Investor Presentation October 2014 NASDAQ:BLFS

NASDAQ:BLFS
Investor Presentation
October 2014
Safe Harbor Statement
This presentation contains forward-looking statements, including, but not limited to, statements
concerning the anticipated business and operations of our new joint venture, the potential utility of
and market for its planned products and services, its expected finances, potential revenue growth
and market expansion, and third party projections regarding the future market for regenerative
medicine and cold chain packaging and instrumentation services. All statements other than
statements of historical fact are statements that could be deemed forward-looking statements.
These statements are based on management’s current expectations and beliefs and are subject
to a number of risks, uncertainties and assumptions that could cause actual results to differ
materially from those described in the forward-looking statements, including among other things,
reliance upon SAVSU for completing the development and manufacturing of biologistex CCM’s
products; uncertainty regarding market adoption of products; uncertainty regarding third party
market projections; market volatility; competition; litigation; and those other factors described in
our risk factors set forth in our filings with the Securities and Exchange Commission from time to
time, including our Annual Report on Form 10-K and Quarterly Reports on Form 10-Q. We
undertake no obligation to update the forward-looking statements contained herein or to reflect
events or circumstances occurring after the date hereof, other than as may be required by
applicable law.
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NASDAQ: BLFS
 Best-in-class life
sciences tools
provider
 Solid revenue
from stable,
traditional
markets
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 Strong growth
potential in
emerging
markets
 $12M cash,
no debt
OVERVIEW
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BIOPRESERVATION
COLD CHAIN MANAGEMENT
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PRODUCTS &
SERVICES
6
Two Complementary Biopreservation Tools Platforms
Biopreservation
Media for Cells
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Precision Shipping
Containers
BIOPRESERVATION IN REGENERATIVE MEDICINE
Source
Material
Preservation
Media
Temperature
Controlled
Container
Cell Factory
Patient
Preservation
Media
Temperature
Controlled
Container
Manufactured
Products
COLD CHAIN MANAGEMENT
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Best-in-Class Biopreservation Storage Media
Engineered to improve yield and extend shelf-life
Better cell yield
More precious cells saved,
reduced variable costs
Longer shelf-life
Lower customer MFG
CAPEX requirements
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HYPOTHERMIC STORAGE AND SHIPPING MEDIA
HypoThermosol FRS®
Decreases free radical
accumulation in cold
storage process
Balances intracellular state
at low temperatures
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CRYOPRESERVATION / FREEZE MEDIA
CryoStor®
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Mitigates
molecular cell
stress during
freezing and
thawing
BETTER CELL YIELD
more precious cells saved, reduced cost
Condition of cells after 5 days of cold storage
Traditional Home Brew Media
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BioLife Storage Media
Impact of Biologic Stability on Overall Yield and Cost
Increased yield leads to …
… decreased cost
Source Material
Manufactured Cell Products
LESS
Required
LESS
Required
Yield
Yield
Cost
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Cost
LIMITED SHELF-LIFE
Increased CAPEX requirements
Distribution range limited by
short shelf-life - multiple
production facilities required
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LONGER SHELF-LIFE
Reduced CAPEX Requirements
BioLife Solutions Preservation Media
Performance Extends Shelf Life to Support
Worldwide Distribution
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BIOPRESERVATION
COLD CHAIN MANAGEMENT
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TRADITIONAL SHIPPER TECHNOLOGY:
STYROFOAM “BEER COOLER”
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DEMAND FOR BIOPRESERVATION EQUIPMENT
COLD CHAIN SHIPPERS AND INSTRUMENTS (BILLIONS)
$6
$5.1
$5
$4
$3.2
$3
$2
$1
$0
2013
Source: Biopreservation Market - Global Industry Analysis, Size, Share, Growth, Trends
and Forecast, 2013 – 2019 (Transparency Market Research, April, 2014)
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2018
Biologistex CCMSM:
Breakthrough Disruptive Technology
• Super-insulation provides
superior temperature
regulation
• Built-in, real-time payload
monitoring and
communication electronics
• Extremely durable –
reusable shipper
• Innovation driving best
quality practices in logistics
of regenerative medicines
• Temp excursion and
geofence location alerts
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Biologistex CCMSM:
Breakthrough Disruptive Technology
• Joint venture with SAVSU
• Investments by BioLife
• Exclusive, worldwide
marketing and distribution
• SAVSU supplies shippers
• BioLife manages and
operates the JV
• OPEX reimbursement
• Sharing generated cash
based on ownership
• 20 year term
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Biologistex CCMSM Marketing
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•
Leverage existing
customers for rapid
roll-out
•
Other regenerative
medicine customers
•
Traditional biobanking
•
Pharma/vaccine
companies
•
Establishing expert
