BioPharma Credit PLC USD · LSE:BPCP
BioPharma Credit PLC USD — BioPharma Credit — Investor Presentation (June 2025)
29 slides from BioPharma Credit PLC USD's investor presentation, June 2025
Slide 1: Debt Capital for the Life Sciences Industry
Debt Capital for the Life Sciences Industry COMPANY PRESENTATION – June 2025 For additional information please email: ir@bpcruk.com or visit BioPharma Credit PLC’s website at www.bpcruk.com
Slide 2: Disclaimer
Disclaimer This presentation of information relating to BioPharma Credit PLC (“BPCR”) is confidential and is intended solely for the information and exclusive use of the person to whom it has been provided. It is not to be reproduced, or transmitted, in whole or in part, to third parties. This prese
Slide 3: Experienced Investment Team
Experienced Investment Team Pharmakon Advisors, LP Pedro Gonzalez de Cosio Martin Friedman Pablo Legorreta Co-Founder, Principal and CEO Principal Co-Founder and Principal Co-founded Pharmakon in 2009 Joined Pharmakon in 2011 Co-Founded Pharmakon in 2009 after 17 years in structured after 18 ye
Slide 4: Investment Opportunity – Summary
Investment Opportunity – Summary Investments in Approved Life Sciences Products – No Clinical Trial or Approval Risk Debt investments backed by life sciences products (drugs, devices and diagnostics) Collateral value assigned only to approved products in their approved indications and territorie
Slide 5: BPCR has generated consistent returns since IPO
BPCR has generated consistent returns since IPO1 BPCR annualized2 dividends per share in US$ $0.14 Interim Special $0.12 $0.10 Interim dividend has consistently met the annualized $0.070 target $0.08 for over seven years $0.06 $0.04 $0.02 $0.00 2017 2018 2019 2020 2021 2022 2023 2024 1Q25 Annual ¢
Slide 6: Realized Gross / Net IRR
Investment track record of mostly singles and doubles – Emphasis on consistency and reduced risk Unlevered Returns have been consistent over the years (43 Realized Transactions)1 160%2 Realized Gross IRR Older Investments 70% Realized Net IRR BPCR Investments 120%2 60% 50% Realized Gross / Net IRR 3
Slide 7: The right structure / LTV helps generate attractive returns on debt
The right structure / LTV helps generate attractive returns on debt irrespective of equity performance Life Sciences Debt Investments were less risky and are generally exposed to less volatility than an equity investment in the corresponding issuer ■ The chart below shows the gross and net multiple
Slide 8: New investments have allowed BPCR to broaden its diversification
New investments have allowed BPCR to broaden its diversification and deploy cash from capital raises and loan repayments Evolution of BPCR Portfolio since IPO1 (US$m) $1,800 Cash Seed Assets $1,600 Other Realized (repaid) Investments Outstanding Investments $1,400 $1,200 $1,000 $800 $600 $400 $200 $
Slide 9: BPCR currently has ~$1.1bn invested across 11 transactions
BPCR currently has ~$1.1bn invested across 11 transactions1 ($ millions) BPCR Outstanding Balances + Cash Original Projected IRR Total Outstanding Remaining Investment Loan Amt. to Maturity2 Share (%) Share ($) Invested Balance Tranches (As at 30 April 2025, including Evolus Refinancing, OptiNose Re
Slide 10: BPCR’s portfolio is currently composed of senior secured loans to listed companies
BPCR’s portfolio is currently composed of senior secured loans to listed companies1 Investment: 3 2 5 6 Original Inv. Date: November 1, 2017 February 13, 2020 December 14, 2021 March 7, 2022 October 19, 2022 Structure: Royalty Stream Secured Loan Secured Loan Secured Loan Secured Loan Total Commitme
Slide 11: The Gross Yield of the Portfolio Continues to Benefit from Higher Reference Rates
The Gross Yield1 of the Portfolio Continues to Benefit from Higher Reference Rates Floating vs. Fixed1 10% 26% 26% 90% 74% 74% YE 2023 YE 2024 Q1 2025 Floating Fixed Gross Yield2 14.0% 12.0% 13.1% 12.1% 12.2% 11.7% 11.4% 11.7% 10.0% 11.2% 11.0% 10.1% 8.0% 6.0% 4.0% 1Q23 2Q23 3Q23 4Q23 1Q24 2Q24 3Q24
Slide 12: Current Valuation of BPCR Portfolio
Current Valuation of BPCR Portfolio1 ■ The majority of BPCR’s investments are private loans that do not have an observable market value and are classified as “Level 3 Investments” or “unlisted investments”. The fair values of the “unlisted investments” are determined principally by reference to disc
Slide 13: $275m senior secured corporate loan
$275m senior secured corporate loan BPCR Share: $25m Paratek: Privately held pharmaceutical company providing innovative specialty therapies for community care providers and specialists. Paratek was acquired in 2023 by B-FLEXION and Novo Holdings. On May 21, 2025, Paratek acquired OptiNose, a spec
Slide 14: $250m senior secured corporate loan
$250m senior secured corporate loan Evolus: Biopharmaceutical company with a customer-centric approach focused on delivering breakthrough performance beauty products Market Cap: $624m as of May 23, 2025 Cash: $68m as of March 31, 2025 LTM Sales: $275m as of March 31, 2025 Main Products:
Slide 15: $250m senior secured corporate loan
