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Digital healthcare for respiratory disease Tony Kea)ng Chief Execu)ve Officer and Managing Director [email protected] Canary Biotech & Healthcare Investor Roadshow 25 November 2015, Melbourne 26 November 2015, Sydney ASX: RAP For personal use only

For personal use only - ASX · 11/25/2015  · • mHealth app market expected to grow to $25B by end of 20175 1. NHAMCS (2011) 2. ResApp es)mate based on OECD per capita data 3

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Digitalhealthcareforrespiratorydisease

TonyKea)ngChiefExecu)veOfficerandManagingDirector

[email protected]

CanaryBiotech&HealthcareInvestorRoadshow25November2015,Melbourne26November2015,Sydney

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DisclaimerThispresenta)onhasbeenpreparedbyResAppHealthLimited(“ResApp”).Theinforma)oncontainedinthispresenta)onisaprofessionalopiniononlyandisgiveningoodfaith.Certaininforma)oninthisdocumenthasbeenderivedfromthirdpar)esandthoughResApphasnoreasontobelievethatitisnotaccurate,reliableorcomplete,ithasnotbeenindependentlyauditedorverifiedbyResApp.Anyforward-lookingstatementsincludedinthisdocumentinvolvesubjec)vejudgmentandanalysisandaresubjecttouncertain)es,risksandcon)ngencies,manyofwhichareoutsidethecontrolof,andmaybeunknownto,ResApp.Inpar)cular,theyspeakonlyasofthedateofthisdocument,theyassumethesuccessofResApp’sstrategies,andtheyaresubjecttosignificantregulatory,business,compe))veandeconomicuncertain)esandrisks.Actualfutureeventsmayvarymateriallyfromtheforward-lookingstatementsandtheassump)onsonwhichtheforward-lookingstatementsarebased.Recipientsofthisdocument(Recipients)arecau)onedtonotplaceunduerelianceonsuchforward-lookingstatements.ResAppmakesnorepresenta)onorwarrantyastotheaccuracy,reliabilityorcompletenessofinforma)oninthisdocumentanddoesnottakeresponsibilityforupda)nganyinforma)onorcorrec)nganyerrororomissionwhichmaybecomeapparenta^erthisdocumenthasbeenissued.

Totheextentpermi_edbylaw,ResAppanditsofficers,employees,relatedbodiescorporateandagents(Agents)disclaimallliability,direct,indirectorconsequen)al(andwhetherornotarisingoutofthenegligence,defaultorlackofcareofResAppand/oranyofitsAgents)foranylossordamagesufferedbyaRecipientorotherpersonsarisingoutof,orinconnec)onwith,anyuseorrelianceonthispresenta)onorinforma)on.

Thispresenta)onisnotanoffer,invita)on,solicita)onorrecommenda)onwithrespecttothesubscrip)onfor,purchaseorsaleofanysecurity,andneitherthispresenta)onnoranythinginitshallformthebasisforanycontractorcommitmentwhatsoever.

AllamountsinAustraliandollarsunlessstatedotherwise.

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Digitalhealthcareforrespiratorydisease

§  Developingtheworld’sfirstclinically-tested,regulatory-approvedrespiratorydiseasediagnos)ctestforsmartphones-  Noaddi'onalhardwareneeded-  Uniqueopportunitytointegrateintotelehealthproviders’exis)ngpladorms-  Appstoprovideclinical-quality(‘GoldStandard’)diagnos)ctestsandchronicdiseasemanagement

toolsdirectlytoconsumersandhealthcareproviders

§  Hugeglobalmarket,700M+doctorvisitsannuallyforrespiratorydisease1§  Highlevelsofaccuracydemonstratedinclinicalproofofconceptstudyandinmul)-site

clinicalstudyunderwayinPerth,Australia§  Fully-fundedtobringproducttomarketinlate2016

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1.BasedonOECDdoctorvisitspercapitadataandassuming10%ofvisitsareforrespiratorydisease(basedonUSdata)

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Companyoverview

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CapitalStructure(ASX:RAP)Sharesonissue1 561M

Sharepriceasof24November2015

$0.092

MarketCap $51.6M

PerformanceShares2 93.75M

Op)ons3 33.75M

Incen)veOp)ons4 25M

CashBalanceasof30September2015

$3.4M

1.  Includes121Mescrowedshares2.  Issuedonachieving$20Mofannualrevenueoronanacquisi)on3.  Exercisepriceof2.6c,expire31December20164.  IssuedtoMD,5Mop)onsatexercisepriceof2.5c,5Mat5cand10M

at10c,5yearexpiry;IssuedtoDrAbeyratne,3Mat5cand2Mat10c

BoardofDirectorsDrRogerAston Non-Execu)veChairman(ChairmanofOncosil,formerCEOofMaynePharma,CambridgeAn)body,cofounderofpSividaCorp)

