Slide 1: 4Q and Full Year 2022 presentation
4Q and Full Year 2022 presentation 16 February 2023 1
Slide 2: Important notice and disclaimer
Important notice and disclaimer This report contains certain forward-looking statements based on uncertainty, since they relate to events and depend on circumstances that will occur in the future and which, by their nature, will have an impact on the results of operations and the financial condition
Slide 3: Achievements in 2022 set us up for success in 2023
Achievements in 2022 set us up for success in 2023 ON COS-102: Ready to initiate phase 2 study in PD-1 resistant melanoma in the USA and Europe, based on strong phase 1 data Circular RN A: Established new circRNA pipeline program driven by circRNA discoverer Dr Thomas Hansen – technical PoC establis
Slide 4: Financial update
1 Financial update Secured access to NOK 300m in financing over three years
Slide 5: 4Q OPEX in line with plans and expectations
4Q OPEX in line with plans and expectations NOK m 4Q21 1Q22 2Q22 3Q22 4Q22 Total revenue 0 0 0 0 10 R&D expenses1 -10 .-9 -14 -8 -16 Payroll and related expenses -13 -16 -14 -10 -13 Other operation expenses2 -2 -3 -3 -2 -3 Total operating expenses - 26 - 29 - 31 - 20 - 32 Operation loss -26 -29 -31
Slide 6: 4Q Financial snapshot
4Q Financial snapshot Key figures Shareholder base - 30 -3 Estimated ownership1 Net cash Shareholder Shares million Ownership flow in 4Q NOK million USD million HealthCap 12.4 6.6 % Goldman Sachs Int. (nom.) 5.2 2.8 % Bækkelaget Holding AS 5.1 2.7 % Cash at end of 4Q 66 6.6 Nordnet Bank AB (nom.) An
Slide 7: Financing market for public biotech is very challenging
Financing market for public biotech is very challenging 160 Total deal value: $160 Price/Share Absolute numbers 140 2020: $214b $140 o 50% drop in XBI 2021: $234b Biotech index since 120 2022: $73b $120 2021 peak 100 $100 o 70% drop in deal 80 $80 value 2022 vs. 2021 60 $60 o Only two public biotech
Slide 8: Targovax has secured access to NOK 300M in financing
Despite the market conditions, Targovax has secured access to NOK 300M in financing Total amount Tranches Timeline Control #1 NOK 37.5M 36 months Targovax decides NOK 300M #2 NOK 30M 1 tranche available if and when to call #3 NOK 25M every 3 months new capital 8
Slide 9: Experienced international investor providing innovative financing solutions for European biotech
Experienced international investor providing innovative financing solutions for European biotech Headquarters: London Part of US-based Arena Investors Assets under management: $3.6B “Our strategy is to provide growth capital for undervalued companies 17 active convertible investments in France, with
Slide 10: Convertible bond (CB) financing - mechanics
Convertible bond (CB) financing - mechanics 1. Calling a Tranche 2. Receiving Cash 3. Issuing CBs 4. Conversion to shares Targovax requests Atlas sends cash to Targovax issues CBs to Atlas requests bond payment of tranche Targovax Atlas conversion to shares First tranche: NOK 37.5M 92% of nominal va
Slide 11: Through our partnership with Atlas we have secured flexible access to capital
“ Through our partnership with Atlas we have secured flexible access to significant capital over the next three years, allowing us to advance all of our three R&D pillars and build long- term shareholder value Dr Erik D Wiklund - CEO 11
Slide 12: ONCOS-102 program
2 ONCOS-102 program SOPHOS-213 phase 2 study on track for start-up in the USA and Europe
Slide 13: ONCOS-102 has demonstrated a highly competitive ORR of 35% in PD-1 resistant melanoma
ONCOS-102 has demonstrated a highly competitive ORR of 35% in PD-1 resistant melanoma CR PR 35% ORR ONCOS- 102 5% 30% (7/20 pts.) 35% ORR BNT111 0% 35% (6/17 pts.) 29% ORR RP1 13% 16% (18/61 pts.) Anti- PD1 23% ORR Vidutolimod 7% 16% retreatment (23/98 pts.) 21% ORR Lenvatinib 3% 18% (22/103 pts.) 1
Slide 14: SOPHOS-213: ONCOS-102 phase 2 trial in PD-1 resistant melanoma
SOPHOS-213: ONCOS-102 phase 2 trial in PD-1 resistant melanoma at prestigious cancer centers in USA and Europe Part 1 – higher dose exploration run-in Part 2 – multi-cohort extension 1 ONCOS- 102 2 ONCOS- 102 + Initially n=18 monotherapy balstilimab Expand to n =37 high dose Confirm safety Randomize
Slide 15: The phase 2 trial is designed to enable future out-licensing and address regulatory requirements
The phase 2 trial is designed to enable future out-licensing and address regulatory requirements Opportunity to achieve best- in- class data in PD-1 resistant melanoma setting Differentiated botensilimab combination, with strong scientific and strategic rationale Design and size to enable lice
Slide 16: Circular RNA program
3 Circular RNA program An area of rapidly growing interest among big pharma and biotech
Slide 17: mRNA was the top-selling drug class in 2022
mRNA was the Top 10 drugs by 2022 projected sales top-selling drug class in 2022 USD 50b total 2022 Remarkable speed - first mRNA sales for COVID therapeutics were approved in 2020 mRNA vaccines mRNA outcompeted more established concepts in COVID vaccine race Oncology is the next frontier for mRNA S
Slide 18: Although mRNA is already a successful therapeutic class, several challenges remain unsolved
Although mRNA is already a successful therapeutic class, several challenges remain unsolved mRNA is unstable and immunogenic, mRNA vaccines have required significant modifications Circular RNA Efficient delivery of RNA therapeutics is (circRNA) can currently limited to vaccines and liver disease ove
Slide 19: circRNA was discovered by Targovax scientists and is quickly gaining momentum
circRNA was discovered by Targovax scientists and is quickly gaining momentum First circRNA papers establishing the field in 2011 Dr Thomas Hansen Dr Erik D Wiklund 19
Slide 20: Pre-clinical stage US biotechs have attracted significant funding
Building on the circRNA discovery, pre-clinical stage US biotechs have attracted significant funding USD 325m USD 490m raised to date raised to date Main backers: Main backers: Merck (MSD), MPM Capital & BioImpact Capital Flagship Pioneering, Fidelity, Invus & Blackrock Approach: synthetic circRNA,
Slide 21: Our differentiated vector based approach for circRNA delivery
Our differentiated vector based approach for circRNA delivery circAde vectors o Highly versatile Circular o Multi- functional RNA Gene therapy microRNA sponge o Excellent stability Cancer vaccine Immune activation 21
Slide 22: Our circAde vector system is technologically differentiated and offers important advantages
Our circAde vector system is technologically differentiated and offers important advantages Enhanced Does not Suitable Delivery Existing Delivery intra-cellular require vaccination to solid GMP manu- to liver stability packaging platform tumors facturing circAde vector approach Synthetic circRNA Syn
Slide 23: Multiple value inflection points in the short- to mid-term
Multiple value inflection points in the short- to mid-term Pillar Value creation opportunities Opportunity to become best- in- class in PD- 1 resistant melanoma Data from differentiated combination with botensilimab +/- PD-1 ONCOS-102 Phase 2 designed and sized to be attractive for big pharma partne