Hbm Healthcare Investments Ag Temp · SIX:HBMNE
Hbm Healthcare Investments Ag Temp — HBM Healthcare Investments — Investor Presentation (September 2024)
56 slides from Hbm Healthcare Investments Ag Temp's investor presentation, September 2024
Slide 1: HBM Healthcare Investments
HBM Healthcare Investments U N IQUE IN VE ST M E NTS IN P RIVA T E A N D L ISTED L IF E SCIENCES COM PA NIES SE P T E M BE R 2 0 2 4
Slide 2: About HBM Healthcare Investments
About HBM Healthcare Investments 2
Slide 3: Profile
HBM Healthcare Investments Profile Swiss investment company with $2.0 billion assets holding a global portfolio of emerging life sciences companies Unique Investments Portfolio Expertise Swiss-based, permanent Focusing on growth companies Dedicated investment capital, healthcare- companies in the bi
Slide 4: At a Glance
HBM Healthcare Investments At a Glance Registered Shares (CHF) Performance (CHF) 5Y 10Y Total assets 1’691 million Net return Return Return (including Net assets (NAV) 1’578 million distribution) 2024 2023 2022 2021 p.a. p.a. Market capitalisation 1’260 million NAV 6.1% -8.3% -21.7% 19.0% 7.4% 10.9%
Slide 5: Indexed Performance Over 10 Years
HBM Healthcare Investments Indexed Performance Over 10 Years 550 10Y Performance* 500 450 219.2%, 12.3% p.a. 182.2%, 10.9% p.a. 400 131.3%, 8.7% p.a. 126.5%, 8.5% p.a. 350 65.9%, 5.2% p.a. * Total return, distributions reinvested 300 250 200 150 100 50 0 Aug-14 Aug-15 Aug-16 Aug-17 Aug-18 Aug-19 Aug
Slide 6: Portfolio Highlights Over the last Years
HBM Healthcare Investments Portfolio Highlights Over the last Years Mineralys Therapeutics Closes $40 Million Series A Funding > 25 new private investments >20 IPOs 13 Trade sales Positive clinical data 7 market approvals Upcoming catalysts in 2024/25 Data as of 31 August 2024 6
Slide 7: Proven Track Record of more than 65 Trade Sales and IPOs in 10 Years
HBM Healthcare Proven Track Record Investments of more than 65 Trade Sales and IPOs in 10 Years $1.3 billion $4.1 billion $210 million $175 million $192 million $95 million $11.6 billion $100 million $168 million $260 million Acquisition Acquisition IPO on IPO on IPO on IPO on Acquisition IPO on IPO
Slide 8: Investment Strategy
HBM Healthcare Investments Investment Strategy − Investment focus on companies with innovative platforms and drug Innovation candidates Private and − Portfolio of private and small-cap public companies (generally market Public capitalisation below USD 2 bn) − Investments typically first made in a ve
Slide 9: Investment Approach
HBM Healthcare Investments Investment Approach Investment Approach − Fundamental long with private and public healthcare Bellwethers investments − Bottom-up selection of investments with solid long- Emerging Leaders term growth potential Investments in Listed − Diversified portfolio approach Potenti
Slide 10: Private Equity Investment Process
HBM Healthcare Investments Private Equity Investment Process # companies >700* ~200 ~25 10-15 per annum Investment Comprehensive Investment Deal Sourcing Initial Due Diligence Recommendation / Due Diligence Monitoring / Exit Decision • Appraisal of scientific, Monitoring activities • Company and • D
Slide 11: Public Equity Investment Process
HBM Healthcare Investments Public Equity Investment Process Idea Generation − Appraisal of scientific, technological, regulatory and political trends Due Diligence − Universe of >1,500 healthcare companies (approx. 15% are − Scientific and clinical review: Survey of scientific Idea covered by stock
Slide 12: Deal Sourcing of Private Equity Investments
