Slide 1: Decoding Biology To Radically Improve Lives
Decoding Biology To Radically Improve Lives i) Recursion
Slide 2: Forward-looking statements
This presentation and any accompanying discussion or documents contains information that includes or is based upon "forward-looking statements" within the meaning of the Securities Litigation Reform Act of 1995. These forward-looking statements are based on our current expectations, estimates and pr
Slide 3: Opportunity: Moore's Law vs Eroom's Law
3 Opportunity 0.1 1 10 1960 1970 1980 1990 2000 2010 2020 50B 100M 500K 1K 100 Compute Power (Transistors per Microprocessor)NME’s per $B spent (inflation adjusted) Moore’s Law: Computing power becomes faster and less expensive over time Eroom’s Law: Drug discovery is becoming slower and more expens
Slide 4: Atoms to bits: profile systems, data, algorithms
Real (atoms) Digital (bits) 1 Profile Systems Capture high-dimensional data to create a digital record of reality (things, places, preferences, etc.) Data Aggregate and organize data to create digital maps of reality Algorithms Navigate digital maps to predict novel relationships, then try them in r
Slide 5: How we build maps of biology and chemistry to drive value
How we build maps of biology and chemistry to drive value
Slide 6: Novel insights at scale
Enables quality, reliability, repeatability and scale Novel Insights at Scale different human cell types small molecule library, we believe this scale is on par with some large pharma companies arrayed CRISPR guides cytokines and soluble factors Diverse Biological and Chemical Inputs Robotic Automat
Slide 7: Recursion OS relationships across five pathways
Well-known primary relationships between key members of five pathways: JAK/STAT | SWI/SNF | TGFβ | RAS | Proteasome All primary relationships found by the Recursion OS between key members of five pathways: JAK/STAT | SWI/SNF | TGFβ | RAS | Proteasome 7
Slide 8: Failing faster and earlier, spending less and going faster
Data shown are the averages of all our programs from 2017 through 2021. All industry data adapted from Paul, et al. Nature Reviews Drug Discovery. (2010) 9, 203–214 Screen — Hit ID — Validated Lead — Advanced Candidate — Development Candidate — Industry Recursion Failing faster and earlier to › › sp
Slide 9: Pipeline by therapeutic area and indication
PreclinicalLate Discovery Oncology Rare & Other All populations defined above are US and EU5 incidence unless otherwise noted. EU5 is defined as France, Germany, Italy, Spain and UK. (1) Our program has the potential to address a number of indications driven by MYC alterations, totalling 54,000 pati
Slide 10: Pipeline and partnership strategy
Internal Pipeline - Rare Genetic Diseases Partnership strategy Inter al Pipeline Discovery Partnerships • Build wholly-owned pipeline in indications with potential for accelerated path to approval Pipeline strategy • Partner in complex therapeutic areas requiring large financial commitment and compe
Slide 11: Bayer and Roche-Genentech partnership terms
Fibrosis Neuroscience *and a single oncology indication • $30M upfront and $50M equity investment • Up to or exceeding $1.2B in milestones for up to or exceeding 12 programs • Mid single-digit royalties on net sales • Recursion owns all algorithmic improvements • $150M upfront and up to or exceeding
Slide 12: Novel efficacy and insights at scale
Novel efficacy and insights at scale Near-Term Today Medium-Term Automated molecular microsynthesis at scale Recursion OS enables quality, reliability, repeatability and scale Continued digital chemistry, SAR and predictive ADMET OS build Leverage new datasets and technology to improve translation,
Slide 13: How we navigate maps of biology and chemistry
How we navigate maps of biology and chemistry to turn drug discovery into a search problem 13
Slide 14: Whole-genome arrayed CRISPR knock-out map
