Fall 2017 Investor Presentation Legal Disclaimer & Forward - - PowerPoint PPT Presentation
Fall 2017 Investor Presentation Legal Disclaimer & Forward - - PowerPoint PPT Presentation
Fall 2017 Investor Presentation Legal Disclaimer & Forward Looking Information CSE: VRT | OTC:VRTHF | FRT:2VP LEGA GAL DISCLAIMER : This document provides a description of Veritas Pharma Inc. (Company or the Company) and its
CSE: VRT | OTC:VRTHF | FRT:2VP
Legal Disclaimer & Forward Looking Information
LEGA GAL DISCLAIMER: This document provides a description of Veritas Pharma Inc. (“Company” or the “Company”) and its business. Prospective investors are encouraged to obtain independent legal advice concerning any investment in securities of Company and should not base their decision on whether to invest in Company solely upon the material provided herein. There are no representations or warranties made herein by Company or the agents, if any, of the proposed offering of any securities or debt instruments in the Company (the “Agents”) and investors will only be able to rely on the representations and warranties contained in the subscription agreement to be entered into at the time of sale of the securities. There are certain risks inherent in an investment in the securities of Company that prospective investors should carefully consider before investing in the securities of the Company. This document constitutes an offering
- f the securities described herein only in those jurisdictions and to those persons where and to whom they may be lawfully offered for
sale, and only by persons permitted to sell these securities. This document is not, and under no circumstances is it to be construed as an advertisement or a public offering of these securities. This document is personal to each offeree and does not constitute an offer to any
- ther person or to the public generally to subscribe for or otherwise acquire any of the securities referred to herein. No securities
regulatory authority or similar authority has reviewed or in any way passed upon the presentation or the merits of these securities and any representation to the contrary is an offence. This document has been prepared for information purposes only in order to assist prospective investors in evaluating an investment in Company . No representation, warranty or undertaking, express or implied, is made and no responsibility or liability is accepted by the Agents as to the accuracy or completeness of the information contained herein or any
- ther information, representation, warranty or undertaking, express or implied, made by Company in connection with the offering of
securities described herein. FORWARD LOOKING G INFORMATI TION: This corporate document contains statements that, to the extent that they are not historical fact, may constitute “forward-looking statements” within the meaning of applicable securities legislation. Any statements regarding future plans, objectives or economic performance of Company , or the assumption underlying any of the foregoing, constitute forward- looking information. This corporate document may use words such as “may”, “would”, “could”, “will”, “likely”, “except”, “anticipate”, “believe”, “intend”, “plan”, “forecast”, “project”, “estimate”, “outlook”, and other similar expressions to identify forward-looking statements. Actual results, performance or achievement could differ materially from that expressed in, or implied by, any forward-looking statements in this corporate document, and, accordingly, investors should not place undue reliance on any such forward-looking statements. Forward- looking information involves significant risks, assumptions, uncertainties and other factors that may cause actual future results or anticipated events to differ materially from those expressed or implied in any forward-looking statements and accordingly, should not be read as guarantees of future performance or results. Any forward-looking statements speak only as of the date on which such statement is made and each of Company and the Agents disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, unless required by applicable law. New factors emerge from time to time, and it is not possible for management to predict all of such factors and to assess in advance the impact of each such factors.
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Presentation Content
4 About Veritas 7 The Opportunity 8 Veritas’ Mission 9 Veritas’ R&D Approach 12
Targeted Medical Conditions
15 Veritas’ Team 18 Scientific Team (CTL) 21
Sechelt Organic Marijuana
22 Research Status Update 24 Future Steps & Timelines 13 IP Strategy 26 Financials
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An emergi ging g pharmaceutical company developing g effective cannabis therapies that targe get a variety of disease conditions such acute & chronic pain, while providing g con conclu clusive sive evid vidence ce as as to to the the efficacy fficacy of
- f the
these se tre treatm atments ts to to doctors
- ctors an
and patie patients. ts.
- A Vancouver based company tri-listed on the Canadian, German and American
stock exchanges.
- Veritas has established a separate research and development arm, as well as, a
prospective cannabis production facility through its acquisition and partnerships with Cannevert Therapeutics Ltd. and Sechelt Organic Marijuana Inc.