HBM Healthcare Investments Deal Sourcing of Private Equity Investments HBM as Lead Investor Mineralys Therapeutics Closes $40 Million Series A Funding Backed team Other VCs or BoD relationship Relationship with Direct sourcing / Strategic fund previously founder/ HNWI / Family investments management
Slide 13: Healthcare Sector
Healthcare Sector 13
Slide 14: Attractive Growth Sector with Strong Fundamentals and Drivers
HBM Healthcare Attractive Growth Sector Investments with Strong Fundamentals and Drivers Biotech Outperformed the Market Over Short & Long Term − Healthcare sector’s fundamentals remain intact and are 6400 NASDAQ Biotechnology Index: +2808% (12% p.a.) supportive for further outperformance MSCI World
Slide 15: Emerging Biotech Companies as the Backbone of Innovation
HBM Healthcare Emerging Biotech Companies as the Investments Backbone of Innovation Source of Origination for Share of R&D Pipeline by Company Type Novel Active Substances (NAS) Launched Number of NASs 100% 80 90% 70 80% 60 70% 60% 50 50% 40 40% 30 30% 20 20% 10% 10 0% 0 2001 2003 2005 2007 2009 201
Slide 16: New and Changing Treatment Modalities - Today and Tomorrow
HBM Healthcare New and Changing Treatment Modalities - Investments Today and Tomorrow «Advanced cell therapies» (CAR-Ts, TILs; stem cells; various other cell types) Gene therapy «RNA therapeutics» (ASOs, RNAi, mRNA, Gene editing rSMs) Next-Generation Small Molecules Antibodies: fragments, bispecific
Slide 17: Vivid Environment with High M&A Premiums
HBM Healthcare Investments Vivid Environment with High M&A Premiums 2023/24 Acquisitions 2022 Acquisitions Company Company Date Acquirer Price Premium* Date Acquirer Price Premium* acquired acquired 8.7.24 $3,200m 79% 12.12.22 $27,800m 20% 29.4.24 $2,400m 75% 21.11.22 $1,350m 107% 10.4.24 $4,900m 67
Slide 18: Many Pharma Patent Expiries Due to Come
HBM Healthcare Investments Many Pharma Patent Expiries Due to Come 2023 2024 2025 2026 2027 2028 Product Product Product Product Product Product Company Company Company Company Company Company ('22 sales) ('23 sales) ('24 sales) ('25 sales) ('26 sales) ('27 sales) Humira ($21bn) Eylea ($10bn) Soliri
Slide 19: With so Much Firepower, M&A Likely to Continue
HBM Healthcare Investments With so Much Firepower, M&A Likely to Continue Pharma capacity available Cash, debt or capacity in $bn 90 Post $4bn Daiichi upfront Additional Debt 80 $76 Cash $73 Post $7bn TL1A & $2.7bn Carmot 70 Post $4.1bn RYZB, $65 Post $10bn IMGN $14bn KRTX Post €2.7bn MOR & $8.7bn C
Slide 20: Investment Portfolio
Investment Portfolio 20
Slide 21: A Global Portfolio
HBM Healthcare Investments A Global Portfolio Vicore ArriVent Biopharma BioInvent Zymeworks Valo Health Biohaven Merus Odyssey Y-mabs Argenx Alumis Mineralys Upstream Bio Swixx BioPharma ALX Oncology NiKang Harmony Biosciences Yellow Jersey (Numab) DrenBio ConnectRN Rocket Pharmaceuticals Beigene Ne
Slide 22: Asset Allocation
HBM Healthcare Investments Asset Allocation In CHF million Cash, net 7%; 132 Public Equity 22%; 404 Public from Private Equity 21%; 390 Private Equity 38%; 700 Private Equity Funds 10%; 176 Other Assets 2%; 44 Other Liabilities -1%; -25 Financial Debt -5%; -99 -400 -200 0 200 400 600 800 Data as of
Slide 23: Diversified Investment Portfolio
HBM Healthcare Investments Diversified Investment Portfolio Cure Everlife Holdings 0.7% Zymeworks 0.7% Rocket Pharmaceuticals 0.7% Asset Allocation Odyssey Therapeutics 0.7% Sai Life Sciences in % total assets 0.8% Alumis 0.8% Valo Health 0.9% Other Assets; 2% BioInvent 0.9% Insmed 0.9% Nuance Biote
