Evolva 2011 Update Improving Lives with Biosynthetic Technologies - - PowerPoint PPT Presentation

Evolva 2011 Update

Improving Lives with Biosynthetic Technologies 22 March 2012

Stevia Vanilla Pomecin ™ Saffron Baker’s Yeast

Evolva Proprietary Material

Disclaimer

The shares of Evolva Holding (“Evolva”) are traded on the SIX Swiss Stock Exchange (ticker: “EVE”). This presentation may contain specific forward-looking statements, relating to Evolva's future business, development and economic performance. e.g., statements including terms like "believe", "assume", "expect" or similar expressions. Such forward-looking statements are subject to known and unknown risks, uncertainties and other factors which may result in a substantial divergence between the actual results, financial situation, development or performance of Evolva and those explicitly or implicitly presumed in these statements. Against the background of these uncertainties readers should not rely

• n forward-looking statements.

Evolva assumes no responsibility to update forward-looking statements or to adapt them to future events or developments.

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Evolva Proprietary Material

Agenda

• 2011 overview
• Financial results
• Shift towards Nutrition & Consumer Products
• Saffron

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Evolva Proprietary Material

Summary

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• Finances in-line, or better than, September guidance
• Further shift towards Nutrition & Consumer Products
• Looking to partner late-stage Pharma compounds

□

But continue function-led discovery, including pharma discovery for partners

• New pipeline product: Saffron

Evolva Proprietary Material

Finances 2011 - Revenues

• CHF 11 million revenues
• One US bio-defence contract expired
• 49% of revenues from commercial

contracts (2010: 22%)

• Three new contracts

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IFF

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BASF

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Roquette (2012)

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5 10 15 20 2008 2009 2010 2011 CHF m

Evolva Proprietary Material Slide 6

5 10 15 20 25 30 35 40 45 2010 2011

Discovery Development G&A

Operating expenses

CHF m

The grey bars indicate non-cash option expenses

Finances 2011 - Expenses

5 10 15 20 25 2010 2011 5 10 15 20 25 2010 2011 5 10 15 20 25 2010 2011

Development:

• Phase IIa for EV-077

started slightly later

• Expiry of US contract

G&A:

• Includes Abunda

acquisition expenses Discovery:

• Includes impairment
• n equipment

Evolva Proprietary Material

Finances 2011 - Cash

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10 20 30 40 Starting cash Operating cash flow Investing cash flow Financing cash flow End cash

• +

CHF m Abunda + SEDA Operating loss, adjusted for non-cash items

22.7 37.7

Evolva Proprietary Material

Finances - Outlook

• 2012 revenues around the 2011-level

□

But to depend on partnering

• Net loss of CHF 21 - 23million
• Cash outflow of CHF 16 - 17 million

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From operating and investing activities

• Financed well into 2013
• Up to CHF 29 million available from SEDA

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Evolva Proprietary Material

2011 Year-End Shareholder Structure

• Lock-up and coordinated

sale terminated

• 100% free float

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12% 26% 15% 4% 2% 41%

Asia institutional EU institutional Swiss institutional Treasury Management Other Evolva Share Ownership

(3% threshold for Institutions)

Evolva Proprietary Material

Projects 2011 – Key Products

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Programme Progress Vanilla Key flavorant Ahead of schedule – already competitive in certain markets Next step: scale-up Pomecin TM Natural mould protectants Studies in various applications. Good efficacy in food- and crop protection applications. Stevia Zero-calorie sweetener Made key Stevia components via fermentation Next step: move into pilot-scale Saffron World’s most expensive spice Identified pathways for production of components EV-077 Complications of diabetes Completed Phase I Entered Phase IIa late 2011 EV-035 Antibacterial Advanced preclinical package

Evolva Proprietary Material

Shift towards Nutrition & Consumer Products

To Discover And Provide Innovative, Sustainable Ingredients For Health, Nutrition And Wellness

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Evolva Proprietary Material

Background

…..and many more

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Consumerisation of Health

• Increasingly health-aware individuals
• Western government budget pressures
• Growing health needs in emerging markets
• Creates demand for health & wellness products – that appealing,

convenient, natural & affordable

Peter Brabeck-Letmathe Chair, Nestle, Sept 2010

BASF, 2010 Andrew Witty, CEO, GlaxoSmithKline, 2011 BASF's new Nutrition & Health division established with effect from Aug 1, 2010

We [will] move away from a reliance on traditional ‘white pill, western markets.’ Economics, demographics, health science, regulatory frameworks [.. ] all leading to a significant opportunity for a new industry located between food and pharma

Evolva Proprietary Material

Business Model

Discover and provide innovative, sustainable ingredients

for health, nutrition & wellness

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Supply ingredients deriving from our platform to other companies

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Supply & License

Partners

$ € ¥

End Market End Market

Evolva Proprietary Material

Focus Areas

• High-value ingredients that relevant to nutrition and

consumer healthcare

• Products where our technology allows provision of a

DISRUPTIVE set of benefits to the customer

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Compounds that not “suppliable” before

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Functions that lacking in current product offers

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Greatly superior product quality / composition

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Significantly simpler, shorter, more traceable supply chains

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Fundamentally lower costs

• We are NOT interested in commodities, though we will

deploy our technology for partners who are

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Evolva Proprietary Material

Pharma Products Will Be Partnered to Support Cashflow

• EV-077 – vascular inflammation in diabetes

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In Phase IIa, studies conducted in Germany

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366 million diabetics in world, increasing strongly

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Vascular inflammation main cause of morbidity & mortality

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Interest from multiple pharma companies

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Data expected end Q2 2012

• EV-035 – novel broad spectrum antibiotic

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• Preclinical. New class of broad spectrum antibiotics

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Novel mechanism, works on resistant strains

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Synergistic with Polymyxin B vs. key pathogens

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Discussions in parallel to creating further data

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EV-077

Evolva Proprietary Material

Saffron

• The world’s most expensive spice

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$2,000 per kilo and upwards

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Sales of c. $ 660 million p.a.

• But major obstacles prevent wider use

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Very high price prevents use in mass markets

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Difficult supply chain: - > 90% of world supply from Iran

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A “blend” of compounds, limiting product customisation

• Evolva approach addresses these problems

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Can greatly reduce costs, and hence prices (f.x. 10-fold)

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Completely simplifies the supply chain

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Enables customised blending of ingredients

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Evolva Proprietary Material

Prospects for Product Launches in Coming Years

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Programme On Market Key Benefits Addressable Market Vanilla Key flavorant 2013-2014

• Natural
• Cost
• Customisable

$ 600 million Pomecin TM Natural mould protectants 2014-2015

• Natural
• Potency
• Broad Range

$ 1 billion Stevia Zero-calorie sweetener 2015

• Cost
• Supply Chain
• Customisable

$ 4 billion Saffron World’s most expensive spice 2015-2016

• Cost
• Supply Chain
• Customisable

$1-2 billion

Evolva Proprietary Material

2012 has potential for strong value creation

• Partnerships on technology (Roquette, Jan 2nd)
• Partnerships on products
• Phase IIa results on EV-077
• Efficacy data in multiple PomecinTM applications
• Scale-up on Vanilla
• Preparations for pilot scale-up on Stevia

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, Evolva

www.evolva.com

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Questions ?

Neil Goldsmith CEO neilg@evolva.com +41 61 485 20 05 +41 79 54 33 111