Lisata Therapeutics, Inc. · NASDAQ:LSTA
Lisata Therapeutics — NeoStem — Investor Presentation (March 2010)
38 slides from Lisata Therapeutics's investor presentation, Mar 15, 2010
Slide 1: NeoStem, Inc. Investor Presentation March 2010
NEOSTEM, INC. (“NBS”) Investor Presentation March 2010
Slide 2: Forward-Looking Statements
Forward-Looking Statements Thcluded in this presentation are “forward-looking” statements within the meaning of the Private Securities Litigation Reform Act of 1995, as well as historical information. Such forward-looking statements involve known and unknown risks, uncertainties and other factors wh
Slide 3: Company Overview
Company Overview NeoStem, Inc. (NYSE Amex: NBS) Suzhou Erye - ‘SHS alts Pharmaceuticals 100% 100% 51% interest acquired October 30, 2009 Ticker NBS (AMEX) 2010 Trading Range $1.26 - $2.15 Market Cap * $68.7 million Corporate Headquarters NYC Subsidiary (location) Suzhou Erye (China) — pharmaceutical
Slide 4: Investment Summary
Investment Summary =» Adult stem cell platforms offer high margin, near and long-term revenue opportunities = 2010 launches — orthopedic and anti-aging therapies in PRC; cosmetic and anti- aging therapies in Taiwan = Future — innovative VSEL™ technology therapies for cardiovascular, stroke, wound he
Slide 5: Company milestones 2006-2010
2006 - 2008 < Appointed Dr. Robin Smith as CEO (2006) + Purchased NeoStem assets (2006) + Acquired world-wide VSEL™ technology license (2007) + Received DoD earmark — adult stem cell therapy for wound healing (2008) ¥ Raised ~ $16 million 2009 — 2010 to-date + Commenced operations in China In-licens
Slide 6: Adult Stem Cell Initiatives
Adult Stem Cell Initiatives U.S. & China
Slide 7: Stem Cell Market Opportunity
Stem Cell Market Opportunity Attractive market with both near- and longer-term opportunities = Fragmented market with significant barriers to entry = Commercial opportunities already being realized ex-U.S. = Expedited clinical and regulatory pathways compared to U.S. = Regulated by the Ministry of H
Slide 8: Adult stem cell banking and R&D
Adult stem cell bankin: = Recurring revenue stream = Minimally invasive procedure (“apheresis”) = Growing network in major metropolitan areas = Expand to ten centers by end of 2010 = East and West Coast processing locations through PCT Adult stem cell R&D = Global R&D HQ - Cambridge, MA = Advanced e
Slide 9: Collection Process and Delivery Technology
Collection Process — Delive echnology eilevedces thor carrsar » Identification, isolation, and + Cutaneous wound healing with cytokine induction of stem use of very small embryonic- Gide cell mobilization like stem cells = Collection of adult stem = Therapeutic treatment of cells from peripheral blo
Slide 10: Progressive Stem Cell Environment in China
ee Progressive Stem Cell Environment in China = Leverage platform to begin launching stem cell therapies in China in 2010 = Different clinical/regulatory pathway vs. U.S. — MoH instead of SFDA = More receptive of advanced therapeutics such as stem cell therapy = Broader consumer acceptance of non-tr
Slide 11: 2009 Milestones and 2010 Targets
2009 Milestones = Established legal framework to commence operations in China = Collaboration agreements with local partners = Wendeng Hospital = Qingdao Second Sanatorium = Enhance Biomedical Holdings = Licensed space for stem cell R&D and processing facility in Beijing = Acquired stem cell therape