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CSE:VRT | OTC:VRTHF | FRT:2VP Develop the most effective proprietary cannabis strains for specific disease conditions (i.e., Pain, etc.). Provide doctors and patients with conclusive science supporting the efficacy of the treatments. Targeting disease conditions that Veritas will patent & commercialize.
Unique Approach About Veritas Achievements
One of the leading Canadian companies conducting cannabis research, with Canada being 1 of only 3 countries that are legally allowed to research cannabis. Through its strategic acquisitions and partnerships, Veritas has assembled a highly experienced management team and a leading team of scientists and argologists. Veritas has already discovered several strains that are being scheduled for human trials within the next few months. These strains were identified through vigorous chemical and animal studies. The company is in the last review stage of receiving its ACMPR license with Health Canada.
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Strategic Partnerships & Acquisitions
Research & Deve velopment: CTL is the exclusive research arm of Veritas and is located at the University of British Columbia. Veritas is lead by a team of veteran scientists with a track record of success in drug development. CTL is a private company funded by Veritas through a staged acquisition process. Veritas recently acquired an 80% stake in CTL with an
- ption to acquire the remaining
20%.
Cannevert Therapeutics Ltd. (CTL) Marapharm Ventures Inc.
Pr Produ
- duct
ction ion: SOM was formed with the sole purpose of becoming a licensed producer under Canada’s Access to Cannabis for Medical Purposes (ACMPR) regulations. SOM’s submitted its ACMPR application with Health Canada in July 2014 and was recently notified that it has entered the last review stage. Veritas has entered into a definitive agreement to acquire 100% of SOM, subject to SOM
- btaining its ACMPR license.
Stra Strate tegic A ic Allia lliance nce: Marapharm is a public company, primarily investing in the medical and recreational cannabis space with
- perations in both Canada and
United States.
Highlights:
- Opening 3 dispensaries in Las
Vegas.
- Setting up analytical testing
facilities for Washington State growing operations.
- Advantage: circ. 300,000
square feet of growing potential.
Sechelt Organic Marijuana Inc. (SOM)
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The Opportunity
Many Physicians’ Prospective:
- “Marijuana is NOT a prescription medicine!”
- “I am RELUCTANT or UNWILLING to
prescribe marijuana without knowing the risks, benefits, potential complications and drug interactions!”
- “I have NO TIME to properly assess,
prescribe, monitor and document these patients!”
- “There is no real evidence backing up
claimed efficacies of marijuana strains.”
Two significant concerns have not been addressed thus far:
- There is little or no scientific evidence that supports therapeutic benefit claims of many
“medicinal” cannabis strains.
- There is limited confidence in observing consistent therapeutic benefits derived from one
batch of a cannabis to another.
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Veritas Mission
- Discover/engineer new cannabis cultivars
addressing SPECIFIC disease conditions.
- Develop cultivars to establish STANDARDS that
can be clinically evaluated.
- To be the leader in PRESCRIPTION cannabis
products and therapies, i.e., developing a reliable and trustworthy BRAND.
- Make Canada a world LEADER in cannabis
research and product development.
- Provide comprehensive scientific evidence for
doctors and patients so they can prescribe and use these strains confidently.
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R&D Approach
1. Chemically profile different cannabis cultivars. 2. Pharmacologically profile those cultivars in the search for disease specific strains. 3. Perform clinical trials to prove clinical utility NOT follow the traditional pharmaceutical development pathway to get to market (i.e., 10+ years). 4. Conduct basic safety and efficacy profiling of cultivars. 5. Immediately market clinically effective cultivars as prescription medicines.
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R&D Approach
Tra Traditiona itional P l Pha harma rma A Approa pproach ch Selective ve Approach
This approach involves a shorter and less costly process as compared to traditional pharmaceutical drug discovery process since cannabis is already considered a safe substance already on the market
Diagr Diagram S am Sou
- urce:
ce: Nature Reviews | Drug Discovery 10
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Research Advantages
- Veritas has access to one of only a few academic groups in Canada and the World using
classical pharmacological research techniques to study cannabis and Canada is one of
- nly three countries that are legally allowed to perform research on cannabis.
- Veritas’ product development process benefits from reduced costs and time, as its
approach is not required to follow the traditional FDA drug development process.
