Modular Medical, Inc. · NASDAQ:MODD
Modular Medical — Investor Presentation (February 2022)
27 slides from Modular Medical's investor presentation, Feb 25, 2022
Slide 1: Modular Medical Investor Presentation
MODULAR MEDICAL Investor Presentation. NASDAQ:MODD
Slide 2: Forward Looking Statements, Other Disclaimers
Forward Looking Statements, Other Disclaimers. THIS SUMMARY IS PROVIDED ON A CONFIDENTIAL AND LIMITED BASIS, SOLELY FOR YOUR USE AS A PART OF YOUR DETERMINATION OF WHETHER TO INVEST IN THE OPPORTUNITY. THIS SUMMARY IS BEING PROVIDED IN RELIANCE UPON SECTION 105(C) OF THE JUMPSTART OUR BUSINESS START
Slide 3: Corporate Overview
Corporate Overview. Modular Medical is a development stage medical device company seeking to produce a next generation insulin pump to expand access to a higher standard of glycemic management for people with diabetes. Founded by Paul DiPerna, founder of Tandem Diabetes (TNDM) and original designer
Slide 4: Insulin Pumps Represent the Gold Standard in Glycemic Control
Insulin Pumps Represent the gold standard in glycemic control. Better outcomes, better patient health, lower A1C. (Market share leaders: Medtronic, Tandem, Insulet) Outcomes Better outcomes lead to systemic savings: fewer trips to ER, reduced comorbidities. Saves $10k/patient year (40%) even after c
Slide 5: US Market Size
US Market Size. Pumps CGM MDI 27 million people with diabetes. 3.6 million require daily insulin (1.6M Type 1,2.0M Type 2). Only 20% of insulin dependent people with diabetes use a pump for insulin delivery. 80% rely on multiple daily injections (MDI). Continuous glucose monitors (CGM) have nearly 3
Slide 6: Encouraging Adoption
Encouraging Adoption. Abbott Freestyle Libre made continuous glucose monitoring easier and more affordable. This expanded the product category and doubled its size. We believe the insulin pump market is ready for a similar transition. “in short, Flash Glucose Monitoring is fundamentally trying to ta
Slide 7: $3B US Market
$3B US market of HCPs fairly consistently indicated that about 25% of their MDI population are “almost pumpers”, meaning that they have considered going on a pump, understand pump therapy benefits, but want something simpler that doesn’t have all the “bells and whistles”...* 1.2M T1D MDI 1.6M T2D MD
Slide 8: What Are Almost Pumpers Asking For?
What are almost pumpers asking for? 45% expressed a desire to go on pump Make it easy for me Make it easy for my doctor Make it easy to get coverage Make it easy to share my data with my care team Bottom line: “I cannot spend more time managing my diabetes.” 1-Seagrove Partners LLC, HCP Perspectives
Slide 9: MODD1 Insulin Delivery for Almost Pumpers
MODD1 Insulin Delivery for Almost Pumpers. Push button to bolus 3-day cartridge 90-day reusable pump No external controller required No charging or battery replacement Removable Eliminate trade offs to expand the market. Same accuracy as leading pumps. Smoothest, most natural basal administration in
Slide 10: MODD Technology: a New Level of Precision and Safety
MODD Technology a New Level of Precision and Safety. MODD Pumping Mechanism Disposable Cartridge Rotating Cam Precision micro-dosing limits excessive insulin exposure and preserves insulin molecule integrity Can be used with the latest ultra rapid insulins More natural insulin delivery with small in
Slide 11: Simple Design Enables Automated, High-Volume Manufacturing
Simple Design Enables Automated, High-Volume Manufacturing. Pivoting lever Lever arm pushing gear wheel Insulin reservoir Lever arm pushing gear wheel SMA wire segment A Insulet Omnipod
Slide 12: Designed with the Patient & Provider in Mind
Designed with the Patient & Provider in Mind. Provider Direct sales Force Focused on Providers Free Samples to Encourage Trial Point of Prescription Couponing Simple to Teach and Support Patients Patient Only product that you can take home today from doctor’s office App to Learn Product Free 30-Day
Slide 13: Payor Preferred
Payor Preferred. Our products are designed to attain preferential reimbursement and avoid the coverage pitfalls many other pumps have experienced. Payor Benefits: 20% Discount vs Insulet (PODD) Will Drive Preferred Status Designed to use PBM codes as a disposable No New Code: Reimbursed at Launch Sa
