leveraging the power of proteins to deliver precision health · self-pay, risk-bearing and dtc...

2020 Management Presentation

Leveraging the Power of Proteins to Deliver Precision Health

Safe Harbor Statement Some of the statements in this presentation constitute forward-looking statements. In some cases, you can identify forward-looking statements by the following words: “may,” “will,” “could,” “would,” “should,” “expect,” “seek,” “believe,” “intend,” “plan,” “estimate,” “pro forma,” “anticipate,” “predict,” “project,” “potential,” or the negative of these terms orother comparable terminology, although not all forward-looking statements contain these words. Examples of these statements include, but are not limited to, statements regarding the following: our projected future spending plans and operating results, our tests’ potential clinical utility and advantages over competitive offerings, market opportunities for current and planned tests, market adoption of current and planned tests, development of enhanced and new tests, potential additional applications for data generated by our tests, our go-to-market strategy, potential reimbursement or payor coverage for our tests, cost reduction efforts, sales productivity, intellectual property protection, potential out-licensing or spin-out transactions, upside opportunities, our future capital needs and the timing and availability of additional financing. All statements other than statements of historical fact are statements that could be deemed forward-looking statements. These statements involve substantial known and unknown risks, uncertainties and other factors that may cause our actual results, levels of activity, performance, or achievements to be materially different from the information expressed or implied by these forward-looking statements. These statements are based on a combination of facts and factors currently known by us and our projections of the future, about which we cannot be certain. As a result of these factors, actual results or events could differ materially from the plans, intentions and expectations disclosed in the forward-looking statements. In light of the significant uncertainties in these forward-looking statements, you should not regard these statements as a representation or warranty by us or any other person that we will achieve our objectives and plans in any specified time frame, or at all. The forward-looking statements in this presentation represent our views as of the date of this presentation. We anticipate that subsequent events and developments will cause our views to change. We undertake no obligation to update any forward-looking statements, whether as a result of new information, future events or otherwise. You should, therefore, not rely on these forward-looking statements as representing our views as of any date subsequent to the date of this presentation.

2© 2020 SomaLogic, Inc. All rights reserved.

Who We Are

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As the global leader in commercial protein measurement and interpretation, we are transforming

biomedical discovery, clinical diagnostics and disease management and personal health.

Addressing ~$6B Market Opportunity in Biopharma / Research & Self-Pay, with Longer-Term Potential to Tap Into ~$50B U.S. Based TAM Through Risk-Bearing and DTC

Core Technology Advanced Over ~20 Years, with $365M+ of Equity Investment

Strong Strategic and Business Relationships with Blue Chip Pharma & Biotechs

Robust Product Pipeline of 100+ Health, Wellness and Disease Management Tests with Near-Term Commercial Potential

Compelling Growth Profile with Highly Visible Contracted Revenues

Seasoned Leadership Team

Key Investment Highlights

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Roy SmytheChief Executive

Officer

Melody HarrisPresident and ChiefOperating Officer

Matt NorkunasChief Financial

Officer

Patrick TerryChief Commercial

Officer

Nebojsa JanjicChief Science

Officer

Stephen WilliamsChief Medical

Officer

Alan WilliamsChief Development

Officer

Fintan SteeleChief,

Communications

Seasoned Leadership Team

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MANAGEMENT

BOARD OF DIRECTORSCharles M. LillisFormer Chairman & CEO, Media One Group;Co-Founder & Managing Partner, LoneTree CapitalAnne MarguliesVice President & Chief Information Officer, Harvard UniversityJessica MathewsFormer President, Carnegie Endowment for International PeaceFranck J. MoisonFormer Vice Chairman, Colgate-PalmoliveRichard PostFormer President & CEO, Autobytel, Inc.

Larry GoldChairman & Founder of SomaLogic

Terry L. RandallPresident & CEO, Heritage CapitalAlister (Al) W. ReynoldsFormer SVP of U.S. Operations, Quest DiagnosticsRoy SmytheCEO, SomaLogic; Former CMO for Strategy & Partnerships, Royal Philips

SomaLogic: Driving the Proteomic Revolution

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~80 Partners

~250 Publications

~300,000 Cumulative Samples

~$32M Revenues (2019)

Direct-to-Consumer (DTC)

Life Science Research

BioPharma

Academic

Risk-Bearing

Health Systems

Concierge Medicine

Executive Health

Alternative Health

Self-Pay

~700 Patents(Issued and Pending)

Established Market Future Market

Insurers

VALIDATED WITH PARTNERS, PATIENTS, PUBLICATIONS, EXISTING BIOPHARMA, ACADEMIC BUSINESS AND DATABASE

National Health Services

Why Proteins?

