Corporate Overview - BHI Sciences · Global Leaders (Class of 2019) Klara Doert President, Business...

For Prospective Professional Investors/Qualified Investors only – Proprietary & Confidential

0

Corporate Overview

November 2019

1 For Prospective Professional Investors/Qualified Investors only – Proprietary & Confidential

Private Company Disclosure

This Confidential Investor Presentation (the ‘Presentation Is being delivered to a select number of parties who have expressed an interest in

pursuing a business or financial relationship with Blue Horizon International AG. Nothing contained within this Presentation alone is an offer

to buy or sell securities or an offering of any product, service or fund. An offer to buy or sell securities will only be accompanied by appropriate

documents including, but not limited to, a private placement memorandum or Offering Circular which will contain, among other things, a

listing of possible risk factors associated with the securities being offered. All representations and warranties are hereby disclaimed. The

Information contained in this presentation is intended for general Informational purposes only and is not Intended to be information sufficient

for the making of a business or investment decision. While reasonable efforts have been made to ensure that the information contained in this

Presentation has been obtained from sources deemed to be reliable, Blue Horizon International AG does not guaranty that the information

contained herein is accurate or complete and is not responsible for any errors or omissions, or for the results obtained from the use of this

information. All information in this Presentation is provided “as is” with no guarantee of completeness, accuracy, timeliness or of the results

obtained from the use of this Information, and without warranty or representation of any kind, statutory, express, or implied, oral or written. In

no event will Blue Horizon International AG, its related entities, or its members, partners, agents or employees be liable to you or anyone else

for any decision made or action taken in reliance on the information in this Presentation alone or for any consequential, special or similar

damages, even if advised of the possibility of such damages. You should conduct your own due diligence with respect to any and all information

related to this document and the offering in the private placement memorandum or Offering Circular and are not entitled to rely solely on the

information in this Presentation. Further, Blue Horizon International AG is under no obligation to update the material or information

presented herein even if they later become aware that such information or material is no longer accurate or true. Any recipient of this

Presentation assumes all risk in, and Blue Horizon International AG will not be liable for any damages arising out of, use of information

including. without limitation, business decisions made or inferences drawn by anyone in reliance on the Presentation at the fact of the disclosure

of the information. All communications or inquiries relating to Blue Horizon International AG should be directed to Brian Mehling at 866-263-

2479 or by email to [email protected].


Table of Contents

1. Corporate Overview

2. Markets & Opportunities

3. Safety & Research

Information

4. BHI Charitable

Foundation & Patient

Testimonials

5. US Affiliate Company,

BHI Therapeutic

Sciences

Introduction to BHI and Dr. Brian Mehling

Outline of the opportunities for stem cell treatment and medical truism

Walkthrough of several BHI conducted studies that provide information on the safety and therapeutic effects of stem cell treatments on patients

Overview of BHI’s expansion into the US Market

Insight into multiple success stories from patients of BHI’s procedures and the company’s ongoing efforts to bring affordable stem cell treatments to the broader public


Corporate Overview

Introduction to BHI and Dr. Brian Mehling

1. Corporate Overview


Blue Horizon: Corporate Overview

Blue Horizon

International AG

was formed in 2017

to monetize stem

cell technology

and associated

regenerative medicine

Blue Horizon is focused on using stem cells to treat a wide

range of diseases and to provide health benefits without the

use of drugs or surgery.

The company has an established manufacturing process for

the necessary supply of stem cells and understands the

treatment procedures via its clinical practices.


Founder Dr. Brian Mehling MD, MS

Dr. Brian Mehling, MD, MS

Founder & Chief Medical Officer

Brian Mehling, M.D., M.S. is the founder and chief medical officer of Blue Horizon International

(BHI). He is a practicing American orthopedic trauma surgeon, researcher, and philanthropist.

Dr. Mehling started his path in medicine through undergraduate study at Harvard University,

obtaining his Bachelor of Arts and Master of Science degrees in Biochemistry from Ohio State

University. Completing his degree of medicine at Wright State University School of Medicine, Dr.

