Electrocore, Inc. · NASDAQ:ECOR
Electrocore — Investor Presentation (August 2020)
28 slides from Electrocore's investor presentation, Aug 25, 2020
Slide 1: A Commercial-Stage Bioelectronic Medicine Company
yA SOX electroCore” A Commercial-Stage Bioelectronic Medicine Company Nasdaq: ECOR
Slide 2: Forward Looking Statement
Forward Looking Statement In addition to historical information, this presentation may contain forward-looking statements with respect to our business, capital resources, strategy and growth reflecting the current beliefs and expectations of management made pursuant to the safe harbor provisions of
Slide 3: electroCore At-a-Glance
electroCore At-a-Glance NASDAQx ECOR Headquarters: Basking Ridge, NJ Market cap: ~$90M (8/12/20) Recent close: $1.96 (8/12/20) Cash & marketable securities (6/30/20): $29.2 million* * Pro-forma for $10.3 million raised subsequent to June 30
Slide 4: Experienced Management Team
Experienced Management Team a N \ Dan Goldberger Brian Posner Peter Staats Chief Executive Officer Chief Financial Officer Chief Medical Officer 35 years 35 years 33 years y XTANT “ > RMS iene G@ cesses © D BIOSCIENCES. JOHNS HOPKINS pene SOUND SURGICAL Wu, ScHOOL MEDICINE TECHNOLOGIES LL J alliqua.
Slide 5: Investment Summary
Investment Summary FDA cleared, proprietary, non-invasive vagus nerve stimulator (nVNS) positioned to unlock the broad potential of bioelectronic medicine ELVEN) WIE TY FDA Emergency Use Authorization granted to explore utility of nVNS in known or suspected COVID-19 patients experiencing an exacerba
Slide 6: gammaCore Sapphire
ome —_> Sapphire” Epa 1st FDA-cleared non-invasive e) vagus nerve stimulator — = Fastacting, highly targeted, comfortable, easy to use hand-held option = Cleared for the prevention and treatment of cluster headache and for the prevention of migraine and treatment of acute migraine = FDAEUA granted t
Slide 7: nVNS and the Benefits of gammaCore
nVNS and the Benefits of gammaCore Benefits of nVNS @ The vagus nerve affects multiple organs and systems © Activates multiple mechanisms of action @ Evidence supports possible future treatment for many indications @ Self-treating and no off-target effects @ Complementary to existing care bg. SeK el
Slide 8: Unmet Need in Migraine & Cluster Headache
Unmet Need in Migraine & Cluster Headache Bb MIGRAINE CLUSTER HEADACHE 36 million U.S. adults’ 400,000U.S. patients? Triptans represent 80% of prescribed acute therapies Up to eight 15-180 min attacks per day Considered one ofthe most painful conditions known; a “suicide headache” 40% of patients ar
Slide 9: Growth in gammaCore Prescribers
Growth in gammaCore Prescribers' bg. S@X electroCore’ ay 1,827 1,480 997 : l Q1 2018 Q2 2018 Q32018 Q42018 All Prescribers 2,850 2,890 Q12019 Q22019 Q32019 Q42019 Q12020 Q22020 1 Represents U.S, headache prescribers who have written at least one prescription
Slide 10: Headache Reimbursement Pathway
Headache Reimbursement Pathway Aligned to stakeholder experience PHYSICIANS Commercial Payer Response (cy Write a prescription for use at home CURRENT PAYER COVERAGE CVS Caremark, Express Scripts, Highmark Blue Cross Blue Shield, North Dakota Blue Cross Blue Shield, Federal Supply Schedule (VA, DoD,
Slide 11: Commercial Headache Reimbursement through PBMs
Commercial Headache Reimbursement through PBMs CVS/Caremark gammaCore is reimbursed by CVS/Caremark at a non-exclusionary co-pay of roughly $50 - $75/month for those beneficiaries who have a benefit design that does not differentiate between drugs and devices Approximately five million CVS/Caremark
Slide 12: Active Channels With Revenue Growth Opportunities
Active Channels With Revenue Growth Opportunities Driving Department of Defense sales through the Department of Veterans Affairs and Military Treatment Facilities Growth in the UK by leveraging: 1) Innovation Technology Program Award for cluster headache, and 2) supportfrom the National Institute fo
Slide 13: Paid Months of Therapy by Quarter
Data through 6/30/20 bg. S@X electroCore’ ay Paid Months Of Therapy By Quarter 3000 2500 2000 1500 1000 500 2Q19 319 4a1g Market Channel =US Commercial = VA/DOD OUS 1020 July paid months of therapy: VA/Dad — 435 (vs. Q2 monthly avg of 329) OUS 368 (vs, Q2 monthly avgof 313)
Slide 14: Federal Supply Schedule Opportunity
Federal Supply Schedule Opportunity An efficient call point for direct sales Migraine >10 ~400,000 grew 10-fold patients saw VA healthcare million covered lives between the Veterans Admin., active military facilities and the Indian Health Service in the VA between providers for headache 2004-20122 i
