Professional Documents
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Forward-looking statements are subject to significant risks and uncertainties, and we caution investors against placing undue reliance on such statements.
Actual results may differ materially from those set forth in the forward-looking statements. Among the risks and uncertainties that could cause actual
results to differ materially from those indicated by such forward-looking statements include the risks that the Company may be unable to transition to a
biopharmaceutical company at an accelerated pace; the Company may be unable successfully to develop anticipated new products; the timing of
anticipated regulatory clearances and approvals may be delayed or denied; adverse regulatory actions against the Company; the markets for the
Company’s current and future products may not be as large as the Company projects or grow as anticipated; the Company may not be able to achieve the
market share it anticipates; the Company may face more and more effective competition; the Company may not continue to achieve significant process
improvements and efficiencies; the Company may be unable to achieve the milestones and financial projections in the “3 and 1 in 20” plan; market
demand for the Company’s products may not grow or could decline; unexpected concerns may arise from additional data or analysis from our clinical
trials; regulatory submissions may take longer or be more difficult to complete than expected; that regulatory authorities may require additional
information or further studies or may fail to approve or may delay approval or grant marketing approval that is different than anticipated; and we may be
unable to hire the expected number of sales representatives on a timely basis. For additional risks that might affect the Company, please review the Risk
Factors section of our most recent annual report or quarterly report filed with the Securities and Exchange Commission. Any forward-looking statements
speak only as of the date of this press release and we assume no obligation to update any forward-looking statement.
2
INVESTMENT HIGHLIGHTS
3
COMPANY HIGHLIGHTS
5
DELIVERING CONSISTENT SUSTAINABLE GROWTH
90
80
70
60
$’s - Millions
50
40
30
20
10
6
MIMEDX NAMED #5 ON FORTUNE MAGAZINE'S
TOP 100 FASTEST GROWING COMPANIES OF 2017
7
PRELIMINARY REVENUE ESTIMATES
8
SHORT SELL CAMPAIGN
9
TRANSITION TO A
BIOPHARMACEUTICAL COMPANY
• AmnioFix Injectable (AI) is our Lead Product Candidate
Micronized version of dHACM
Covered by our Extensive Placental Tissue Technology Patent Family
Contains a Milieu of 520+ Cellular Proteins
Contains 285 Regulatory Proteins
Includes Factors Required for Soft Tissue Homeostasis and Repair
Address Multiple Targets with a Unified Mechanism of Action
Proven Safety Profile
• First 4 INDs Target Musculoskeletal Pain
Plantar Fasciitis (2)
Achilles Tendonitis
Osteoarthritic Knee Pain
• Positive Interim Phase 2B Data Validates AI Therapeutic Effect in Treating Soft Tissue
Pain, Restoring Function and Improving Quality of Life
• Exiting 2020 Biopharmaceutical Sales Approximately 20% of Total Revenue per “3 and 1
in 20” Plan
• Pain Revenues Expected to Significantly Expand when BLA Indications Approved in
2020/2021 (estimated timeframe)
10
AMNIOTIC MEMBRANE:
MASTER REGULATOR OF BIOLOGY
Key Actions:
• Modulates (reset) Inflammation2
• Regulates Cell Migration, Proliferation, and Metabolism
• Promotes Angiogenesis and Stem Cell Recruitment
• Reduces Scar Tissue Formation2
• Offers Barrier Properties1
• Enhances Healing5
1 Koob TJ, Rennert R, Zabek N, et al. Int Wound J. 2013 Oct;10(5):493-500. 2 Hao Y, Ma DH, Hwang DG, Kim WS, Zhang F. Cornea. 2000 May;19(3):348-52. 3 Tseng SC, Li DQ, Ma X. J
Cell Physiol. 1999 Jun;179(3):325-35. 4 Tao H, Fan H. Eur Spine J. 2009 Aug; 18(8):1202-12. 5Zelen CM, Serena TE, Denozière G, Fetterolf DE. Int Wound J. 2013 Oct;10(5):502-7.