Slide 24: Portfolio Breakdown by Market Cap, Geography and Currency
HBM Healthcare Portfolio Breakdown Investments by Market Cap, Geography and Currency Market Capitalisation Geography Currency > CHF 10 billion 5% Others INR 5% 5% Asia Europe CHF 2-10 CHF * 29% 25% billion 9% 25% CNY 11% USD* < CHF 2 58% billion EUR 12% 75% America 46% Data as of 30 June 2024, in %
Slide 25: Portfolio Breakdown by Sector, Therapy and Development Stage
HBM Healthcare Portfolio Breakdown Investments by Sector, Therapy and Development Stage Sector Breakdown Therapeutic Area Development Stage Specialty Pharma Medtech / Pre-Clinical 7% 3% Diagnostics Medical Devices & Orphan diseases 6% Diagnostics 6% 8% Phase I Digital health Others 24% 12% 8% Profit
Slide 26: Development of Asset Allocation
HBM Healthcare Investments Development of Asset Allocation 3’200 Public Equity Public from Private Equity Private companies Private Funds 2’800 Other assets Cash Financial Liabilities Other liabilities 306.4 CHFm 2’400 Cum. Dividend Cum. Share Buy-Back 2’000 520.8 CHFm 11% 1’600 2% 10% 1’200 35% 800
Slide 27: Development Stage of Lead Product
HBM Healthcare Investments Development Stage of Lead Product 100% 8% 9% 80% 16% 4% 60% 40% 63% 20% 0% 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 Product(s) on the market and/or profitable Phase III Phase II Phase I Preclinical Data as of the end of each
Slide 28: Portfolio by Development Stage of Lead Asset
HBM Healthcare Investments Portfolio by Development Stage of Lead Asset Well balanced portfolio from a risk perspective HBM book value in CHF m 110 200 100 190 Public Equity Public from Private Equity 170 90 Private Equity 80 70 60 50 40 30 20 10 0 Phase I / Preclinical Phase II Phase III Market Pro
Slide 29: Largest Investments (1/2)
HBM Healthcare Investments Largest Investments (1/2) Market Book % of Company Capitalisation Owner- Value Total Company Core Business Stage Ticker (CHF m) ship (%) (CHF m) Assets Synthetic biology (long chain Profitable 688065 CH 3’273 6.1 200.01) 10.8 diacids, carbohydrates, special (ex private) en
Slide 30: Largest Investments (2/2)
HBM Healthcare Investments Largest Investments (2/2) Market Book % of Company Capitalisation Owner- Value Total Company Core Business Stage Ticker (CHF m) ship (%) (CHF m) Assets Bispecific antibody-based Phase I/II MRUS 3’581 1.3 45.5 2.5 therapeutics for oncology Drugs for the treatment of severe
Slide 31: Largest Private Equity Investments
HBM Healthcare Investments Largest Private Equity Investments 173 Swixx BioPharma 40 Upstream Bio − Full representation services for pharma/biotech in CEE (Central − Acquired UPB-101 from Astellas, a clinical-stage monoclonal and Eastern Europe) antibody targeting TSLP Receptor. Clinically validated
Slide 32: Largest Public Equity Investments
HBM Healthcare Investments Largest Public Equity Investments 200 Cathay Biotech 40 Argenx − Synthetic biology company: long-chain dicarboxylic acids / bio- − Drugs for autoimmune diseases – lead drug market approved based diamine 5 & bio-based polyamide / polyesteramide VYVGART for the treatment of
Slide 33: Return Generation by M&As from Public Portfolio
HBM Healthcare Investments Return Generation by M&As from Public Portfolio Share price in USD Number of shares (in 000’) Share price in USD Number of shares (in 000’) 40 2’000 250 16 Multiple: 2.0x Multiple: 1.6x 14 Invested: CHF 15.6 million 200 Invested: CHF 8.3 million 30 1’500 12 10 150 20 1’000
Slide 34: Latest M&As from Public Portfolio Companies