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Receptors bind

DNAUnique hereditary

material that encodes biological

molecules

mRNA Molecule that

carries the “directions” for

protein synthesis

Proteins Functional and

structural molecules for all biological

processes

Unlike Genes — Proteins are Contextual

While the genome stays the same, each human proteome is dynamic — protein levels within the

body are constantly changing

▶ Proteins are the best source of available biological information for health, wellness anddisease management

▶ Proteins mediate the effects of all known drugs

Addressing The Limitations of Genomics …

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Protein MeasurementCell-Free DNAT-Cell Recognition mRNA“Traditional” GenomicsLegacy approaches utilizing

next-gen sequencing Limited to diseases and conditions that activate

T-cells

Limited to diseases and conditions that shed

marker DNA

Limited applications, primarily used as a

research tool

Covers all human biology in real-time, across many

diseases and health states

SOMALOGIC’S PROTEOMIC TESTING PLATFORM ADDRESSES THE LIMITATIONS OF GENOMICS

Many Competitors, Less “Contextual”, Few Diseases and Conditions Few Competitors, Highly Contextual,

Many Diseases and Conditions

Breadth

Depth

Speed

Cost

Scalability

Reproducibility

Low Sample Size

Solving the Commercial Protein Puzzle

▶ Proven ability to measure ~5,000 (~7,000 in next 12-18 months) proteins from a single sample input

▶ Capability to run assays simultaneously, at high-throughput — faster, less costly

▶ Established CLIA/CAP-certified lab infrastructure

▶ Small biological sample volume required

▶ Highly scalable and reproducible

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Antibodies Mass Spec. SomaLogic Platform

Yes

No

Partial

We can commercially measure ~5x the number of proteins vs. our closest competitor — at a ~10x lower cost per unit

The SomaLogic Platform

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12345

6789

“SOMAmer” reagents

SomaScanAssay

SomaScan Discovery Alliance

SomaLogicProteomics Database

SomaSignal Tests

1 4 7

SELF-PAY, RISK-BEARING AND DTC MARKETS

Slow Off-Rate Modified(“SOMAmer”) Aptamers: proprietary

protein-binding reagents

Incorporates ~5,000 (current) unique SOMAmer reagents

to measure proteins in a single sample

Access to World-Leading Biobanks Supports High-

Quality Database

▶ SomaSignal tests are created using machine learning and advanced pattern recognition modeling

▶ In each model, an individual’s risk is determined by the pattern of expression of between 16 and 300 proteins

How To Transform Healthcare with a Proteomics Dx Platform

Ø SomaSignal tests have a transformational ability to identify individuals thought to be at “no risk” for a condition who actually are — and those “optimally treated” for conditions, with residual significant risk

Ø This information is currently not available to clinicians

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2

3

4

5

6

7

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LESS INVASIVE

MORE CONVENIENT

MOREFEASIBLE

LESS EXPENSIVE

COMPLETELY NOVEL

Measure ~5X+ more proteins at ~10x lower per unit cost…

Then develop diagnostic

tests that are…

Achieve dramatically better health, wellness and

disease outcomes

Proteomic Testing vs. Genetic Testing

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Genomic tests: “one and done.” Re-doing genetic tests over time usually will not give any indication of changing condition or disease risk.

Proteomic tests: can be repeated over time - to understand if a biologic condition or disease risk is changing.

X (one)

X (many)

The “cost” incurred by SomaLogic for delivering more than one test at a time is simply running a different algorithm

Preventative Medical

Primary CV risk – 4 yearSecondary CV risk – 4 yearLiver fatGlucose tolerance

Health/Wellness

Resting energy rateCardiorespiratory fitness/VO2 maxAlcohol impactBody fat percentageVisceral fatLean body mass

Disease Management

NASH: 4 liver biopsy componentsCancer susceptibility (top 4) Kidney disease prognosisCongestive heart failure prognosisCongestive heart failure typeRule-out symptomatic coronary heart diseaseStatin adherence

