Uphealth, Inc. · OTC:UPHL
Uphealth — SPAC Merger (March 2021)
55 slides from Uphealth's SPAC merger presentation, Mar 25, 2021
Slide 1: UpHealth Reshaping Healthcare
UpHealth Reshaping Healthcare March2021 Current SPAC Ticker:GIX Future NYSE Ticker:UPH
Slide 2: Disclaimer
Disclaimer This presentation(this“Presentation”) is provided for informational purposes only and has been prepared to assist interested parties in making their own evaluation with respect toa potential business combination among UpHealth Holdings, Inc.(“UpHealth”), Cloud break Health, LLC (“Cloudbre
Slide 3: Disclaimer: Important Information and Where to Find It
Disclaimer Important Information And Where To FindIt In connection with the Proposed Business Combination, GigCapital2 filed a registration statement on Form S-4, on February 8, 2021 including a proxy statement/prospectus (the “Registration Statement”), with the Securities and Exchange Commission (t
Slide 4: UpHealth's SPAC Sponsor is a Proven Innovator with a Unique Approach
UpHealth’s SPAC Sponsor is aProven Innovator with A Unique Approach Executive Chairman and Founding Managing Partner of GigCapital Global and all its entities, includingGigCapital2 Founder, COB, CEO GigOptix /GigPeak (NYSE:GIG) Serial entrepreneur and angelinvestor Dr. AviKatzwith 30+ years of exper
Slide 5: Presenters
Presenters RameshBalakrishnan Co-Chief ExecutiveOfficer Jamey Edwards Chief ExecutiveOfficer of Cloudbreak(1) MartinBeck Chief FinancialOfficer 5 Notes: (1) Jamey Edwards will be the Chief Operating Officer of UpHealth upon transaction close.
Slide 6: UpHealth Is Combining to Form One of the Only Profitable, Global, Digital Health Companies
UpHeal thIs Combining to Form One of the Only Profit able, Global, DigitalHealth Companies Serving the Enterprise Healthcare Marketplace 6
Slide 7: Investment Highlights
Investment Highlights UpHealth provides a unique investment opportunity in a rapidly growing sector with significant scale,business visibility, profitability and experienced management Integrated Global Health Platform Addressing Massive Markets withCritical UnmetNeeds Proven Solutions with Signific
Slide 8: UpHealth at a Glance
$117mm Health Systems/ MedicalGroups Health Plans Government Agencies Employer Health Education Notes: The UpHealth financial information presented is unaudited, includes non-GAAP financial measures and reflects the pro-forma combination of the individual business entities UpHealth at aGlance UpHeal
Slide 9: UpHealth Purposely Constructed to Support Local Healthcare
UpHealth has been purposely constructed to support local healthcare in addressing their most pressingchallenges: Care Coordination Addressing Health Disparities (care access &affordability) The Movement to Value Based Care Mental Health Global Telehealth Integrated Care Management Behavioral Health
Slide 10: Delivering One UP Health Across the Continuum
Delivering One UP Health to Power Digital Health’s Transformation Across the Continuum Integrated Care Global Digital Behavioral Management Telehealth Pharmacy Health BUSINESS DESCRIPTION: BUSINESS DESCRIPTION: BUSINESS DESCRIPTION: BUSINESS DESCRIPTION: BUSINESS DESCRIPTION: Population Health & Res
Slide 11: Operating Across Key Major Verticals in Healthcare Delivery
...Operating Across Key Major Verticals with Main Roles in Healthcare Delivery... Health Systems/ Medical Groups Health Plans Government Agencies Employer Health Education 11
Slide 12: Digitally Enabled Care Communities
...Connecting the Dots to Create Digitally Enabled Care Communities... UpHealth’s carecommunities surround a patient with the resources they need when they need it,combining disparate data sources, unifying communication and aligning unique points on the care continuum into digitally enabled collabo
Slide 13: Create Healthcare the Way it is Supposed to Be