Mehling received post graduate education through residencies and fellowships at St. Joseph’s

Hospital in Paterson, NJ and the Graduate Hospital in Philadelphia, PA, while pursuing a Ph.D. in

Chemistry.

Educational Background

Dr. Mehling has traveled extensively throughout Asia and the Middle East observing firsthand the

differences in healthcare standards. Identifying the need for a universal high quality standard, he

founded Blue Horizon International.

Global Perspective

Dr. Mehling founded the Blue Horizon Charitable Foundation, which was with the mission to assist

in and finance the advancement of all aspects of stem cell therapies and cellular regenerative

medicine and research in full regulatory conformance, in conjunction with the scientific community.

The foundation will also support and provide charitable therapies to those suffering from

degenerative diseases and debilitating conditions.

He and his colleagues have successfully treated and monitored more than 600 patients using stem cell

and regenerative therapies. Patients have been treated for a wide range of diseases and disorders

including spinal cord injury and cerebral palsy.

Stem Cell Pioneer

Charitable Founder


Founder, Chief Medical Officer, MD, MS

Internationally known, board-certified orthopedic

trauma surgeon

Operates own practice, Mehling Orthopedics, in West

Islip, NY and Hackensack, NJ

Undergone 30+ stem cell therapies himself in the last

7 years

Harvard University undergraduate

Chief Executive Officer

23 years of experience in healthcare management

Served as Senior Vice President of Operations at

Hackensack University Medical Center

Registered nurse with a Masters of Science degree in

Health Administration

Chief Financial Officer

Over 30 years of experience in accounting and finance

Spent 16 years as a CFO

Chief Science Officer, MD, PhD

Professor at Wuhan University School of Basic Medical

Science

Chu Tian Scholar

Leading expert in stem cell mechanics

Focus on designing clinical trials using stem cells to treat

spinal cord injury

Director of Cultural Relations

Guides Blue Horizon’s community and stakeholder

relationships

Serves as chairman of the unaffiliated not-for-profit

company, Blue Horizon Charitable Foundation

Clinical Research Scientist

Doctor of Philosophy (PhD) in Biological Sciences

Postdoctoral education at the Institute of Human Genetics,

University Hospital Jena, Germany

Fifteen years of experience in biomedical research, five years

of experience in clinical research

Author of over 40 research papers in peer-reviewed journals

Dr. Brian Mehling Dr. Dongcheng Wu

Doreen Santora

Eddie Amarante

John Pape

Marine

Manvelyan

Successfully treated and monitored 600+ subjects

using stem cell therapies

Katarina

Novokova

President, BHI Slovakia

Oversees Blue Horizon’s operations in Slovakia

Director of relations od Blue Horizon Charitable

Foundation

Nominee for the Economic World Forum’s Young

Global Leaders (Class of 2019) Klara Doert

President, Business Development

Oversees Blue Horizon’s Stem Cell and Skin Care business

development

20 years of leadership experience in cosmeceuticals, spa, medical

spa, and alternative therapy industries in Europe, the United

States of America, and Asia.

Director of the Global Healthcare Forum of Diplomatic Council

Leadership Team


Scientific Advisory Board

Cognitive neuroscientist and

entrepreneur affiliated with Harlem

Biospace, the first biotechnology startup

incubator in New York City.

Founding director of the biomedical

accelerator facility at Mount Sinai School

of Medicine, NY

Medical Professor at the Sophie Davis

Medical School Andre Ragnauth, Ph.D.

Professor at Wuhan University School of

Basic Medical Science

Chu Tian Scholar

Leading expert in stem cell mechanics

Focus on designing clinical trials using

stem cells to treat spinal cord injury

Dongcheng Wu, M.D., Ph.D.,

Chief Science Officer

James S. Riepe University Professor;

Department of Neuroscience

Perelman School of Medicine;

Department of Psychology, School of

Arts and Sciences

Marketing Department, The Wharton

School, University of Pennsylvania

Michael Platt, M.D.

