enhancing life through nature -...
TRANSCRIPT
Forward Looking Statements
This presentation contains forward-looking statements. Various factors could cause actual results to differ materially from those projected in forward-looking statements, including those predicting the timing of product development and launches. Although the company believes that the forward-looking statements contained herein are reasonable, it can give no assurance that the Company’s expectations are correct.
All forward-looking statements are expressly qualified by this Cautionary Statement.
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Corporate Overview
Focused on the development and commercialization of active ingredients for healthcare and cosmetic industries
- Unrivaled, proprietary plant extraction based manufacturing process
Two active ingredients currently used in multiple household name products –cosmetics & personal care
- Beta Glucan
- Avenanthramides
Revenue generating, de-risked business model supports near-term and future growth
- Highest revenues, profits and cash flows reported in Company’s history for FY 2015
Unique Pressurized Gas Expanded (PGX) enabling technology with the potential to address broad range of industries
Robust growth strategy with near-term potential to expand into nutraceutical, OTC and pharma markets
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Core Expertise
Identification, extraction and purification of active compounds from natural sources
Create innovative ingredients for the personal and healthcare industries
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From Field to Formulation
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Field
Identify
Unique
Plants
Research
Discover
Novel Functional
Actives
Manufacturing
Develop
Innovative
Processes
Consumer
Provide
Innovative
Products
Unique Bioprocessing Expertise
Ability to isolate and purify specific molecules from a wide range of botanical sources
Prototype extracts are then prepared for bio-screening or in vivo testing
Unique drying (heat-free) technology for sensitive compounds
Commercialized unique bio-actives from several botanical sources
Ability to take concept to commercialization in a relatively short period of time
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Proprietary Plant Extraction Based Manufacturing
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Lupinus angustifolia
and
Avena sativa
Lead Active Ingredients
Beta Glucan
Avenanthramides
Beta Glucan and Avenanthramidesin Multiple Household Name Products
Aveeno
Jergens
Lubriderm
3M – Nexcare
KY Products
Neutrogena
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Coppertone
Dove
Burt’s Bees
The Body Shop
Philosophy
ROC
Financial Performance 2012-2015
-2
0
2
4
6
8
10
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2012 2013 2014 2015
Revenue, ($M) Income (loss) from operations, $000000
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Fueling Our Pipeline
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Pre-Clinical Clinical Market
Beta Glucan
Cosmetics and
Personal Care
Functional Drink
Cholesterol
Avenanthramides
Cosmetics and
Personal Care
Exercised Induced
Inflammation
Beta Glucan
Beta glucan is a water soluble fibre found in the cell walls of oat kernels
Acts as a natural moisture barrier and film-forming agent
Relieves and alleviates dry and itchy skin by replenishing and protecting the skin’s moisture barrier
Provides hydration against the drying effects of the sun
Smoothens wrinkles, reducing the visible signs of aging
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Beta Glucan in Cosmeceuticals
Ceapro was the first to demonstrate that high molecular weight beta glucan can penetrate human skin
Dermatology applications range from anti-ageing to wound healing
New highly purified beta glucan powder successfully developed to address new market demands/trends
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Natural Skin Restructuring Agent
Proven to effectively reduces fine lines & wrinkles
Forms a natural barrier protecting skin
Wound healing agent – films or gels
Sustained release of active agents requiring enhanced percutaneous transportation
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Beta Glucan in Nutraceuticals and Pharmaceuticals
Potential reduction of cardiovascular and heart diseases risk - Acts to decrease LDL and total cholesterol
Proprietary beta glucan drug-delivery platform- Shown to effectively penetrate into the skin, into the deep layers as well
as into the skin cells
- Uses ranging from wound care and therapy, to skin care treatments that reduce the signs of aging
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Unique Enabling Technology - PGX
Pressurized Gas Expanded (PGX) Liquid – Spray Drying
PGX is a novel spray drying technique for processing water-soluble biopolymers
- Platform that can produce numerous morphologies of biopolymers ranging from fine fibres to granular powder, which are highly water soluble
Operates at lower temperatures than conventional spray drying allowing incorporation of thermosensitive bioactives as well
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PGX-BG Impregnated with CoQ10 (iBG)
Impregnation of highly porous biopolymer matrix - with thermosensitive bioactives (or
drugs, API) - Nutraceuticals- Functional food ingredients
- Drug Delivery Vehicle
Impregnation is accomplished- by means of supercritical CO2
- in the same processing equipment - at moderate temperatures of 40 °C.
