Biotest to co-promote BT-061 in Germany, France, United Kingdom, Italy, Spain Abbott will have exclusive global rights to commercialize BT-061 outside the EU5 Biotest Pharmaceuticals Corp. to manufacture product for clinical trials Abbott and Biotest will share responsibility for commercial production 1) Germany, France, United Kingdom, Italy, Spain Company Presentation June 2011 3
BT-061: Compound Specifics and Development Status Monoclonal antibody that activates regulatory T cells Humanization by CDR grafting Non-depleting Species specificity: binds only to a special epitope on human CD4 No activation of effector T cells Promising i efficacy and safety data of phase II clinical i l trials in Rheumatoid Arthritis (RA) and Psoriasis (PS) Phase II b trial in RA ongoing Company Presentation June 2011 4
BT-061 Has the Potential ti to Medically Differentiate t via Efficacy and Safety Good safety profile after treatment t t of approx. 350 subjects Efficacy observed in clinical trials compares favourable to approved drugs Company Presentation June 2011 5
Unique Mode of Action of BT-061: Comparison to Conventional CD4 mabs conventional anti-cd4 mabs BT-061 depleting (e.g. HuMax-CD4*) non-depleting Depletion ADCC CDC - - + +/- - - Blockade of CD4 function required - - + Activation of Tregs Activation of T helper cells + - - - - - Doses required for clinical efficacy (iv) high efficacy already at 100-2000 fold lower doses (0.5-2.5 mg iv) 50-500 mg iv 100-1000 mg iv *) Strand et al. 2007 and cited therein Efficacy not sufficient for clinical success in autoimmune disease Company Presentation June 2011 6
Market Environment in Rheumatoid Arthritis and Psoriasis Company Presentation June 2011 7
Rheumatoid Arthritis Market: 1 Continuous Growth until 2014 Driven by Biologics (bn US $) Marke et volume TNF inhibitors Non-TNF (Biologics & NCE) Others 12 10 CAGR: 4.7% 8 6 4 2 0 1 = MM7; 7 major markets 2009 2014 Source: Decision Resources 2011 NCE: new chemical entities Company Presentation June 2011 8
Largest Products in RA in 2010 in MM7 1 (bn US $) Enbrel ENBREL (Wyeth/Pfizer) (Pfizer/Amgen) Remicade REMICADE (Centocor/J&J) (Centocor/J&J/MSD) Humira HUMIRA (Abbott) (Abbott/Eisai) Orencia ORENCIA (BMS) (BMS) Rituxan MABthera (Roche) (Roche) RITUXAN (Genentech/Biogen Idec) 0.5 06 0.6 3.1 Abbott one of the major players 2.0 1.6 1 = MM7; 7 Major Markets Source: Decision Resources 2011 Company Presentation June 2011 9
Rheumatoid Arthritis Product Sales Forecast for MM7 1 Patent Expiries after 2014 Generates Pressure on anti-tnfs (bn US $) Market volume 2 TNF inhibitors Non-TNF (Biologics & NCE) Others 14 12 10 8 6 4 2 0 Patent expiries from 2014 onwards Price pressure from Biosimilars expected 1 = MM7; 7 Major Markets 2 = NCE: new chemical entities Source: Decision Resources 2011 Company Presentation June 2011 10
Rheumatoid Arthritis Product Sales Forecast for MM7 1 Innovative Products Needed in Rheumatoid Arthritis (bn US $) Market volume 2 TNF inhibitors Non-TNF (Biologics & NCE) Others 14 12 10 8 6 Patent expiries from 2014 onwards Price pressure from Biosimilars expected 4 High level of importance of new innovative products: 2 meet remaining i medical need keep high price on the basis 0 of medical differentiation Company Presentation June 2011 1 = MM7; 7 Major Markets 2 = NCE: new chemical entities Source: Decision Resources 2011 11
Competitive Environment Many candidates stopped within last two years due to lack of clear differentiation Pipeline dominated by "me too" candidates Only few innovative products in development, but required to further improve patient safety and efficacy BT-061 (Biotest) Actemra Rituxan Orencia Kinase Inhibitors IL-17 Inhibitors IL-6 Inhibitors B-cell Inhibitors T cell Inhibitors GAP only few candidates in late-stage clinical development Golimumab (Centocor/J&J) TNF- Cimzia Inhibitors (UCB) Humira (Abbott) Remicade (Centocor/J&J) Enbrel (Wyeth/Pfizer) Pre-clinical Development stage Phase I Phase II Phase III Filed Approved Company Presentation June 2011 12
Biotest's Biotherapeutics portfolio BT-061 BT-062 BT-063 Activated Tregs mediate modulation of T effector cells Tumor-activated payload (TAP) technology Blockage of immunoregulatory cytokine with key role in pathogenesis of SLE Potential Indications Rheumatoid Arthritis Psoriasis i Other autoimmune diseases Potential Indications Multiple Myeloma Solid tumors Potential Indications Systemic Lupus Erythematosus t (SLE) Oncology Company Presentation June 2011 13
Biotest : Future corporate structure Plasma Proteins Biotherapeutics Medical Diagnostics Microbiological Monitoring i -Immunoglobu- lines - Hyper-immunoglobulines - Clotting Factors - Albumin Plasma Proteins Monoclonal Antibodies ("mab"): - BT-061 - BT-062 - BT-063 Sold to Bio-Rad Sold to Merck KGaA Focus on Pharma Biotest will be a specialized pharmaceutical company with focus on Plasma Proteins and Biotherapeutics Company Presentation June 2011 14
Biotest: a specialized pharmaceutical company Pharmaceuticals Divisions Plasma Proteins Extension into: USA Spain Brazil new indications new products Sales*: 412.5 m R&D*: - 27.9 m EBIT*: 73.4 m Biotherapeutics Clinical Development ongoing Production at BPC New patents License Agreement Sales*: 0.0 m R&D*: - 21.1 m EBIT*: - 21.7 m * FY 2010 Company Presentation June 2011 15
Thank you for your attention! Company Presentation June 2011 16
Contact Investor Relations : Dr. Monika Buttkereit Head of Investor Relations Phone: +49 (0) 6103-801 -4406 Fax: +49 (0) 6103-801 -347 E-Mail: investor_relations@biotest.de Company Presentation June 2011 17