Genomic Health — Merger or Acquisition (July 2019)
16 slides from Genomic Health's merger presentation, Jul 30, 2019
Slide 1: Safe Harbor Statement: Cautionary Statement
Safe Harbor Statement Cautionary Statement This presentation contains statements, including statements regarding the proposed acquisition of Genomic Health, Inc. (“Genomic Health”) by Exact Sciences Corporation (“Exact Sciences”) that are forward-looking statements within the meaning of Section 27A
Slide 2: Safe Harbor Statement: Additional Information
Safe Harbor Statement Additional Information In connection with the proposed transaction, Exact Sciences will file with the SEC a registration statement on Form S-4, which will include a document that serves as a prospectus of Exact Sciences and a proxy statement of Genomic Health (the “proxy statem
Slide 3: Presentation Participants
Presentation Participants KEVIN CONROY Exact Sciences Chairman of the Board & Chief Executive Officer JEFF ELLIOTT Exact Sciences Chief Financial Officer MARK STENHOUSE Exact Sciences President, Cologuard KIM POPOVITS Genomic Health Chairman of the Board, Chief Executive Officer & President BRAD COL
Slide 4: Creating a high-growth leader to detect cancer earlier and improve how it is treated
Creating a high-growth leader to detect cancer earlier and improve how it is treated diagnostics, Cologuard® and Oncotype DX®, providing organization 5 Joins two of the strongest brands in cancer platform for growth Forms best-in-class commercial, R&D and clinical Provides global infrastructure to a
Slide 5: Cologuard: Addressing the colorectal cancer challenge
Cologuard: Addressing the colorectal cancer challenge IMPACT OF COLOGUARD IN 4Q 2014(1) SINCE LAUNCH 2.6M people screened 94% Early-stage cancer sensitivity(2) 12K early-stage cancers detected 84K pre-cancerous polyps detected (1) Source: based on extrapolation of findings in DeeP-C pivotal trial po
Slide 6: Exact Sciences: Delivering life-changing innovations in early cancer detection
Exact Sciences: detection Delivering life-changing innovations in early cancer TOTAL AVAILABLE U.S. SCREENING MARKET (1) OF 2Q 2019 BUSINESS HIGHLIGHTS Headquartered in Madison, Wisconsin Founded in 1995 Cologuard’s growing provider adoption $ 15B Primary care,142K with an additional ~500 primary ca
Slide 7: Genomic Health: Leading provider of genomic-based diagnostics that have transformed cancer treatment
Genomic Health: Leading provider of genomic-based diagnostics that have transformed cancer treatment World-class infrastructure, trusted brand and deep market penetration with Oncotype DX Offers variety of tests that help guide personalized treatment decisions for patients with breast, colorectal an
Slide 8: Together Exact Sciences and Genomic Health address large colorectal, breast and prostate cancer markets
Together Exact Sciences and Genomic Health address large colorectal, breast and prostate cancer markets Annual Total Addressable Market By Indication $200M $20B $600M $700M U.S. Average Risk U.S. 45-49 y.o. U.S. Breast International U.S. Prostate Other Total Cologuard & Oncotype DX (1) (2) (3) Color
Slide 9: Forms best-in-class commercial, R&D and clinical organization
Forms best-in-class commercial, R&D and clinical organization ~$200M R&D budget, well above industry peers Combined R&D team with: Advanced technology platforms Extensive clinical capabilities and robust evidence generation engine Proven regulatory expertise Key relationships with oncologists 10 Col
Slide 10: Global infrastructure can accelerate availability of new innovative cancer diagnostics to patients
Global infrastructure can accelerate availability of new innovative cancer diagnostics to patients Global sales force of highly trained sales and managed care representatives Expanded reach across primary care, oncology, OB/GYN, gastroenterology and urology Building on Genomic Health's presence in S
Slide 11: Transaction overview
Transaction overview 12 TERMS • Cash and stock transaction valued at $2.8 billion • Genomic Health stockholders will receive $72.00 per share • $27.50 per share in cash • $44.50 per share of Exact Sciences stock, subject to a 10% collar centered on Exact Sciences’ volume-weighted average price (“VWA
Slide 12: Exact Sciences second-quarter 2019 financials
Exact Sciences second-quarter 2019 financials Q2 2019 Q2 2018 Revenue $199.9 million $102.9 million Completed tests 415,000 215,000 Gross margin 74% 74% Operating expense $182.1 million $108.7 million Cash utilization $43.3 million $45.3 million Ending cash balance $1.2 billion $1.2 billion 13
Slide 13: Genomic Health second-quarter 2019 financials
Genomic Health second-quarter 2019 financials Increased worldwide revenue by 19.4% to $114.1M driven by strength across entire business with • first-half revenue growth of: 13% in U.S. invasive breast cancer • 44% in U.S. early-stage prostate cancer • 28% outside of the United States Reported $16.0M
Slide 14: Compelling strategic combination
Compelling strategic combination 15 Provides strong platform for continued growth with two of the leading brands in cancer diagnostics, Cologuard® and Oncotype DX® Forms best-in-class R&D and clinical organization with enhanced scale, robust evidence generation engine, proven regulatory expertise an
Slide 15: Compelling strategic combination
Compelling strategic combination with two of the leading brands in cancer diagnostics, Cologuard® and Oncotype DX® with enhanced scale, robust evidence generation engine, proven regulatory expertise and key relationships with oncologists and commercial presence in 90+ countries with expanded reach a
Slide 16: Genomic Health
Genomic Health LIFE, CHANGING. EXACT SCIENCES