...To Create Healthcare the Way it is Supposed to Be Integrated & Coordinated Care Teams Proactive, Connected & Data-Driven Personalized &Guided Care Experience Frictionless, Engaging& Easy touse Cumbersome & Complex Single Encounter Inaccessible, Inefficient, Poor Experience Siloed, Episodic Care &
Slide 14: The Opportunity
The OpHportunity
Slide 15: Healthcare, One of the Largest Markets, Is Broken
Healthcare, One of the Largest Economic Markets in the World, IsBroken… Sick VS Preventive Care $4Trillion inCosts(1) (17.7% ofGDP) $ #1Cause of Personal Bankruptcy Overwhelming Complexity Rife withHealth Disparities Patients Providers Payors Pharma 42% 15 NearlyHalf of U.S. Physicians report burnou
Slide 16: One of the Last Major Verticals to Go Through Digital Transformation
…and Is One of the Last Major Verticals to Go Through Digital Transformation… Making owninga carsuper fluous TRANSPORTATION & WAYFINDING FINANCE AUTOMOTIVE RETAIL FITNESS HEALTHCARE Sources: (1) Ibis world, 2019; (2)selectUSA; (3)CMS NHE Fact Sheet, March2020 (4)Markets and Markets Report, Dec2018 (
Slide 17: UpHealth at the Nexus of Multiple Massive, Rapidly Growing Markets
...With UpHealth Sitting at the Nexus of Multiple Massive &Rapidly Growing Markets at the Beginning of the Adoption Curve... $500B U.S. Drug PrescriptionMarket(3) $1.35T Medicare & MedicaidSpend(4) Digital Pharmacy $100B Additional U.S. Behavioral Health Spend in 2020 and 2021caused byCOVID(2) $61B
Slide 18: Digital Stars Aligning for Digital Health Adoption
…and the Digital Stars Are Aligning to Create the Perfect Conditions for Digital Health Adoption… Decreasing technology costs Covid as a catalyst 81% of the US population has a smartphone(1) Population becoming digitally savvy Sources: (1) Pew Research Center, 2019 (2) US Telecom, The Broadband Asso
Slide 19: Care Being Pushed Into the Community
…With Care Being Pushed Out Into the Community Away From Traditional Brick and Mortar Settings The “gold standard” in healthcare is no longer the in-person visit, it is the Digitally Driven Encounter. In today’s world, that might be email, audio, video, chat or in-person and could happen on-demand o
Slide 20: Strong Movement to Value Based Care
…Supported by a Strong Movement to Value Based Care Focused on Quality and Outcomes There is a movement away from Fee For Service (FFS) healthcare where clinicians get paid based on what they do to somebody to value based care where they get paid for how healthy they can keep them in the first place
Slide 21: UpHealth Will Leverage Its Installed Base to Reshape Healthcare
UpHealth will leverage its large installed base, technology, expertise & care communities to reshape healthcare by making the complex simple, the costly cost effective and the inhumane human. For UpHealth, healthcare just got personal.
Slide 22: Business Overview
Business Overview
Slide 23: A Proven Leadership Team
A Proven Leadership Team Proven track record of success in creating industry leaders in Healthcare, Technology, Services & Finance Dr. Chirinjeev Kathuria Dr. Avi Katz AlGatmaitan, DSc, FACHE Dr. Ramesh Balakrishnan Jamey Edwards Martin Beck Co-Chairman & Co-Founder Co-Chairman Co-Chief Executive Of
Slide 24: Recognized for Expertise in Building Innovative Industry Leaders
...Recognized for Expertise in Building Innovative Industry Leaders… World Economic Forum Becker’s Social Entrepreneur Patrick Soon-Shiong Digital Health Entrepreneur360 Healthcare Hospital Review of the Year Innovation Award Global 100 Top Entrepreneurial Supplier of the Year 260+ telehealth 2020 J
Slide 25: Extensive Reach Across Major Health Systems and Payors Globally
…With an Extensive Reach Across Major Health Systems & Payors Globally Academic Specialty Community Payor / Gov’t /Other 25
Slide 26: Delivering Value to the 4P's of Healthcare