Cancer scientist at the Keck School of

Medicine of USC in Los Angeles, California

Specialized in neurodevelopment, cell

signaling, cancer stem cell, pre-clinical

development, and molecular targeted therapy

for cancer treatment.

Ph.D., Keck School of Medicine of USC

B.S., B.A., Mount Saint Mary’s College Vicky Yamamoto, Ph.D.

Jason Dictenberg, PhD

CEO and Chief Scientist, AccelBio LLC

Research Associate Professor, SUNY

Downstate Medical Center

Ph.D., Molecular Medicine, University of

Massachusetts Medical School/Harvard

Medical School

B.A., Molecular Biology and Genetics,

Highest Honors in Research, Brandeis

University

Joseph Feldman, M.D.

Board-certified emergency medicine

physician in NY and NJ

Current medical director at Mount Sinai

Urgen Care and former chairman of the

Emergency/Trauma Center at

Hackensack University Medical Center

Author of several publications and

books.


An Expanding Global Presence

Slovakia

100% BHI owned clinic

$5,000 charge per treatment

Located on the outskirts of Bratislava

Jamaica

65% BHI owned clinic

Jamaica is the largest English-speaking Caribbean Island

Positioned to take advantage of medical tourism

Typically $5,000 per therapy

GMP-certified facility

US board-certified physicians on staff

Wuhan, China

More than 3,000 patients have been successfully treated in the Stem Cells Therapy Center at Wuhan Hong Qiao Brain Hospital

Treatments have focused on spinal cord injury, brain trauma, stroke, cerebral palsy, brain disease, encephalitis, and several kinds of nervous degenerative diseases

Global clinics operating (outside United States):

Blue Horizon aims to launch more

100% owned locations as well as

additional partnerships


Historical Start-up & Test Phase Revenues

$94,400

$170,410

$123,538

$248,127

$0

$50,000

$100,000

$150,000

$200,000

$250,000

$300,000

2015 2016 2017 2018

Notes to Historical Revenues

Includes only revenues from

payments received

Company benefited from patients

that participated in early procedures –

even if payment was never received

by patient and/or insurance company

Company/affiliates have preformed

over 650 procedures

Growth phase to commence upon

completion of 2Q2019 capital raise


Financial Projections

Blue Horizon International AG 2020 2021 2022 2023 2024

(Projected) (Projected) (Projected) (Projected) (Projected)

Revenue 617,980$ 2,072,750$ 4,546,623$ 10,277,808$ 23,754,011$

Costs & Expenses

Cost of Goods Sold 271,911$ 912,010$ 2,000,514$ 4,522,236$ 10,451,765$

General & Administrative 210,253$ 562,526$ 683,754$ 831,107$ 1,010,215$

Marketing 212,364$ 580,695$ 733,114$ 925,539$ 1,168,472$

Depreciation & Amortization 17,500$ 65,733$ 59,402$ 53,681$ 48,511$

R&D 129,304$ 157,170$ 191,041$ 232,211$ 282,254$

Total Cost & Expenses 841,332$ 2,278,133$ 3,667,824$ 6,564,773$ 12,961,217$

Income from Operation (223,352)$ (205,383)$ 878,799$ 3,713,035$ 10,792,795$

Pre-tax Income (223,352)$ (205,383)$ 878,799$ 3,713,035$ 10,792,795$

Provision for Income Tax1

-$ -$ 126,018$ 1,039,650$ 3,021,982$

Net Income (223,352)$ (205,383)$ 752,781$ 2,673,385$ 7,770,812$

EBITDA2

(205,852)$ (139,650)$ 938,201$ 3,766,716$ 10,841,305$

1 Based on estimated corporate tax rate and customary treatment of tax-loss carryforward

2 EBITDA is not generally considered GAAP accounting

Note: Projections are dependent upon reasonably timed funding, relate to future performance, and reflect expectations at the time

this presentation was prepared and are subject to risks, uncertainties and assumptions that may cause these projections

to differ materially from actual results. We can provide no assurance that these expectations will prove to be correct and

these financial projections should not be unduly relied upon.