HBM Healthcare Investments Latest M&As from Public Portfolio Companies Share price in USD Number of shares (in 000’) Share price in USD Number of shares (in 000’) 40 1’000 45 800 Multiple: 1.9x Multiple: 1.3x 700 Invested: CHF 8.8 million Invested: CHF 20.8 million 30 600 30 500 20 500 400 300 15 10
Slide 35: Strategic Fund Investments
HBM Healthcare Investments Strategic Fund Investments Sector Focus (Early Stage Genomics and Medical Devices) Geographic Focus (China and India) HBM Genomics 6 Dimension Capital Vintage: 2018 | Commitment: $25 m | TVPI 1.8x | Ownership: 5% Vintage: 2015 | Commitment: $22 m | TVPI 2.0x | Ownership: 1
Slide 36: Latest IPOs from Private Equity Portfolio
HBM Healthcare Investments Latest IPOs from Private Equity Portfolio $ Amount Invested Multiple to IPO $ Amount Post IPO Performance Company Year of IPO Private Price Invested at IPO (until end of Period or Sale) Alumis 2024 5.0 1.10x 15.0 -21% Arrivent Biopharma 2024 12.0 1.10x 6.8 49% Mineralys Th
Slide 37: Contribution to Net Asset Value
HBM Healthcare Investments Contribution to Net Asset Value Private and Ex Private Equity Positions Account for a Majority of Contribution NAV change per year 70% 60% 50% 40% 30% 20% 10% 1.5% 6.6% 0% -5.9% -0.5% -10% -1.4% -20% 13/14 14/15 15/16 16/17 17/18 18/19 19/20 20/21 21/22 22/23 23/24 Private
Slide 38: Case Studies HBM Portfolio Companies
Case Studies HBM Portfolio Companies 38
Slide 39: Case Study Swixx BioPharma
Case Study Company Profile − Swixx BioPharma is representing small and mid-sized biopharma and established pharmaceutical companies in those regions and countries where such firms choose not to enter, or plan to exit. Swixx Biopharma has a very strong position in Central and Eastern Europe (CEE) and
Slide 40: Case Study Numab Therapeutics
Case Study Numab Company Profile − Discovery and development platform company for multi-specific antibody-based Therapeutics immunotherapies for inflammation and cancer. Based in Horgen (Zurich/Switzerland). − Founded by a team of Swiss scientists - many ex-Esbatech (HBM investment acquired by Alcon
Slide 41: Case Study Merus
Case Study Company Profile − Merus is a public, clinical-stage biopharmaceutical company developing novel therapies for the treatment of cancer Investment Rationale − Lead program petosemtamab is a bispecific targeting EGFR and LGR5 in 1L and 2L head & neck cancer has shown differentiated activity v
Slide 42: Case Study Upstream Bio
Case Study Company Profile − Upstream Bio is a private, clinical-stage biopharmaceutical company developing novel Upstream Bio therapies for the treatment of asthma and related diseases Investment Rationale − Inflammation and immunology spans a number of overlapping indications with a high unmet med
Slide 43: Case Study Mineralys Therapeutics
Case Study Company Profile − Mineralys Therapeutics is a private, clinical-stage biopharmaceutical company Mineralys developing novel therapies for the treatment of hypertension and related diseases such as chronic kidney disease Therapeutics Investment Rationale − Lack of innovation in the area of
Slide 44: Case Study Arrivent Biopharma
Case Study Company Profile − Arrivent Bio is a public, clinical-stage biopharmaceutical company developing novel Arrivent Biopharma therapies for the treatment of lung cancer Investment Rationale − Exon 20 and atypical mutation EGFR mutated NSCLC patients comprise an estimated 22% of all EGFR mutate
Slide 45: Healthcare & Biopharma Market Outlook
