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Biophan Technologies, Inc. Company Overview. Michael Weiner, CEO Pharma Finance 2005 Conference June 23, 2005. Cautionary Statement.
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Biophan Technologies, Inc.Company Overview Michael Weiner, CEO Pharma Finance 2005 Conference June 23, 2005
Cautionary Statement Certain statements included in this presentation may constitute forward-looking statements within the meaning of applicable securities laws. These statements reflect what Biophan anticipates, expects or believes may happen in the future. Biophan's actual results could differ materially from the outcome or circumstance expressed or implied by such forward looking statements as a result of a variety of factors including, but not limited to: Biophan's ability to develop its technologies; the approval of Biophan's patent applications; the successful implementation of Biophan's research and development programs; the ability of Biophan to demonstrate the effectiveness of its technology; the acceptance by the market of Biophan's technology and products incorporating such technology; the ability of Biophan to effectively negotiate and enter into contracts with medical device manufacturers for the licensing of Biophan's technology; competition; the ability of Biophan to raise capital to fund its operating and research and development activities until it generates revenues sufficient to do so; and the timing of projects and trends in future operating performance, as well as other factors expressed from time to time in Biophan's periodic filings with the Securities and Exchange Commission (the "SEC"). As a result, this presentation should be read in conjunction with Biophan's periodic filings with the SEC which are incorporated herein by reference. The forward-looking statements contained herein are made only as of the date of this presentation, and Biophan undertakes no obligation to publicly update such forward-looking statements to reflect subsequent events or circumstances.
Biophan’s Mission • Enable over $12 billion worth of medical devices shipping annually safe for use with MRI, and imageable. Many are not: • Guidewires, catheters, endoscopes, biopsy needles • Pacemakers, defibrillators, neurostimulators, drug pumps (safety issues, also imaging issues), pain control devices • Stents, embolism clips, aneurysm clips, artificial hips, knees, most other orthopedics • Bring other innovations for competitive advantage to biomedical device and pharmaceutical companies.
Summary Financial Information • Share Price (06.14.05): $2.72 • 52-Week High: $3.50 • 52 Week Low: $0.30 • Shares Outstanding: 74 million • Float: 65 million • Market Cap: $203 million • Average Daily Volume: 1,026,650
Biophan’s Solutions • MRI Safety: (many products contraindicated) • RF filter from Johns Hopkins (heating) • Biophan multi-filar wire solution (heating) • “Anti-Antenna” lead design (induced voltages) • Image Compatibility • Nanomagnetic particle thin film coatings (Nanoset, LLC and Alfred University) • Minimize image artifacts • Makes catheters, guidewires, stents, and devices visible under MRI
Management • Stu MacDonald, VP R&D at J&J division, with a 400 person organization • Jeff Helfer, VP Engineering – formerly Dir. Of Engineering at the same J&J division • John Lanzafame, President, Nanolution Division – former President STS Biopolymers, acquired by Angiotech (ANPI) • Robert Wood, VP Finance, Treasured and CFO, CPA in public and private firms • And now Dr. Michael Friebe, and Dr. Andreas Melzer, two well known leaders in MRI technologies
Biophan-Europe • Acquired February, 2005, AMRIS (now Biophan Europe) adds enormous additional capability to Biophan • 2 Ph.D. level MRI experts, Friebe and Gregor • MD, surgeon and inventor, Andreas Melzer, MD • Access to latest MRI devices • Excellent connections in the MRI community • Exciting, patented solutions
Core Business • Offering our customers competitive advantage • Through proprietary solutions that can gain marketshare for them • FDA approval is pursued by the customer • Marketing and distribution of the final device is theirs • We sell high margin components and develop annuities for our shareholders
Relationship With Boston Scientific • Joint development agreement, originally entered into November, 2003 • Recently moved to second and third phase, and has expanded to multiple products • One of the companies referred to in recent 10Q • Reached agreement on term sheet, working on final contract phase
MRI Device Imaging Biophan’s thin-film nanomagnetic particle coating technology provides a controllable, “magnetic” signal capable of creating an image of the coated device. #3 is uncoated. 1 2 3 SE coronal image of 3 aluminum wires (1/32”). Wire (3) is uncoated.
