ZZ.FSX Dallas.Investor Presentation January...

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Investor Presentation Pressure BioSciences, Inc. (NASDAQ CM: PBIO) Discovery Starts with Sample Preparation™ FSX Conference Ritz Carlton Dallas, TX January 26 – 28, 2012

Transcript of ZZ.FSX Dallas.Investor Presentation January...

Page 1: ZZ.FSX Dallas.Investor Presentation January 2012pressurebiosciences.com/downloads/publications/2012... · • Analysis of DNA, RNA, Proteins, & Lipids (“biomolecules”) is Crucial

Investor Presentation

Pressure BioSciences, Inc.(NASDAQ CM: PBIO)

Discovery Startswith Sample Preparation™

FSX ConferenceRitz Carlton Dallas, TXJanuary 26 – 28, 2012

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Forward Looking Statements

This presentation may contain forward looking statements that reflect management’s current views and opinions as to the status of the Company’s products, technology and

other future events and operations. These statements are neither a promise nor guarantee, but involve risks and uncertainties that could cause actual results to differ

materially from those anticipated or indicated. Investors are cautioned that any forward looking statements should

be considered in light of such risks and uncertainties including, without limitation, those detailed in the

Company’s filings with theSecurities and Exchange Commission.

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• Pressure Cycling Technology (PCT): Powerful, Enabling, Patented

• $6 Billion Market Opportunity: Biological Sample Preparation

• PCT Products Offer Significant Advantages Over Competitive Methods

• Focus on Sample Prep for Biomarker Discovery, Forensics, Pathology

• Proven Technology: ~ 200 Installations in ~140 Marquee Laboratories

• Existing and New Products Offer Significant Growth Opportunity

• Attractive “Razor/Razorblade” Business Model

• On-going Discussions with Potential Strategic Partners

• Experienced Management Team and Board of Directors

• Favorable Market Valuation for the Investor

• Commercialization Plan in Place: 20123

Key Investment Highlights

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• Formed Sept 2004 - Sale of Boston Biomedica (BBII)

• Started Significant Operations in 2006

• NASDAQ CM: PBIO

• Thirteen (13) Full-time Employees

• Strong Management Team and Board of Directors

• Focused on the Development and Commercialization of PCT-based Instruments and Consumables for the Preparation of Biological Samples for Research Laboratories

• Strong IP - 24 Issued PCT Patents with More Pending

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Company Background

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Management

• Mr. Richard T. Schumacher, President & CEOBoston Biomedica (CEO); Panacos Pharma (President); Center for Blood Research (CBR Labs - Harvard Medical School) -General Manager

• Dr. Edmund Y. Ting, Senior Vice President of Engine eringAvure Technologies (CSO); Flow Int’l; Grumman Aerospace; MIT (Ph.D.)

• Dr. Alexander V. Lazarev, Vice President of R&D Proteome Systems; Genomic Solutions; ESA; University of Kazan (Ph.D.)

• Dr. Nathan P. Lawrence, Vice President of MarketingBoston Biomedica; BD; Gene-Trak Systems; Yale University (Ph.D.)

• Mr. Joseph Damasio, Vice President of Finance & Ad m.PricewaterhouseCoopers; New England Nuclear; Boston College (MBA)

Board

• R. Wayne Fritzsche, Chairman Alan Goldberg• J. Donald Payne, Audit Committee Chair Greg Freitag• Calvin A. Saravis, Ph.D , SAB Chair Jeffrey Peterson• Alan Rosenson, Compensation Committee Chair Richard T. Schumacher

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Experienced Senior Management & Board

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Company Role Top Market Cap Outcome

Schumacher

Pressure BioSciences (Nasdaq PBIO) Founder, CEO, Director

Boston Biomedica (Nasdaq BBII) Founder, CEO, Director ~$120 million Sold

Panacos Pharma (Nasdaq PANC) Co-Founder, Director ~$650 million Sold

Trinity Biotech (Nasdaq TRIB) Founding Group ~$250 million Going Strong

CBR Laboratories (Harvard Med) Founding Group N/A N/A

Fritzsche *

Intelligent Medical Imaging Co-Founder, Chairman ~$280 million Sold

Immune Response Co-Founder ~$750 million Now OCHT.PK

Opexa Pharma (Nasdaq OPXAW) Co-Founder >$25 million Sold

Cytogen Co-Founder >$100 million Sold

Occulogix Co-Founder >$50 million Sold

* Mr. Fritzsche was also the founder or co-founder of approximately 20 additional companies

and has raised more than $120 million for these companies over the years.