...Delivering Value to the 4P’s of Healthcare UpHealth will serve as a single source for services and technologies essential to the delivery of affordable and effective care to all healthcare stakeholders Platform Offerings Value Delivered A full suite of digital health tools A personalized, conveni
Slide 27: Unified Platform Across the Continuum of Care
UpHealth’s Unified Platform and Ability to Deliver Across the Continuum of Care is What Local Healthcare Wants Our B2B and B2B2C business model that provides game changing technologies and tech enabled services fully integrated with major end users’ workflows and systems
Slide 28: Defensible Moat Against Point Solutions
...Building a Defensible Moat Against Point Solutions in Market for Healthcare’s Platform Driven Future Point Solutions One-off experiences that address specific needs Platform Solution Holistic and integrated end-to-end patient experience
Slide 29: One Stop Shop (OneUPHealth) for Digital Health Enablement
...Via Delivering a “One Stop Shop” (OneUPHealth) for Digital Health Enablement at the Point of Care Simplifying: Replacing disparate point solutions with an easy to use platform putting critical resources at clinical teams fingertips Scaling: Rapidly growing & purely complementary solutions serving
Slide 30: Delivered on a Global Scale
...Delivered on a Global Scale UpHealth’s platform will be comprised of a global network of patients, providers and payors, addressing complex care challenges in developed and developing markets Global operations in 10+ nations Ability to help US institutions with global strategies as well as provid
Slide 31: Focused on Levels of Integration Post Combination
UpHealth is Focused on 3 Levels of Integration Post Combination Go-to-Market: Sales operations & enablement coordinating company offerings and allowing us to offer OneUphealth at the point of care. Product Integration: Integrating technology via API’s & Open Platforms to offer integrated solutions a
Slide 32: The UpHealth Platform
The UpHealth Platform
Slide 33: Delivering OneUPHealth at the Point of Care
UpHealth is Combining to Deliver “OneUPHealth” at the Point of Care Tele-Interpretation Services Tele-PsychiatryCapabilities Powered by Cloudbreak Powered by BHS & Transformations Integrated Full Service ePharmacy Capabilities Specialty Consults Powered by MedQuest Powered byCloudbreak Digitally Dri
Slide 34: Starting with Population Health and Care Coordination
Starting with Population Health and Care Coordination Healthcare Funding Sources Public / Government Payor Premiums Payments for Outcomes, Quality & Performance Outpatient& Diagnostics Care Services Clinical Managers Network Physicians syntranet™ Core Platform me and mmunity-Care d Team Community Pa
Slide 35: Product Screenshots
Product Screenshots
Slide 36: One of the Largest Telemedicine Installed Bases in the Nation
...Adding One of the Largest Telemedicine Installed Bases in the Nation Unified Telemedicine Across the Care Continuum Surrounds patients with their clinical care team on a single multi-party call Any Device, Any Language, Anywhere Interoperable with leading EMR’s and Telemedicine solutions Robust c
Slide 37: Product Screenshots
Product Screenshots 99
Slide 38: Scalable Primary Care Telehealth Solution in International Markets
...an Innovative and Scalable Primary Care Telehealth Solution in International Markets Redefining the Digital Health Encounter The helloLyf & Litmus Suite of Solutions Digitally driven primary & specialty care encounter combining the best of technology with in-person healthcare Focused on emerging
Slide 39: Integrating Digital Pharmacy with Licenses in All States
...Integrating Digital Pharmacy with Licenses in All 50 States Digital Pharmacy At a Glance A full-service manufacturing & compounding pharmacy Full pharmacist support throughout patient care journey Robust medical education platform Operates a 40,000 square foot facility with the ability to expand
Slide 40: Product Screenshots