Slide 12: Cord Blood Stem Cell Banking Companies
ee) Cord Blood Stem Cell Banking Companies = China Cord Blood (NYSE: CO) = Acquired by Pantheon China Acquisition Corp. in June 2009 = 9/30/09 LTM revenue = $34.3 million = Current enterprise value = ~$350 million (10.2x LTM revenue) = ViaCell, Inc. = Acquired by PerkinElmer, Inc. in October 2007 =
Slide 13: Stem Cell Therapeutic Companies
Stem Cell Therapeutic Companies Cytori Geron Stem Cell Source GHIA MEETS) Embryonic Mesenchymal Targeted Segments System for Collection Therapeutics Targeted Geographies us. U.S. 9 oe Europe -_ Cancer Other Phi ‘uticals Ne er Pharmaceutical lone (Phase tt) LTM Revenue $14 million $2 million Approxim
Slide 14: Pharmaceuticals - China
Pharmaceuticals - China 14
Slide 15: Large Chinese Pharmaceutical Opportunity
Large Chinese Pharmaceutical Opportunity = China announced $124 billion budget to improve healthcare system in 2009-11 = Provide universal medical service to China’s 1.3 billion population = New Rural & Urban Cooperative Medical Insurance System — at least 90% of population will be covered by 2011 =
Slide 16: Erye — Profitable & Growing
Erye — Profitable & Growing Vertically-integrated manufacturer of generic antibiotic Rx products and APIs = 7cGMP-certified production lines = Extensive distribution network covering all of PRC = No significant customer concentration = 60% of current drug portfolio covered by insurance (expected to
Slide 17: Erye — Diversified Product Portfolio
Erye — Diversified Product Portfolio No single drug accounting for >10% of sales op Ten Drugs 09 (52.6% of Total Sales) Drugs % of Sales Acetylspiramycin 7.5% Oxacillin Sodium 7.2% Mezlocillin Sodium for injection 6.9% Amoxicillin Sodium & Sulbactam Sodium for injection 6.5% Cefoperazone Sodium & Su
Slide 18: New facility completed in 2009
= New facility completed in 2009 = 2010 / 2011 targets = Future Penicillin sterile API facility for solvent crystallization and freeze dried raw material drugs with two cGMP lines approved Penicillin powder for injection facility Cephalosporin powder for injection facility Oral API facility Freeze d
Slide 19: Platform to Drive Growth
— Platform to Dr = Current pipeline of 7 Rx drugs — one approved, three pending SFDA approval = Growth strategy = Enhance R & D activities in China and the U.S. = In-license drugs with proven efficacy & efficacy that leverages new facility = Expand indications beyond anti-infectives Form/Dosage ion
Slide 20: Chinese Pharmaceutical Companies
Chinese Pharmaceutical Companies ($ in millions, except per share data and multiples) Price LTM —-LTM.s-EV/LTM Trailing Company Name Ticker 1/29/10 EV Rev EPS _ Rev PIE 3SBi0 SSRX $1144 1391 443 046 31x 246x China Biologic Products CBPO $991 2290 945 038 24x 26.0x China Pharma Holdings CPHH $348 147
Slide 21: Financials
Financials
Slide 22: NBS and CBH / Erye financial summary
($ in 000s) NBS CBH / Erye LTM 9/30/09 LTM 9/30/08 LTM 9/30/09 LTM 9/30/08 Revenues 192 207 58,001 46,147 Gross Profit 80 179 19,303 13,523 Gross Margin % NM NM 33.3% 29.3% Operating Inc. (Loss) (16,175)' (9,142) 12,213 7,647 Operating Margin % NA NA 21.1% 16.6% Net Inc. (Loss) before Minority Int.
