LifeScience Alley ConferenceWhat's New in Green

December 2009

OUR PANEL

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Olga Selifonova, Founder and Vice President of Corporate Development

• Segetis

Luca Zullo, PhD, Co-Founder and CEO• BioCee

Rob Janzen, PhD, PAg, Vice President, ClimateCHECK• ClimateCHECK

Jon Hjelm, Vice President, Clean Technology and Renewables Investment Banking

• Piper Jaffray & Co. (moderator)

OVERVIEW AND PROGRAM

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• Introduction of Panel• Definitions of Green

• Environmentally Sound Practices (climate/energy, recycling…)

• Green Biobased Technologies (biofuels, bioproducts…)• Financing Commercialization – Status of Movements• New View on Economics of Green• Evolving Business Model in New Economic Environment• Q&A• Wrap-up

OVERVIEW AND PROGRAM

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• Introduction of Panel• Financing Commercialization – Status of

Movements• New View on Economics of Green• Evolving Business Model in New Economic

Environment• Q&A• Wrap-up

POOLS OF AVAILABLE CAPITAL

1Private Equity

VC Later Stage Hedge fund Project

Equity

Each Pool can be Stage-of-Development dependant Execution is Best when all Pools are Open

2“The Washington Capital Markets”

Grants Tax Benefits State Help Loan

Guarantees

3Strategic Investors

Big Oil Energy

Companies Chemical

Companies

4The Public Market

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Overview

GOVERNMENT CAPITAL MARKETS

• Continued focus on supporting technologies across multiple platforms: biomass, solar, biofuels, and others

• Support not only through production tax credits, but increasingly with grants and loan guarantees

• Continuing to get clarity on how technologies work and seeing capital deployed• Investors are getting more comfortable with potential opportunities to leverage

Key Announcements Selected Companies• Recovery Act awards for electric

drive vehicle battery component manufacturing

• Treasury/DOE announce surpassing $1 billion in direct payment awards

• $300 million into Clean Cities Grant

• ARPA-E selects 37 projects for over $151 mm in funding

• Solyndra– Secures $535m federal loan guarantee to build a

500MW factory• Fisker

– Granted $529m to develop two alternative energy vehicles

• A123– Awarded $249m grant from DOE for

manufacturing initiative• BioCee

– Receives a $2.2-million ARPA-E grant from the US Department of Energy

• Nordic Windpower– Receives $16m loan guarantee to expand a wind

turbine assembly factory

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AVERAGE DEAL SIZE IN MAJOR VC-BACKED SECTORS

Source: Clean Tech Network

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The average deal size in the cleantech space has declined since the financial crisis, while other sectors were less affected

PRIVATE CLEAN TECH INVESTMENT

Source: Clean Tech Network

Global Clean Tech Venture Capital Investment Q1 2006 – Q3 2009

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PERCENTAGE OF CLEANTECH VC INVESTMENT BY TECHNOLOGY

Source: Clean Tech Network

The Solar Sector reclaimed its position as the top recipient of cleantech VC funding in Q3 2009; Transportation fell below solar with just over 25% of funding

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BIOFUELS INVESTMENT

Source: Clean Tech Network

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BIOFUELS INVESTMENT

Source: Clean Tech Network

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Total VC Investment in Biofuels by Sub-Sector

BIOBASED CHEMICALS/MATERIALS LANDSCAPE

Thermo-Chemical Origin

Bio-technological Origin

Petroleum/Natural based

Fats/proteins Starch/Sugars

Lignocellulosics- Bagasse- Wood- Straws, StoverOthers- Pectins- Chitosan- Gums

Animals

Vegetable- Oils- Glycerol

PLAPHA’s Nylon 11PE/PPAliphaticPolycarbonateCellulose acetateThermoplasticStarchAcrylics

- Oils - Casein- Whey- Gelatin

PCLPolyestersStarch blends Nylon 6,10Nylon 6,12 PBSPTT

Agricultural Feedstocks

Polysaccharides

L-ketalsFuranics

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GREEN MATERIALS COMPANIESMid-1990s Early 2000s TodayNatureWorksNovamont

NatureWorksNovamontCargillDuPontMetabolixPlantic

NatureWorksNovamontDuPontCargill (BiOH)MetabolixPlantic SegetisAvantiumBioenergyBraskemDrathsElevanceGenomaticaNovomer

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AUDIENCE Q AND A

Q AND A

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