Slide 15: gammaCore - Platform Technology with Vast Potential
gammaCore - Platform Technology with Vast Potential INFLAMMATION NEUROLOGY / PAIN Cluster Headache’ Reactive Airway Disease? Asthma exacerbations in known or suspected COVID-19patients? Migraine* Post-traumatic headache Rheurnatoid Arthritis Post-traumatic stress - , 5 disorder Sjogren's Syndrome: T
Slide 16: Strong Rationale as a Potential COVID-19 Treatment
Strong Rationale as a Potential COVID-19 Treatment Testing the hypothesis that nVNS can improve the condition of COVID-19 patients « Emergency Use Authorization (EUA) issued by FDA to facilitate the study and clinical use of gammaCore Sapphire™ CV (nVNS) for the acute treatment of asthma exacerbatio
Slide 17: COVID-19 Investigator Initiated Trials (IITs)
COVID-19 Investigator Initiated Trials (IITs) Multiple ongoing IITs are assessing the potential utility of nVNS in COVID-19 respiratory symptoms SAVIOR-1 Study Assessing Vagus Nerve Stimulation in COVID-19 Respiratory Symptoms Lead investigator: Dr. Carlos Tornero Hospital Clinico Universitario de V
Slide 18: H2 2020 & 2021 Anticipated Milestones
H2 2020 & 2021 Anticipated Milestones* 3Q 2020 H 4Q 2020 i 1Q2021 2Q 2021 : 3Q 2021 : 4Q 2021 VA! DoD channel revenue growth opportunities UK channel revenue growth opportunities Reestablish commercial headache revenue : PREMIUM II data readout : SAVIOR 1 & 2 enrollment updates SAVIOR 1 & 2 data rea
Slide 19: Broad Intellectual Property Portfolio
Broad Intellectual Property Portfolio electroCore owns all intellectual property on which the technology relies Expansive pioneering IP coverage of >4 65 non-invasive, transdermal neuro- stimulation in the neck PATENTS AND PATENT APPLICATONS We have patent coverage extending out through 2033: ~1 00
Slide 20: Summary Financials
Summary Financials $ In thousands 4Q 2018 192019 2Q2019 3Q 2019 4Q 2019 1Q 2020 2Q 2020 GAAP revenue 368 410 623 683 675 734 753 Research and Development 3,460 3,460 2,510 are AS) 1,623 1523 1,031 SG&A 12,397 11,000 9,388 8,143 7,267 6,561 5,273 Operating loss (15,681) (14,211) (12,380) (10,894) (8,
Slide 21: Adjusted EBITDA Reconciliation
Adjusted EBITDA Reconciliation Nee SeK electroCore’ 1Q 2019 2Q2019 3Q 2019 4Q 2019 1Q 2020 2Q 2020 ($inthousands) GAAP net loss s (13,862) $ (12,101) $ (10,688) $ (8,498) $ (7,959) $ (4,742) Provision for (benefit from) income taxes 1a § $ (1,174) Depreciation and amortization > 2 $ 28 990 $ a7 3 7
Slide 22: Capitalization Table
Capitalization Table Fully diluted as of June 30, 2020 Common shares** 38,815,145 Exercise prices ranging from $5.68 to $12.60; expirations from Warrants 716,199 Avril 1, 2021 through August 31, 2022 . Weighted average exercise price=$7.10, options generally vest ptions #1 G06;A07 over 4-year period
Slide 23: Investment Summary
Investment Summary FDA cleared, proprietary, non-invasive vagus nerve stimulator (nVNS) positioned to unlock the broad potential of bioelectronic medicine ELVEN) WIE TY FDA Emergency Use Authorization granted to explore utility of nVNS in known or suspected COVID-19 patients experiencing an exacerba
Slide 24: SOX electroCore’
b4 SOX electroCore’
Slide 25: Acute Cluster Headache: ACT 1 & ACT 2
Acute Cluster Headache: ACT 1 & ACT 2 Pooled analysis of Episodic Cluster Headache from ACT 1 & ACT 2 Trials ACT 1 PRIMARY ENDPOINT ACT 2 PRIMARY ENDPOINT RESPONDER ANALYSIS % Responders with Pain Relief at % All Treated Attacks Pain-Free % Responders at 15 Minutes in 2 15 Minutes for 1st Attack at
Slide 26: Acute Migraine: PRESTO Trial
Acute Migraine: PRESTO Trial Pain Freedom Percent Pain Relief 40% Repeated Measures Analysis ‘ p=0.0t ' 30% 2 3 20% 8 5 3 é 10% 0% 30 Min 60 Min 120 Min 30 Min 60 Min 120 Min HE gammaCore (n= 120) HH Control (n = 123) Citation: Tassorelli C, Grazzi L, de Tommaso M, et al. Non-invasive vagus nerve st
Slide 27: Cluster Headache Prevention: PREVA Trial
Cluster Headache Prevention: PREVA Trial Reduction in Number of Attacks per Week Percentage of Patients wi2 50% Reduction in Attack Frequency ITT mITT nT miTT o 45 n=48 n=37 n=47 60% n= 48 4 50% 2 40% 3 p <0.001 p <0.001 4 0% . 20% 8 10% a 2 0% HH Adjunctive gammaCore J Standard of care InITT Patien
Slide 28: Indication and Important Safety Information
Indication and Important Safety Information gammaCore SapphireTM (non-invasive vagus nerve stimulator) is intended to provide non-invasive vagus nerve stimulation (nVNS) on the side of the neck. gammaCore is indicated for: + The preventive treatment of migraine headache in adult patients, + The acut