Slide 1: The Turnaround Story
OrchidPharma” — A Dhanuka Group Company — The Turnaround Story
Slide 2: Disclaimer
DISCLAIMER This presentation has been prepared by Orchid Pharma Limited (the “Company”) solely for your information and for your use and may not be taken away, distributed, reproduced, or redistributed or passed on, directly or indirectly, to any other person (whether within or outside your organiza
Slide 3: Company Overview
COMPANY OVERVIEW PIONEER IN CEPHALOSPORIN ANTIBIOTICS R&D Focused, Inventor of Enmetazobactam (Ph.-3 Trials done in US & EU) Acquired by Dhanuka Group through CIRP Process on 1st April 2020 ABOUT DHANUKA GROUP ~ 2500 Crore diversified group. interests in Crop Care and Pharma Dhanuka Laboratories is
Slide 4: History
HISTORY 1992 2021 Orchid was Formed Marked Improvement in Performance 2005 2020 First USFDA Approval Dhanuka Acquires Orchid on 31st March 2020 FDF Facility Inaugurated by Dr. APJ Abdul Kalam 2008 2019 First ANDA Approval NCLT Approves Dhanuka’s plan Partnership with Merck for Drug Discovery 2018 20
Slide 5: Background and Pedigree
BACKGROUND AND PEDIGREE DHANUKA AGRITECH LTD DHANUKA LABORATORIES LTD. • Flagship of the Group founded in 1980. • Pharmaceutical Arm started in 1998. • Listed on Stock Exchanges for 35 years with a Market • Leader in Cephalosporin Antibiotics in Emerging markets. Cap of USD 600mn • JV with Otsuka -
Slide 6: Key Rationale for Acquiring Orchid Pharma
KEY RATIONALE FOR ACQUIRING ORCHID PHARMA ORCHID DHANUKA GROUP Strengths 1. Regulatory Approvals – US / EU / Strengths Japan / LATAM 1. Cost Efficient Management 2. Large Capacity 2. Strong R&D 3. Widest Range 3. Execution Capabilities Threats S Weaknesses Threats S Weaknesses 1. Financial Stress 1.
Slide 7: Antibiotics - The Life Saving Drugs
ANTIBIOTICS - THE LIFE SAVING DRUGS ▪GLOBAL ANTIBIOTICS MARKET SHARE, BY DRUGS CLASS,2019^ Global Antibiotics Market in 2019 – USD 43 bn Cephalosporin Penicillin Fluoroquinolone Cephalosporins is the Largest class with 30% share. Macrolides Others Cephs have Excellent Safety profile and wide coverag
Slide 8: Capabilities
OrchidPhama? A Dhara Gro CAPABILITIES
Slide 9: Widest Range of Cephalosporins
WIDEST RANGE OF CEPHALOSPORINS GENERATION 1 GENERATION 2 GENERATION 3 GENERATION 4 ORAL ORAL GENERATION 5 • Cefadroxil ORAL Cefprozil • Cefalexin Cefdinir Cefuroxime STERILE • Cefradine Cefditoren Cefepime STERILE Cefixime STERILE Cefpirome STERILE Cefpodoxime Ceftobiprole Cefoxitin Cefquinome • Cef
Slide 10: Global Presence with a Wide Customer Base
GLOBAL PRESENCE WITH A WIDE CUSTOMER BASE ORCHID’S PRESENCE Revenue Breakup by Geography Export Market Share by Geography (FY-21) (FY-21*) 4% 5% 2% 6% 7% 24% 24% 18% 33% 65% Africa Asia Africa Asia Europe North America Europe North America South America South America
Slide 11: Largest Integrated Cephalosporin API Company
LARGEST INTEGRATED CEPHALOSPORIN API COMPANY • Integrated facilities from Intermediate to finished – 60 Acre • Sterile – 3 Lines Sterile Crystalline and 1 Lyophilized • Oral – 7 Blocks with multiple lines • Intermediates – 5 Blocks with multiple lines • Total Capacity 900MT • Worldwide approvals
Slide 12: Finished Dosage Facilities
FINISHED DOSAGE FACILITIES IKKT • USFDA / UKMHRA Certified • 29 ANDAs with associated DMFs • Exporting to US / EU Markets • Now Hived off to associate JV Company F1 • Was a small Cephalosporin Operation • Now being upgraded to meet PICS standards • Will focus on Oral Ceph FDF for Exports
Slide 13: Strong R&D Capabilities
STRONG R&D CAPABILITIES ANALYTICAL R&D PROCESS R&D NMR (Multinuclear) Sterile Crystallization & Lyophilization Powder XRD Asymmetric Synthesis ICPMS LCMS/MS Chemical Resolution Ion Chromatograph Enzymatic Catalysis Preparative HPLC Freeze Driers Amino acids and peptide synthesis DSC TGA Heterocycles
Slide 14: Management
MANAGEMENT BOARD OF DIRECTORS Mr. Ram Gopal Agarwal Mr. Manish Dhanuka Mr. Arun Kumar Dhanuka Mr. Mridul Dhanuka Chairman and Non- Managing Director Non-Executive Director Whole-Time Director Executive Director ~Visionary Leader at the ~Director at DLL, DAL and ~Chemical Engineer & MBA; ~Founder Cha
