Elron Ventures Ltd · TASE:ELRN

Elron Ventures — Investor Presentation (March 2015)

25 slides from Elron Ventures's investor presentation, March 2015

  1. Slide 1: Discover. Innovation

    DISCOVER. INNOVATION

  2. Slide 2: Disclaimer

    This presentation is for information purposes only. By this presentation, Elron does not intend to solicit offers to purchase its securities and the presentation does not constitute an invitation to receive such offers. Elron may make improvements and/or changes in the features or content presented

  3. Slide 3: Seeking to Change the Face of Healthcare

    SEEKING TO CHANGE THE FACE OF HEALTHCARE

  4. Slide 4: Snapshot

    SNAPSHOT  Operational holding company BRAINSGATE STROKE CARE 30% invested (Elron) invested (total)  A portfolio of companies with significant exit potential POCARED  Continuing to examine new MICROBIOLOGY 53% invested (Elron) invested (total) investments in cutting-edge med-tech technologies NOTA

  5. Slide 5: Results

    RESULTS  Aggregate value of exits: ~$1.4b  Elron’s and RDC’s total exit proceeds (after tax): ~$573m  ~$200m invested in med-tech companies in recent years 2009 2010 2011 2012 2013 2014 Investments Exit Proceeds 5

  6. Slide 6: Results

    RESULTS  4 out of the last 5 years were profitable 2010 2011 2012 2013 2014 6

  7. Slide 7: Results

    RESULTS  2014: positive cash flow of ~$184m  $110m dividend distributed in 2014  $15m dividend distributed in 2012  No debt 31.12.10 31.12.11 31.12.12 31.12.13 31.12.14 7

  8. Slide 8: Asset: The Case of RDC: Partnership with Rafael

    ASSET THE CASE OF RDC: PARTNERSHIP WITH RAFAEL  Exclusive rights to commercialize Rafael’s military + jointly held by Elron (50.1%) and Rafael (49.9%) technologies in civilian markets + Rafael: Israeli provider of defense systems with $2b in annual sales  The Rafael-Elron agreement is exclusive an

  9. Slide 9: Elron. Promise

    ELRON. PROMISE

  10. Slide 10: BrainsGate: Innovation

    INNOVATION Elron’s holding: 30% Founded: 2000 Treatment of ischemic stroke in a 24 hour window post symptom onset First investment: 2005 Total investment: $81m ($25m Current treatment (tPA protein) is approved for use during by Elron) a 3-4.5 hour window only Main partners: Johnson & Johnson, Boston

  11. Slide 11: BrainsGate: Stroke Market and Clinical Trials

    INNOVATION $95b is the estimated cost of stroke in the U.S. projected for In 2010 BrainsGate completed a clinical trial on 300 patients 2015 with results that strengthened the assessment that the 15m people suffer a stroke treatment is effective and safe worldwide each year 5% of stroke victims rece

  12. Slide 12: BrainsGate: Treatment Mechanism

    INNOVATION Restores blood flow to the Electrical stimulation induces blocked blood vessel dilation of cerebral blood vessels, and thus augments Due to the temporary blood flow interruption in blood flow, the blood vessel becomes The stimulation avoids brittle manipulating the blood clot, and treats

  13. Slide 13: Pocared: Innovation

    INNOVATION Elron’s holding: 53% Founded: 2004 Real-time and automated system for infectious disease diagnosis, based on optical technology First investment: 2007 Total investment: $82m ($42m Designed for use by major microbiological laboratories by Elron) and hospitals Main partner: SCP Vitalife Mea

  14. Slide 14: Pocared: Market and FDA Trial

    INNOVATION 125m urine cultures are performed each year in the U.S. The system is CE certified since December 2011 70% of urine cultures return negative, after antibiotics have Pocared is currently conducting a trial to test the efficacy of been unnecessarily administered the system's 1st application

  15. Slide 15: Pocared: System Components

    INNOVATION a complete cartridge transfer carousel to urine sample cartridge carousel optical analyzer module results… 15

  16. Slide 16: Notal Vision: Innovation

    INNOVATION Elron’s holding: 21% Founded: 2000 Remote monitoring of patients at risk of vision loss from AMD First investment: 2003 Total investment: $37m ($8.5m AMD destroys sharp, central vision, necessary for by Elron) common tasks such as facial recognition, driving, reading, Main partners: Everg

  17. Slide 17: Notal Vision: Market and Reimbursement

    INNOVATION AMD is the leading cause of severe vision loss and blindness Notal Vision began marketing the ForeseeHome in the U.S. in adults over age 50 in the western world The American Academy of Ophthalmology (AAO) adopted a ~9.1m individuals with dry AMD recommendation in its clinical guidelines f

  18. Slide 18: Notal Vision: How ForeseeHome Works

    INNOVATION The device detects even The Data Monitoring Center small changes in vision alerts patient & doctor 18 Notal Vision website: http://www.notalvision.com/

  19. Slide 19: Cartiheal: Innovation

    INNOVATION Elron’s holding: 33% Founded: 2009 Implant for repairing cartilage and osteochondral defects in loadbearing joints, such as the knee First investment: 2012 Total investment: $16m ($6.3m The implant has a unique structure, comprising of marine by Elron) aragonite with biological modificati

  20. Slide 20: Cartiheal: Clinical Progress

    INNOVATION Between 2004 and 2011 ~2m people in the U.S. have The implant is CE certified since April 2011 undergone a surgical procedure to repair cartilage in the knee Preclinical studies demonstrated cartilage & bone regeneration at the implantation site A series of clinical trials are underway at

  21. Slide 21: Cartiheal: Post-op Results

    INNOVATION 1 day post-op: 6 months post-op: 21

  22. Slide 22: Value

    VALUE  Book value of associates & Holdings in companies 1 Book value at Amount invested consolidated companies: Dec. 31, 2014 ($m) ($m) generally represents the Associates and consolidated companies: amount invested in the Pocared 2 6.1 41.8 companies less our share in BrainsGate 2 2.3 24.5 Others

  23. Slide 23: Opportunity

    OPPORTUNITY Proven expertise in identifying opportunities, building technology leaders, and exiting holdings Operational holding company with the ability to provide its group companies long-term commitment Strategic partnership with Rafael – access to state-of-the- art military technologies, and exc

  24. Slide 24: Legacy

    LEGACY “ Looking ahead, Elron should always understand that the ever evolving changes in the high tech industry will be exponential, and therefore, success will depend on choosing the right niches in the world market in which it can maintain and improve its relative advantage. Mr. Uzia Galil, Elron’

  25. Slide 25: Elron. Opportunity. Thank you.

    ELRON. OPPORTUNITY Thank you.

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