This is a whole-genome arrayed CRISPR knock-out Map generated in primary human endothelial cells Every gene is represented in a pairwise way (each is present in columns and rows) Dark Red indicates phenotypic similarity according to our neural networks while Dark Blue indicates phenotypic anti- simi
Slide 15: Mitochondrial-related gene clusters
Many known mitochondrial-related genes cluster together along with a few less well-known genes 15
Slide 16: JAK/STAT pathway clustering
JAK1 JAK1 The JAK / STAT pathway clustered by strength of interaction, including both similar genes (red) and ‘opposite’ genes (blue) – note that both expected and less well-known genes can serve as novel hypotheses 16
Slide 17: Proteasome clusters
20S Subunit 26S Subunit The 20S and 26S proteosomes form expected clusters that give confidence in this Map, one of many we have built – however, the most exciting elements of each map are the tens of thousands of unknown and unexplored high- confidence relationships 17
Slide 18: REC-65029 in HRD-negative ovarian cancer
Gene A CDK12 2.5μM 1.0μM 0.1μM 0.25μM REC-65029 • Goal: Identify potential first-in-class tumor-targeted precision therapeutic NCE with novel MOA capable of potentially treating HRD-negative ovarian cancer • Phenomap insight: Inhibition of target Gene A (for example, with REC-65029) may mimic inhibi
Slide 19: Recursion's Clinical Programs
Recursion’s Clinical Programs 19
Slide 20: REC-994 in cerebral cavernous malformation
US + EU5 PREVALENCE CAUSE LOF mutations in genes CCM1, CCM2 & CCM3, key for maintaining the structural integrity of the vasculature due to unknown mechanisms PATHOPHYSIOLOGY Vascular malformations of the CNS leading to focal neurological deficits, hemorrhage and other symptoms OUR REASON TO BELIEVE
Slide 21: REC-2282 in NF2 meningioma
US + EU5 PREVALENCE CAUSE LOF mutations in NF2 tumor suppressor gene PATHOPHYSIOLOGY Inherited rare CNS tumor syndrome leading to loss of hearing and mobility, other focal neurologic deficits OUR REASON TO BELIEVE Efficacy in Recursion OS, cellular, and animal models; suppression of aberrant ERK, AK
Slide 22: REC-4881 in familial adenomatous polyposis
US + EU5 PREVALENCE CAUSE Inactivating mutations in the tumor suppressor gene APC PATHOPHYSIOLOGY Polyps throughout the GI tract with extremely high risk of malignant transformation OUR REASON TO BELIEVE Efficacy in the Recursion OS shows that specific MEK 1/2 inhibitors had an effect in context of
Slide 23: REC-3964 in C. difficile colitis
US + EU5 PREVALENCE CAUSE Release of C. difficile toxins by colonizing bacterium causes degradation of colon cell junction, toxin transit to bloodstream, and morbidity to host PATHOPHYSIOLOGY Highly recurrent infectious disease with severe diarrhea, colitis, and risk of toxic megacolon, sepsis, and
Slide 24: REC-4881 in AXIN1/APC mutant cancers
PREVALENCE CAUSE LOF mutations in AXIN1/APC tumor suppressor genes PATHOPHYSIOLOGY Alterations in the WNT pathway are found in a wide variety of tumors, in particular HCC and Ovarian cancers, and confer poor prognosis and resistance to standard of care OUR REASON TO BELIEVE Efficacy in the Recursion
Slide 25: ESG highlights
Advanced degreesEmployees Team Members ~500 43% ESG Highlights Data shown reflective of Q3 2022 and Recursion’s 2022 ESG report ✓ Inaugural ESG report in 2022 – reporting on Healthcare and Technology Metrics ✓ 100% of electricity powering our Biohive-1 supercomputer comes from renewable sources 44%
Slide 26: Executive team and board of directors
Board of Directors TINA LARSON President & COO Executive Team DEAN LI, MD/PHD RXRX Co-Founder, President of Merck Research Labs ROB HERSHBERG, MD/PHD Co-Founder/CEO/Chair of HilleVax, Former EVP, CSO & CBO at Celgene BLAKE BORGESON, PHD RXRX Co-Founder, Board Member Machine Intelligence Research Ins
Slide 27: Strong financials and recent highlights
