Nuwellis, Inc. · NASDAQ:NUWE

Nuwellis — Sunshine Heart — Investor Presentation (August 2016)

29 slides from Nuwellis's investor presentation, Aug 24, 2016

  1. Slide 1: Forward Looking Statement

    Forward Looking Statement This presentation contains forward-looking statements. All forward-looking statements are management’s present expectations of future events and are subject to a number of risks and uncertainties. Various factors could cause actual results to differ materially from these st

  2. Slide 2: Executive Summary

    Executive Summary Focused on providing meaningful solutions for the $95 billion Heart Failure market in two distinct ways: Developing a fully implantable disruptive solution for Class III Heart Failure: Based on learnings from original C-Pulse device Proprietary neuro based approach Targets easy to

  3. Slide 3: Executive Leadership Team

    Executive Leadership Team ©2016 Sunshine Heart, Inc. 8/24/2016 3 40+ years experience in medical devices CE0 of 4 med-tech start-up companies Chairman of 3 public boards BA in Business Administration from California State University, Fullerton John Erb Chief Executive Officer, Chairman 15 year finan

  4. Slide 4: Discussion Outline

    Discussion Outline HF Market Opportunity Neuromodular Strategy Aquadex FlexFlow Product Line Financial Priorities ©2016 Sunshine Heart, Inc. 8/24/2016 4

  5. Slide 5: Heart Failure is a Significant Economic Burden

    Heart Failure is a Significant Economic Burden Incidence: 800,000+ new cases per year One of every 9 deaths HF linked to other major diseases: Obesity, Diabetes, Hypertension Mortality: 60%+ at 5 years, worse by NYHA class > 1 million hospitalizations per year More hospital days for HF than any othe

  6. Slide 6: Current US Estimate of Heart Failure patients

    Current US Estimate of Heart Failure patients 8/24/2016 ©2016 Sunshine Heart, Inc. 6 *Source: Circulation 2014 US Market Opportunity: > $30B* EU Market Opportunity: > $65B† † Source: Framingham Study, Windover 2007 Report, AHA 2010 Stroke Update, HRI 2010

  7. Slide 7: Discussion Outline

    Discussion Outline HF Market Opportunity Neuromodular Strategy Aquadex FlexFlow Product Line Financial Priorities ©2016 Sunshine Heart, Inc. 8/24/2016 7

  8. Slide 8: Mechanical Counterpulsation: Our Original Focus

    Mechanical Counterpulsation: Our Original Focus Increase diastolic pressure: Coronary Blood Flow Unloading of the left ventricle Maintenance of mean aortic pressure Optimize left ventricular coupling ©2016 Sunshine Heart, Inc. 8/24/2016 8 Extra-aortic cuff ECG Sensing leads Interface Lead Driver

  9. Slide 9: Clinically Significant Results: Reduction in Heart Failure Readmissions

    Clinically Significant Results: Reduction in Heart Failure Readmissions Meaningful readmission reductions at 3, 6, and 12 months Significant financial upside for Hospitals & Payers ©2016 Sunshine Heart, Inc. 8/24/2016 9 Readmission Rates 3-mo 6-mo 12-mo Class III Average 25% 36% 59% C-Pulse Feasibil

  10. Slide 10: Clinically Significant Results: Improvement in Cardiac Structure

    Clinically Significant Results: Improvement in Cardiac Structure 15 patients implanted in Europe Mean increase of 10 EF units (%), implying improved patient outcomes; CRT increases 2.7 units* Four patients weaned from therapy due to HF stabilization Significant improvements in 6 minute walk, NYHA cl

  11. Slide 11: Hemodynamic Improvement Greater than Expected from Mechanical Counterpulsation

    Hemodynamic Improvement Greater than Expected from Mechanical Counterpulsation ©2016 Sunshine Heart, Inc. 8/24/2016 11 Original Hypothesis: C-Pulse results driven by bio-mechanical flow improvement Clinical Benefit: More positive than predicted by mechanical action alone Observation: C-Pulse cuff pl

  12. Slide 12: Compelling Evidence of Neuromodulatory Impact

    Compelling Evidence of Neuromodulatory Impact ©2016 Sunshine Heart, Inc. 8/24/2016 12 In-vivo Simulation 89% 6% 102% 55% 52% 21% Independent Assessment by Professor Patrick Segers who is a leader in the study of arterial hemodynamics in Ghent, Belgium Assessment using a validated computer model of t

  13. Slide 13: Positive Initial Neuro Assessment

    Positive Initial Neuro Assessment Positive patient outcomes from Dallas VA with investigator Dr. Phi Wiegn led to a physician initiated study with Dr. William Cornwell and Dr. Ben Levine of University of Texas Southwestern Conducted an acute neuro and hemodynamic assessment of a patient who had been

  14. Slide 14: Neuromodulation: A Better Clinical Solution

    Neuromodulation: A Better Clinical Solution ©2016 Sunshine Heart, Inc. 8/24/2016 14 Counterpulsation: Challenges of a Mechanical Approach Driveline limited inclusion criteria and enrollment rate Limited market in advanced HF patients Current C-Pulse system challenging for patients to manage long ter