- Veritas’ research process is cost effective and streamlined through the following:
– Res Resear earch Gr ch Gran ants: Through Cannevert, Veritas has access to and participates in government grant programmes (e.g., MITACS, IRAP, CIHR) and Scientific Research and Experimental Development (SR&ED) tax credits; where a minimum 1:1 matching is expected. – Redu Reduced Facilit ced Facility C y Cos
- sts: Access to UBC facilities and academic personnel
– Access to dive verse mariju juana strains
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Targeted Medical Conditions
1. 1. Pain Pain
- Acute & chronic, e.g., cancer pain, arthritis
- Present in 50-90% of cancer patients; Global drug sales ~ USD$2.9b (2015); 43% of the opioids
marketed for this use1
2. Emesis (Nausea, Vomiting)
- Chemotherapy Induced Nausea & Vomiting2 Present in 70-80% of ‘chemo’ patients; No current
drug gives excellent control; Global market - USD$1.3b (2013); estimated USD$1.9b by 2020
3. Behaviourial/psychiatric disorders
- PTSD
- Stress & anxiety
4. Inflammatory disease
- Asthma
- Chronic Obstructive Pulmonary Disease (COPD)
5. Glaucoma
SOURCES: : (1) Amadee + Company (2015) - “Prescription Pain Drugs Including Opioid, Anticonvulsant, Injectable/Inhaled, Topical/Transdermal, Medical Marijuana…”; (2) Transparency Market Research (2015) - “CINV Existing and Pipeline Drugs Market – Global Industry Analysis, Size, Share, Growth, Trends and Forecast 2014 – 2020”
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Intellectual Property Strategy
Ensure intellectual and market protection:
- Protect cultivars and their use as
fully as possible.
- Patent plant and cultivars including
their unique cannabinoid profiles.
- Patent the specific uses of cultivars
for specific therapeutic treatments.
“Yes, You Can Patent Pot”
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Intellectual Property Strategy
- Examples of plant cultivar protection include:
– Plant Breeders’ Rights Act in Canada1 – Patent Act protection for fully described and validated new uses of specific cultivars for specific medical conditions, especially for those strains previously recognized as being effective, or with new strains
- f cannabis obtained by genetic engineering2
- Expanding IP strategy to world-wide patents
Sources: : (1) http://www.inspection.gc.ca/english/plaveg/pbrpov/cropreport/gsce.shtml (2) (2) OYEN WIGGS GREEN & MUTALA LLP, Vancouver, Canada
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Veritas Team
- Veritas has assembled a noteworthy group of doctors, scientists and
public market professionals with diverse expertise and backgrounds in the following fields: Pharmaceutical, Medicine, Cancer, Clinical Research, Cannabis, Marketing, Finance, Cannabis Production, and Operations.
Experienced management team with a track record of success in public markets. CTL composed of acclaimed scientists with a history of drug discovery.
Lead by an experienced agriculture/ horticulture expert and a designated grower under MMAR program.
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Veritas Management
- Dr. Lui Franciosi, PhD
Chief Executive Officer
David Alexander, CPA/CA
Chief Financial Officer
Leiden/Amsterdam Centre for Drug Research, in the Netherlands. He obtained his Doctorate and Masters degrees at the University of British Columbia, and pursued business studies at the University of Warwick, UK. He is currently an adjunct professor at UBC’s Department of Anesthesiology, Pharmacology and Therapeutics.
- Dr. Franciosi has more than 20 years experience in pharmaceutical and medical device studies in
academia and industry. Previously, he was the COO of Verona Pharma PLC, a London firm listed on the AIM exchange. Prior to Verona, he completed his post-doctoral research in COPD progression modelling at the Clinical Pharmacology & Discovery Medicine unit, GlaxoSmithKline, UK and the
- Mr. Alexander’s past achievements include; CFO of Arakis Energy Corporation, an international oil &
gas development company and managed the company’s growth from a start-up to over a billion dollars in assets, leading to a listing on the NASDAQ exchange. He was also the CFO of Nortran Pharmaceuticals, Inc., a UBC based pharmaceutical company engaged in the development and Commercialization of cardiovascular therapies. While at Nortran, he helped secure initial and ongoing research financing. Nortran ultimately became Cardiome Pharma, a successful Vancouver B.C. based pharmaceutical company (NASDAQ: CRME). Mr. Alexander holds a degree in Finance from The University of British Columbia. 16
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Board of Directors
- Dr. Don Carlow, MD
- Dr. Carlow was the past President and CEO of the British Columbia Cancer Agency (BCCA). His efforts led to
the development of new cancer centers, as well as, laying the groundwork for the BC Cancer Research
- Center. Dr. Carlow was a member of the board of the Vancouver Island Health Authority, where he chaired
the board’s health quality committee for four years and proposed the establishment of the BC Council on Quality and Safety.