Financial Projections For Additional Single Clinic

Financial Projections Year One

(Projected)

Year Two

(Projected)

Year Three

(Projected)

Year Four

(Projected)

Year Five

(Projected)

Number of Patients 100 200 400 800 1600

Gross Stem Cell Revenue $ 500,000 $ 1,000,000 $ 2,000,000 $ 4,000,000 $ 8,000,000

Net Profit Before Tax $100 Repayed to Hospital $ 250,000 $ 600,000 $ 1,400,000 $ 3,200,000

Hospital Share Before Tax No Effective Net Profit $ 104,500 $ 250,800 $ 585,200 $ 1,337,600

Estimated Ancillary Services $ 50,000 $ 100,000 $ 200,000 $ 400,000 $ 800,000

1Based on estimated corporate tax rate

and customary treatment of tax-loss

carry forward

2EBITDA is not generally considered

GAAP accounting

Note: Projections are dependent upon

reasonably timed funding, relate to

future performance, and reflect

expectations at the time this

presentation was prepared. Projections

are subject to risks, uncertainties, and

assumptions that may cause these

projections to differ materially from the

actual results. We can provide no

assurance that these expectations will

prove to be correct and these financial

projections should not be unduly relied

upon.


Markets & Opportunities

Outline of the opportunities for stem cell treatment

and medical truism

2. Markets & Opportunities


Stem Cell Market Opportunity

Blue Horizon is

working to bring the

miracle of life saving

stem cell treatments

to the world

We address widespread medical conditions, including…

(1) According to the US Centers for Disease Control and Prevention and the World Health Organization (2) According to the Alzheimer's Association and Alzheimer's Disease International

15 million people suffer a stroke each year worldwide. In the United States, nearly 800,000 people suffer from a stroke annually, making it the leading cause of serious, long term disability in the US and the United Kingdom(1)

An estimated 50 million people, including 5.5 million Americans, suffer from Alzheimer’s and other related dementias(2)

422 million people worldwide, including 29 million Americans, have diabetes, with another estimated 8.1 million Americans undiagnosed, living unaware of their condition(1)

7.2 million people worldwide, including 610,000 Americans, die each year from heart disease(1)

54.4 million people in the U.S suffer from arthritis(1)

Stroke

Alzheimer’s Disease

Heart Disease

Arthritis

Diabetes


About Stem Cells

Stem cells have the remarkable potential

to develop into many different cell types

in the body. They can be used to

regenerate the human body without

drugs or surgery

Treatment initiated over 50 years ago

Originated from bone marrow transfers

Stem cells regularly divide to repair and replace worn out or damaged

tissue

Due to legal and ethical issues of using embryonic cells, Blue Horizon

uses placenta cord tissue from healthy babies – without any injury to

baby or mother

Other source of stem cells is from patients themselves

Origin of Stem Cells

Retrospective chart review studies of human umbilical cord blood derived

mononuclear cell therapy in subjects with spinal cord injury, stroke, and chronic

inflammation

Retrospective chart review study of human adipose tissue derived mononuclear

cell therapy in subjects with musculoskeletal conditions

Safety study of allogeneic cord blood hematopoietic progenitor cell therapy of

subjects with chronic inflammation (not yet initiated)

Research Studies in Regenerative Medicine

Bring down long term medical costs

Alleviate Suffering

Potential to repair damage on all parts of body which have not yet been repaired

No medication required- holistic approach

Overall advantages of stem cells


Stem Cell Extraction Methods

Umbilical Cord Blood (UCB)

Rich source of hematopoietic stem cells and progenitor cells as well as non-hematopoietic stem cells

Can be directly used after isolation without expansion

The human leukocyte antigen type does not need a closely matched donor for non-hematopoietic purposes as these cells are less likely to induce immunological reactions

Autologus Stem Cells

Removal of adipose tissue under local anesthesia

Lipoaspirate after extraction

Isolation of stromal vascular fraction with MSCs

Preparation ready for administration

Administration of preparation into the hip or knee joint

Wharton’s Jelly (WJ)

Expanded MSCs from WJ of healthy donors who underwent elective full-term pregnancy caesarean sections