Health/Wellness

HealthspanLifespanSleep qualityAlzheimer's/dementia riskCognitive functionBiologic/functional ageSocial deprivationSmoking status

Physical activityBody weight trajectoryBone mineral massInsulin sensitivity

Disease Management

CHF therapy sensitivityCancer early detectionCOPD risk/risk of progressionPulmonary function


CV risk (all-comers multiple subtypes)Cancer risk (top 15)Functional status/ability w/aging

Health/Wellness

Circadian cycleReproductive healthCognitive trajectoryDepression/mood w/agingFrailtyGrip strength w/aging

Mental stressInflammatory loadMicrobiome diversityDiet change/hypertension correlationJoint health

Launched (Q4:2019) Available 2020-2021 Available 2022+


eGFR (kidney function)Predict type II diabetes diagnosis with complicationsGLP-1 agonist responseCoronary artery calcium surrogate

Robust Commercial Product Pipeline of 100+ Tests

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Any test, or combination of all available tests can be run on any patient from one biological sample

World-Class Academic and Strategic Partnerships

▶ Research partnerships that have advanced the scientific platform

▶ Client collaborators that fund the development of the world’s largest human proteomics database

▶ Key vendor relationships for supply chain and capacity growth

▶ Third-party key opinion leaders now positioned and in-place

▶ Long-term relationships that will facilitate clinical utility work and business development

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The NASH Consortium

Denotes revenue-generating client collaborator.

Unlocking the Applied Market Opportunity of Proteomics

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TAM*


(SDA)

SomaSignal Self-Pay

SomaSignal Risk-Bearing

SomaSignal Direct-to-Consumer

(DTC)

*Source: LEK market research estimates (U.S.- only)

~$900M to ~$2B

BioPharma and Academic Markets

Product

~$4B

Concierge Medicine, Executive Health and

Alternative Health

~$14B

Health Systems and National Health Services Insurers

~$30.5B

Direct-to-Consumer

2017 2019 2022 2023

DTCRisk-BearingSelf-PaySomaScan Discovery Alliance

SomaSignal Translation

2020

Enables Key Insights for BioPharma and Academic Markets

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(SDA)

BioPharma Clinical Trials• Biologic drug efficacy and risk• Drug impact on disease biology, trial inclusion

Drug Discovery• Wet laboratory-based protein targeted drug

development• In vivo animal studies for drug development

Genomic / Proteomic Studies

• Use of GWAS and SNPs to find secondary drugtargets

• Fine phenotyping (pQTL) for drug targeting anddisease understanding

Companion Dx • Development of companion diagnostics

Academic Basic / Translational Research

• Unlocking preclinical biologic insights across abroad spectrum of protein-based investigative areas


▶ Market size estimated at ~$900M to ~$2B*

*Per LEK market research (U.S.- only)

SomaSignal Translation

2020

SomaScan Proteomic Data

SomaScan Access Participant

Individual Clinical Data

SomaScan Access Participant

Novartis: Transformative 10 Year Deal for SomaLogic

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▶ Long-term, committed partner (since 2011)

▶ Renewed 10-year collaboration in March 2019:• Sample commitments of >250K (run on SomaLogic

Platform), in aggregate, over the next several years• Novartis to invest ~$50M in this current funding round

▶ Plan to use SomaLogic’s technology platform for all pipelinedrug development programs

▶ ~1/3 of total revenues for the next ~2 years are highly visible,contracted revenues

▶ Other, similar large deals are in late-stage development

SomaSignal Tests: Transformational Dx Platform for Self-Pay

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Nature Medicine: plasma samples on nearly ~17K

patients using SomaScan to assess 11

health and disease states

Overview BookletSomaScan platform and SomaSignal tests

Test reportPatient’s personalized results

Dx Testing

• Replace invasive, expensive,inconvenient existing tests

• Test across multiple conditionsand risks simultaneously

• Deployment of some tests notpreviously available

Patient Risk Stratification

• Use of individual biology to muchmore accurately risk stratify

Physician Productivity

• More accurate and rapidassessment of patient“intervention” need — tostreamline efficiency of care

SomaSignal Self-Pay

VALUE PROPOSITION FOR PATIENTS AND PROVIDERS IN SELF-PAYPROOF OF CONCEPT STUDY (DECEMBER 2019)