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Past Accomplishments – CEO and Chairman

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• Analysis of DNA, RNA, Proteins, & Lipids (“biomolecules”) is Crucial to the Development of New Diagnostics & Therapeutics

• Sample Preparation is Required Prior to Virtually All Analyses

• Current Sample Preparation Methods are Highly Inadequate: bottleneck

• PCT Offers Many Clear Advantages Over Current Competitive Products

• Current Target: Life Sciences Rsh Market – minimal regulatory issues

• PBI Holds 24 Issued PCT Patents in Multiple Sample Prep Applications

• Early Traction…about 200 PCT Systems installed through Q3 2011

• $6 Billion* Market Opportunity for Sample Preparation Products

~ 500K Scientists in ~ 80K Labs WW require some sample preparation**

* Strategic Directions Int’l; **The Emmes Group

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Value Proposition – Sample Prep Market

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Pressure Cycling Technology (PCT)Release Important Biomolecules by Cell Lysis

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Scientific research can be broken down to three key elements:

sample preparation, analysis, & data reduction/interpretation

“Discovery Starts with Sample Preparation”

Sample Input Quality = Sample Result Quality

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Competitive Landscape

• Mortar & Pestle• Dounce homogenizer (glass on glass)• Potter-Elvenhjem homogenizer (Teflon on glass)• Enzymatic Digestion• Polytron shearing homogenizers• Blenders• Bead Beating• Sonication• Repeated Freeze/Thaw cycles• French Press (≤ 2000 PSI)

Mostly Commodity Products Through Catalogue Sales

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Barocycler™NEP2320

PCT Sample Preparation System

Barocycler™ NEP3229

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PULSE Tube

MicroTubes PCT-dependent Kits

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Selected Marquee Customers (40 of 150)

• Amgen• Biogen• Lilly• Novartis• Monsanto• BM Squibb• Merck• Takeda Pharmaceuticals• Centocor• Target Discovery• US Army• FBI• Food and Drug Administration • US Department of Agriculture • National Institutes of Health• Armed Forces Inst. of Pathology• Centers for Disease Control• USAMRIID• Dana Farber Cancer Center• Burnham Research Institute

• Thermo Fisher• Promega Corporation • Battelle Memorial Institute • Harvard Medical School • Harvard School of Public Health • Rockefeller University • University of New Hampshire • Barnett Research Inst (NEU) • UCLA • UC - San Diego• UC - Davis• Lawrence Livermore • Stanford University • University of North Texas • Mississippi State • Montana State • Lawrence Berkeley • University of Kentucky• Florida Int’l University • UMASS – Boston

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• PCT Sample Preparation System 2012: Aggressive

(Barocycler NEP3229 & NEP2320) Commercialization

• The PCT Shredder SG3 Just Released

• Barocycler HUB440 Just Released

• FFPE System – proteins, DNA/RNA 2012

• PCT-based HT (48 - 384 well format) 2013

• XstreamPCT™ HPLC Digestion System 2013

Current PCT Products & Product Pipeline

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Barocycler™NEP2320

PCT Sample Preparation System

Barocycler™ NEP3229

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PULSE Tube

MicroTubes PCT-dependent Kits

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• PCT Sample Preparation System 2012: Aggressive

(Barocycler NEP3229 & NEP2320) Commercialization

• The PCT Shredder SG3 Just Released

• Barocycler HUB440 Just Released

• FFPE System – proteins, DNA/RNA 2012

• PCT-based HT (48 - 384 well format) 2013

• XstreamPCT™ HPLC Digestion System 2013

Current PCT Products & Product Pipeline

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Product Pipeline (2011 Release)

The ShredderSG3

• Long lasting lithiumrechargeable batteries

• Paddle for convenientpressure setting

• Pressure levels: 15, 30, 45 lbs. Force

• Uses PCT PULSE or Shredder Tubes

• Heavy Duty, RobustDriver

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Product Pipeline (2011 Release)