HBM Healthcare Investments Healthcare & Biopharma Market Outlook Selling pressure in the biopharma sector has notably eased, indicating a more stable market environment and a potential opportunity for investors to reconsider biotech investments Tailwinds Headwinds − A new cycle of major biotech inno
Slide 46: Expected Catalysts for 2024/25
HBM Healthcare Investments Expected Catalysts for 2024/25 Phase I Phase II Phase III Approval EYP-1901: Non- Zenocutuzumab MCLA- Furmonertinib: Proof-of- Evorpacept: Results from Troriluzole: top-line data, CRB-701: US dose phase I proliferative diabetic Obefazimod, phase III 128 (HER2 x HER3) FDA c
Slide 47: Main Catalysts for HBM Public Portfolio Co's
HBM Healthcare Investments Main Catalysts for HBM Public Portfolio Co’s Company Therapeutic area Phase Description of catalyst Oncology II Results from full enrollment in phase II ASPEN-06 in gastric cancer Oncology Ib Furmonertinib: proof-of-concept data in PACC EGFRm, non-small cell lung cancer Ne
Slide 48: Reasons to Invest
HBM Healthcare Investments Reasons to Invest − Access to a well-diversified portfolio of private and listed healthcare companies with value increasing potential − Experienced investment team with specialized sector expertise and proven 1. Investment in the track record innovation and the growth of t
Slide 49: Appendix
Appendix 49
Slide 50: Investor Information
HBM Healthcare Investments Investor Informationen Share Information Largest shareholders Swiss security number 1.262.725 % Shareholder Notification German security number 984345 15-20 Nogra SA, Luxemburg 9.11.2016 ISIN CH0012627250 CUSIP H 3553X112 Distribution policy Telekurs 126,126272 Withholding
Slide 51: Board of Directors
HBM Healthcare Investments Board of Directors Hans Peter Hasler (2009) Mario G. Giuliani (2012) Dr Elaine V. Jones (2021) Chairman Member Member Swiss Federal Commercial Diploma. Economist. Executive positions and Ph.D. in Microbiology. Formerly various Various international management directorships
Slide 52: Management
HBM Healthcare Investments Management Dr Andreas Wicki (2001) Erwin Troxler (2005) Jean-Marc Lesieur (2001) CEO CFO Managing Director HBM Cayman Economist and Swiss Certified Associate of the Chartered Institute of Doctorate in chemistry and Accountant. Bankers (ACIB trustee), a member of the bioche
Slide 53: Private Equity Team
HBM Healthcare Investments Private Equity Team Dr Alexander Asam, MBA (2007) Dr Priyanka Belawat (2007) Dr Emil Bujak, CFA (2015) Investment Advisor Investment Advisor Advisor to HBM Partners MBA from ASTON Business School, PhD in molecular biology and genetics from PhD and MSc in Medicinal and Indu
Slide 54: Public Equity Team
HBM Healthcare Investments Public Equity Team Miranda Guo (2020) Mirjam Heeb (2019) Thomas Heimann (2010) Investment Advisor (Hong Kong) Investment Advisor Head Operations & Investment MSc in Biomedical Engineering from the MSc in Molecular Biology from the Solutions Chinese University of HongKong.
Slide 55: Disclaimer
HBM Healthcare Investments Disclaimer Marketing Communication This document constitutes marketing material and is intended to be for information purposes only. The material is not intended as an offer or solicitation for the purchase or sale of any financial instrument and should therefore not be re
Slide 56: Contact Information
HBM Healthcare Investments Contact Information HBM Healthcare Investments Ltd Bundesplatz 1 6301 Zug Switzerland Phone +41 41 710 75 77 Fax +41 41 710 75 78 investor.relations@hbmhealthcare.com www.hbmhealthcare.com 56
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