Slide 1: Investor Presentation
Investor Presentation January 2011
Slide 2: Safe Harbor
Safe Harbor Certain statements in this presentation concerning our future growth prospects are forward- looking statements, which are subject to a number of risks, uncertainties and assumptions that could cause actual results to differ materially from those contemplated in such forward-looking state
Slide 3: Biocon is an emerging global biopharmaceutical enterprise
Biocon is an emerging global biopharmaceutical enterprise with products and research services that span the entire drug value chain: pre-clinical discovery to clinical development through to commercialization. Page 2
Slide 4: Snapshot
Snapshot Incorporation 1978 Initial public offering 2004 (BSE &NSE (India) Patent portfolio 182 patents granted Headquarters Bangalore, India Global reach ~ 75 countries Workforce 5300+ employees (10% PhDs) Market capitalisation ~INR 7500+ crore | USD 1.6 bn FY10 Earnings Revenue INR 2405 crore | US
Slide 5: Business structure, holdings
Business structure, holdings 61% | Promoters 7% | Employees & ESOP trust Syngene International Ltd, India | 100% Custom research, drug discovery 32% | Public Biocon Clinigene International Ltd, India | 100% Clinical development Biocon Research, India | 100% R&D Biocon Biopharmaceuticals Pvt Ltd | 10
Slide 6: Unique bio-pharma business model
Unique bio-pharma business model Page 5
Slide 7: Capabilities – manufacturing
Capabilities – manufacturing Biocon Active ingredients Aseptic – fill & finish Classic fermentation Cartridges, Vials (Lyophilized), PFS Microbial fermentation* * Asia’s largest manufacturer of Pichia-based products. Mammalian fermentation * Commercialized the world’s first Pichia-derived r-human in
Slide 8: Product Pipeline - A Portfolio Approach
Product Pipeline - A Portfolio Approach INSULINS IMMUNOSUPPRESSANTS BIOSIMILARS: MMF, Tacrolimus, rh-Insulin, Glargine, Sirolimus, Pimecrolimus, Lispro, Aspart Temsirolimus etc. NOVEL: IN105 Phybrids MAbs STATINS BIOSIMILARS: Trastuzumab, Lovastatin, Simvastatin, Bevacizumab etc. Pravastatin, Atorva
Slide 9: Our growth strategy aligns with emerging trends
Our growth strategy aligns with emerging trends Page 8 17
Slide 10: Emerging markets offer great potential
Emerging markets offer great potential Rising GDP | Improving health care access | Stronger regulation Russia Poland Ukraine Pakistan Turkey China S Korea Mexico Egypt India Vietnam Venezuela Brazil Bangladesh Thailand Indonesia Chile South Africa Argentina Biocon is an early mover into many of thes
Slide 11: Emerging Markets: High Growth – High Returns
Emerging Markets: High Growth – High Returns • Current EM ~$1.5 billion Biosimilar • 5 year CAGR 15% Insulins • EM estimated to be a $5 billion Insulins market by 2020 • Emerging Markets account for 70% of world’s Diabetic Population • Lower regulatory barriers offer faster market entry Biosimilar •
Slide 12: 36 key brands across four therapeutic segments
India focus - Branded Formulations business Brand folio 36 key brands across four therapeutic segments Launched two divisions Q2 FY11 – Immunotherapy and Comprehensive Care Field force – 900 Page 11
Slide 13: Leveraging The India Advantage
Leveraging The India Advantage High Potential Novel Pipeline Diabetes IN105 (Oral Insulin) Oncology / Itolizumab (Anti Auto immune CD6 mAb) Nimotuzumab (Anti Novel Oncology EGFR mAb) Molecules BVX 20 Oncology (Anti CD20 mAb Diabetes Hybrid Peptide Fusion mAbs Oncology (Tumour Vaccines) * Proof of Co
Slide 14: The India Advantage - Research Services
The India Advantage - Research Services Syngene Preclinical, drug R&D Chemistry services Biology, Pharmaceutical biologics services services Synthetic chemistry Early biology Formulation Medicinal chemistry Preclinical development Process R&D Biologics/custom Regulatory consulting Polymer chemistry
Slide 15: The India Advantage - Research Services
The India Advantage - Research Services Clinigene Clinical Research Clinical trials management India's first CAP, NABL accredited Clinical development clinical research labs. Central lab ISO 15189:2003 accredited for Clinical data management quality and competence. Bio-analytical research lab Human
Slide 16: Research Services: Aligning With Global Trends
Research Services: Aligning With Global Trends Dynamic and Favorable Macro Environment for Research Services Externalization a key driver as Pharma & Biotech R&D is reinventing itself Move from component to integrated programs Chemistry to Biologics FTE to Preferred Supplier to Strategic Development
