Covalon Technologies Ltd. · TSXV:COV
Covalon Technologies — Shareholder Meeting (November 2020)
32 slides from Covalon Technologies's shareholder meeting presentation, Nov 12, 2020
Slide 1: 2019 Annual Shareholders Meeting
2019 Annual Shareholders Meeting November 12th 2020 Brian Pedlar, CEO Danny Brannagan, CFO TSX-V: COV OTCQX: CVALF www.covalon.com | 1-877-711-6055 Millions of Covalon products are used every month by clinicians in hospitals around the world to help protect patients from infection.
Slide 2: Meeting Agenda
Meeting Agenda 1. Welcome and Call to Order 2. Formal Proceedings 3. CEO & CFO Presentation: 4. Q and A 5. Concluding Remarks Covalon’s products are loved by the patients they protect and by the clinicians that use them because they are better. 2
Slide 3: Opening Remarks
Opening Remarks Brian Pedlar Danny Brannagan President & Chief Financial Officer Chief Executive Officer B.Comm., CPA, CA B.Sc., CPA, CA 3
Slide 4: Call to Order
Call to Order Stikeman Elliott TX | TSX Trust covalon TECHNOLOGIES LTD.
Slide 5: Orders of Business
Orders of Business o Presentation of Annual Financial Statements for the year ended September 30, 2019; o Election of Directors; o Appointment of Auditor; o Reapproval of 2019 Amended and Restated Stock Option Plan. 5
Slide 6: Annual Financial Statements
Annual Financial Statements 6
Slide 7: Board of Directors
Board of Directors Abe Schwartz Dr. Myrna Frances Amir Boloor Joseph Cordiano Ronald E. Smith Martin Goldfarb Brian Pedlar 7
Slide 8: Appointment of Auditor
Appointment of Auditor 5 pwe covalon TECHNOLOGIES LTD.
Slide 9: Amended and Restated Stock Option Plan
Amended and Restated Stock Option Plan 9
Slide 10: Termination of Meeting
Termination of Meeting covalon TECHNOLOGIES LTD.
Slide 11: Management Presentation
Management Presentation Millions of Covalon products are used every month by clinicians in hospitals around the world to help protect patients from infection.
Slide 12: Forward-Looking Statements and Non-GAAP Financial Information
Forward-Looking Statements and Non-GAAP Financial Information Certain statements included in this Memorandum may be considered forward-looking statements. These forward-looking statements are often, but not always, identified by the use of words such as “seek”, “anticipate”, “plan”, “estimate”, “exp
Slide 13: Review of Fiscal 2019
Review of Fiscal 2019 Brian Pedlar Danny Brannagan President & Chief Financial Officer Chief Executive Officer B.Comm., CPA, CA B.Sc., CPA, CA 13
Slide 14: Strong Track-Record of Revenue Growth
Strong Track-Record of Revenue Growth Historical Revenue Profile (C$MM) 35% 57% $34.0 $27.3 $26.7 $26.5 5-year CAGR1 LTM Gross Margin $9.1 $7.6 $6.7 $3.8 $4.1 $2.6 FY2011 FY2012 FY2013 FY2014 FY2015 FY2016 FY2017 FY2018 FY2019 LTM Development Phase Early Commercialization Phase Commentary • Covalon
Slide 15: FY2019 Saw a Major Change in Covalon's Business
FY2019 Saw a Major Change in Covalon’s Business FY2018 Revenue FY2019 Revenue Drivers of US Growth • 20+ U.S. Regional & National Distributors • 3+ U.S. GPO Agreements • 25+ U.S. IDN Contracts • 2,000+ Active Customers Commentary Valuable partners and distributors of a range of Covalon’s products in
Slide 16: De-risked Revenue Profile with Minimal Customer Concentration
De-risked Revenue Profile with Minimal Customer Concentration FY2018 FY2020 No single 65% customer of product representing revenue from more than Middle East 10% of total Contracts revenue • Covalon has a highly diversified end user base of 2,000+ hospitals, wound care clinics, long-term care facili
Slide 17: CEO Comments
CEO Comments Brian Pedlar Danny Brannagan President & Chief Financial Officer Chief Executive Officer B.Comm., CPA, CA B.Sc., CPA, CA 17
Slide 18: Covalon at a Glance
Covalon at a Glance ü Covalon researches, develops, manufactures and markets patented infection prevention medical products and services ü Covalon is a proven innovator of patented technologies that drive high-margin, transformative products and medical devices that disrupt existing and under-met ma
