Xoma Royalty Corporation · NASDAQ:XOMA
Xoma Royalty — Investor Presentation (March 2023)
22 slides from Xoma Royalty's investor presentation, March 2023
Slide 1: Corporate Presentation: The Royalty Aggregator for Biotech Companies
CORPORATE PRESENTATION THE ROYALTY AGGREGATOR FOR BIOTECH NASDAQ: XOMA COMPANIES MARCH 2023
Slide 2: Disclaimers
DISCLAIMERS Certain statements in this presentation are forward-looking SEC filings. Consider such risks carefully when considering XOMA's statements within the meaning of Section 27A of the Securities Act of prospects. Any forward-looking statements represent XOMA’s views 1933 and Section 21E of th
Slide 3: Opportunities Abound for Royalty Monetization
OPPORTUNITIES ABOUND FOR ROYALTY MONETIZATION Biotech & Pharma INDUSTRY LICENSING DEALS ANNUALLY license 2014 – 2021 transactions consist of: 645 648 620 ▪ Milestone payments 585 522 548 ▪ Royalty obligations 459 404 Companies’ funding needs increase over time 2014 2015 2016 2017 2018 2019 2020 2021
Slide 4: XOMA Royalty & Milestone License Acquisitions
XOMA ROYALTY & MILESTONE LICENSE ACQUISITIONS COMPANY PARTNER / LICENSEE ASSETS ACQUIRED CAPITAL DEPLOYED THERAPEUTIC AREA $14M wAMD, DME, diabetic Affitech 1 ($6M upfront, $5M on FDA retinopathy approval, $3M on EU approval) ObsEva 1 $15M Preterm labor Viracta 2 $13.5M Oncology Kuros 1 $7M Immuno-O
Slide 5: Ebopiprant Transaction
EBOPIPRANT TRANSACTION: $15M outlay to ObsEva $378M potential milestones Mid-single to low-teens royalty, net Organon secured development & commercialization license from ObsEva in July 2021 “This development-stage asset is being studied in one of the most crucial unmet needs for women globally. As
Slide 6: Basics of a XOMA Royalty Monetization Transaction
BASICS OF A XOMA ROYALTY MONETIZATION TRANSACTION STEP 1: STEP 2: Capital BIOTECH Royalties & Milestones Program Royalties & Licensed Milestones BIG PHARMA 6
Slide 7: XOMA Is Positioned to Monetize Royalties on Mid- to Early Stage Clinical Assets
XOMA IS POSITIONED TO MONETIZE ROYALTIES ON MID- TO EARLY STAGE CLINICAL ASSETS Capital per transaction $200M + Royalty Pharma $100M – DRI $200M Healthcare Trust $25M – Ligand $100M HCRP < $25M PRECLINICAL PHASE 1 PHASE 2 PHASE 3 APPROVAL COMMERCIAL 7
Slide 8: Royalty Monetization - Increasingly in Focus
ROYALTY MONETIZATION - INCREASINGLY IN FOCUS 8
Slide 9: Royalty Monetization - Increasingly More Attractive
ROYALTY MONETIZATION - INCREASINGLY MORE ATTRACTIVE Source: The Brookline Brief, November 2, 2022 9
Slide 10: XOMA Snapshot
XOMA SNAPSHOT Portfolio of ▪ Acquire drug royalties associated with mid- to early stage clinical candidates 70+ ASSETS – Differentiate by focusing on development-stage assets in >30 disclosed indications with blockbuster potential licensed to large-cap partners today and growing ▪ Provide exposure,
Slide 11: Key XOMA Portfolio Assets
KEY XOMA PORTFOLIO ASSETS https://www.xoma.com/portfolio 11
Slide 12: XOMA's Portfolio
XOMA’S PORTFOLIO FDA APPROVED PHASE 3 PHASE 2 Further Development 1Asset 3 Assets 26Assets Expenses by XOMA: PHASE 1/2 PHASE 1 PRECLINICAL $0 2 16 15+ >50% of assets with Large-cap partners Assets Assets Assets 12