Slide 17: Research Services: Aligning With Global Trends
Research Services: Aligning With Global Trends Syngene / Clinigene well placed to address these opportunities Integrated Platform offering end-to-end solutions for NCE & NBE Increasing focus on long term strategic partnerships vs. transaction based model Development capabilities for biologics includ
Slide 18: Research & Marketing: A Partnership Approach
Research & Marketing: A Partnership Approach DISEASE PRODUCTS CATEGORY PARTNER DIABETES INSULIN + ANALOGS BIOSIMILAR PFIZER DIABETES PHYBRIDS NOVEL AMYLIN ONCOLOGY & MAbs BIOSIMILAR MYLAN IMMUNE DISORDERS ONCOLOGY & ITOLIZUMAB NOVEL CIM IMMUNE BVX 20 NOVEL VACCINEX DISORDERS Cancer Vaccines NOVEL IA
Slide 19: Global partnerships for Biosimilars
Global partnerships for Biosimilars Insulin and Insulin analogs Monoclonal anti-bodies Page 18
Slide 20: Biosimilars partnership - Pfizer
Biosimilars partnership - Pfizer Insulin and Insulin analogs Combines Biocon's research and manufacturing capabilities with Pfizer's global marketing prowess Global agreement for the Pfizer will have exclusive Biocon will be commercialization of rights, with some responsible for clinical Biocon's bi
Slide 21: Total Insulin Market 2009
Total Insulin Market 2009 Total 2009 Insulin Market USD ~13 bn ~ USD 20 bn in 2020 Growth forecast of ~6% per annum* *Factoring the advent of Biosimilar Insulins Sources: Industry reports Page 20
Slide 22: Biocon's insulin business in India
Biocon’s insulin business in India The 2007-2010 CAGR Biocon’s ranking in the Biocon’s market share by figures for unit sales of Indian Market: volume: Insulin 40 IU: #20 in the OAD market Market: 10.6% rh-Insulin: 10.8% #3 in the rh-Insulin market Biocon: 12.7% Glargine: 13.2% #2 in the Glargine ma
Slide 23: Biosimilars partnership - Mylan
Biosimilars partnership - Mylan Monoclonal Antibodies (MAb) Combines Biocon's R&D and manufacturing of novel biologics/bio-generics with Mylan’s regulatory and commercialization capabilities in the US and Europe Exclusive Mylan and Biocon to Mylan will have Biocon and Mylan to collaboration for shar
Slide 24: Global alliances – Amylin
Global alliances – Amylin Page 23
Slide 25: Global alliances – Vaccinex
Global alliances – Vaccinex Page 24
Slide 26: Global alliances – IATRICa
Global alliances – IATRICa Page 25
Slide 27: Global alliances – Optimer Pharmaceuticals
Global alliances – Optimer Pharmaceuticals Page 26
Slide 28: Lead program: Oral insulin IN-105
Lead program: Oral insulin IN-105 Conjugated peptide Lower immunogenicity and mitogenicity. Monotherapy. Comparable safety and good clearance profile. Combination therapy with metformin, Metabolically equivalent. sulfonylurea, PPAR agonists, DPP4i. Pre-meal insulin in combination with basal insulins
Slide 29: Efficacy Safety Studies
IN-105 : FIRST CUT DATA OF PHASE III PoC ~ 260 PTS STUDY •HbA1c drop up to 0.8% from baseline observed in drug arm • Greater than expected placebo effect observed Efficacy • Significant drug effect in several subsets • Statistically significant reduction in PPG throughout trial • Frequent SMBG likel
Slide 30: Anti-CD6 MAb : T1h
Anti-CD6 MAb : T1h Target CD6 o.4mg/kg once in 4 weeks is a type 1 cell membrance glycoprotein belonging to the scavenger receptor cysteine-rich (SRCR) superfamily group B. CD6 is predominantly expressed by T cells & a B cell subset. Day 1 Day 29 CD6 binds ALCAM (activated leukocyte cell adhesion mo
Slide 31: Summary: Growth Drivers 2011
SUMMARY: GROWTH DRIVERS 2011 EMERGING MARKETS BIOSIMILAR INSULINS: PFIZER BIOSIMILAR mAbs: EMERGING MARKETS LICENSING OF NOVEL PROGRAMS: IN105, Itolizumab RESEARCH SERVICES: Syngene & Clinigene STATINS, IMMUNO-SUPPRESSANTS, PROSTS: APIs & ANDA Dossiers Page 30
Slide 32: Revenue, profit
Revenue, profit INR crore / USD mn FY07 FY08 FY09 FY10 Revenue 990 220 1090 273 1673 364 2405 512 EBITDA 287 63 335 83 388 84 509 108 Net profit* 200 44 225 56 240 52 293 62 INR Crore/ USD mn Q3 FY11 9-mo FY11 Revenue 738 164 2097 456 EBITDA 178 40 471 102 EBITDA Margin 24% 23% Net Profit 101 22 267
Slide 33: Revenue mix: group
Revenue mix: group 29% 38% 35% 13% 11% 11% 11% 55% 48% 52% INR crore / USD million FY09 FY10 9-mo FY11 Biopharma products* 924 199 1180 250 1102 240 Research services 225 49 281 60 229 51 Others 54 12 37 8 28 1 FY09 and FY10: Avg.exch.rate in that fiscal Sub Total 1203 260 1498 317 1359 296 9-mo FY1
Slide 34: Thank you
Thank you