  15. Slide 15: Innovative Neuromodulation Approach

    Innovative Neuromodulation Approach Minimally Invasive: 2 small incisions IPG Pocket 1-2 inch neck exposure Easy: Nerve Cuff Placement on one of only two distinct & complementary afferent baroreceptor sites (Aortic Depressor Nerve) Fast: 45 - 60 min procedure Value: Procedural LOS < 1 day in hospita

  16. Slide 16: Clinical Study Pathway

    Clinical Study Pathway ©2016 Sunshine Heart, Inc. 8/24/2016 16 Near-Term Purpose: Publication revealing that neuromodulation is the mechanism driving clinical improvements n=5 with original CP-1 device; sympathetic nerve activity with C-Pulse ON vs. OFF Enrollment underway; complete follow-up in 201

  17. Slide 17: Our Approach is Well Positioned for Clinical Success

    Our Approach is Well Positioned for Clinical Success ©2016 Sunshine Heart, Inc. 8/24/2016 17 Easily Identifiable Target: Confirmed in Cadaver Studies Aortic Depressor Nerve identified in neck by Prof. John Karemaker Easily Separable Target Nerves are anatomically distinct from other structures Clear

  18. Slide 18: Our Approach Seeks to Benefit Multiple Stakeholders

    Our Approach Seeks to Benefit Multiple Stakeholders ©2016 Sunshine Heart, Inc. 8/24/2016 18 Patient Benefits Improved duration and Quality of Life Reduced readmissions and time in hospital Implant to discharge within 24 hours Significantly delay the need for later stage, more invasive therapies Phys

  19. Slide 19: Discussion Outline

    Discussion Outline HF Market Opportunity Neuromodular Strategy Aquadex FlexFlow Product Line Financial Priorities ©2016 Sunshine Heart, Inc. 8/24/2016 19

  20. Slide 20: Aquadex FlexFlow Overview

    Aquadex FlexFlow Overview Acquired from Baxter International (8/5/16) This is the former CHF Solutions Inc. business * Installed base of over 500 Aquadex consoles 300+ hospitals have purchased Aquadex Operationally Ready: 7 fully-trained Therapy Development Specialists Historical Revenue: $13M in 20

  21. Slide 21: Aquadex FlexFlow Product Line

    Aquadex FlexFlow Product Line 8/24/2016 © 2016 Sunshine Heart, Inc. 21 Aquadex Console Disposable peripheral Catheter Disposable, single-use Blood Set

  22. Slide 22: Aquadex FlexFlow

    Aquadex FlexFlow A simplified form of ultrafiltration (UF) Safe method to achieve dry weight Ease of Use Highly automated setup and operation Diverse physician prescription Inpatient or outpatient settings Peripheral or central venous access Used often with 4:1 RN ratios in Stepdown Ambulatory capab

  23. Slide 23: The Aquadex FlexFlow System is indicated for

    The Aquadex FlexFlow® System is indicated for: Temporary (up to 8 hours) ultrafiltration treatment of patients with fluid overload who have failed diuretic therapy Extended (longer than 8 hours) ultrafiltration treatment of patients with fluid overload who have failed diuretic therapy and require ho

  24. Slide 24: Fluid Overload Drives Increased Heart Failure Costs

    Fluid Overload Drives Increased Heart Failure Costs Congestive heart failure is the leading cause of hospitalizations1 Annual incidence of HF is 10 per 1,000 (pts over 65 years of age)2 90% of HF patients present with symptoms of fluid overload3 Almost 1 million hospitalizations annually in US for a

  25. Slide 25: Discussion Outline

    Discussion Outline HF Market Opportunity Neuromodular Strategy Aquadex FlexFlow Product Line Financial Priorities ©2016 Sunshine Heart, Inc. 8/24/2016 25

  26. Slide 26: Financial Results and Key Balance Sheet Information

    Financial Results and Key Balance Sheet Information ©2016 Sunshine Heart, Inc. 8/24/2016 26 Summary Balance Sheet Dec. 31, 2015 Q2 2016 Cash & Cash Equivalents: $23.1M $12.0M Long-term Debt $8.0M $6.1M Total Stockholders’ Equity: $12.2M $3.7M Operations Summary Year ended Dec 31, 2014 Year ended Dec

  27. Slide 27: Key Financial Priorities

    Key Financial Priorities ©2016 Sunshine Heart, Inc. 8/24/2016 27 Reduce cash burn Operations streamlined to extend cash runway Resources prioritized for development of fully implantable Raise capital to finance the development of the fully implantable system $3.5 million in convertible preferred sha

  28. Slide 28: Thank you

    Thank you FRM-04558-D ©2016 Sunshine Heart, Inc.

  29. Slide 29: Sunshine Heart - Thank you

    C SUNSHINE HEART Thank you

Sunshine Heart — Investor Presentation (August 2016) on 6ix