Eden Research Plc · LSE:EDEN
Eden Research — H1 2020 Earnings Presentation
32 slides from Eden Research's earnings presentation, Sep 30, 2020
Slide 1: Eden Research plc 2020 Interim Results
Eden Research plc 2020 Interim Results
Slide 2: Background and Context
Background and Context 2
Slide 3: About Us
About Us Eden is the only UK quoted (AIM: EDEN) company focused on biopesticides for sustainable agriculture Key • Intellectual property and expertise in plant-derived sustainable chemistry and delivery technologies • Proven products Statistics 16 19 New local distributorships Countries have granted
Slide 4: What is Sustainable Agriculture?
What is Sustainable Agriculture? • Farming practices which maintain yields while minimising impacts on the environment • A reflection of society’s increasing concern about the world’s approach to food production and healthy eating • Embracing farming practices that mimic natural ecological processes
Slide 5: Microencapsulation Technology
Microencapsulation Technology Sustaine® is a novel microencapsulation solution patented by Eden, suitable for Sustaine Active ingredients are microencapsulation released while the pores applications in a wide range of agricultural, technology is derived from remain open in the animal health and cons
Slide 6: Our Product Focus
Our Product Focus OUR PRODUCTS Our focus is on developing products based on sustainable Our products give growers reduced chemistries to protect high-value crops from pests and risk, increased flexibility and security. disease, with equal or better performance when compared with conventional pestici
Slide 7: Product Characteristics
Product Characteristics Protecting plants ‘Residue free’ from potentially Tackling damaging chemicals Polymer-free resistance Low or no pre- build-up formulation harvest intervals Enabling sustained technology giving growers delivery, increasing flexibility, security residual efficacy and and contro
Slide 8: Industry Applications
Industry Applications We work globally through CROP ANIMAL CONSUMER multi-national and local PROTECTION HEALTH PRODUCTS partnerships to develop and launch solutions for Foliar disease & insect control Shampoos/Conditioners Head-lice treatment challenges facing three key Open field & greenhouses Skin
Slide 9: Products In Action
Products In Action 9
Slide 10: Sustainably Extending the Shelf Life of French Apples
Sustainably Extending the Shelf Life of French Apples Top 3 EU Apple Producers 22.9% 17.6% 17.0% Normandy Science Spotlight France Poland Italy • Mevalone® is Eden’s innovation – a foliar, contact biofungicide which is used as a preventative and curative solution for French Exports Brittany Botrytis
Slide 11: High Value Food Crops in Open Field and Greenhouse Environments
High Value Food Crops in Open Field and Greenhouse Environments The majority of crops in Europe are grown in 1 open field, however, there is an increasing level of investment in greenhouse and glasshouse farming, especially for salad vegetables. The use of greenhouses will help to reduce emissions 2
Slide 12: The Global Economic Impact of Botrytis
The Global Economic Impact of Botrytis Botrytis cinerea is one of the most extensively studied fungal pathogens and causes “gray mold” rot in more than 500 plant species Sustainable Control • Mevalone® is used as a preventative $10-100 The annual economic and curative solution for Botrytis cinerea.