Slide 15: Focus on ESG
FOCUS ON ESG Environment Consciousness has been Orchid’s Hallmark right from Inception. Dupont safety systems implemented with an aim of Zero Incident Orchid now backed by Dhanuka group, having TARA excellent Corporate Governance Standards ORCHID’S FACE OF SAFETY
Slide 16: Commitment to Environment
COMMITMENT TO ENVIRONMENT WATER AIR • Advanced Evaporation and RO Systems • Vent Gas Scrubbing System • ZERO Liquid Discharge • Highest Possible Recovery @ -80deg Centigrade • No fugitive Emissions • 70% of fresh Water is recycled after recovery • ESP / Venturi Filters for Particle Arrest
Slide 17: Future Strategy
OrchidPharma? — A Dhanuka Group Company — FUTURE STRATEGY
Slide 18: Strategy for Orchid API Business
STRATEGY FOR ORCHID API BUSINESS WIN BACK LOST BUSINESS GROW NEW BUSINESS DEBT REDUCTION • Bring down term debt to below • ORAL • To develop new products, which Rs. 100 crore by March 2022 • Target old customers in are already off patent, but not in • Hiving off the NPNC FDF business regulated marke
Slide 19: Strategy - To Attain Leadership in APIs
STRATEGY - TO ATTAIN LEADERSHIP IN APIS • Business Consolidation Committee formed to evaluate the consolidation of Dhanuka Laboratories Limited with Orchid. PROPOSAL TO CONSOLIDATE GROUP’S API • This consolidation was part of the Resolution Plan submitted to NCLT BUSINESSES UNDER A SINGLE UMBRELLA •
Slide 20: Proud Moment for India: First Product Invented in India to Clear Ph.-3
PROUD MOMENT FOR INDIA FIRST PRODUCT INVENTED IN INDIA, TO CLEAR PH.-3 • In 2013, Orchid out licensed a NCE Enmetazobactum to Allecra Therapeutics, Germany for Clinical Trials. Cleared the Phase 3 trials in October 2020. • This is a Unique Beta Lactamase Inhibitor, in combination with Cefepime. • Ta
Slide 21: Financials
FINANCIALS
Slide 22: Impact of Covid-19
IMPACT OF COVID-19 COVID – 19 created Estimated demand In last one year of our takeover, we havoc across the reduction of ~ 20% in have utilized the spare capacity to Pharmaceutical 2020 vs 2019. complete validation batches of supply chain new product filings in Europe and other regulated markets. E
Slide 23: Cost Control Measures Improving Financial Performance
COST CONTROL MEASURES IMPROVING FINANCIAL PERFORMANCE IMPROVING PROFITABILITY… ORCHID FINANCIALS PRODUCT-MARKET MIX 600 8% 481 451 Regulated - Oral 400 35% 27% Regulated - Sterile 200 Emerging - Oral 64 31% 9 - Emerging - Sterile 19-20 20-21 Sales EBITDA …AS A RESULT OF EFFECTIVE COST CONTROL MEASUR
Slide 24: Thank You
THANK YOU
Slide 25: Financial Performance (Excluding IKKT Business)
FINANCIAL PERFORMANCE (EXCLUDING IKKT BUSINESS) (Rs Crs) FY2021 FY2020 Change % Sales 450.70 481.21 -6.34% Other Income(1) 6.48 24.28 COGS 229.27 200.31 Employee Expenses 64.40 71.60 Other Expenses 99.14 199.97 EBIDTA (including other income)* 63.64 9.43 574.86% EBITDA Margin (%) 14.12% 1.96% Intere
Slide 26: Annexures
ANNEXURES
Slide 27: Dhanuka Group Current Shareholding of Orchid Pharma Ltd.
Current Corporate Structure Dhanuka Group 75% 100% 25% Dhanuka Laboratories Ltd. Public Dhanuka Agritech Ltd. (Unlisted) 98.00% 2.00% Public & Orchid Pharma Ltd. Others Current Shareholding of Orchid Pharma Ltd. SH Summary (%) No. of Shares Holding (%) Promoters 4,00,15,963 98.04% Financial Institut
Slide 28: CSR Initiatives
CSR INITIATIVES • As a global pharmaceutical corporation, company’s desire to cure extends beyond health care, spilling over to ills in the Placing social and economic arenas Community before • This sensitivity to the community related issues has spurred Commerce into creating a development trust, w
Slide 29: Awards and Accolades
AWARDS AND ACCOLADES Top Indian Public Limited Company in Awarded IGCW – 2011 Green Innovation Patent at the 5th National Intellectual Received EXIM Achievement Award 2012 Award for the outstanding research in the Property Award 2013, for its meritorious export performance by field of Green Chemistr