Umbilical Cord is collected from primiparous pregnant women receiving caesarean section in accordance with the sterile procedure guidelines in each hospital– no injury to the baby or mother

Treatment Modalities

Intravenous infusion for peripheral injury or disease

Intrathecal injection – for central nervous system pathology

Intra-articular injection – for joint pathology


Global Medical Tourism Market Opportunity

Blue Horizon is

poised to capture not

only the opportunities

in the stem cell arena,

but will also be

positively impacted by

tremendous growth of

the global medical

tourism industry

*Statics are according to Patients Beyond Boards. www.patientsbeyondborders.com

Global Medical Tourism market size is estimated to be USD

65-87.5 billion, based on approximately 20-24 million cross-

border patients worldwide spending an average of USD $3410

per visit

With the world population aging and becoming more affluent at

rates that surpass the availability of quality healthcare resources,

it is anticipated that the market will growth at a rate of 15-25%

annually

It is projected that some 1.9 million Americans will travel

outside the US for medical care this year (2019), where

projected savings are estimated to be in the 30 to 60 percent

range for the top destinations


Safety & Research Information

Walkthrough of several BHI conducted studies that provide

information on the safety and therapeutic effects of stem cell

treatments on patients

3. Safety & Research Information


Safety of BHI Stem Cell Therapy

• BHI has taken every precaution to ensure the safety and

viability of their stem cell treatments, having successfully

treated more than 600 patients and documenting each

procedure.

• Ongoing long-term safety study of 30 research subjects

who received hUCB stem cell therapy is underway, where

preliminary results indicate that 17 research subjects did

not develop adverse effects/medical conditions related to

the therapy 4-7 years after administration.

• Research published in “Experimental and therapeutic medicine” cited at PubMed Central, US National Library of Medicine, National Institutes of Health; “CellR4”, the official journal of The Cure Alliance; and presented at the American Academy of Orthopedic Surgeons.

• Stem cells evaluated in clinical studies are collected in accordance with Good Tissue Practice to ensure safety and have been approved by the Investigational Research Board and in accordance with Good Clinical Practice.


Retrospective cohort study for Spinal Cord Injury (SCI) subjects

Analyze muscle, nerve, urinary, and gastrointestinal functions

in SCI subjects treated with human Umbilical Cord Blood

Mononuclear Cells (hUCB-MNCs) versus conventional

therapy

Goal

-30 subjects with SCI were randomly selected from 70

treated with hUCMNCs between March 2009 and March

2012 in Wuhan Hongqiao Brain Hospital, a longtime BHI

partner, and using BHI’s stem cell treatment procedures.

-Another 30 subjects with SCI received only traditional

therapy and no stem cell therapy

Subjects and Location

- Approved by the Institutional Review Board (Office of

Research and Sponsored Programs. SC#5488, April 2, 2014).

- Results published in peer-reviewed journal, CellR4, in 2018

Approval and publications

0

5

10

15

20

25

30

Pre Post Pre Post

Num

ber

of

Sub

ject

s

None Normal

Stem Cell Therapy Traditional Therapy Only

Changes in ability to sense pain

Reults

0

5

10

15

20

25

30

Pre Post Pre Post

Num

ber

of

Sub

ject

s

None NormalTraditional Therapy Stem Cell Therapy

Changes in ability to sense temperature

Results


Retrospective cohort study for Spinal Cord Injury (SCI) subjects (Continued)

0

5

10

15

20

25

30

35

Pre Post Pre Post

Num

ber

pf

Sub

ject

s

LLM=0 LLM=1 LLM=2


Results (cont.)

Changes in lower limb muscle (LLM) strength*

0

5

10

15

20

25

30

35

Pre Post Pre Post

Num

ber

of

Sub

ject

s

Incontinence Catheterization Normal


Changes in bladder function

A significantly higher proportion of subjects in the stem cell therapy group showed improved function in pain and

temperature sensation, lower limb muscle strength, and bladder function, compared to the conventional therapy group.

