Cibus, Inc. · NASDAQ:CBUS
Cibus — Investor Presentation (November 2023)
30 slides from Cibus's investor presentation, Nov 15, 2023
Slide 1: Shifting the Paradigm: Changing the speed of trait development & deployment
Shifting the Paradigm™ Changing the speed of trait development & deployment NOVEMBER 2023
Slide 2: Forward-looking statements
This presentation contains “forward looking statements” within the meaning of applicable securities laws, including The Private Securities Litigation Reform Act of 1995. All statements, other than statements of present or historical fact included herein, including statements regarding the benefits o
Slide 3: Introduction Background
Introduction Background 3
Slide 4: Experienced management team
Rory Riggs CEO, Chairman Co-Founder Peter Beetham PhD COO, President Co-Founder Greg Gocal PhD EVP, Chief Scientific Officer, Co-founder Noel Sauer PhD SVP, Head of R&D Wade King MD Chief Financial Officer Steve Berreth JD General Counsel Experienced management team 4
Slide 5: A leader in gene editing in agriculture
Technology Trait Company Business Model 2001 FOUNDED High Throughput Gene Edited Breeding First standardized, semi-automated gene editing breeding system Analog to digital type change in breeding Over 400 issued and pending patents Develops Productivity Traits Plant traits that improve productivity
Slide 6: Trait Co's are part of the seed industry
Trait Co’s are part of the seed industry Cibus’ traits are patented genetics that make seeds more productive for farmers Seed Co’s pay Trait Co’s royalties for traits with productivity gains/cost savings Seeds For hundreds of millions of acres Fertilizers Crop protection Growers ConsumersConsumer go
Slide 7: Seed Co's & Trait Co's address agriculture's productivity challenge
We believe that Seed Co’s & Trait Co’s are the leaders in addressing agriculture’s productivity challenge 1970 1980 1990 2000 2010 2020 2030 2040 2050 Maize Rice Wheat Soybean Required Yield for Sustainability Projected Yield 7
Slide 8: Unprecedented Speed & Scale of Trait Development
Unprecedented Speed & Scale of Trait Development Cibus Enables Trait Development in Years vs. Decades Gene Editing is Agriculture’s “analog to digital” moment The Big Idea Cibus Trait Machine Conventional Trial Development GMO Breeding APPROX. 12–15 YRS APPROX. 3–5 YRS Trait Machine System 8 APPROX.
Slide 9: Pipeline: key technologies and target products
Pipeline 1 PSR* 2 HT1* 3 HT2 4 HT3* 5 Sclerotinia *Developed Key Technologies Target Products Single Cell Regeneration Ability to Edit Elite Germplasm ODM Ability to do Complex Traits Production Scale & Speed DISEASE CLIMATE AGRONOMYFERTILIZER WEED PESTS TAKE ~3 – 5 YEARS TO DEVELOP Productivity Tra
Slide 10: Cibus' 5-trait pipeline and accelerated breeding timelines
Cibus’ 5-trait pipeline shows the power & value of accelerated breeding timelines THE 3 DEVELOPED TRAITS (PSR, HT1 & HT3) ARE SHIPPING TO CUSTOMERS Trait Crop Stage of Development Greenhouse Data Years of Field Trials Years from edit to initial Field Trial Pod shatter reduction Canola Developed Yes
Slide 11: Cibus has traits that are developed & shipping
Cibus has 3 traits that are developed & shipping 1st Developed Trait | PSR 2nd Developed Traits | HT1 & HT3 LA U N C H P R O G R E S S LA U N C H P R O G R E S S Transferred back Transferred by Year End 2023 10 Initial customers APPROX. 20M Accessible Customer Acres 10 Germplasms edited ALL ~$150M P
Slide 12: The 1st Gene Edited Disease Trait; Sclerotinia Resistance and HT2
The 1st Gene Edited Disease Trait Major Disease for Canola & Soybean Estimated Trait Fees: $10-$15 per acre Potential Target Market Royalties (Canola & Soybean) > $1 B Trait for Needed Novel Broadleaf Herbicide Important in Canola & Soybean Greenhouse Data Expected Summer 2024 Estimated Trait Fees:
Slide 13: What are Cibus' Key Drivers?