Strong Financials ~$455M in cash and cash equivalents at the end of Q3 2022 (excludes recent equity offering) • Expanded Bayer collaboration to use mapping and navigating techniques to explore fibrotic diseases • Announced transformational collaboration with Roche-Genentech focused on neuroscience •
Slide 28: Impact
Impact 28
Slide 29: Recursion's Notable Preclinical Oncology Programs
Recursion’s Notable Preclinical Oncology Programs 29
Slide 30: REC-648918 checkpoint therapy resistance
• Immunotherapy-induced markers of inflammation are reduced in the periphery • IFN-ɣ increased in plasma under immunotherapy but was suppressed in combination with REC-648918 • Higher relative levels of IFN-ɣ were maintained under combination treatment Gene B Gene B REC- 648918 REC-648918 BIRC2 Gene
Slide 31: REC-64151 in STK11 mutant cancers
• Goal: Identify novel compounds capable of re-sensitizing tumors to checkpoint therapy in STK11 mutant cancers • Phenomap insight: Novel class of compounds (REC-64151) inferred to rescue loss of STK11 • Result: REC-64151 restores anti-PD1 (aPD1) response of STK11 mutant CT26 tumors (Fig. A, B) and
Slide 32: MYC-driven oncology compounds
-2 -1 0 1 2 0 50 100 % P ro li fe ra ti o n I n h ib it io n PC-12 MSTO-211H MV-4-11 HL-60 REC-142221 Conc. (Log, uM) -2 -1 0 1 2 0 50 100 % P ro li fe ra ti o n I n h ib it io n REC-136467 Conc. (Log, uM) -2 -1 0 1 2 0 50 100 % P ro li fe ra ti o n I n h ib it io n PC-12 MSTO-211H MV-4-11 HL-60 MYC
Slide 33: oO G [=
8 6 oO G [= 2 2 3 33
Slide 34: Recursion is a clinical stage TechBio company
Recursion is a clinical stage TechBio company Mapping and Navigating biology and chemistry with the goal of bringing better medicines to patients faster and at lower cost via an Internal Pipeline and Partnerships The Leading TechBio Mission is to decode biology to radically improve lives >150 biolog
Slide 35: Top-20 pharma vs AI-native drug discovery assets
Images adapted from Jayatunga, M., et al. Nature Reviews Drug Discovery 2022. 35 Top-20 Pharma Companies AI-Native Drug Discovery Companies 705 768 708 602 575 641 686 709 519 439 393 333 0 500 1,000 1,500 2,000 2,500 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 Discovery / Preclinica
Slide 36: Traditional approach vs Recursion map-based approach
World’s literature reviewed People generate hypotheses Hypotheses validated in low dimensional assays 1. Millions of disparate journal articles and publications 2. Many data cannot be independently replicated 3. Human-selected low dimensional assays prone to confirmation bias 4. Humans prone to conf
Slide 37: Illustrative partnership value inflection points
Program 1 Program 1 Program 1 Program 1 Program 1 Program 1 Program 1 Illustrative example of potential value inflection points Upfront Fee Programs 2 through N Programs 2 through N Programs 2 through N Programs 2 through N Programs 2 through N Collaboration Timeline Programs 2 through N Programs 2
Slide 38: COVID-19 RxRx19 predictions
Drug Prediction Correct? Hydroxychloroquine x ✓ Lopinavir x ✓ Ritonavir x ✓ Remdesivir ✓ ✓ Baricitinib ✓ ✓ Tofacitinib ✓ ✓ Ivermectin x ✓ Fluvoxamine x ✓ Dexamethasone x x • Recursion conducted several AI-enabled experiments in April 2020 to investigate therapeutic potential for COVID-19 - Drugs inv
Slide 39: Recursion is a leading TechBio company
Recursion is a leading TechBio company Computational focused, known biology Felease Date: March 3,2022 Recursion engaged Frost & Sullvan to perform ths ancysis ti Mature internal pipeline, large strategic partnerships, advanced computational resources Schrodinger @ tale @ Valo Health es ee ee ee ee
Slide 40: Scaling like a technology company
• Growth in capabilities, proprietary data, programs, and partnerships • Increasing business opportunities • Reducing binary risks We are a biotechnology company scaling more like a technology company, as demonstrated by our growth in inputs (experiments) and growth in outputs (data, biological and