Company Prof i le

Apr i l . 14 , 2016

ABOUT BiovelocITA

The first Italian accelerator for biotech-healthcare

Accelerates the transition from good ideas to viable industry projects

Seeds and advances till proof of concept research programs sourced from Italian academy

Brings together best-in-class scientists, entrepreneurs andvisionary investors

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BiovelocITA – FOUNDING TEAM

Gabriella Camboni, MD, CEO– Was co-founder and COO of EOS, since inception and until the acquisition by Clovis Oncology

– Previously she held various managerial positions in the biotech and pharma industry, including being co-founder and Head of Development at Novuspharma and Head of Medical Affairs Europe for Novartis Oncology

Silvano Spinelli, Chairman– Founded EOS S.p.A. (Ethical Oncology Science) in January 2006 and has been its Chairman and

CEO until the company was acquired by Clovis Oncology in November 2013 for $ 470M

– Previously Silvano was co-founder and CEO of Novuspharma. The company has its IPO in 2000 in the Italian Nuovo Mercato, collecting more than Euro 160 millions

Graziano Seghezzi, Director– Partner at Sofinnova Partners since 2006

– 5-year experience in venture capital in two leading European venture capital firms focused on biotech creation

– Participated to the creation of and invested in numerous companies both from academia (start up) and from corporates (spin off)

– Established exit track record and broad international experience

Co-founded and managed by an experienced team

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PROMOTED BY SOFINNOVA PARTNERS

Independent venture capital firm with a 40-year history

Managing about $ 1.5B in 9 different funds

Dedicated to Life Sciences, particularly to biotech

Focused on company creation: startup, early stage and spin-offs

Over the last 25 years, invested in ~85 companies

for a Gross Multiple of 2.8x and Gross IRR of 25%

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ITALY TODAY – GAP ANALYSIS

EXCELLENT SCIENCE

Top 10 country in scientific output (H score)

Top 10 country in IP output, both for applications

and grants (WIPO data)

Globally recognized centers of scientific excellence

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Sources: L. Martz, Biocentury Innovation, January 21th, 2016

ITALY TODAY – GAP ANALYSIS

The scientific output is not matched by venture funding: as low as € 55M in 2015

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ITALY TODAY – THE OPPORTUNITY

EXCELLENT VALUE CREATION

Growing number of “pure biotech” companies:

264 in 2014 (EY: Italian Biotechnology Report)

~$2.5 bi in M&A and ~$3 bi in market cap

High rewards exits track record

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Source Sofinnova Partners

Pharma appetite for preclinical assets is high especially in oncology, CNS and metabolic diseases (Nature Biotechnology, 2015)

Year Target Company Buyer Country Overall Deal Value ($m) Indication(s)

2015 Flexus Bristol-Myers Squibb 1.250 Oncology

2014 iPierian Bristol-Myers Squibb 725 Genetic diseases

2014 Dutalys Roche 489Bi-specific

antibodies, oncology

2014Pregenen

(Precision Genome Eng.)Bluebird Bio 156 HIV, oncology

2013 Amplimmune AstraZeneca 500 Oncology

2013 Acetylon Celgene 100 Hemathology

2013 Lotus Tissue Repair Shire 325Dystrophic

epidermolysis bullosa

2013 Callidus BiopharmaAmicus

Therapeutics130

Genetic orphan

diseases

2012 deCode Genetics Amgen 415Genetic Diseases,

orphan

2012 CorImmun Johnson & Johnson 200Cardiovascular, heart

failure

2012 Envoy Therapeutics Takeda 140CNS, Parkinsons,

Schizophrenia

Preclinical Deal Flow 2012-2015

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POSITIONED TO CATCH THE OPPORTUNITY

BiovelocITA brings together best-in-class scientists, entrepreneurs and international investors

Silvano Spinelli – Chairman

Gabriella Camboni – CEO Successful Italian repeat

entrepreneurs with highest investors’

confidence and spotless track record

PROVEN MANAGEMENT TEAM

INVESTORS STRENGTH

SOFINNOVA PARTNERS

promoting the initiativeFirst closing at € 6M with visionary

Italian investors, interested in Life

Sciences

HIGH QUALITY DEAL FLOW

IEO, IFOM, MONZINO… more

to comeSecured privileged access to top

notch Italian research centers

Considering additional relationships

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BIOVELOCITA KEY FACTS

Incorporated in July 2015 as a Limited Liability Company (Italian S.r.l.)Fully operational since October 2015

Raised over € 7M to date by:

– Sofinnova Partners

– Private Italian investors through Banor SIM

– Atlante Venture (IMI Fondi Chiusi SGR- Banca Intesa)

– Management

Access to three lead Italian Research Institutions through Master Agreement with TTFactor (see next slide)

– Ad hoc discussions for project ongoing with HSR Milan, University of Lecce, IIT Genova

12 projects assessed since inception

– 5 turned down

– 5 under assessment/due diligence

– 2 deals in advanced negotiation10

BIOVELOCITA CURRENT HORIZON

BiovelocITA plans to raise up to € 15 Mi to conduct 4-5 projects over the next two-three years

Typical seed is: € 500k-1M over 12-24 months

– Larger investment around € 1.5M possible in selected cases

Large platform, advanced projects

– The project is seeded to proof of concept, i.e. until the academic idea becomes a tradable asset or is discarded

BiovelocITA gains project-IP rights (option or license), provides funding, industrial perspective and manages the project in a development-oriented manner thanks to:

– Outstanding biotech network to provide top level industry experts tailored to each field (including Sofinnova network);

– Direct experience grown in previous industrial settings

BiovelocITA nurtures emerging talents to become managers in the spin-off companies

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Reprofiling of a known drug for thetreatment Cerebral CavernousMalformation (CCM)

CCM is a vascular disease of the brain: bloodvessels become malformed (mulberrylesions), leaky and prone to hemorrhagecausing seizures, neurological deficits andhemorrages (30-40% of affected patients)

– Repeated neurosurgery is the only therapy but it isoften not possible due to the location of thelesions

The prevalence of CCM is 0.1-0.5%

– Can be sporadic (80%) or familial (20%)

The familial form is an orphan indication withexpected market size of 500+ €Mi

“Mulberry” lesions

DEAL UNDER EXECUTION

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Familial CCM is causedby inherithed loss-of-function mutations in the genes identified asCCM1,2 and 3

Scientist at IFOM discovered a molecularpathway associated with familiar CCM anda corresponding inhibitor

BiovelocITA is finalizing an exclusive optionto this project, the first one arising fromthe partnership with TTFactor

BiovelocITA will lead the pharmacology,CMC and regulatory work till the IND

Investment up to 1.5 M

– Larger than typical pre-IND status

BiovelocITA and TTF will own an equalshare of the resulting proceeds

DEAL UNDER EXECUTION – Cont.

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BIOVELOCITA CURRENT HORIZON

BiovelocITA’s strategy beyond proof of concept is optimized for each project, e.g.:

– Technology with demonstrated potential for multiple assets spin-off company and series A

– Single asset in a high-demand field license/trade sale

Ideal Scenario: 2 spin-off companies and 1-2 deal

BiovelocITA has two revenue streams:

Short Term

– Sale of projects to biotech/pharmaceutical companies

– Return of investment time range: 2-3 years

Long/Medium Term

– BiovelocITA shareholders to become shareholders of spin-off companies with right to co-invest exit via M&A, IPO

– Return of investment time range: 5-6 years

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THANK YOU