Oncology Imaging MR image artifacts occur when the magnetic field of the MRI scanner is “warped” or distorted by the presence of magnetizable material placed in the scanner (i.e. a medical device). Thin-film nanomagnetic particle coatings can “nullify” or neutralize the magnetization of the medical device and as a result, minimize or eliminate the image artifact. Multi-slice MR images of RF ablation probe showing distortion
Making Stents Imageable • Seeing blockage of stents has required an invasive procedure • Stents imageable under MRI would be competitively advantaged • Biophan’s business is competitive advantage for our customers through technology innovation • Nanoset has a coating solution • AMRIS, now Biophan-Europe, has a “retrofit” solution • Both solutions are PATENTED! • Together we “cover the waterfront”
Implications • Impact the $5+ billion stent market • Help manufacturers make pacemakers, defibrillators, neurostimulators safe, and imageable – competitive advantage to our licensees • Make guidewires, catheters, endoscopes, biopsy needles safe and image compatible • Opens the field of interventional medicine under MRI (currently only X-Ray/Fluoroscopy)
Biothermal Battery • Goal: To provide a long-lived electrical power system for implanted medical devices • Powered by body heat differential. • Acquired 51% interest in TE-Bio, which holds an issued U.S. patent for the battery • Batteries are a $500 million market, sell for $100 to $225 each in the pacemaker, defibrillator and drug pump markets • Sold to same customers who need MRI safety
Agreement with NASA • Announced on August 17th a deal with NASA Ames Research Center for Nanotechnology to jointly develop the biothermal battery • NASA wants technology for their long duration manned MARS mission for biosensing and miniature therapeutic devices • Biophan gets commercial rights to jointly developed and NASA developed technology • Nanotechnology and materials science advances makes the biothermal battery possible
Particle type A Drug A Drug bound to NMP carrier Particle type B Drug B Surface Elution on Demand Controlled Magnetic Field A Controlled Magnetic Field Controlled Magnetic Field B Polymer Coating Nanomagnetic layer Substrate
Drug bound to NMP carrier Reloading Drug Eluting Coatings Concentration Gradient Drug Molecules Controlled Magnetic Field Polymer Coating Nanomagnetic layer Substrate
Apply magnetic field to concentrate particles Inject NMPs IV, NMP will circulate through the blood stream Modulate field to release drug from particles Guided Drug Delivery Other options for targeting: 1 - Direct injection into tumor site 2 - Coating NMP with antibodies to target tumor Solid tumor
Other Solution Offerings • MRI Safe Drug Pump (non-magnetic) • Nanomagnetic particles for contrast agents • Also used for • MRI compatibility • Reduce device heating • Enable DRUG DELIVERY CAPABILITIES!
NanoView™ MRI Contrast Agents Nano-particulate technology has the potential to provide a new consumable product capable of significantly enhancing MR detection sensitivity (i.e. lowest detectable concentration) and specificity (i.e. the ability to reliably detect the desired substance).
PROTECTED, PROTECTED! • Technologies covered by • 127 U.S. Patents • 37 ISSUED • 90 pending or allowed • 46 International Pending or Issued • Owned by Biophan or licensed exclusively to Biophan for the medical market
Goals • Close major deal – underway, at contract phase • Close second deal – we have multiple prospects in the U.S. Europe, and Asia • List on major exchange – requires $5 million capital, we meet all other qualifications, we plan to file as soon as capital in hand
Revenue Potential for MRI Safety and Visibility (by example, not a forecast)
Sensitivities • Deal Terms Improve with: • Proof of principle • Issued patents (the more the better) • Multiple prospects • Cash in the bank • Capability • Capacity
Other Markets • Battery: $500 million • Contrast Agents: $800 million • Drug Pumps: $1 billion • Drug Delivery: $40 billion Cautions: Penetration can take time FDA approval and/or CE Mark could take time Bright side is, once deal is underway, patents and annuity streams can last a long time
Biophan (OTC: BIPH) We don’t make medical devices; We make them safe, and imageable, for MRI And other competitive advantages for our customers Four of our six technologies are based on nanotechnology WWW.BIOPHAN.COM
Thank You! More good things will unfold in 2005! BIOmedPHArmaNano Technologies