Slide 23: Pro Forma Balance Sheet
Pro Forma Balance Sheet Pro Forma Balance Sheet' ( 000s) 9/30/09 Cash & Short-term Investments 8,711 Total Assets 85,064 Current Liabilities 20,875 Long-term Liabilities 7,703 Total Liabilities 28,578 Total Equity 47,287 Source: Company filings * Pro forma for October 2009 acquisition of China Bioph
Slide 24: Ownership and Capitalization
% % Based on SEC Ownership (post-offering) Outstanding _Benefic! Management & Directors (Excluding RimAsia) 4.8% EET / Fullbright (Erye Managers and Minority Interest Holder) 8.0% RimAsia 28.7% Enhance Biomedical Holdings (Strategic Partner) 9.3% Public / Other 49.2% Capitalization (Common Share Equ
Slide 25: Management and Boards
Management and Boards 25
Slide 26: Key Executives
Key Executives Robin Smith, MD MBA = MD — Yale; MBA — Wharton CEO & Chairman ofthe = Formerly President & CEO IP2M (HC multimedia), EVP & CMO HealthHelp (radiology Board management) = Trustee of NYU Medical Center; Chairman of the Board of NYU Hospital for Joint Diseases (through November 2009) and
Slide 27: Board of Directors
Board of Directors = See Key Executives Eric Wei = BS Mathematics & Economics — Amherst College; MBA — Wharton Managing Partner, = Experience — Founder/Managing Partner of RimAsia Capital Partners (private equity); imAsia Capital Partners Peregrine Capital, Prudential Securities, Lazard Freres, Citi
Slide 28: Scientific Advisory Board
Scientific Advisory Board Wayne Marasco, —«_ Associate Professor, Dept of Cancer and Immunology & AIDS at Dana-Farber Cancer Institute; MD, PhD Associate Professor of Medicine at Harvard Medical School (Chairman), = Leading NeoStem’s independent research efforts and collaborations Douglas Losordo, =
Slide 29: Contact Information
Contact Information NeoStem, Inc. CCG Investor Relations, Inc. Robin Smith, MD, MBA Lei Huang Chairman & CEO Account Manager Phone: (212) 584-4174 Phone: (646) 833-3417 (New York) Email: rsmith@neostem.com Email: lei.huang@ccgir.com http://www.neostem.com http://www.cegir.com Crocker Coulson Preside
Slide 30: NeoStem, Inc. (NBS)
NEOSTEM, INC. (“NBS”) Investor Presentation 6°. NeesStem WWW.NEOSTEM.COM
Slide 31: Appendix
Appendix
Slide 32: Autologous bone marrow-derived cultured cells for chronic wounds
Use of autologous bone marrow-derived cultured cells to treat chronic wounds (cells delivered under a film dressing; Arch Dermatol, JAMA publication, 2003) 32
Slide 33: Non-healing leg ulcer treatment with stem cells
A) Non-healing leg ulcer D) Complete closure after 6 months — minimal scarring a . B) During 3 application , 5 of stem cells. C) Healing during treatment Bo a 33
Slide 34: Stem cell spraying wound treatment
A) Double barreled syringe to Be nein calls D) Wound completely healed after 7 weeks C) Spraying stem cells into the wound B) Large wound on the back after surgery to remove a skin cancer 34
Slide 35: Apheresis fraction separation
Fraction 1 — Platelets and Serum Fraction 2 — Fraction 3 — Fraction 5 — Cells smaller than RBC, enriched in Some RBC and Mote noes 80-90% of the Total very small embryonic-like stem cells other cells Nucleated Cells a
Slide 36: Size-based Separation of Apheresis Product by Elutra
e> Size-based Separation of Apheresis Product by Elutra (Cont.) Quantity of Very Small Embryonic-Like Stem Cells asa % of Total Nucleated Cells = VSELs % of Total Nucleated Cells ° 8 VSEL™ Technology can be enriched by size-based separation (Elutriation) of various cell fractions in the Apheresis pr
Slide 37: Erye — Drug Approval Track Record
Erye — Drug Approval Track Record Description Dosage Approval Date lamoxicillin sodium & sulbactam sodium for injection 0.375g 05/20/07 piperacillin sodium & tazobactam sodium for injection 1.1259 04/18/07 piperacillin sodium & tazobactam sodium for injection 04/18/07 2007 |piperacillin sodium & taz
Slide 38: Patent/Application Numbers
Patent/Application Numbers _ us T1739 238 0330106 Canadian 2548550 ow05/o4 Ferocessing Procedure for Peripheral Blood Stem Cols” US T1763 655 OBITSIOT European 07809600.95 08/15/07 Chinese __200780030328.6 96/15/07 Fiesenchymal Stem Gale Isolated from Mobilizes Periaheral Sioa” US. 1266 825 Tass Fii