Linda Sampson
- Ms. Sampson is an international marketing and sales professional, having worked in South Africa, Europe,
the US and Canada. She brings a wealth of knowledge and business expertise to Veritas. She is a business start-up professional with significant accomplishments in sales, marketing, designing and branding. Ms. Sampson is currently the President of Marapharm Ventures Inc., a developmental stage publicly traded medical marijuana company with operations based in British Columbia, Nevada and Washington State.
Yari Nieken, MBA
- Mr. Nieken has a wide range of public company and capital market experience. He is the Founder
and President of Foremost Capital Inc., an exempt market dealer. He is currently a director of Marapharm Ventures Inc. and has served on the boards of several public and private companies including PUF Ventures (President & CEO), Lexagene Holdings Inc. (Director), Duport Capital Ltd. (Director), and has been instrumental in raising substantial capital in his career. He holds an MBA from the Sydney Graduate School
- f Management and a BA from the University of British Columbia.
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Cannevert’s Research Team
Cannevert is composed of a leading team of scientists located at the University
- f British Columbia with access to a wide-range of applicable academic facilities
all led by Professor Walker:
- Dr. Michael Walker, PhD
President
- Dr. Walker received extensive training in pharmacology at the University of London where he
received his PhD after initial studies in Hong Kong. His experience included a significant period of drug discovery research at Pfizer Ltd., in the UK. Dr. Walker’s main passion has always been the discovery of new drugs (whether naturally occurring or not) and in the process of drug discovery
- itself. His commitment to academic research has led to his successful 40-year career at UBC and
the numerous other contributions he has made to universities around the World.
- Dr. Walker has expanded his career to include, creating biotech companies and leading research firms for new drugs.
During his tenure, Dr. Walker has been the founder or co-founder for 8 different drug discovery companies both in the private and public sectors including: Cardiome Pharma (TSX: COM) and Verona Pharma Ltd in London (AIM: VRP). He has also been a director for numerous companies with the most recent of which, IOmet, was acquired by a large Pharmaceutical company. As a natural extension for his passion for drug discovery, Dr. Walker formed Cannevert Therapeutics Ltd., a company designed to create and implement a coherent and rational attempt to develop therapeutic uses of cannabis and its integral cannabinoid molecules to provide therapies addressing chronic pain.
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Cannevert’s Research Team
- Cannevert’s leading team of scientists is comprised of 10 PhDs/MD with
expertise in chemistry, pharmacology and clinical trials.
- In addition to the leading team of scientists, Cannevert has also assembled a
team of trained technicians and students who work at their academic facilities.
- This team includes the following notable scientists:
Michael J. A. Walker, PhD President & Head of Biology Bernard A. MacLeod, MD Senior Clinical Scientist Richard A. Wall, PhD Principal Chemist Ernest Puil, PhD Pharmacology Consultant Thomas Stokes, PhD Chemistry Consultant Andrew Hegle, PhD Senior Scientist Ricardo Rivera-Acevedo, PhD Senior Scientist Lui Franciosi, PhD Director
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Scientific Track Record
- Ca
Card rdio iome me Ph Pharma arma, Vancouver, Canada (TSE: COM; NASDAQ: CRME)
- Specialized in discovery & development of anti-arrhythmic drugs
- Apr. 2009 - Merck & Co. and Cardiome enter development and licensing
agreement for atrial fibrillation drug vernakalant (Trademark BRINAVESSTM), in a deal worth as much as USD $600 million
- Sept. 2010 - Marketing approval for intravenous (IV) formulation vernakalant in
Europe
- Verona
na Ph Pharma arma, London, UK (LSE AIM: VRP)
- Specialized in developing treatments for Asthma, COPD & Cystic Fibrosis
- Lead molecules in Clinical Phase II/III
- IO
IOmet Ph Pharma arma, Edinburgh, UK
- Private company specialized in small molecules (enzyme inhibitors) for the
treatment of cancer, focusing on immunotherapy and cancer metabolism
- Jan. 2016 - Sold to Merck & Co. in a deal worth up to US $400 million (£276
million), subject to the achievement of targets
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Sechelt Organic Marijuana
- Sechelt was formed with the purpose of becoming a licensed producer under the
Access to Cannabis for Medical Purposes (ACMPR) regulations.