What are Cibus’ Key Drivers? 13
Slide 14: Each developed trait is patented with strong customer interest
EACH DEVELOPED TRAIT IS PATENTED & HAS STRONG CUSTOMER INTEREST Pod Shatter Reduction HT1 & HT3 Current Customers Accessible Acres Canola / WOSR Rice Acres Potential Target Market Royalties $150M $200M ~20M ~27M Acres ~3.0M ~6.0M Potential Target Market Royalties $70M $160M 3 Developed Traits 2 Crop
Slide 15: Crop Platforms: Single Cell Regeneration Systems
3 Crop Platforms 3 Single Cell Regeneration Systems, Multiple Traits, Established Customers Soybean Est. Q4 2023* TRAITS 250M 2 ACRES Rice Operational TRAITS TRAIT PLATFORM 15M 2 ACRES Operational Canola / WOSR Total Market Trait Pipeline ACRES TRAITS TRAIT PLATFORM 50M 3 TO COME * Cibus’ Soybean Si
Slide 16: 5 Trait-3 Crop Pipeline
#3 Trait Crop Stage of Development Potential Target Market Royalties $ Millions Pod shatter reduction Canola DevelopedHT1 Rice HT3 Rice Sclerotinia resistance Canola Advanced Soybean HT2 Canola Soybean 375 225 500-750 300-450 80 80 200 5 Trait-3 Crop Pipeline 16See Slide 26 for Certain Definitions a
Slide 17: Canola trait pipeline accessible acres and royalties
Trait Pipeline Accessible Acres *Estimated Trait Fee *Estimated / acre Potential Target Market Royalties* *Estimated Pod Shatter (PSR) / DEVELOPED 27M $5-10 $200M Sclerotinia Resistance 30M $10-15 $300M–$450M Herbicide Tolerance #2 / HT2 20M $5-12 $225M Total 80M $725M–$875M APPROX. ACRES50M 10 Seed
Slide 18: Rice: HT1 and HT3 developed and shipping
Trait Pipeline Accessible Acres *Estimated Trait Fee *Estimated / acre Potential Target Market Royalties *Estimated HT1 | HT3 / DEVELOPED 3M | 3M $20-40 $160M 2nd commercial crop HT1, HT3 are developed & shipping in North and South America APPROX. ACRES15M 3 Seed Co. Customers Nutrien Transfer H1 20
Slide 19: Soybean: Sclerotinia and HT2 trait potential
APPROX. ACRES250M Customer relationship with GDM, a key leading soybean Seed Co with large acreage 3rd commercial crop Sclerotinia & HT2 are advanced and will be launched in Canola first Trait Pipeline Accessible Acres *Estimated Trait Fee *Estimated / acre Potential Target Market Royalties *Estimat
Slide 20: Bt Traits are traits that reduce acres lost
Bt Traits are traits that reduce acres lost The Bt trait is a great example of the value generated from these type of traits Bt trait example Used on: CROP Corn Cotton Soy TRAIT FEES $2.6B $0.7B $0.5B >300M Note: Bt Trait is presented as an example. It is not owned by Cibus. It is owned and licensed
Slide 21: Sclerotinia fees expected to be based on acres lost
Sclerotinia Fees are also expected to be based on acres lost Critically needed trait as infection rates can be as high as 90% Important in both canola & soybean Cost of Fungicide $20-$30 per acre Crop loss due to Sclerotinia % of crop infected % yield loss from infection $Value (per acre) of yield l
Slide 22: Where is all this going?
Where is all this going? 22
Slide 23: Ongoing Seed Co. collaborations are key to the business
Ongoing Seed Co. collaborations are key to the business Breeding partnerships to develop traits in customer germplasm with clear regulatory pathway. Customer Elite Germplasm C O M M E R C IA L LI N E RECENTLY SIGNED BAYER COLLABORATION IS A REPRESENTATIVE EXAMPLE Cibus Pipeline Traits PSR, Sclerotin
Slide 24: Est. Annual Potential Target Market Royalties
Est. Annual Potential Target Market Royalties DEVELOPED TRAITS ~$360M Canola TRAITS PSR, Sclerotinia, HT2 $200M $300M – $450M $225M Soybean crop advances & advanced traits present significant target market opportunity$160M $375M Rice TRAITS HT1, HT3 BOTH TRAITS IN GREENHOUSE/FIELD STAGE IN CANOLA $5
Slide 25: 5 Trait-3 Crop Model is the tip of the iceberg
$360M Developed Products $2.0B Total 5 Trait Pipeline Cibus’ 5 Trait-3 Crop Model is the Tip of the Iceberg of a New Global Industry Powered by Technology & New Regulations *Regulatory Policy in Place means that gene edited crops are regulated as conventional varieties and not GMOs. Positive Policy
Slide 26: Certain Definitions and Securities Law Matters
Certain Definitions “Advanced” traits are traits where the editing process is underway with known edit targets. “Bt” refers to Bacillus thuringiensis, a species of bacteria that lives in soil. “Canola” includes Canola, Carinata, Winter Oilseed Rape and Turnip Rape. “Developed” traits have been valid
Slide 27: Endnotes (a) and (b)
(a) Following greenhouse trait validation, field trials are generally conducted using customer-specific germplasm lines. “Years of Field Trials” indicate field trial years in which crop progressed to physiological maturity. Sclerotinia Resistance is a multi-mode of action (MOA) trait, meaning that t
Slide 28: Endnote (b) continued: Trait Fees
(b) (cont’d). “Trait Fees” represent management’s assumption regarding the potential per acre fee that Cibus may receive in respect of the applicable trait, taking into account available market information regarding competitors’ current trait fees as well as assumptions regarding competition, trait
Slide 29: Endnote (b) continued: Potential Target Market Royalties
(b) (cont’d). • Potential Target Market Royalties for Sclerotinia Resistance in Canola is calculated based on a Total Canola Market of approximately 50 million total Canola acres in North America (24.2 million acres), Europe (including the European Union (15.3 million acres), the United Kingdom (0.9
Slide 30: Endnote (c): Customers
(c) Cibus refers to seed company “customers” in this presentation once a material transfer agreement for a specific trait has been entered into, pursuant to which seed companies transfer elite germplasm lines to Cibus for gene-editing and delivery back to the seed company for pre-commercialization t