Slide 13: Eliminating Microplastics in Soil
Eliminating Microplastics in Soil There is increasing consumer and regulatory pressure to cut 1 out the use of plastic in supply chains. Food production has faced significant scrutiny due to its widespread use of plastics, from farming to packaging. Sustainable Control In farming, microplastics are
Slide 14: Strategy and Investment Case
Strategy and Investment Case 14
Slide 15: Our Strategy
Our Strategy BUSINESS LINE RESEARCH, DEVELOPMENT DIVERSIFICATION AND OPERATIONS • Pursuit of opportunities in the seed • Supply chain optimisation treatments market • Expansion of in-house screening • Development of insecticides and field trials capability • Ongoing work with Elanco Animal • Acceler
Slide 16: Our Investment Case
Our Investment Case 1 2 3 4 Commercialisation Technology Focus on Regulatory drivers for Eden is now resourced to exploitation biological solutions sustainable solutions enable commercialisation of Exploitation of Eden’s Eden is the only UK quoted Regulatory changes are new products and core technol
Slide 17: Significant Market Potential
Significant Market Potential A growing global market for sustainable products Crop protection products formulated with Sustaine® and Eden’s active ingredients can help address many of these issues: $10 15% $300 Consumer concerns billion per annum million over food safety The global biopesticides The
Slide 18: Leadership Team
Leadership Team Sean Smith Chief Executive Officer Over 25 years of experience in the speciality chemicals and industrial biotechnology industries Lykele Van der Broek Non-Executive Chairman Formerly Board member of Bayer Crop Science and President of Bayer Animal Health, both divisions of Bayer AG
Slide 19: Interim Results
Interim Results 19
Slide 20: Financial Highlights
Financial Highlights H1 Unaudited Revenue Upfront and milestone payments GPM on product sales Financial Results £0.75m £0.02m 42% (H1 2019: £0.58m) (H1 2019: £0.13m) (2019: 44%) Product Sales Operating loss Cash and cash equivalents £0.73m £1.01m £8.66m (H1 2019: £0.45m) (H1 2019: £0.63m) (H1 2019:
Slide 21: Business and Operational Highlights
Business and Operational Highlights H1 2020 Highlights Organic approval One-year exclusive received for Mevalone® Evaluation Agreement in Italy and Spain signed with Corteva Post-period end approval in France New regulatory approvals in Successful fundraise Greece, Serbia, Netherlands, of £10.4m wit
Slide 22: H1 2020 Overview
H1 2020 Overview 22
Slide 23: Use of Proceeds from March 2020 Fundraise
Use of Proceeds from March 2020 Fundraise Use £ Detail Update • Seed treatment collaboration with Corteva Register and commercialise Up to • Multiple formulation options progressing as planned; updates to follow insecticide and seed treatment products £6.0m • Global trials and registrations • Wide r
Slide 24: Commercial Footprint
Commercial Footprint Our presence in Europe has continued to grow in H1 through new authorisations for both Cedroz™ and Mevalone®, and we anticipate further approvals in Europe and further abroad post-period end. Belgium France Total of seven approvals in H1 and Netherlands post-period end. Spain Al
Slide 25: Corteva Agreement
Corteva Agreement • Eden signed a one-year exclusive evaluation agreement with Corteva Agriscience • Corteva is evaluating Eden’s Sustaine® encapsulation technology and several formulations in specific biological seed treatment applications in certain major Market Cap territories (EU, Russia, Ukrain
Slide 26: Covid 19 General Update
Covid 19 General Update • At onset of the pandemic in March 2020 there was no direct operational impact, and our stakeholders were reassured by Eden’s strengthened balance sheet • Mild levels of disruption experienced including import and export activities, limitations on field trial capacity due to
Slide 27: Covid 19 Wine Production Update
Covid 19 Wine Production Update The countries that rank highest for 1 total wine consumption (the United States, UK, Spain, Italy, France, etc.) experienced the most severe impacts Closing of restaurants and 2 bars impacted demand Wine tourism – vineyard tours, dining 3 in the winery and cellar door
Slide 28: New Facilities
New Facilities • New office and laboratory at Milton Park in Oxfordshire • Growing R&D team including key hires • Increased in-house capabilities such as formulation, microbiological screening, plant and seed evaluations and analytical work • Features high-tech equipment to undertake product testing
Slide 29: Eden in the Media
Eden in the Media Opinion: Why alternative pesticides are set Fn 7 " to become mainstream g Eden Research in demand after Austral seo Tame sae os nth end ack Hiatiog hemp ofiatentinally |= === Scceamncrpinter ear ee PC OED gw C07 Defoe eae . : ae eseanitionceatimsaintentpuonnci Soe ce ‘SMALL CAP IDE
Slide 30: Summary & Outlook
Summary & Outlook 30
Slide 31: H1 Summary
H1 Summary • Fund raise of £10.4m (gross) completed in March 2020 • Exclusive, one year evaluation agreement with Corteva Agriscience covering seed treatments signed and progressing as anticipated • New laboratories established in Oxfordshire: in house capabilities replacing contracted services • Or
Slide 32: Outlook
Outlook Strengthened balance sheet following capital raise Moving forward with our new products, including insecticide products, seed treatments and optimised fungicides Additional regulatory approvals expected in H2 2020 and 2021 with commercial impact in 2021 and beyond In-house work including for