The Power of Information

December 2014Ryan Ashton – Co-founder and CEO

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Cautionary Note Regarding Forward-Looking Statements

This presentation contains forward-looking statements that involve significant risks and uncertainties, including those discussed in this presentation and others that can be found in the “Risk Factors” section of the quarterly report on Form 10-Q of Great Basin, filed with the SEC on November 14, 2014.  All statements other than statements of historical facts, included in this presentation regarding our strategy, future operations, future financial position, future net sales, projected expenses, products’ placements, performance and acceptance, prospects and plans and management’s objectives, as well as the growth of the overall market for our products in general and certain products in particular and the relative performance of other market participants are forward-looking statements.  These statements involve known and unknown risks, uncertainties and other factors that may cause our actual results, levels of activity, performance or achievement to be materially different from those expressed or implied by the forward-looking statements.

 

You should not rely upon forward-looking statements as predictions of future events. We cannot assure you that the events and circumstances reflected in the forward-looking statements will be achieved or will occur. Although we believe that the expectations reflected in the forward-looking statements are reasonable, we cannot guarantee future results, levels of activity, performance or achievements. Except as required by law, we undertake no obligation to update publicly any forward-looking statements for any reason after the date hereof or to conform these statements to actual results or to changes in our expectations.

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Focus on Small – Medium Hospitals

Great Basin - Executing for growth

Who are we? FDA-cleared MDx system with 83 U.S. customers IPO October 2014 NASDAQ:GBSN

Post- IPO Execution• 39 new sites in evaluation or scheduled for evaluation• 2nd Test submitted to FDA• Begun trial for 3rd Test• Expanded 2015 Trial schedule from 3 to 5 tests

Only Company with all 3 Customer Needs• Sample-to-result• Low cost• Menu of low-plex and multiplex tests

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The Target Market: Hospital Labs

Tests

Gastrointestinal Infections: 20-25MM

Blood Infections 15-25MM

Respiratory Infections 30-40MM

MRSA Surveillance 40-60MM

100MM – 150MM tests World Wide

> $1.25B - 1.5B Addressable Market

Source: Company estimates

Industry undergoing a paradigm shift to molecular

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Specific Example: Blood Sepsis

MDx Testing: Improves Outcomes & Lower Costs

Problem:

Hospitals are responsible for all treatment costs for Medicare patients that get Staph Aureus or MRSA infections

Hospitals are seeking cost-effective, automated solutions for prevention and detection

Outcomes:

MDx allows for rapid diagnosis and treatment

Reduces incidence and spread of disease

Costs:

Length-of-stay reduced by 6.2 days

Saves an average of ~$7,000 per incidence

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Found $$$ for an StR MDx solution

Great Basin’s Market Opportunity

Hospitals over 400 beds

(~600)

This market is underserved!

Of 4,900 <400 bed hospitals, 84% still await a good MDx solution

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Customers want three things in MDx:

The Unmet Need

1. Automated workflow

2. Powerful test menu

3. Rational test and instrument cost

We believe fewer than 50% of tests in a hospital lab are molecular. Top two reasons for not switching are cost and ease of use.

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Designed with the Customer in Mind

Our MDx platform -

Executes the test

Provides electronic output to the clinician

Off-the-shelf components keeps cost low

Single-Use

Up to 64 answers per specimen

Same cartridge for all new tests

Designed for low-cost and manufacturability

Analyzer

Cartridges

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Highly Sensitive End-Point Detection – Creates industry-leading menu versatility and cost

Standard Detection

HRP

HRP

HRP

amPED Detection

Inexpensive and highly scalable ($0.10 per chip today) Up to 64 targets per chip Sensitivity adequate for direct from specimen detection

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Leadership in the “Three Cs”

Great Basin Offers Winning Solution

Cost:Low-Cost

✓ ✓

Content: Low-plex

Multiplex

✓

✓

✓

✓

✓

✓

Convenience:Sample to Result

✓ ✓ ✓ ✓

(1)

(1) Still in development

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Customer Experience: Workflow is Faster and Easier

How We Win: Easy to Use “Sample to Result”

Results Results Results

Reader

2Walk-Away

Points

Results

6-10 Hands on Steps 18-25

Hands on Steps

16-23 Hands on Steps

Instrument Instrument

Instrument

Instrument

Results

Instrument

3-5 Hands on Steps3-5 Hands on Steps

2Walk-Away

Points

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Labs need both Low-plex and Multi-plex: Only GBSN delivers both

Broadest Potential Menu in the Industry

Multi-Plex MarketMore Answers/Higher Cost• Gram Positive Blood Sepsis

• Gram Negative Blood Sepsis

• Respiratory

• Stool

• Vaginosis/Vaginitis

Low-Plex Market1-3 Answers, Lower Cost• MRSA

• C. diff

• CT/NG

• Meets all needs of the Lab• Provides pricing power• Allows for Trojan Horse placements to unseat competitors

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Generate Recurring Revenue Stream

The Affordable Model – “Vending Machine”

No long capital equipment sales cycle

“You pay only for a result”

Recurring cartridge sales

Follow-on tests: Faster, easier sale

No-cost “vending machine” model drives faster market share growth

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Sales Funnel – Up 44%December 12th, 2014

Sep-14 Oct-14 Nov-14 Dec-14 40

60

80

100

120

83 81 80 80

39

25

145

85

94

106

122

Evals*U.S. RRCs

*Evals include both Active and Scheduled Evaluations

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Great Basin Product Pipeline

New Tests Make our MDx Platform More Attractive

AvailableNow

AvailableJan-June 2015

AvailableJuly-Dec 2015

AvailableJan-June 2016

C. diff

Group B Strep

Staph ID/R

STEC

MRSA/SAPre-Screen

Food-borne Pathogens

Candida

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Potential Annual Revenue per Customer*

New Products’ Revenue Potential

*Based on assumption that customers reach projected usage levels of all five tests, including four tests pending at the FDA or currently in development.

$-

$50,000

$100,000

$150,000

$200,000

$250,000

Q4 2014 Q2 2015 Q4 2015 Q4 2016

SA Pre-Surgical/MRSA Nasal Screen

Food Borne

Staph ID/R

Group B Strep

C. Diff

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Intend to Develop Rich Menu of Low-plex and Multi-plex Tests

Great Basin 4-Year Roadmap

2014 2015 2016 2017 2018

1

4

8

11

14

26

12

20

Multi-plex Low-Plex

1

6

14

23

34

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Commercially-Focused Management Team

Ryan AshtonChief Executive Officer

Robert JenisonCTO, SVP - Research

Jeffrey RonaChief Financial Officer

Laurence ReaChief Engineer

Sandra NielsenVP - Sales and Marketing

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Financial Highlights

GSBN completed IPO for $8 million in stock and warrants

As of September 30, 2014– Cash Balance - $0.7 million

• $7.1 million pro-forma including net proceeds from the IPO

– YTD Revenue = $1.2 million

• Compared to $0.8 million for 12 months ended 12/31/13 (already up 50% vs. full year 2013)

– 3rd Quarter Revenue = $0.4 million

• 83% growth YOY

• Recurring revenues

– 5.1 million shares outstanding

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Why GBSN will win

Summary - Primed for growth

Large under-penetrated market Technology designed for the 3 Keys to

Success High demand for System Rich Product Pipeline increases Potential

Revenue per Customer Strong Management Team

The Power of Information

Thank You