SPAmatch - Herantis Pharma

© 2014 HERANTIS PHARMA Plc. All rights reserved. www.herantis.com © 2014 HERANTIS PHARMA Plc. All rights reserved. www.herantis.com

From Basic Research to Listing Herantis Pharma on the Stock Exchange

Henri J. Huttunen Chief Scientific Officer

11/13/2014 1

© 2014 HERANTIS PHARMA Plc. All rights reserved. www.herantis.com

11/13/14 2

IP

IP

IP

Spin-off

Merger

Merger


How Hermo Pharma got started in 2008 •  Long-term research program in molecular neuroscience at the University

of Helsinki had generated several novel therapeutic concepts •  Too little activity in commercialization of academic inventions in Finland •  Professors Mart Saarma, Eero Castrén and Heikki Rauvala had explored

commercialization options in a Tekes-funded Neuprotec-project (2006-07) •  Hermo Pharma Ltd was founded in June 2008

–  Henri Huttunen joined as the fourth co-founder and the first managing director

•  Company goals for 2009-2012 –  Transfer all key intellectual property to the company and secure basic funding –  Plan and execute a Phase 2 clinical study in adult amblyopia

à if results positive, licensing income could help finance the next clinical study (Phase 1 in Parkinson’s disease)

–  Manufacture GMP quality CDNF protein for Parkinson’s disease clinical studies

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Brief History of Neurotrophic factors in Treatment of Neurodegenerative Diseases

A new GDNF Phase 2 in PD begins in Bristol"

GDNF protein in PD, an open-label study(Gill et al, significant improvement)"

Discovery of NTFs:"•  NGF in 1953"•  BDNF in 1982"•  NT3, NT4, CNTF in 1990-91"•  GDNF in 1993"•  Neurturin, persephin and

artemin in 1996-1998"•  MANF in 2003"•  CDNF in 2007"

2000! 2005! 2010!1995! 2015!

GDNF protein in PD (Amgen, phase 1 & 2,

failed)"

Neurturin gene therapy in PD (Ceregene, phase 1 & 2, failed)"

BDNF protein in ALS(phase 1-3, failed)"

Amgen sued by trial participants for continued

access to GDNF "

CDNF Phase 1/2 in PD to begin"

Additional evidence of GDNF’s effects on DA neurons from autopsy of Bristol trial participant"


Merger of Hermo Pharma and

Laurantis Pharma Seed financing round

Key patents transferred to the

company

Hermo Pharma 2008-2014

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2009 2010 2011 2012 2013 2014 2008

Hermo Pharma founded

Herantis Pharma IPO and listing to NASDAQ OMX Helsinki First North Michael J Fox-

Foundation grant for a major preclinical study

Amblyopia clinical study

begins

Amblyopia clinical study

ends Round A financing

CDNF GMP manufact-

uring begins

Joint venture Opia Games Ltd founded


Herantis portfolio (2014)

6

Drug candidate Indication Preclin Phase 1 Phase 2 Phase 3 Launch

Cis-UCA Eye Drops Dry Eye

CDNF Neuroprotective Factor Parkinson’s disease *

Lymfactin® Secondary lymphedema *

Cis-UCA Emulsion Cream Atopic dermatitis**

CDNF Neuroprotective Factor

Amyotrophic lateral sclerosis (ALS)**

*This stage of clinical development in planning and scheduled **Currently not one of the main products of the Company. The next steps are pending later decisions. Not a funding priority.


Lessons learned: Basic structure •  Strong science carries a young company a long way

•  Strong team – from management to the board and advisors – is more valuable than any investment –  Identify your weak spots; acknowledge what you

don’t know à active efforts to fix them

•  Virtual biotech model has its pros and cons –  The perspective of the investor: “fail early, fail cheap” –  Heavy outsourcing requires attentive management of projects –  All team members have to be able to do a wide variety of tasks

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Lessons learned: Operative •  Prepare for surprises – drug development never goes as planned

–  E.g. a NASDAQ-listed clinical CRO can go bankrupt in the middle of your clinical study, with a VERY short notice

–  Patient recruitment ALWAYS takes longer than your clinical experts estimate

–  Budget everything 1.5x higher than true costs – and you still WILL run out of money sooner than expected

–  Make sure that your funding is sufficient to take you beyond the next value creation point

•  Be mentally prepared for killing research projects early •  Underpromise, overdeliver!

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Lessons learned: It can be fun!

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Healthcare

SPAmatch - Herantis Pharma