Overview of the Biotechnology Industry

1
Overview of the Biotechnology Industry

• David Clarke
• Chief Executive Officer
• Neuren Pharmaceuticals Ltd

2
Key events in biotechs history

• Biotech industry is only 30 years old
• Started with a handful of companies principally
  in the San Francisco and Boston areas
• Now 5,000 biotech companies worldwide

3
Industry Overview Biotechnology at 30

• Total industry revenues gt US50 billion
• 100 biotechnology products marketed
• 23 biotechnology products with 2005 sales gt US1
  billion
• More than US40 billion on research and
  development per annum

4
Worlds top biotechs (by market cap)
5
Patents and drug approvals
6
Financing
7
Overview of the drug discovery and development
process
8
Risk v RewardThe creation of value in new drug
development
9
Focus of biotechnology, big pharma, specialty
pharma
10
Licensing is an increasingly important industry
trend
11
Indicative deal metrics
Phase III
Phase II
Phase 1
Preclinical
Discovery
Value uplift (US)
12
Big pharma acquisitions of biotech companies
are increasing
13
NeurenRepairing brain damage from ageing and
injury
14
Glypromate
15
Founding hypotheses of Neurens lead compounds

• Founded upon three scientific hypotheses that are
  now the generally accepted principles of brain
  repair
• The brain self-repairs
• There is a window of time for brain rescue
• Brain cells die via several mechanisms Brain
  repair agents cannot focus on neurons alone
  (NEJM, Feb 2005)

BRAIN CELL DEATH FROM IMPACT, CLOT OR INJURY
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Development pipeline
Pre-Clinical Toxicology
Pre-Clinical Efficacy
Material Production
Commercialisation
Validated Lead
Clinical Phase 1
Clinical Phase 2
Clinical Phase 3
ADME
Discovery
Glypromate - MCI Glypromate CA NNZ-2566 (IV)
TBI mild-moderate NNZ-2566 (IV) TBI severe
NNZ-2566 (Oral) - AD DKPs (Oral) - PD MCs NRPs
- PN Cancer - BC GH Variants - AGH
CY2006
1YCY2007
1HCY2007
1HCY2007
CNS Product Portfolio
1QCY2008
KEY
Mild Cognitive Impairment Cardiac Arrest
Traumatic Brain Injury Alzheimer's Parkinson's P
eripheral Neuropathy Breast Cancer Adult Growth
/Obesity
MCI CA TBI AD PD PN BC AGH
Growth Hormone Portfolio
ALL FDA trials
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Value proposition Tier one biotech company

• Solid drug pipeline not a one drug company
• In 2 human clinical trials now, 4 trials by end
  2007
• 4 separate out-licensing programmes in 2007
• Reduced cost of trials due to collaborators and
  design
• Phase 3 Glypromate trial will cost A10m for US
  FDA trial
• Including US Army Walter Reed Institute,
  Metabolic Pharmaceuticals, UCLA Medical Center
  and National Trauma Institute in Melbourne
• Limited competition for drugs - all indications
  have minimal or no effective treatments available
  on market
• Established presence in the US

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• Thank you