Slide 13: Since 2017, XOMA's Portfolio Has Seen >25 Advancements From Phase to Phase
SINCE 2017, XOMA’S PORTFOLIO HAS SEEN >25 ADVANCEMENTS FROM PHASE TO PHASE 12 11 Program Advancements Since 2017: 4 2 1 Entered Clinic Ph 1 to Ph 2 Ph 2a to Ph 2b Ph 2 to Ph 3 FDA Approved 13
Slide 14: Potential Partner-Driven Clinical Events: 2023 Expectations
POTENTIAL PARTNER-DRIVEN CLINICAL EVENTS: 2023 EXPECTATIONS S PO N S O R/ PROGRAM: Phase 1 Phase 2 Phase 3 Regulatory Day One / tovorafenib Ph 2 pediatric low-grade glioma readout Ph 3 initiation Est 1H2023 NDA filing Rezolute / RZ358 Ph 2 completed - CHI readout Ph 3 initiation Janssen / cetrelimab
Slide 15: XOMA Royalty Rates
XOMA Royalty Rates: NIS793 Mid-single digit to low teens iscalimab Mid-single digit to low teens gevokizumab High-single digit to mid teens NIR178 Low-single digits
Slide 16: Who We Are
WHO WE ARE Board of Directors ▪ Leadership ▪ Owen Hughes, Executive Chair XOMA – Owen Hughes, Executive Chair ▪ Heather L. Franklin – Brad Sitko, Chief Investment Officer Blaze BioScience – Tom Burns, Chief Financial Officer ▪ Natasha Hernday Seattle Genetics ▪ Business Development Team ▪ Barbara Ko
Slide 17: What We Look for in an Asset
WHAT WE LOOK FOR IN AN ASSET STRONG DEVELOPER/MARKETER Assets partnered with high-quality pharma / biopharma companies MID- TO EARLY STAGE CLINICAL ASSETS Rx Therapeutic area agnostic LONG DURATION OF MARKET EXCLUSIVITY Patent expiration or regulatory exclusivity HIGH REVENUE POTENTIAL High unmet ne
Slide 18: Financial Highlights
FINANCIAL HIGHLIGHTS ($M) $100 Y/E Cash $90 $80 Expenses >$94M $70 in milestone $60 payments $50 since 2016 $40 $30 ~$1.5B $20 in potential $10 milestones $0 2016 2017 2018 2019 2020 2021 2022 18
Slide 19: Regulatory agencies have approved Roche's VABYSMO (faricimab)
Regulatory agencies in US, EU, Japan, others have granted commercialization approval to Roche’s VABYSMO® (faricimab) XOMA received >$2.9M on sales through 12/31/22 THE FIRST ASSET UNDER XOMA’S ROYALTY AGGREGATOR BUSINESS MODEL TO BE APPROVED Acquired economic rights from Affitech SA 19
Slide 20: What Makes XOMA So Exciting
WHAT MAKES XOMA SO EXCITING ▪ XOMA’s model demonstrates future potential through cash from commercial sales ‒ >$2.9M cash received from Roche’s VABYSMO®1 sales through 12/31/22 ▪ Potential royalty stream on 70+ assets; pharmaceutical partners fund 100% of research & development costs ‒ Novartis – NI
Slide 21: Corporate Presentation: The Royalty Aggregator for Biotech Companies
CORPORATE PRESENTATION THE ROYALTY AGGREGATOR FOR BIOTECH NASDAQ: XOMA COMPANIES MARCH 2023
Slide 22: A Significant Number of Partner-Driven Clinical Events Achieved in 2021 & 2022
A SIGNIFICANT NUMBER OF PARTNER-DRIVEN CLINICAL EVENTS ACHIEVED IN 2021 & 2022 As disclosed by partners in public filings PHASE 1 PHASE 1/2 PHASE 2 PHASE 3 REGULATORY ▪ Bayer/osocimab: ▪ Incyte/INCAGN01876: Advanced Rezolute/RZ358: ▪ Novartis/NIS793: ▪ Roche/VABYSMO® ESRD completed malignancies comp