DrTonyKea)ng ManagingDirectorandCEO(formerDirector,CommercialEngagementofUniQuest,engineeringmanagementroleswithExaCorpora)on)

MrAdamSierakowski Non-Execu)veDirector

MrChrisNtoumenopoulos Non-Execu)veDirector

Substan)alShareholdersUniQuestPtyLtd:7.51%BrianLeedman:5.45%FreemanRoad:5.34%Top20Shareholders:44.7%F

or p

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Diagnosisofrespiratorydiseaseisthemostcommonoutcomefromavisittothedoctor

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Acutecondi'onsURTIs,influenza,bronchi)s,bronchioli)s,pneumonia,pertussis,croupChronicCondi'onsAsthma,COPD,cys)cfibrosis,bronchiectasis

§  125Mdoctorvisits1intheUSforrespiratorydisease(10%ofallvisits)

§  6-8Mdoctorvisits2inAustraliaforrespiratorydisease

§  Est.700M+doctorvisitsglobally3forrespiratorydisease

§  HighprevalenceandgrowthinAsia

1.Ambulatorycasevisits,Na)onalAmbulatoryMedicalCareSurvey20102.AustralianLungFounda)on3.BasedonOECDdoctorvisitspercapitadataandassuming10%ofvisitsareforrespiratorydisease(basedonUSdata)

Currentlydiagnosedusingstethoscope,imaging(x-ray,CT),bloodand/orsputumtests

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Revolu)onarytoolbasedonsoundsignatures

§  ExclusiveworldwidelicensetomachinelearningtechnologydevelopedbyA/Prof.AbeyratneatTheUniversityofQueensland

§  Usessignaturesincoughingandbreathingsoundstodiagnosedisease

§  Patentapplica)onfiledinUS,Australia,Europe,China,JapanandSouthKorea

§  Canbedeliveredusingtoday’ssmartphones,noaddi)onalhardwarerequired

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Cough Spectra too is different

Ann

als

of B

ME

, US

A, 2

013

Cough Spectra too is different A

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s of

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E, U

SA

, 201

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Strongclinicalevidence

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2013Study Sensi'vity Specificity Accuracy

Pneumoniavs.allrespiratory 94% 100% 96%

Asthmavs.pneumonia 100% 80% 90%

1.  Abeyratneetal.,AnnalsofBiomedicalEngineering,20132.  Kosashietal.,IEEETransac)onsinBiomedicalEngineering,2015

Currentstudy(startedMarch2015)-  FundedbyResApp-  ManagedbyTheUniversityofQueensland-  Sites:JoondalupHealthCampusandPrincess

MargaretHospital,Perth,Australia-  430+pediatricpa)entsenrolledtodate

(con)nuing)

Proofofconceptstudy(2013)-  FundedbyTheBillandMelindaGates

Founda)onandTheUniversityofQueensland-  Site:SardjitoHospital,Indonesia-  91pa)ents,majorityundertheageof5-  Resultspublishedinpeer-reviewedjournals1,2

2015StudyPreliminaryResults Sensi'vity Specificity Accuracy

Pneumoniavs.norespiratory 100% 95% 97%

Asthmavs.norespiratory 97% 92% 95%

Bronchioli'svs.norespiratory 100% 100% 100%

Croupvs.norespiratory 94% 100% 99%

URTIvs.norespiratory 100% 95% 96%

Pneumonia,crouporbronchioli'svs.URTI 89-100% 90-95% 89-98%

Differen'aldiagnosisofpneumonia,croup,URTIandbronchioli's

92-100% 85-97% 91-99%

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Deliveryofhealthcareviatelehealthisoneofthebiggesttrendsinhealthcare

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§  TwolargestUSpharmacychainshaverecentlyannouncedpartnershipswithtelehealthproviders

§  TeladocandAmericanWell:10M+customerseach§  InsurerssuchasCigna,Aetna,UnitedHealthcare§  EmployerssuchasBankofAmerica,Volvo,Yahoo!§  HospitalsystemssuchasMountSinai

75MUStelehealthconsults

(‘evisits’)in2014(Deloi_e)

56%annualgrowthrate

(IHS)

$12-$16BTotalUSmarketopportunity

(GoldmanSachs,Deloi_e,Teladoc)

$50BTotalglobalmarket

opportunity(Deloi_e)

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ResAppdirectlyaddressesthemostcommondiseaseencounteredbytelehealthproviders

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1.Uscher-PinesandMehrotra(HealthAffairs,2014)2.IHS3.BasedonOECDdoctorvisitspercapitadataandassuming10%ofvisitsareforrespiratorydisease(basedonUSdata)

§  30%oftelehealthconsultsforacuterespiratorydisease1

§  22.5Mtelehealthconsultsperyeartodayforacuterespiratorydisease

§  Numberoftelehealthconsulta)onsgrowingat56%peryear2

§  700M+globaldoctorvisitseachyearforrespiratorydisease3

-  Accessthroughgrowthintelehealthplusin-persontests(in-clinic,in-hospital)