* Utilized a non-traditional quantitative scoring system for strength


Retrospective cohort study for stroke subjects

Analyze impact of human Umbilical Cord Blood

Mononuclear Cells (hUCB-MNC) therapy on mobility and

muscle strength of upper and lower extremities, and

neurological function in subjects with ischemic and

hemorrhagic stroke.

Goal

97 subjects with ischemic and hemorrhagic stroke were

treated with human Umbilical Cord Blood Mononuclear

Cells (hUCB-MNCs) between March 2009 and March 2012

in Wuhan Hongqiao Brain Hospital, a longtime BHI partner,

and using BHI’s stem cell treatment procedures.


- Approved by Institutional Review Board (IRCM-2017-135,

January 18, 2017).

- Results are presented at the conference Adult Stem Cells

and Regenerative Medicine. The New York Academy of

Sciences, NY, 2019.


Reults

Results

0%

20%

40%

60%

80%

100%

1 2 3 4 5 6

Physical conditions

Percentage of improvement*

* Percentage of aubjects that reported post-treatment improvement of the

following conditions after having reported suffering from such conditions prior

to treatment

1. Upper extremity mobility

2. Lower extremity mobility

3. Neurological function (ability to speak)

4. Upper extremity muscle strength

5. Lower extremity muscle strength

6. Neurological function (urinary and bowel function)


Retrospective cohort study for arthritis subjects

Analyze changes in pain and mobility of research subjects

with osteoarthritis and rheumatoid arthritis after receiving

treatment with stem cells derived from adipose tissue.

Goal

350 subjects underwent the therapy with their own cells at

the Malacky Hospital in Bratislava, Slovakia, a partner of a

BHI affiliate


-Study was approved by the Ministry of Health of the Slovak Republic and by the Institutional Review Board (IRCM-2017-137, January

18, 2017)

- Results are presented at the American Academy of Orthopedic Surgeons Annual Meeting, New Orleans, Louisiana, 2018


Reults

Results

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

7 days 3months

6months

12months

Decrease

No Change

Increase

Changes in Pain after Therapy

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

7 days 3months

6months

12months

Increase

No Change

Decrease

Changes in Mobility after Therapy

Results: Significant decrease in subjects’ pain sensation and improvement in subjects’ mobility were observed three,

six and 12 months comparing to seven days after therapy


Retrospective chart review study for subjects with chronic inflammation

Evaluate the safety of Human Cord Blood Derived

Mononuclear Cell (hUCBMC) therapy for subjects with

chronic inflammation and the effects on different health

indicators

Goal

30 research subjects received hUCBMC therapy in the period

2010-2013 in Hackensack, New Jersey under the direct purview

of BHI


- Study was approved by the Institutional Review Board (IRCM 2014-040, December 17, 2014)

- Results published in peer-reviewed journal CellR4 in 2015


Reults

Results

Changes in Pain after Therapy

Results

0

10

20

30

40

50

60

70

80

90

100

Energy/fatigue Socialfunctioning

Pain General Health

Initial

3 months

6 months

Notes:

- A higher pain level indicator implies less physical

pain, and vice versa.

- Data indicate continued improvement over six

month period

- Preliminary results of blood test markers indicate

that research subjects did not develop any adverse

effects or adverse medical conditions over the six

month period


BHI Charitable Foundation & Patient

Testimonials

Insight into multiple success stories from patients of BHI’s

procedures and the company’s ongoing efforts to bring

affordable stem cell treatments to the broader public

4. BHI Charitable Foundation & Patient Testimonials


BHI Charitable Foundation

The Blue Horizon

Charitable Foundation

was formed with the

mission to assist in and

finance the

advancement of all

aspects of stem cell

therapies and cellular

regenerative medicine.

Dedicated to increasing the awareness of global inequalities in

healthcare, as well as providing charitable medical care and

education to adults and children in impoverished areas.

Raises capital in order to support medical centers and clinics

by providing medicines vital to basic human survival, by

performing advanced medical treatments otherwise not

accessible to certain geographic regions.

Produces documentary films that bring much needed

attention to the plight of those with limited or no access to

healthcare.