Slide 19: Current Investment Opportunity
Current Investment Opportunity Setback in Middle East + COVID-19 has depressed the price of Covalon’s stock from 1 $9.00 to under $2.00. Our ongoing business demonstrates that the current stock price does not 2 represent the true value of Covalon. Covalon’s stock is illiquid, which makes it respond
Slide 20: Covalon's Platform Technologies
Covalon’s Platform Technologies Lucrative and Proven Infection Management Technology Platforms Platform Description Flagship Products TAM(1) Technology Biological Patented platform used to manufacture a family of products Collagen that treat chronic and infected wounds (e.g. diabetic foot $4.0B Matr
Slide 21: Leverage Assets to Pursue Multiple Avenues for Growth
Leverage Assets to Pursue Multiple Avenues for Growth Clear Path for Substantial Revenue Growth within each of the Five Platforms Organic Growth Other Growth Initiatives Strengthen existing medical Strengthen Sales Force and New Product Launch & Strategic Initiatives consumables business Distributio
Slide 22: Covalon's Market Leading R&D Capabilities
Covalon’s Market Leading R&D Capabilities Leading R&D and Regulatory Expertise Sought by Global Healthcare Companies Development Partnership Model Selected Partners & Distributors — Covalon works with leading medical device companies to bring new products to market, or to improve/enhance existing pr
Slide 23: Platform Product Advantages vs. Competitors
Platform Product Advantages vs. Competitors Covalon’s products have demonstrated competitive advantages through clinical studies and improved patient outcomes according to end-user customers Covalon Primary Competitor Products Covalon Advantage Products Competitors § Patented manufacturing process t
Slide 24: Patients and Their Families Love Covalon's Products
Patients and Their Families Love Covalon’s Products Real People, Life Changing Stories 24
Slide 25: Patients and Their Families Love Covalon's Products
Patients and Their Families Love Covalon’s Products Real People, Life Changing Stories 25
Slide 26: Clinicians Love Covalon's Products
Clinicians Love Covalon’s Products Real People, Life Changing Stories Our Products Make a Covalon’s Silicone Adhesive Difference To These Patients 3M’s Adhesive 26
Slide 27: Covalon's Products Help Improve Patient Care & Save Lives
Covalon’s Products Help Improve Patient Care & Save Lives SurgiClear™ Makes a Difference SurgiClear Applied in the Operating “So far, we are loving the SurgiClear results Room here. We have not had a superficial infection since using them! Our overall infection rate has dropped SurgiClear on a Patie
Slide 28: Our Products Work
Our Products Work Real People, Life Changing Stories After 5 Weeks - Healed Diabetic Foot Ulcer Diabetic Foot Ulcer – Scheduled for Amputation After 6 Months - Healed 28
Slide 29: Experienced Management Team
Experienced Management Team Corporate World-Wide United States Brian Pedlar Hector Padilla Chief Executive Officer Vice President, Gerry Arambula Strategic Markets President, Covalon B.Sc., CPA, CA USA B.Sc. B.A., MBA Alyssa Hrycyshyn Vice President, Europe Danny Brannagan Marketing Chief Financial
Slide 30: Covalon Highlights
Covalon Highlights 1 World-class development lab with game- changing IP and products 2 Recognized by medical companies as major player in infection control 3 De-Risked revenue with increased channel into the United States 4 Massive upside with new products and new sales force in United States 350 mi
Slide 31: Questions?
Questions? Millions of Covalon products are used every month by clinicians in hospitals around the world to help protect patients from infection.
Slide 32: Thank You!
Thank You! Millions of Covalon products are used every month by clinicians in hospitals around the world to help protect patients from infection.
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