ThemarketsegmentaddressedbyResAppisenormous

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Marketsegmentsandbusinessmodel

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Telehealth Clinicaluse Developingworld Directtoconsumer

Commercialstrategy

Partnerwithtelehealthproviderstoreach10sofmillionsofpa)ents

Ini)aluseinemergencydepartments(ED),extendingtoregularclinics

Partnerwithleadinginterna)onalaidagenciestoequipfieldpersonnel

Directtoconsumerviaappstorestotargetgrowthinconsumer-ledhealth

Valueproposi'on

✓  Theonlyremoteclinically-accuratediagnos)ctoolavailable

✓  Easilyintegratedintoexis)ngpladorms

✓  Reducecosts(<$10vs>$200forx-ray)

✓  Reduce)me(x-rayadds~30mins)

✓  Lowcost,accurate&fast✓  Usablebynon-medical

personnel✓  IntegratesintoIMCI

framework

✓  Convenience✓  Lowcost✓  Consumer

empowerment

Revenuemodel B2Bpertestfee(<$10)fromtelehealthproviders

B2Bpertestfee(<$10)fromhealthcarepayors

B2Blowcostannualsubscrip)onfromaidagencies

B2Cdownloadandpertestfeedirectfromconsumers

Marketsize • 22.5Mrespiratory-relatedUStelehealthconsultsp.a.• 56%growthrate• Majortelehealthprovidershave10sofmillionsofcustomerseach

• 13.4MUSEDvisitsforrespiratorydiseasep.a.1(~4.6Mforchildren)• 700M+ambulatoryrespiratoryconsulta)onsp.a.2

• 1Mchilddeathsduetopneumoniap.a.3• 151Mcasesofpneumoniaindevelopingcountriesp.a.3

• 400MiPhoneusers4• 1.6BAndroidusers4• mHealthappmarketexpectedtogrowto$25Bbyendof20175

1. NHAMCS(2011)2. ResAppes)matebasedonOECDpercapitadata3. WHOes)mate4. Sta)sta(2014es)mates)5. Research2guidancemHealthAppDeveloperEconomics(2014)

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SuccessfullyachievingkeymilestonesinCY2015

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¨  Australianpediatricclinicalstudyprogressingwell-  Pa)ents0-7yearsofagewithsignsorsymptomsofrespiratorydisease-  Comparisontofinalclinicaldiagnosisaspertrea)ngteam(a^erlaboratoryworkandimaging)-  430+pa'entsenrolledtodate-  Enrollmentcon'nuing

¨  Posi)vepreliminaryresultsfrompediatricclinicalstudyreported-  >95%accuracyforpneumonia,asthma,bronchioli's,croupandURTIclassifica'on-  89-99%accuracyfordifferen'aldiagnosisofthemostcommonrespiratorycondi'onsinchildren-  Successfullydemonstratedthatvoluntarycoughscanachievehighlevelsofaccuracy

¨  AU$4Mcapitalraisingandlis)ngontheASX¨  Appointbest-in-classFDAregulatoryconsultant–ExperienGroup(Sunnyvale,CA)¨  FDAPre-SubmissionbyendofCY2015¨  BeginenrolmentforAustralianadultclinicalstudy

✓✓

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CY2015 CY2016

Q3 Q4 Q1 Q2 Q3 Q4

Adultsitediscussions

ClinicalandregulatoryplantobringproducttomarketinlateCY2016

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FDAPre-Subdra_ing

FDAPre-Submee)ng

Australianadultclinicalstudy

USpivotalclinicalstudy

FDAsubmissiondra_ing FDAreviewperiod

Poten)alFDAmarke)ngapproval

FDA510(k)ordenovosubmission

Reportresults

USsitediscussions

ReportresultsAdultsiteiden)fiedand1stpa)ent

Reportresults

400+pa)entsenrolledInterimresults

USsiteiden)fiedand1stpa)ent

Australianpediatricclinicalstudy

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Summary

§  Revolu)onarytechnology–diagnosisandmanagementofrespiratorydiseasewithouttheneedforaddi)onalhardware

§  Targe)ngahugemarket,coughisthemostcommonreasonforvisi)ngadoctor§  SuccessfulclinicalproofofconceptfundedbytheGatesFounda)onshowedhighaccuracy

forpneumoniaandasthmadiagnosis§  Mul)-siteclinicalstudyprogressingwellwithposi'vepreliminaryresultsdemonstra'ng

≥95%accuracyforpneumonia,asthma,bronchioli's,croupandURTIversussubjectswithnodiscerniblerespiratorydiseaseand89-99%accuracyfordifferen'aldiagnosis

§  FDAPre-SubmissionplannedforQ4CY2015§  Fully-fundedtobringproducttomarketinlate2016,launchviatelehealthpartnertoreach

millionsofpa)entsquickly

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