Pure PGX BG
iBG: 5.5% CoQ10 on BG
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CNC Before and After PGX Drying
Production of biomaterials from different industries
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0.5 g CNCSpray Dried
0.5 g CNCPGX Dried
CNC AEROGELDensity : 0.006 g/cm3
PGX - A New Platform Technology
Application of PGX-CNC- Wound healing, scaffolds
- Drug delivery- Absorbents- Composite-plastic- Paints
PGX processing allows processing of high value biopolymers- Beta Glucan- Chitosan- Gum Arabic- CNC
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Avenanthramides
Antihistamine and anti-inflammatory properties
Potential benefits in the control of inflammation-based diseases
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Avenanthramides Clinically Proven in Cosmeceuticals
Significant improvements in erythema symptoms associated in subjects with mild to moderate atopic dermatitis- 40% improvement in itch perception after
1 week
- 62% of patients showed an improvement in their skin condition
Subjects with atopy- 89% of subjects saw significant
improvement in itch after 1 week
- Continued improvement after 4 weeks
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Advanced Skin Care
Skin inflammation is a complex physiological process
Beta Glucan- Accelerates tissue healing
- Deep hydrating agent
- Improves elasticity
- Natural film protective barrier
Avenanthramides- Relief from itching (Pruritus)
- Reduces inflammation and swelling
- Reduces redness (erythema)
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Beta glucan
Avenanthramides
Avenanthramides in Nutraceuticals and Pharmaceuticals
Avenanthramides shown to attenuate exercise-induced
inflammation in animal studies
Human clinical studies showed that dietary avenanthramides
supplements significantly reduced inflammation biomarkers in
both elderly and young population
New process technology licensed from Agriculture and Agri-
Food Canada (AAFC) enables production of high concentration
of AVAs
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Strategy Designed to Leverage Enabling Technologies
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Cosmeceuticals
• Generate scientific data to support current product indications
• Pursue new indications for current product portfolio from research programs
• Develop new products in accordance with needs expressed by customers
• Improve manufacturing technologies
• Look for ability to develop co-products
Nutraceuticals
• Produce 2nd generations of current products (higher concentrations, powder versions, etc)
• Capture bigger margins
Pharmaceuticals
• Produce 3rd generations of current products (higher concentrations, powder versions, etc)
• Conduct formulation work and assess potential for pharmaceutical development
Value Drivers
Cosmeceuticals - Current and new indications - Base business
Nutraceuticals - New product development - Near term catalyst
Pharmaceuticals - New products, new partnership discussions
Manufacturing Innovation - New processes, higher output, lower cost
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New Bio-Processing Facility
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R&D
Pilot Scale Capability
Commercial Production
New 30,000 sq. ft. GMP Bio-processing Extraction Facility in Edmonton,
Alberta, Canada
Financial Profile
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TSX-V: CZO Stock Ticker
$43.8M Market capitalization as of April 20, 2016
62.6M Common shares outstanding
$10,667,000 Total sales for the full year 2015
$5,000,000 Total amount of grant-based-funding raised to date
Highest revenues, profits and cash flows reported in Company’s history for FY 2015
Value-Driving Milestones
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Q1 2016 Q2 2016 Q3 2016 Q4 2016
Complete New Manufacturing Facility
Complete Commercial Scale-up of PGX
PGX Alliance Opportunities
Nutraceuticals and Pharmaceuticals
Beta Glucan: Conduct Safety Studies of High
Purity Beta Glucan in Oral Formulation
Beta Glucan: Commence Cholesterol Pilot
Clinical Trial
Avenanthramides: Anti-inflammatory Effect from
High Dose vs. Low Dose - Study Results
Complete Development of Functional Drink
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