position in cold chain
management science
CONTRACT
MANUFACTURING
SERVICES
• Utilizing excess
production
capacity
• Niche provider of
aseptic media
formulation, fill,
and finish services
• New multiyear
agreement with
Somahlution, LLC
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OUR MARKETS
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WE SERVE TRADITIONAL AND EMERGING MARKETS
Traditional Markets
• Stable, growing (in $M)
• Well-established relationships
• Reliable income streams
Biobanking
Emerging Market
• Explosive growth (in $B)
• BioLife products
embedded in 130 trials
Drug
Discovery
Cold Chain Management
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Regenerative
Medicine
DEMAND FOR BIOPRESERVATION
MEDIA (MILLIONS)
$900
$820.0
$700
Major
growth driver
expected to be
Regenerative
Medicine
$500
$345.0
$300
$100
2004
2019
Source: Biopreservation Market - Global Industry Analysis, Size, Share, Growth, Trends
and Forecast, 2013 – 2019 (Transparency Market Research, April, 2014)
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BIOBANKING
• Umbilical cord blood
banks
• Adult stem cell banks
• Tissue banks
• Biorepositories
• Hair transplant
physicians
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GLOBAL BIOPRESERVATION FOR BIOBANKING
MARKET REVENUE (USD MILLIONS)
5000
$3,899
4000
3000
$1,871
2000
1000
0
2014
2019
Source: Investor Presentations, Annual Reports, KOL Opinions, Primary Interviews, TMR Analysis
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DRUG DISCOVERY
• Pharmaceutical
companies
• Cell suppliers
• Toxicity testing labs
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GLOBAL BIOPRESERVATION FOR DRUG DISCOVERY
MARKET REVENUE (USD MILLIONS)
600
$535
400
$239
200
0
2014
2019
Source: Investor Presentations, Annual Reports, KOL Opinions, Primary Interviews, TMR Analysis
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REGENERATIVE MEDICINE
• Commercial cell therapy and
tissue engineering companies
• Hospital-based stem cell
transplant centers
• University-based clinical
research labs
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SIGNIFICANT GROWTH OPPORTUNITY
IN REGENERATIVE MEDICINE
Stroke
ALS
ALD & MS
AMD
UTD*
AMI
CHF & DCM
Liver Disorders
GVHD
Spinal Disorders
HIV
Lymphoma
Melanoma
Autoimmune
Dis.
AML
Incontinence
Cancer
UTD*
Wound healing
Joint Repair
CLI
Cancer
* UNABLE TO
DISCLOSE
20+
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Pre-Clinical
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Phase I
60
Phase II
13
Phase III
BioLife Products Embedded in Cell-Based Immunotherapy
CURRENT CUSTOMERS
CURRENTLY EVALUATING
Several other highprofile, development
stage immunotherapy
companies; unable to
disclose at this time
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GLOBAL REGENERATIVE MEDICINE MARKET
REVENUE (USD BILLIONS)
$23.3
25
20
15
10
5
$3.6
0
2012
Source: visiongain – December 2013
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2024
INVESTMENT
OPPORTUNITY
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Well Positioned for Future Growth
• Over 500 existing customers
• Growing adoption in expanding
biobanking and drug discovery
markets
• Embedded in rapidly emerging
regenerative medicine market
with products incorporated in
over 130 clinical trials, 13 of
which are in Phase III
• New biologistex CCMSM service
positioned to provide
novel/superior cold chain
management solution
• Production capacity to support
$100M revenue
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DEVELOPMENTS SINCE EQUITY RAISE
 Terminated low margin contract manufacturing agreement – March
 Executed new contract manufacturing agreement with
Somahlution LLC to produce DuraGraft™ - June
 Granted Patent number 8,642,255, titled “MATERIALS AND
METHODS FOR HYPOTHERMIC COLLECTION OF WHOLE BLOOD”
 Products now adopted in 130 clinical trials
 15 cancer immunotherapy customers
 Received Frost & Sullivan 2014 Technology Innovation Leadership
Award for Biopreservation Media
 Formed joint venture biologistex CCMSM with SAVSU Technologies
to market smart, precision thermal shippers with a cloud-based
logistics management service
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INVESTMENT FUNDAMENTALS
June 30, 2014
Cash and Investments
$11.9M
Total Debt
$0.00
Total Stockholder Equity
$13.4M
Shares Outstanding
12M
3/25/14 – issued 3.6M shares at $4.30
Options
most in the money
Warrants
most at $4.75 – debt conversion/equity raise
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1.4M
7.4M
Average Stock Price Since Equity Raise
$2.62
Average Volume
100,000 shares
Market Cap
$30M
Public Float
52%
 Price is volatile due to
low liquidity - stock is
undiscovered
 Price includes $1/share
of cash
 Revenue multiple is low
vs. comparables
 Stock price and market
cap do not reflect value
of current/future
business
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 Continued adoption of
core products – creates
tremendous upside as
customers gain
approvals to market
regenerative medicine
products and therapies
 Launch of biologistex
CCMsm cold chain
management service –
complementary to core
business
 Niche, profitable CMO
business
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NASDAQ:BLFS
BioLife Solutions, Inc.
3303 Monte Villa Parkway, Suite 310
Bothell, WA 98021
For additional questions or comments, please contact:
Michael Rice | President and CEO
[email protected] | (425) 686-6003
Daphne Taylor | CFO, VP - Finance & Administration
[email protected] | (425) 686-6002
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