Primary Cardiovascular Risk

Liver Fat

Body FatPercentage

Alcohol Impact

Secondary Cardiovascular Risk

CardiorespiratoryFitness

Lean BodyMass

COMMERCIAL LAUNCH UNDERWAY (AS OF Q4:2019)


+ Glucose Tolerance, RestingEnergy Rate and Visceral Fat

▶ Market size estimated at ~$4B*

*Per LEK market research (U.S.- only)

Markets in Development:SomaSignal Risk-Bearing and SomaSignal DTC

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SomaSignal Risk-

Bearing

SomaSignal Direct-to-Consumer

Population Health Management and

Resource Allocation

The Democratization of Health Information

for Individuals

All of the individual physician benefits, plus the ability to inform health system, national health service and payor precision population health, and guide resource use with data never before available

Becoming the leading-edge provider of individual health, wellness and disease information to power and capture the increasing trend and demand for democratization of healthcare information and technology


Proof Of Benefit For Clinical Market Acceptance

▶ SomaSignal tests benefits not requiring intensive study• Identification of patients at risk with no known risk factors for

disease who are actually at risk• Identification of patients under “optimal treatment” who are still

at significant risk despite treatment• Identification of patients who are candidates, or not, for certain

therapeutics

▶ Proof of Benefit Studies• Negotiating with health systems currently to demonstrate

health economics benefits, or physician/patient activation• A number of tests on the SomaSignal test menu that will allow

us to do these studies over a period of months, rather than years (e.g., CHF hospitalization risk, likelihood of a positive workup for ambulatory chest pain, etc.)

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▶ > 250 peer-reviewed manuscripts

▶ 2019 Nature Medicine Paper - plasma samples on ~17K patients to assess 11 health and disease states, provides “scientific underpinnings” for SomaSignal tests

▶ Trials to prove that SomaSignal tests “work” will likely not be necessary on a large scale

Well-Formulated Regulatory Approach▶ SomaScan Assay

• Will pursue FDA clearance as De Novo Platform / Assay Tool (e.g., Illumina MiSeq)

• Will only need to file updates as content increases or assay platform substantially changes• Will maintain CAP / CLIA certification for RUO and LDT where applicable

▶ SomaSignal Tests• Will seek “modular” approach (similar to Apple and others)• Will file de novo clearance for 1-3 SomaSignal tests as 510k Software as a Medical Device (SaMD)• Subsequent filings will use SaMD Special Controls, rather than entire re-approval process

▶ Regulatory Strategy• Short-term goal is clinical acceptance in Risk-Bearing SomaSignal market and DTC SomaSignal clearance à

direct reimbursement facilitation• Not seeking near-term third-party payment for most SomaSignal tests, as pipeline has >100 tests

• Will encourage bundled purchase of tests from Risk-Bearing SomaSignal market in capex fashion• Will likely seek payment for some tests involved in “complex” guidelines (e.g., cancer biologic therapy response

prediction) later

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Initial FDA filing on SomaScan Assay (platform) + ~1-3 initial tests anticipated in 1H:2021

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Proprietary, Expanding High-Quality Proteomics Database

▶ Rigorously curated: enables advanced understanding of the proteome and SomaSignal tests development (including regulatory filing preparation)

▶ Powerful asset and substantial source of value over time, as broader dataset is implemented on incremental biopharma partnerships and FDA filing (in 1H:2021)

▶ Multiple monetization opportunities – curated access to discovery market customers, development of recommendation engines, development of clinical decision support products, among others

~300k samples run on the assay to-date and anticipated to have ~2M cumulative samples by 2024

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Core Technology Advanced Over ~20 Years,

with ~$365M+ of Equity Investment

SomaScan Discovery Alliance:

Transforming Drug Development and Disease Understanding, Yielding a

Growing Consumables and Solutions Business

SomaSignal Self-Pay:

Release of First Tranche of Protein Pattern-Based MedicalDx Tests (in 2019) for Precision Health, Wellness and Disease

Insights

SomaSignal Risk-Bearing:

The Ability to Inform HealthSystem and Payor PrecisionPopulation Health with Data

Never Before Available (beginning in 2022)

SomaSignal DTC: The Leading Edge

Provider of Democratized Healthcare Information Directly to Individuals (beginning in 2023)

Strong Strategic and Business Relationships

with Blue ChipPharma & Biotechs

SomaLogic: Driving the Proteomic Revolution

leveraging the power of proteins to deliver precision health · self-pay, risk-bearing and dtc...

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