98 Product Screenshots MeDQuesr 0
Slide 41: Product Screenshots
98 Product Screenshots MeDQuesr ‘MevQuest MevQuesr HORMONE MARKETING & Gemedplus ‘Specifically designed for e-prescribing compounded medications MeoQuesr
Slide 42: Tech Enabled Behavioral Health
...and Tech Enabled Behavioral Health… A Comprehensive Mental Health Offering Evidence based medical and clinical care Holistic treatment & comprehensive suite of services Strong veteran & first responder relationships Specialized programming for individualized patient needs By The Numbers (in 2020)
Slide 43: Unified, Interoperable Digital Health Platform
...to Deliver a Unified, Interoperable Digital Health Platform of Market Leading Solutions Activated with the Simple Push of a Button
Slide 44: Financial Profile
Financial Profile
Slide 45: UpHealth is a Unique Group of Assets
UpHealth is a Unique Group of Assets… Strategically Selected Digital Health Capabilities Addressing a Global Market Need. A Unified Platform Streamlining the Delivery of Effective, Affordable Care. NEAR-TERM PROJECTIONS 1. Diversified Revenue Base and Unique Positioning in the Market 77% Profitable
Slide 46: Predictable Growth and Profitability Year-over-Year
...with a Combination of Predictable Growth & Profitability Year-over-Year 67% 78% Adj. EBITDA 7% 12% 20% Revenue Growth % Margin % 72% CAGR $346M 190% CAGR $69M $194M $117M $8M $24M 2020PF 2021E 2022E 2020PF 2021E (1) 2022E(1) 2020PF 24% 28% Integrated Care Management 35% 2020PF Revenue By Global T
Slide 47: Diversified Growth Engines
...with Diversified Growth Engines By Business $9M $9M $ 194M Unit $46M $13M $117M 2020PF Global Integrated Care Digital Behavioral 2021E Telehealth Management Pharmacy Health By Growth $17M $ 194M Category $36M $19M $6M $117M 2020PF Contracted Services Contracted Volume Product Additional 2021E & I
Slide 48: Valuation
Valuation
Slide 49: UpHealth Compares Favorably to Public Peers on Growth and Margins
UpHealth Compares Favorably to Public Peers on Growth and Margins (1) 2021E Peer Revenue Group Growth(2) 81.3% Mean 69.3% 47.0% 37.8% 35.2% 30.7% 30.1% 30.0% 42.3% 20.4% 11.0% 2021E 31.6% EBITDA Margin(2) 12.4% 12.4% 7.7% 6.3% 6.3% 2.4% 4.8% 3.9% 11.6% 16.2% Notes: Sources: Company filings, Bloomber
Slide 50: Being Priced at a Discount Initially
…is Being Priced at a Discount Initially… 2021E Peer Revenue 19.3x Group Multiple(1) Mean 16.0x 14.6x 12.7x 11.9x 11.1x 11.8x 9.5x 8.9x 7.5x 7.1x 6.4x UpHealth discount 63% 56% 52% 45% 41% 37% 26% 21% 6% (10%) 40.1% to peers Notes: Sources: Company filings, Bloomberg estimates and values as of marke
Slide 51: Enormous Potential to Trade Up in the Near Term
…With Enormous Potential to Trade Up in the Near Term Enterprise Value $31.7B Mean EV / ‘21E Revenue: 11.8x $14.7B $14.5B $12.2B ~1.7x $5.7B $3.9B $2.6B $2.2B $2.3B $0.6B $0.5B $1.4B Peer Group EV / Revenue Enterprise Value Mean Valuations: Now vs. IPO(1) ~1.5x 11.8x ~2.7x $8.9B 8.0x $3.2B At IPO Cu
Slide 52: The Transaction
The Transaction
Slide 53: Estimated Transaction Sources & Uses
UpHealth is a Leading Digital Health Company with a Strong Balance Sheet, Positioned for Significant & Stable Growth Estimated Transaction Sources & Uses ($ in millions) SOURCES(1) GigCapital2 Cash in Trust $149.6 PIPE Investment Proceeds $30.0 Convertible Note $255.0 Seller Rollover Equity $1,100.0
Slide 54: UpHealth Is Combining to Form One of the Only Profitable, Global, Digital Health Companies
UpHealth Is Combining to Form One of the Only Profitable, Global, Digital Health Companies Serving the Enterprise Healthcare Marketplace 54
Slide 55: Thank You
Thank You VISIT OUR WEBSITES: GigCapital2 UpHealth, Inc. www.gigcapital2.com www.uphealthinc.com FOR GIGCAPITAL2 INFORMATION, CONTACT: Brian Ruby, ICR ir@gigcapital2.com FOR UPHEALTH & CLOUDBREAK INFORMATION, CONTACT: Investor Relations: Reed Anderson reed.anderson@icrinc.com Media: Phil Denning phi