11
AMNIOTIC MEMBRANE GROWTH FACTOR PROTEOME
- PURION PROCESSED PLACENTAL TISSUES
Vast and Complex Array of Endogenous Bioactive Factors
12
PLACENTAL TISSUE PRODUCT PORTFOLIO
* Conducting IND/BLA program for Plantar Fasciitis, Achilles Tendonitis and Osteoarthritic Knee Pain
13
5-YEAR STRATEGIC PLAN: “3 AND 1 IN 20”
2020 Assumptions
Organic Rev Growth
*EBITDA 30%
$187M $560M
* Adjusted
14
LINE OF SIGHT TO FIRST BILLION DOLLARS
Total Company Revenue ($millions)
OF REVENUE IN 2023
Existing Business
Plus 3 BLA
Indications In
Current IND Trials
has the Potential
to Generate in
Excess of a Billion
“3 and 1 in 20”
Dollars of
Revenue
Revenue in 2023
Guidance
Preliminary 2017 $560M
Revenue
$324.5M
15
2018 GROWTH DRIVERS
16
5-YEAR STRATEGIC PLAN: “3 AND 1 IN 20”
In 2020: Triple 2015 Revenue, Deliver $1.00 of Adjusted EPS
and Complete Transition to a Biopharmaceutical Company
$560M
Pain Management
$110M
17
2015 U.S. JOINT PAIN INJECTION MARKET
18
AMNIOFIX IS THE SOLUTION TO OSTEOARTHRITIS
KNEE/SOFT TISSUE TENDONITIS PAIN
https://www.cdc.gov/drugoverdose/pdf/Guidelines_Factsheet-a.pdf
19
WOUND CARE GROWTH TARGET: 5YR 20% CAGR
20
U.S. WOUND BIOLOGICS MARKET IN 2020
10%
21% 18%
39%
2015 SDS Segment 2016 SDS Segment 45% 2020 SDS Segment
27%
32%
34% 5%
6%
6%
22
EPIFIX VLU MULTICENTER TRIAL
FINAL ANALYSIS
VLU: EpiFix vs. Control % Subjects Complete Wound VLU: Apligraf vs. Control % Subjects Complete
Closure Wound Closure
100% 100%
90% 90%
80% 80%
71%
70% 70%
60%
60% 60% 57%
7% 9%
10% 10% 5%
0% 0%
Week 4 Week 8 Week 12 Week 16 Week 4 Week 8 Week 12 Week 24
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OPERATING ROOM GROWTH TARGET: 5YR 20% CAGR
1. Increase Footprint
• Continue to Hire Direct Surgical Reps
• Deeper Penetration of GPO and IDN
Contracts
3. Grow Demand
• Publish Clinical Trials Showing
Improved Surgical Outcomes and
Reduced Complications Wound Care Operating Room Pain Management
• Increase Number of VAC Approvals
24
TARGET HIGH VALUE SURGICAL PROCEDURES
ORTHOPEDICS
Spine, Trauma, Extremities , 2,821
1,528 Sports Medicine
GYN
Hysterectomy, Endometriosis,
$2.9B
1,154 Myomectomy, C-Section, Episiotomy 1,000
PLASTICS
Hand-Tendon and Nerves, Mohs,
652 Scar Revision, Skin Grafting, Surgical 990
Dehiscence, Breast Recon, Burn
GENERAL COLORECTAL
Bariatric, Fistula Repair,
714 GI Anastomosis 714
UROLOGY
Prostatectomy, Partial Nephrectomy,
237 Cystectomy 200
Source: Millenium Research Group, MRG Lap 2014, ASPS Statistics, MiMedx 2015 Annual Plan, MiMedx internal coding data, Management Estimates
25
PAIN MANAGEMENT CLINICAL PROGRAMS
-30%
-40%
-50%
-60%
-70%
-80%
-90%
-100%
Baseline 1 Month 2 Months 3 Months 6 Months
AmnioFix Saline
27
OSTEOARTHRITIS (OA) IS A BOOMING EPIDEMIC
29
AMNIOFIX INJECTABLE ADDRESSES
ALL STAGES OF KNEE OA
30
ENCOURAGING OSTEOARTHRITIS ATTENUATION DATA
31
AMNIOFIX INJECTABLE MUSCULOSKELETAL
DEGENERATION TOTAL APPLICABLE MARKET
32,500
32.5
30,000
30.0
27,500
27.5
25,000
25.0
Total Applicable Market ($billions)
22,500
22.5
20,000
20.0
17,500
17.5
15,000
15.0
12,500
12.5
10.0
10,000
7,500
7.5
5,000
5.0
2,500
2.5
-
2017 2020 2021 2022 2023
Out of Pocket Plantar Fasciitis BLA Tendonitis BLA OA Pain BLA DMKOAD
Management Estimates
32
LINE OF SIGHT TO FIRST BILLION DOLLARS
Total Company Revenue ($millions)
OF REVENUE IN 2023
Existing Business
Plus 3 BLA
Indications In
Current IND Trials
has the Potential
to Generate in
Excess of a Billion
“3 and 1 in 20”
Dollars of
Revenue
Revenue in 2023
Guidance
Preliminary 2017 $560M
Revenue
$324.5M
33
KEY 2018 MILESTONES
34
PRELIMINARY FINANCIAL HIGHLIGHTS
35
REFERENCES
1. http://www.apligraf.com/professional/pdf/FDAApprovalLetter.pdf
2. http://www.accessdata.fda.gov/scripts/cdrh/cfdocs/cfpma/pma.cfm?id=p000036
3. https://www.fda.gov/NewsEvents/Newsroom/PressAnnouncements/ucm480564.htm
4. http://www.prnewswire.com/news-releases/derma-sciences-expands-access-of-its-amniotic-tissue-product-line-with-new-premier-inc-agreement-
300024252.html
5. http://www.accessdata.fda.gov/cdrh_docs/pdf8/k083440.pdf
6. http://ir.alliqua.com/press-releases/detail/544/alliqua-to-launch-biovancer-human-amniotic-membrane
7. http://investor.osiris.com/annuals-proxies.cfm; 2011.