BHI Charitable Foundation: Gala Photos


Patient Testimonials With Video Links

“I was injured 20 years ago. I was in a

car accident driving to Florida with

some friends. My injury, C4, C5

incomplete, which means from the

chest down there's no movement...I do

believe that these stem cells are going

to make a big change. At least, in my

body, I've seen it, I'm very happy with

the progress because every time, it's

something new. Every time.”

Yesenia Torres, 45 years old

“ My twins were nine months old

when I was injured. So you miss a

lot of things if you're not able to get

on the floor and play with them -

really interact with them. Basically,

it gave me my life back.”

Jeremy Hogan, 40 years old

"I was severely injured in a car

accident. My car lost control and hit a

telephone pole. The whole transmission

went into my leg, which almost led to

amputation. After limb saving surgery,

Dr. Mehling introduced me to stem cells.

Soon, I felt the strength returning to my

calf muscle and started walking better. I

am on my back to living a normal life -

walking, driving, playing sports.”

David Berger, 26 years old

*Click pictures to view online video of testimonial ** Additional videos, click here: bluehorizonstemcells.com

https://vimeo.com/281880997

https://vimeo.com/160625307#embed

https://vimeo.com/148898702

https://bluehorizonstemcells.com/patient-testimonials/


US Affiliate Company: BHI

Therapeutic Sciences

Overview of BHI’s expansion into the US Market

5. US Affiliate Company BHI Therapeutics Sciences


BHI Therapeutic Sciences: Corporate Overview

BHI Therapeutic Sciences is opening up clinics across the US, where

they will be conducting FDA clinical trials in various indications based

on the research from the international business’s patients.

The company is also marketing a line of skin care products utilizing

the stem cell technology, Alpha Blue.

BHI Therapeutic

Sciences was formed

to capitalize on the

progress made by

the international

business and expand

into the US Market


BHI Therapeutic Sciences Efforts to Date

Clinic Locations:

New Jersey clinic is already established and prepared to

perform trial procedures

Planning to expand to Texas in order to take advantage

of legislation that allows a profit on research subjects

participating in clinical trials. Targeting late 2019, early

2021 for launch and planning to charge $10,000 per dose

for the procedures

BHI Successful Research Treatments: 100 research subjects with chronic inflammation 30 patients with spinal cord injury 97 research stroke patients 350 research subjects with musculoskeletal disorders

Regulatory Compliance Consulting Company:

• Signed contract with a Fortune 100 multinational

healthcare company which will oversee each trial


Stroke and follow-on FDA trials

Have FDA approval to start Phase I trial

Primary objective: evaluate the safety of Hematopoietic

Stem Cells (HPC), Cord Blood in subjects with acute

ischemic stroke

Secondary objective: evaluate the efficacy of HPC,

Cord Blood in subjects with acute ischemic stroke

Study starts with 10 research subjects, will then attempt

to get approval for more

Obtained approval to charge cost of dose, cannot

charge profit. Estimated charge will be $5,000 per dose

Three therapy sessions per research subject

ClinicalTRials.gov Identifier: NCT03735277

The ability to charge subjects participating in

clinical trials offsets the overall cost of

obtaining FDA approval.

Stroke FDA Trial

Third priority

Could be completed quickly

Study starts with 10 research subjects

Stating timeline of 3 – 6 months

Three therapy sessions per research subject

Diabetes Trial

Planned trial following stroke trial

Study starts with 10 research subjects

Starting timeline of 3 - 6 months

One therapy per research subject

May be able to start receiving insurance reimbursement for procedure

Knee Osteoarthritis Associated Pain Trial

Additional trials to follow

Follow-on trials


Cosmetic skin care line, produce

in Germany

Contains more than 32 cytokines

and growth factors derived from

our human stem cell cultures

BHI purchases Alpha Blu

products from affiliated entity

75% gross margins

Plan to partner with drop

shipper

What is Alpha Blu?