$250m senior secured corporate loan Geron: A commercial-stage biopharmaceutical company focused on blood cancer Market Cap: $924m as of May 23, 2025 Cash: $458m as of March 31, 2025 LTM Sales: $116m as of March 31, 2025 Main Product: Rytelo (imetelstat) is approved in the US for the treatm
Slide 16: $547m senior secured corporate loan
$547m senior secured corporate loan Insmed: Global biopharmaceutical company focused treating patients with serious and rare diseases Market Cap: $12.3bn as of May 23, 2025 Cash: $1,199m as of March 31, 2025 LTM Sales: $381m as of March 31, 2025 Main Product: Arikayce (amikacin liposome in
Slide 17: $200m senior secured corporate loan
$200m senior secured corporate loan BPCR Share: $35m Alphatec: A medical device company that designs, develops, and markets spine fusion products and solutions for the treatment of spinal disorders. The company was founded on March 4, 2005 and is headquartered in Carlsbad, CA. The company rebrande
Slide 18: $646m senior secured loan to finance Collegium’s acquisition of Ironshore
$646m senior secured loan to finance Collegium’s acquisition of Ironshore Collegium Pharmaceutical: biopharmaceutical company focused on developing and commercializing new medicines for responsible pain management. Market Cap: $928m as of May 23, 2025 Cash: $198m as of March 31, 2025 LTM Sal
Slide 19: $400m senior secured corporate loan
$400m senior secured corporate loan Novocure: A biopharmaceutical company focused on addressing several diseases with high unmet need across a range of therapeutic categories, including eye care, dermatology, and infectious disease prevention Market Cap: $2.1bn as of May 23, 2025 Cash: $929m a
Slide 20: $200m senior secured corporate loan
$200m senior secured corporate loan Tarsus: A biopharmaceutical company focused on addressing several diseases with high unmet need across a range of therapeutic categories, including eye care, dermatology, and infectious disease prevention Market Cap: $1.8bn as of May 23, 2025 Cash: $408m as
Slide 21: $450m senior secured corporate loan
$450m senior secured corporate loan BioCryst: A global biopharmaceutical company that discovers and commercializes novel, oral, small-molecule medicines Market Cap: $2.2bn as of May 23, 2025 Cash: $317m as of March 31, 2025 LTM Sales: $490m as of March 31, 2025 Main Product: Orladeyo (bero
Slide 22: $200m senior secured corporate loan
$200m senior secured corporate loan UroGen: Biopharmaceutical company focused on developing products to treat specialty cancers and urologic diseases. The Company’s products are being developed as chemoablation agents designed to remove tumors by non-surgical means. The Company is focused on treat
Slide 23: Life Sciences is a $1 Trillion+ Vital Industry with Uncorrelated Sales
Life Sciences is a $1 Trillion+ Vital Industry with Sales that are Uncorrelated and Unaffected by Economic Cycles Global Historical Pharmaceutical Sales ($ in trillions) COVID-19 Global Financial $1.6 Crisis $1.5 $1.5 $1.3 $1.3 $1.2 $1.1 $1.1 $1.1 $1.1 $1.0 $1.0 $1.0 $0.9 $0.8 $0.8 $0.7 $0.6 $0.6 $0
Slide 24: Life Sciences Sales Uncorrelated with Economic Cycles (cont’d)
Life Sciences is a $1 Trillion + Vital Industry with Sales that are Uncorrelated and Unaffected by Economic Cycles (cont’d) Annual Changes in Sales of Oncology Drugs vs Major Indices 100% $140 Oncology Sales $Bn 80% $120 NASDAQ (% change) 60% $100 40% $80 20% $60 0% $40 (20%) (40%) $20 (60%) $0 1990
Slide 25: Biotech equity markets have underperformed the broader market
Over the past 5 years, Biotech equity markets have underperformed the broader market Historical Industry Price Performace (Indexed to 100) Dec. 2014 - April 2025 450 400 268% 350 300 170% 250 128% 200 150 33% 100 50 0 Dec-14 Dec-15 Dec-16 Dec-17 Dec-18 Dec-19 Dec-20 Dec-21 Dec-22 Dec-23 Dec-24 S&P 5
Slide 26: FDA Drug Approval Pace Continues to be Healthy
FDA Drug Approval Pace Continues to be Healthy, Providing a Continued Pipeline of New Lending Opportunities ■ Pharmakon invests in approved, differentiated therapies that address a meaningful unmet need for patients. ■ FDA (and other jurisdiction regulatory bodies) approvals provide a continued pipe
Slide 27: Choppy biotech equity markets create an attractive environment for debt investments
Choppy biotech equity markets create an attractive environment for debt investments in biotech Convert Count and Proceeds Total Amount Raised ($bn) $30 80 Total Amount Issued Convert Count 62 70 $25 Convert Count 60 $20 40 50 38 $15 32 32 40 28 24 30 $10 18 $18 13 20 $14 $5 $9 $10 $7 $8 $7 $8 10 $5
Slide 28: All four previous BioPharma Credit private funds have returned all capital
All four previous BioPharma Credit private funds have returned all capital to investors Pharmakon Advisors, LP Private Fund Historical Investment Performance (Private Funds) I II III IV Launch Date June 2009 March 2011 February 2013 December 2015 Founded in 2009; manager of the BioPharma Credit fu
Slide 29: Gross and Net Returns of Past Realized Investments
Gross and Net Returns of Past Realized Investments1 Investment Date Investment Name Fund Investment Amount Gross IRR1 Net IRR1 Gross MOIC1 Net MOIC1 Jun 2009 LEXIVA Private Fund I $26,700,000 22% 18% 1.37x 1.30x Sep 2009 Cymbalta Private Fund I $132,000,000 15% 11% 1.20x 1.16x Oct 2009 PDL Private F