8. www.clinicaltrials.gov. Accessed 03/01/17.
9. Zelen CM, Serena TE, Denozière G, Fetterolf DE. A prospective randomized comparative parallel study of amniotic membrane wound graft in the management of
diabetic foot ulcers. Int Wound J. 2013 Oct;10(5):502-7.
10. Zelen CM, Serena TE, Snyder RJ. A prospective, randomised comparative study of weekly versus biweekly application of dehydrated human amnion/chorion
membrane allograft in the management of diabetic foot ulcers. Int Wound J. 2014 Apr;11(2):122-8.
11. Zelen CM, Gould L, Serena TE, Carter MJ, Keller J, Li WW. A prospective, randomised, controlled, multi-centre comparative effectiveness study of healing using
dehydrated human amnion/chorion membrane allograft, bioengineered skin substitute or standard of care for treatment of chronic lower extremity diabetic
ulcers. Int Wound J. 2015 Dec;12(6):724-32.
12. Zelen CM, Serena TE, Gould L, Le L, Carter MJ, Keller J, Li WW. Treatment of chronic diabetic lower extremity ulcers with advanced therapies: a prospective,
randomised, controlled, multi-centre comparative study examining clinical efficacy and cost. Int Wound J. 2016 Apr;13(2):272-82.
13. Veves A, Falanga V, Armstrong DG, Sabolinski ML. “Graftskin, a human skin equivalent, is effective in the management of noninfected neuropathic diabetic foot
ulcers: a prospective randomized multicenter clinical trial.” Diabetes Care. (24)2. 2001. pp 290-5.
14. Marston W, Hanft J, Norwood P, Pollak R. “The Efficacy and Safety of Dermagraft in Improving the Healing of Chronic Diabetic Foot Ulcers.” Diabetes Care, Vol 26
#6, June 2000.
15. Driver, V. R., Lavery, L. A., Reyzelman, A. M., Dutra, T. G., Dove, C. R., Kotsis, S. V., Kim, H. M. and Chung, K. C. (2015), A clinical trial of Integra Template for
diabetic foot ulcer treatment. Wound Rep and Reg, 23: 891–900. doi:10.1111/wrr.12357.
16. Snyder RJ, Shimozaki K, Tallis A, Kerzner M, Reyzelman A, Lintzeris D, Bell D, Rutan RL, Rosenblum B A Prospective, Randomized, Multicenter, Controlled
Evaluation of the Use of Dehydrated Amniotic Membrane Allograft Compared to Standard of Care for the Closure of Chronic Diabetic Foot Ulcer. Wounds. 2016
Mar;28(3):70-7.
17. Kavros, S; Dutra, T; Gonzalez-Cruz, R; Liden, B; Marcus, B; McGuire, J; Nazario-Guirau, L. The Use of PriMatrix, a Fetal Bovine Acellular Dermal Matrix, in Healing
Chronic Diabetic Foot Ulcers: A Prospective Multicenter Study. Advances in Skin & Wound Care: August 2014 - Volume 27 - Issue 8 - p 356–362. doi:
10.1097/01.ASW.0000451891.87020.69.
18. Lavery A, et al. “The efficacy and safety of Grafix for treatment of chronic diabetes foot ulcers: results of a multi-centre, controlled, randomized, blinded, clinical
trial.” Int Wound J 2014; doi: 10.1111/iwj.12329.
19. Public domain
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SDS COMPETITIVE PRODUCT COMPARISON
*
*
* **
*
*
*
**
* Including any of the following modalities: RICE, Steroid Injection, Stretching, NSAID, Orthotics
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ACHILLES TENDONITIS PHASE 3 STUDY OUTLINE