Critical Outcome Technologies - Investor Presentation - June 2013

Click here to load reader

Embed Size (px)


Critical Outcome Technologies Inc. streamlines drug discovery - dramatically reducing the time and cost to bring new drugs to market. The Company is listed on the TSX Venture Exchange (ticker symbol: COT).

Transcript of Critical Outcome Technologies - Investor Presentation - June 2013

  • Investor Presentation | June 2013The future of drug discovery has arrivedReducing development time, cost & risk
  • 2TSXV: COTDisclaimerWhen used anywhere in this presentation, whether oral or written, the words expects,believes, anticipates, estimates and similar expressions are intended to identify forward-looking statements. Forward-looking statements may include statements addressing futurefinancial and operating results of Critical Outcome Technologies Inc. (COTI).COTI bases these forward-looking statements on its current expectations about futureevents. Such statements are subject to risks and uncertainties including, but not limited to,the successful implementation of COTIs strategic plans, the acceptance of new products,the obsolescence of existing products, the resolution of potential patent issues,competition, changes in economic conditions, and other risks described in COTIs publicdocuments such as press releases and filings with the Toronto Stock Exchange and theOntario Securities Commission.All forward-looking statements are qualified in their entirety by the cautionary statementsincluded in this document and such filings. These risks and uncertainties could cause actualresults to differ materially from results expressed or implied by forward-looking statementscontained in this presentation. These forward-looking statements speak only as of the dateof this presentation.
  • 3TSXV: COTInvestment highlights123Proprietary technology reduces time, cost& risk of bringing new drugs to marketTwo-pronged commercial validation andrevenue strategyActively pursuing licensing of lead cancerdrug candidate (COTI-2) with Pharma leading to profitability
  • 4TSXV: COTProblem 1: high costConventional development can cost up to $1 billionand take ~ 15 years to bring a new drug to marketDiscovery Proof of Concept Final DevelopmentPhase I Phase II Phase IIIPreclinicalTestingIdea Drug11 - 15 YearsClinical Testing
  • 5TSXV: COTProblem 2: high risk of failureVast majority ofdrug candidates failat some stage ofthe developmentprocess1 FDA approved drugThousands ofcompounds screenedand tested
  • 6TSXV: COTThe opportunityMajor Pharma reducing internal R&Do Low R&D productivityo Focusing on marketing & distribution controlthe end customerSignificant opportunities for R&D collaborationso Leverage complementary expertise / capabilities
  • 7TSXV: COTOur solution: rapidly acceleratingdrug discoveryYearsPreclinicalDevelopmentSteps Reduce drug discoverytimeline by 1.5 - 3 years Save significant $$$ Increase revenue periodunder patent protection
  • 8TSXV: COTEfficiently acceleratesdrug discovery timeline& provides optimizedlead compounds= Major risk reductionwith higher probabilityof clinical &commercial successProprietarytechnology(Artificial Intelligencesoftware + proprietaryalgorithms + medicinalchemistry expertise)8CHEMSAS - competitive advantageTSXV: COT
  • 9TSXV: COTAbout CHEMSASComputational replicationof traditional wet lab drugdiscovery processFailed attempts occur incomputer simulations,not the research benchReduces time, cost and riskof drug discovery process9TSXV: COT
  • 10TSXV: COTTwo-pronged commercialization strategy12R&D collaborations for revenue& 3rd party validation of theCHEMSAS platformLicensing our own drugcompounds
  • 11TSXV: COTTypical CHEMSAS R&D collaborationPartner has specific novel drug targetReceive an upfront development fee from Partner andbuild a compound libraryLibrary testing and evaluation at Partners expenseWe retain IP ownership of compounds and all dataAt agreed milestone, Partner proceeds with developmentunder a license with upfront, milestone, and royaltypayments
  • 12TSXV: COTCHEMSAS R&D collaborationsA collaboration can bring in multiple milestone paymentsproviding significant ongoing revenuesScalability of CHEMSAS enables multiple concurrentcollaboration revenue opportunitiesAnnounced three collaborations in 2012o Western Universityo Delmar Chemicalso Major Pharma CompanySeeking more CHEMSAS collaborations
  • 13TSXV: COTLicensing our own compoundsActively pursuing licensing of lead cancerdrug candidate, COTI-2, with a PharmaCompany in a transaction making usimmediately profitableOther internal drug development projects inqueue (i.e. AML)
  • 14TSXV: COTAbout COTI-2Effective againstcancers withmutations of thep53 gene> 50% of allhuman cancershave a p53mutationEasily synthesized oral formulation with no stability issuesEffective alone or in combination with approved cancer drugsIn final two-species toxicity studies prior to FDA filing in late2013 enabling human trials
  • 15TSXV: COTTSXV: COTCOTI-2 intellectual property overview4 U.S. patents granted strengthening COTI-2s valuepropositionPatents pending in USA, Europe, Canada and JapanPatent strategy preserves downstream patent filingopportunities for potential extension of marketexclusivityWe own all intellectual property with no licenseobligations
  • 16TSXV: COTTSXV: COTWhy out license COTI-2?Drug development is a long and expensive processOur core competence is accelerating drugdiscovery, not drug developmentRecent preclinical oncology licensing dealsincluded:o Upfront payments of approx. $5-$15 milliono Milestone payments between $120-$288 milliono Royalties on net sales
  • 17TSXV: COTSummary123Proprietary technology reduces time, cost& risk of bringing new drugs to marketTwo-pronged commercial validation andrevenue strategyActively pursuing licensing of lead cancerdrug candidate (COTI-2) with Pharma leading to profitability
  • The future of drug discovery has arrivedReducing development time, cost & risk