Purpose is to evaluate the safety and efficacy of the product

Stimulation of the natural skin production of elastin and collagen

Leads to a dramatic reduction in oxidative stress

Developed sunscreen that does not contain any cancer-causing chemicals

Market could include balm to reduce scarring and stretch marks, and be used

for psoriasis

Research

Approved by the Institutional Review Board

Safety Study of Alpha Blu Skin Care Line Application for Skin Anti-

Aging (IRCM-2017-140, February 22, 2017)

Safety Study of Post-Surgical Balm Application for Scar Reduction

(IRCM-2016-107, May 25, 2016)

Research Studies in Wound Healing and Skin Rejuvenation

Kit contains four products, costs $100

(day, night, eye, and skin creams)

Monthly recurring order costs $90

Individual bottles cost $50 each

Shipping costs $25

Discount codes are promoted

Alpha Blu Pricing Alpha Blu Distribution

Product being marketed to dermatology practices

Sold direct to consumers via

www.alphabluskincare.com

Also sold on Amazon

Promoted on social media

Currently moving website to Shopify platform for

better social media integration

(1) https://www.marketwatch.com/press-release/stem-cells-market-size-is-projected-to-be-around-us-297-billion-by-2022-2018-06-19

(2) https://www.healthline.com/health/stem-cell-research

Alpha Blu

https://www.marketwatch.com/press-release/stem-cells-market-size-is-projected-to-be-around-us-297-billion-by-2022-2018-06-19




































Financial Projections

1Based on estimated corporate tax

rate and customary treatment of

tax-loss carry forward

2EBITDA is not generally

considered GAAP accounting

Note: Projections are dependent

upon reasonably timed funding,

relate to future performance, and

reflect expectations at the time this

presentation was prepared.

Projections are subject to risks,

uncertainties, and assumptions

that may cause these projections to

differ materially from the actual

results. We can provide no

assurance that these expectations

will prove to be correct and these

financial projections should not be

unduly relied upon.

BHI Therapeutic Sciences, Inc. 2020 2021 2022 2023 2024

(projected) (projected) (projected) (projected) (projected)

Revenue

Revenue from Alpha Blue 499,338$ 753,844$ 916,302$ 1,113,770$ 1,353,795$

Revenue from Proceedures 1,950,000$ 6,800,000$ 7,260,000$ 9,750,728$ 17,363,628$

Total Revenue 2,449,338$ 7,553,844$ 8,176,302$ 10,864,498$ 18,717,423$

Costs & Expenses

Cost of Goods Sold 2,042,457$ 3,513,077$ 3,767,445$ 5,042,429$ 8,884,883$

General & Administrative 316,025$ 549,872$ 448,710$ 564,136$ 733,132$

Marketing 139,230$ 203,847$ 298,452$ 436,963$ 639,758$

Depreciation & Amortization 17,500$ 65,733$ 59,402$ 53,681$ 48,511$

R&D 129,304$ 157,170$ 191,041$ 232,211$ 282,254$

Total Cost & Expenses 2,644,516$ 4,489,698$ 4,765,050$ 6,329,421$ 10,588,538$

Income from Operation (195,179)$ 3,064,146$ 3,411,252$ 4,535,077$ 8,128,885$

Pre-tax Income (195,179)$ 3,064,146$ 3,411,252$ 4,535,077$ 8,128,885$

Provision for Income Tax1

-$ 803,311$ 955,151$ 1,269,822$ 2,276,088$

Net Income (195,179)$ 2,260,835$ 2,456,101$ 3,265,256$ 5,852,797$

EBITDA2

(177,679)$ 3,129,879$ 3,470,654$ 4,588,758$ 8,177,396$

$(5,000,000)

$-

$5,000,000

$10,000,000

$15,000,000

$20,000,000

2020 2021 2022 2023 2024

Total Revenue

EBITDA

Net Income

For Prospective Professional Investors/Qualified Investors only – Proprietary & Confidential

34

(631) 893-3903

Corporate Overview - BHI Sciences · Global Leaders (Class of 2019) Klara Doert President, Business...

Documents

Transcript of Corporate Overview - BHI Sciences · Global Leaders (Class of 2019) Klara Doert President, Business...