- Sechelt has an ACMPR application pending since July 4th, 2014.
- In 2016, Veritas entered into an agreement with Sechelt to acquire 100% ownership
- f Sechelt, subject to it obtaining the ACMPR license.
- This agreement was reached with the goal of enabling Veritas to grow and bring its
proprietary cannabis strains to market.
- Sechelt operates a 0.73 acre secure property in an
approved jurisdiction, to build a 2-story facility totaling 20,000 square feet in Sechelt, British Columbia, Canada.
- The plans for this facility include 6,800 sq. ft. of
budding rooms, 3,000 sq. ft. of cloning rooms, as well as, a small testing lab and secure storage room.
- The aim is to produce & cultivate 4500 kg of cannabis
per year.
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Current Research Status & Milestones
- Established the necessary laboratory space, qualified personnel and access
to necessary equipment for the chemical and pharmacologic analysis.
- A variety of animal models of disease conditions including pain, nausea,
behavioral, safety (cardiac and respiratory) have been developed.
- Over 250 chemical experiments have been performed thus far whereas
pharmacological and biological studies now number over 150.
- Few cannabis strains have been identified as potentially therapeutic; one for
pain and the other for nausea.
- The company was also informed in February 2017 that its’ subsidiary
Sechelt Organic Marijuana is now in last review stage of its ACMPR application.
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R&D Pipeline Update
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R&D Pipeline Update
Chemical Analysis Cell Culture Analysis Animal Studies Discovery of potentially effective cannabis strain Patent App.filed Moving to Clinical Trials Acute ✔ ✔ ✔ ✔ ✔ Chronic/Neuropathic ✔ ✔ ✔ ✔ (Nausea/Vomiting) ✔ ✔ CANCER ✔ ✔ PTSD ✔
Exploring conditions to include in R&D Pipleine
✔ ✔ Condition PAIN EMESIS Migraine / Headache Sleep Disorder
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Future Steps
- Results to date have allowed us to focus on the clinical trials we intend to
perform to establish efficacy of candidate strains in terms of their effects on humans and treatment of human diseases.
- Preparation & publication of scientific literature for the education of the
medical community regarding cannabis therapies and to establish Veritas’ reputation and brand.
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Veritas Timetable
- Continue obtaining varied cannabis cultivars and carry them through the research
process
- Determine potential cultivars for clinical testing
- Continue pursuing to become a License Producer under ACMPR
- Prepare patent applications based on results.
- Dec. 2017
- Dec. 2017 – Obtain a Health Canada dealer’s production license through Cannevert
so as to produce extracts and import/export cannabis varieties for research purposes as well as provide analytical services for licensed producers
- Dec. 2017
- Dec. 2017 – Feb. 2018:
: Complete human trial of lead strain for pain
- Feb. 2018:
: Provide industry setting standards for medicinal cannabis
- March. 2018:
: Establish delivery and dosage optimizations
Q1 - 2017 Q2- 2018 Q2 - 2017 Q3 - 2017 Q4 - 2017 Q1 - 2018
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Financials
TOTAL ISSUED & OUTSTANDING (M) 52 WEEK RANGE PRICE
39.598 0.23 – 0.81 0.81
DERIVATIVES: WARRANTS (M) YTD RETURN MARKET CAP (M CAD)
24.327 125% 32.07
DERIVATIVES: OPTIONS DATE OF MEASURE
3.016 27-Nov-17
FULLY DILUTED
66.941
* Graph courtesy of Bloomberg.com
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“Bet “Better er Ther Therapeutic peutic Cannabi Cannabis s Use se, Thr Through
- ugh
Bet Better er Sc Scien ience” e”
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CONTACT US
Veritas Pharma Inc
101-2386 East Mall University of British Columbia Vancouver, BC V6T 1Z3
Investor Relations Contact
Sam Eskandari E: ir@veritaspharmainc.com Website: veritaspharmainc.com
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