The Barocycler HUB440High Pressure Generator

AVAILABLE Q3 2011

State-of-the-ArtHigh Pressure Generator

for Multiple Bioscience Applications

• Compact• Portable• Versatile• Manual or

Computer Controlled• Pressures to 57Kpsi

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Product Pipeline (2012 Release)

The Barocycler XXXxxxx

AVAILABLE Q4 2012

PCT-enhanced Protein Extraction fromFormalin-Fixed Paraffin-Embedded (FFPE) Samples

• 1 Billion Stored Samples WW

• 6x More Non-redundant Proteinsfrom FFPE AortaDr. J. Van Eyk, et al., J. Hopkins

• 2x More Unique Proteins fromFFPE Mouse Liver Dr. C. Fowler, et al., AFIP

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Product Pipeline (2012 Release)

The Barocycler XXXxxxx(BRS2004, BRS2007, BC2008, BB2011)

AVAILABLE Q4 2012

PCT-enhanced Protein Extraction fromFormalin-Fixed Paraffin-Embedded (FFPE) Samples

• 1 Billion Stored Samples WW

• 6x More Non-redundant Proteinsfrom FFPE AortaDr. J. Van Eyk, et al., J. Hopkins

• 2x More Unique Proteins fromFFPE Mouse Liver Dr. C. Fowler, et al., AFIP

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Product Pipeline (2012 Release)

The Barocycler NYGxxxx

AVAILABLE Q4 2012

PCT-enhanced Protein Extraction fromFormalin-Fixed Paraffin-Embedded (FFPE) Samples

• 1 Billion Stored Samples WW

• 6x More Non-redundant Proteinsfrom FFPE AortaDr. J. Van Eyk, et al., J. Hopkins

• 2x More Unique Proteins fromFFPE Mouse Liver Dr. C. Fowler, et al., AFIP

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Product Pipeline (2012 Release)

The Barocycler NEP5610

AVAILABLE Q4 2012

PCT-enhanced Protein Extraction fromFormalin-Fixed Paraffin-Embedded (FFPE) Samples

• 1 Billion Stored Samples WW

• 6x More Non-redundant Proteinsfrom FFPE AortaDr. J. Van Eyk, et al., J. Hopkins

• 2x More Unique Proteins fromFFPE Mouse Liver Dr. C. Fowler, et al., AFIP

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Product Pipeline (2013 Release)

XstreamPCT ™ Digestion ModuleAutomated, In-line, On-demand PCT-enhanced Digestio n

AVAILABLE 2013

The First Module in PBI’s Extreme PCT (35,000 psi) HPLC Platform

• Significantly Reduced Protein Digestion Time

• Increased Membrane Protein Recovery

• Rapid & Less CostlyDe-glycosylation

• Excellent Reproducibility

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Product Pipeline (2013 Release)

AVAILABLE 2013

The Barocycler HT Multiwell (48/96/384)

For High Throughput PCT-enhanced Biomolecule

Extraction & Accelerated Enzymatic Digestion

Process 48, 96, or 384 Samples with the

• Safety• Speed• Quality• Versatility• Reproducibility

of PCT

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Professor Wayne Hubble - UCLA

"Protein dynamics is the new frontier in understanding protein function and hence is immensely important to rationale drug

discovery and design. In my opinion, high pressure will play a central role in the discovery process. I believe the PBI hardware will make major contributions to the study of protein

dynamics.”

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Professor of Biochemistry and Jules Stein Professor of Ophthalmology, UCLA

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Historical Revenue Data • 2007 $ 646,000• 2008 $ 852,000• 2009 $1,245,000• 2010 $1,340,000

Selected Data Through September 30, 2011• Cash/Cash Equivalents ~$0.3 million• Inventory ~$1.1 million• Debt (unsecured) $ 0.4 million• Total Assets ~$1.9 million• Total Liabilities ~$1.8 million

Selected Data Through January 26, 2011• Price per Share $0.81• Total Common 6.72 million• Total Preferred (com equiv) 2.05 million

Total Shares OS 8.77 million• Market Cap (Com/Prfd) $7.11 million

Financial Data

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As of December 1, 2011

In Common Stock Equivalents)