Slide 14: Unit Economics
90 Day Re-Usable Price: FREE Cost: $34 3 Day Disposable Price: $34.92* Cost: $7.68 Unit Economics. Profitable From the First Sale First month: 1 Re-Usable + 10 Disposables Price: $349.20 Cost: $34 + $76.80 = $111.80 Gross Profit: $238.40 Subsequent Months: 10 Disposables Price: $349.20 Cost: $76.80
Slide 15: Business Model
Business Model. New microfluidics technology allows for low-cost pumping of insulin. New design philosophy makes product simple enough for provider driven sales. Enables a classic pharma style business model And a more rapid path to profitability. $4,128 Revenue Per Patient/Year1 36,000 Users = 1% o
Slide 16: Timeline
Timeline. Approval: 510(k) Predicate device approval pathway for FDA label. Same label as Omnipod. Testing is based on benchtop tests, no human trials required (no insulin pump has done pre-approval human trials) Submission: First FDA meeting was held in Nov. 2019. Second meeting was Mar. 2020. FDA
Slide 17: Product Roadmap
MODD1 (Basal with user Bolus) MODD1+ (Cell phone controlled adjusted by algorithm) Product Roadmap. The Path to the Artificial Pancreas MODD2 (Autonomous, multiple chamber, drug revenue)
Slide 18: In Development: MODD1+
In Development MODD1+. Enhanced Modular Patch Pump: Cell Phone Controlled 2-Factor Authentication Allows use of user’s own cell phone as controller. No dedicated controller required. CGM Integration Allows algorithms to adjust basal rate for meals and exercise. Ease of Use Same modular design and ea
Slide 19: The Future of Care: MODD2
The Future of Care MODD2. MODD2 is a native multi-chamber pump developed with enhEnhananceced eased Modula of usre Pin atmind.ch Pum Dep: signeCell d to Phone be prefilled, theCon MtrOollDDed2 will enable Modular Medical to capture drug revenue. Modular Medi2 Fcalact wilor l becAutheome nthtie caont
Slide 20: EU: Single-Payors Want Lower Overall Costs
EU: Single-Payors Want Lower Overall Costs. 60 MILLION people have diabetes in Europe1 $1 in $4 global diabetes spending occurs in this region2 $156B spent annually in diabetes healthcare costs3 3 European countries in Top 10 countries for highest number of children and adolescents with T1D 2 Europe
Slide 21: The Team
The Team Paul DiPerna Chairman & CTO 30 years of experience in medical device industry o Led over 10 projects to FDA approval o Founder Tandem Diabetes (TNDM:NAS) o Designer and lead developer of t:slim pump, a leading insulin pump in type 1 diabetes o Founder and CEO, Modular Medical: an innovative
Slide 22: Financial Highlights
Financial Highlights. Stock Information Listing NASDAQ Symbol MODD Share Structure (as of February 14, 2022) Shares Outstanding 10.4 M Price Per Share $3.00 Market Cap $31 M Executive & Insider Ownership 57% Warrants at $6.00 strike 768 K Warrants at $6.60 strike 4.0 M Employee Stock Options at $7.5
Slide 23: Modular Medical Investor Relations
MODULAR MEDICAL Investor Relations ir@modular-medical.com NASDAQ:MODD
Slide 24: Appendix
Appendix.
Slide 25: T1D Insulin Pump Comparisons (US Market)
T1D Insulin Pump Comparisons (US Market). Modular Medical Tandem Diabetes Care Medtronic (MiniMed) Insulet Reservoir Size 300 units/3mL 300 units/3mL 300 units/3ml_ 200 units/2ml_ Pump Cost Pump: $03-Day Disposables: $349/month (PBM Pricing) Pump: $4,200 Disposables: $134/month Pump: $4,600 Disposab
Slide 26: Artificial Pancreas Will Be Multi-Chamber
Artificial Pancreas Will Be Multi-Chamber. FDA has established 70% Time In Range “no human intervention” standard for AR “Control IQ” study published in NE Journal of medicine barely reached 70% despite announcing meals, sleep, and exercise. Prominent KOL’s and Algo designers feel 70% TIR without in
Slide 27: MODD Clinical Advisors
MODD Clinical Advisors. ENDOCRINOLOGY Bruce Bode, MD: Among the top tier of insulin and insulin pump kols in the world (atlanta, practicing) Orville Kolterman, MD: Led the development of symlin (pramlintide) and byetta / bydureon (exenatide) at amylin pharmaceuticals (san diego, practicing) Poul Str
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