LED Medical Diagnostics - Investor Presentation April 2014

Leadership, Visionand Growth

Copyright © 2014 LED Medical Diagnostics Inc.

April 2014

Forward Looking Statements

Certain information contained in this presentation of LED Medical Diagnostics Inc. (the “Company”) constitutes “forward-looking statements“ within the meaning of securities laws. Actual events or results could differ materially from expectations and projections. Forward-looking statements include, among other things, statements relating to expected growth, potential market size and market share, expected revenues and margins, introduction of new products, results of operations, performance, business prospects and realization of cost savings. Forward-looking statements are based on the opinions and estimates of management at the date the statements are made, and are subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward-looking statements. These risks and other factors include, among other things, availability of funds, general economic, market and business conditions, competitor risks, distributor risks, intellectual property risks, regulatory approvals and other risks described in the Company’s Annual Information Form available at www.sedar.com. Except as required by law, the Company disclaims any intention or obligation to update or revise the forward-looking information, whether as a result of new information, future events or otherwise. The forward-looking statements in this document are provided for the limited purpose of enabling potential investors to evaluate an investment in the securities of the Company. Readers are cautioned that such statements may not be appropriate, and should not be used, for other purposes.

Nothing in this presentation should be construed as either an offer to sell or a solicitation of an offer to buy or sell securities in any jurisdiction.

Copyright © 2014 LED Medical Diagnostics Inc. | 2

Who We Are

• Genesis as the developer of the world’s leading adjunctive device for oral mucosal disease (including cancer)

• Becoming a comprehensive digital imaging technology supplier

• Positioned to become the North American leader in the dental imaging category


Proven Executive Management

• Dr. David Gane, DDS

CEO

– High-achieving corporate strategist in dental imaging industry

– Various roles as CEO, President, and VP

– Has demonstrated abilities to introduce new products to achieve ambitious revenue and profitability goals while creating high-functioning and driven teams.

– www.linkedin.com/in/dgane


Proven Executive Management

• Lamar RobertsPresident, LED Imaging

– Senior sales and marketing executive

– Demonstrated success in leading growth in Dental Technology companies

– Demonstrated ability to navigate companies from their early stages to becoming an industry leader.

– Proven leadership in public companies. Effective in leading mergers, acquisitions, integrations, sales, marketing, product management, operations and admin


Where We Came From

• Carestream Dental• Revenue $2.5B

• Dental revenues: $500MM

• 7000 employees who serve customers in 150 countries

• Dental Division: 1200 employees

• Products in 90 percent of hospitals and dental practices worldwide


Our Future

We are building a high-value dental imaging company by growing our VELscope® technology

foundation while adding complementary diagnostic imaging products that leverage our

established brand.


VELscope® Vx : How It Works

An Easy-to-Use Handheld Device


The VELscope® Vx Scan

Early Detection of Occult Lesions

View with the Naked Eye View Using VELscope™ VX(biopsy confirmed oral cancer)


Dental Imaging Opportunity

• Imaging fundamental to Diagnosis & Tx Planning

• “Explosive Growth in Dental Implant & CAD CAM Ensures Market Recovery and Fuels Esthetic Sales”

• Imaging moving from realm of pure diagnosis to guided imagingtreatments

• The global market for dentalimaging systems is predicted toreach over $2.3B by 2022


New LED Imaging Division

• We have recognized an unmet demand for new types of digital imaging technology in the dental market.

• Driven by:

– Demand for cosmetic dental procedures such as orthodontics, composites, veneers and crowns

– Shift from film-based systems to faster, more efficient and higher quality digital imaging solutions.

• Founded LED Imaging Division in April 2014


Imaging Product Strategy


New Partnership with Ray Co.

• Signed with Ray Co.- Samsung subsidiary in April 2014

• “Best-of-class” multi-function digital extraoral imaging system – “RAYSCAN α”

• High demand – two systems already in-situ (six figure price per system)


New Partnership with BC Cancer Agency / Genome BC

• LED Medical /BC Cancer Agency /Genome BC: create/commercialize groundbreaking Oral Cancer Risk‐Assessment Test

• Technology to build upon $10MM of National Institute of Health and TFRI Research Funding

• Test is a first of its kind for oral cancer based on a quantifiable genetic phenomenon known as “Loss of Heterozygosity,” or “LOH.”

• Measures specific genetic changes shown to predict aggressive tumourgrowth - potential to lower oral cancer morbidity and mortality rates.

• Determines if remove immediately or something you need to be concerned about and just watch,

• Extensive market opportunity - the test also could be used by family doctors, hygienists, or ear, nose, and throat specialists


2014 Strategic Plan

• New executive management team with current CEO transitioning to lead future product development

• Expansion of sales, marketing & operations teams in the US in FY14 – Atlanta office established

• Optimization of current dealer relationships and expansion of VELscope® sale channels via non-exclusive dealers across North America

• Major imaging product diversification strategy underway

• Significant revenue growth with expectation that majority of new revenues/margin anticipated from new digital imaging products during FY14

• Increased investment in R&D new product / IP in FY14


Six Month Milestones

• APR 3, 2014: Distribution partnership with Samsung subsidiary Ray Co.

• APR 3, 2014: Founding of LED Imaging Division

• JAN 21, 2014: Sign Patterson Dental - 85 branch offices across USA and over 1,500 sales reps

• JAN 14, 2014 : Agreement with BC Cancer Agency/Genome British Columbia (Genome BC) to create and commercialize a progression‐risk assessment test for oral cancer. The test is based on a quantifiable genetic phenomenon known as “Loss of Heterozygosity” - the first of its kind for oral cancer

• DEC 10, 2013: Sign Benco Dental - More than 35,000 customers across the country and maintains an excellent reputation in the dental industry.

• DEC 3, 2013: Sign Burkhart Dental - one of the most respected dental distributors in the United States for over 125 years

• OCT 29, 2013: Sign Sinclair Dental - fastest growing, full-service dental supply companies in Canada. Sinclair has an experienced team of over 500 individuals operating within 10 regional offices.


We are executing quickly…

Capital Structure*

• Founded 2003 - $50MM in non-dilutive capital via government grants, mainly the NIH/BCCS

• Paid in private capital: $30MM

• Common Shares outstanding: 73.8MM

• Option outstanding – 6.4MM (price range from $0.30 to $0.54)

• DSUs outstanding – 950K at $0.25

• Warrants outstanding - 34MM– 17,845,000 @ 0.20 (Exp. June 14, 2015)

– 30,800 @ 0.30 (Exp. June 21, 2014)

– 16,109,887 @ 0.50 (Exp. October 24, 2015)

– Potential proceeds of $11.6MM

• Fully Diluted: 115MM

* All numbers approximate


Contacts

Dr. David [email protected]

404.414.6757

Lamar Roberts

President, LED [email protected]

770.329.3652

Mark KomonoskiDirector of Investor Relations

[email protected]

403.470.8384


LED Medical Diagnostics - Investor Presentation April 2014

Investor Relations

Transcript of LED Medical Diagnostics - Investor Presentation April 2014