Description Number

Common Shares Outstanding 6,723,993

Convertible Preferred Stock C 880,980

Convertible Preferred Stock D 1,143,077

Total Common Stock Equivalents 8,748,050

Warrants (Weighted Average Strike Price of $1.35) 4,762,451

Stock Options (Weighted Average Strike Price of $2.34) 1,503,500

Total Warrants and Options 5,815,951

Total Proceeds from Exercise of Warrants and Options $10,000,000

Capitalization Table

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PBI Sample Preparation Focus Areas

Dr. Andreas Huhmer – Thermo Fisher Scientific…advantages of speed and quality using PCT in mass spec workflow

Dr. Michael Alterman – Tumor Vaccines and Biotechnol ogy Branch, CBER, FDA…improved influenza vaccine quality using PCT in mass spec workflow

Dr. Alexander Ivanov – Harvard School of Public Heal th…improved protein identification using PCT in mass spec workflow

Dr. Bruce McCord, Florida International University…improved processing of forensic (rape kit) samples using PCT

Dr. Luke Schneider, Target Discovery, Inc.…improved membrane protein recovery in ovarian cance r studies using PCT in mass spec workflow

Dr. Bruce Budowle, Health Science Center, Universit y of North Texas…improved detection of DNA in forensic samples using PCT

Dr. Jeff Mason and Dr. Carol Fowler, Armed Forces I nstitute of Pathology...improved processing of FFPE (histology) samples using pressure

Dr. Jennifer Van Eyk, Johns Hopkins School of Medic ine…improved recovery of aorta proteins from FFPE samples using PCT

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Forensics ***

Pathology (FFPE Samples)

Biomarker Discovery

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• Biomarker Discovery DoD Grant ($750k) rec’d to help fund thedevelopment of a small, automated, 96-wellformat, high throughput PCT-based System

• Forensics *** Collaborations continue with Dr. Budowle(UNT- improved DNA detection) & Dr. McCord (FIU- improved rape kit processing) with AAFS presentations (Feb 2012) expected

• Pathology (FFPE) NIH Grant ($160k) rec’d to help fund the development of a PCT-based System for improved FFPE processing

• Reg. Direct ($843K) Ladenburg Thalmann - exclusive PA

• Strategic Partners Highest of priorities

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Items of Key Interest: Q4 2011 & Beyond

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Investor Presentation

January 25, 2012Pressure BioSciences Reports Significant Progress in the Development of a

PCT-based Method to Improve Processing of Sexual Assault Samples

New Method Could Result in Decreased Processing Time, Increased Throughput,Decreased Costs, and Improved Results in Rape Kit Testing

January 11, 2012Pressure BioSciences, Inc. Announces Global Co-Marketing/Selling

and Instrument Co-Development Agreement with Digilab, Inc.

Leading Life Sciences Tools Manufacturers for the Research Laboratory to Collaborate in the Development, Marketing, and Sale of State-of-the-Art Sample Preparation Products

December 19, 2011Pressure BioSciences, Inc. Announces Distribution Agreement with IUL Instruments GmbH

for Germany and Switzerland

Leading Life Sciences European Distributor to Introduce, Sell, and SupportPBI’s Sample Preparation Products in Germany and Switzerland

Page 30: ZZ.FSX Dallas.Investor Presentation January 2012pressurebiosciences.com/downloads/publications/2012... · • Analysis of DNA, RNA, Proteins, & Lipids (“biomolecules”) is Crucial

• Pressure Cycling Technology (PCT): Powerful, Enabling, Patented

• $6 Billion Market Opportunity: Biological Sample Preparation

• PCT Products Offer Significant Advantages Over Competitive Methods

• Focus on Sample Prep for Biomarker Discovery, Forensics, Pathology

• Proven Technology: ~ 200 Installations in ~140 Marquee Laboratories

• Existing and New Products Offer Significant Growth Opportunity

• Attractive “Razor/Razorblade” Business Model

• On-going Discussions with Potential Strategic Partners

• Experienced Management Team and Board of Directors

• Favorable Market Valuation for the Investor

• Commercialization Plan in Place: 201230

Key Investment Highlights