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1

Cytori Therapeutics

(NASDAQ: CYTX)

Lazard Capital Markets 8th Annual Healthcare Conference

November 16, 2011

Mark E. Saad, Chief Financial Officer

2

Safe Harbor Statement

This presentation may contain certain ‘forward-looking statements’. All

statements, other than statements of historical fact, that address activities,

events or developments that we intend, expect, project, believe or

anticipate will or may occur in the future are forward-looking statements.

Such statements are based upon certain assumptions and assessments

made by our management in light of their experience and their perception

of historical trends, current conditions, expected future developments and

other factors they believe to be appropriate.

The forward-looking statements included in this presentation are also subject

to a number of material risks and uncertainties. We caution investors not to

place undue reliance on the forward-looking statements contained in this

presentation.

We would advise reading our annual report filed with the United States

Securities and Exchange Commission on Form 10-K for a more detailed

description of these risks.

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Investment Summary

• Large pipeline opportunity

– EU chronic ischemia approval

– EU acute heart attack pivotal trial

– US chronic ischemia pilot trial

– EU breast reconstruction reimbursement

– Japan breast reconstruction approval

• Near term commercial business potential

– Building for profitable growth

– Soft tissue and translational research

– Grow in select emerging markets

• Established partnerships and potential future licensing

– $100 MM + in funding to Cytori

– Multiple development and commercialization partnership prospects

• Patent protection into mid-2020s and beyond

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Investment Opportunity

Regenerative cells in the operating room in real-time

Celution currently approved in Europe

Scalable platform

System/Consumable model

35+ issued patents

Soft Tissue RepairAbout one hour

Cardiovascular DiseaseCytori Celution® System Regenerative cells

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Adipose Tissue: Ideal Source for Cell Therapy

Soft Tissue RepairSoft Tissue Repair

• Adipocytes

• Multipotent cells

• Endothelial cells

• Vasc. smooth muscle cells

• Tissue resident macrophages

• Perivascular cells

Adipose Derived Regenerative Cells

• Adipocytes

• Multipotent cells

• Endothelial cells

• Vasc. smooth muscle cells

• Tissue resident macrophages

• Perivascular cells

Adipose Tissue

Liposuction

Processing

Adipose Tissue: Richest source of regenerative cells in the body

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Adipose Tissue: Ideal Source for Cell Therapy

Number of Cells (millions) per 100 mL of tissue (1/2 cup)

Implication: Real-time access to a patient’s own regenerative cells is possible

(No lengthy and expensive cell culture or manufacturing involved)

0

0.25

0.5

Multipotent Cells in AdiposeMultipotent Cells in BM

0

15

30

45

Total Nucleated Cells in Adipose

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Soft Tissue Repair

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Soft Tissue Repair: RESTORE Procedure



Celution® approved in EU for breast reconstruction

Significant unmet medical need

Two completed clinical trials

Safe and effective

Reimbursable

$43

$73

$126 $163

Clinical

Partner

Cells Fat

‘Cell-Enriched Graft’

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Soft Tissue Repair: RESTORE 2 Trial Outcomes



$73

$126

Post-Marketing Study Design

• Prospective 71 patient study

Co-Primary Endpoints

• Physicians and patient satisfaction with functional and cosmetic results &improvement in overall breast deformity

0%

20%

40%

60%

80%

100%

Patient SatisfactionPhysician

Satisfaction

6-Mo

12-Mo

High satisfaction rates & safety to support reimbursement efforts

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Soft Tissue Repair: Building Toward Launch



2006

• RESTORE 1 Initiated in Japan

2007

• CE Mark for general processing

• RESTORE 1 data reported

2008

•Cytori begins RESTORE 2 trial in EU

2009

• RESTORE 2 enrollment complete

2010

• Breast reconstruction added to CE Mark

2011

• UK NIC identifies cost-effective-ness

• Complete RESTORE 2 data reported

Breast Reconstruction Path to Market Access

2006 – Present

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Clinical Data Regulatory Reimbursement Adoption

Soft Tissue Repair: Global Development Status

Regulatory Clinical Data Early AdoptionReimbursement

(2013)

Clinical DataRegulatory

(2012)

Reimbursement

(2012/2013)Adoption

EU Breast Reconstruction

Japan Breast Reconstruction

US Parry Romberg

Regulatory Clinical Data

Adoption Reimbursement

Stages of

Market Access

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Soft Tissue Repair: Near-Term European Market

Soft Tissue Repair

Breast reconstruction in Europe on its own

can get Cytori to profitability

• Target hospitals

• Focus on G5

• Breast recon as entry into Operating RoomSoft Tissue Repair


Indication Status Next Milestones Market Size

General processing Approved 2008; $8.4 MM 2010 sales

Continued hospital adoption @ KOL sites

Tens of millions

Breast cancer reconstruction

Approved July 2010 UK reimbursement 2013 followed by G5

coverage

$300-400 MM

Wounds Approved July 2010 Initiation of Independent

reimbursement trial

$500 + MM

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Soft Tissue Repair: Global Revenue Potential


Soft Tissue Repair

Installed

Systems

Cartridges per

Year

Price per

Cartridge

Annual Revenue

Potential

100 260 $2,500 $65 MM

1,000 260 $2,500 $650 MM

10,000 260 $2,500 $6.5 Bil

Revenue Potential on Consumables alone

Assumption: One Consumable per day

Customer universe: 15,000 hospitals who buy capital equipment

Soft tissue est. price per consumable - $2,500 ±

Celution® Consumable cartridge

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Cardiovascular Disease

Dr. Fernandez-Aviles

Principal Investigator

for the PRECISE trial

Hosp. Gregorio Maranon

Madrid, Spain

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Clinical Data

PRE-IDE Q3 ‘11

Initiate 2012

Regulatory Reimbursement Adoption

Cardiac Repair: Global Development Status

Clinical Data

CE Mark Application Filed Q2 2011

Regulatory

(2012)Early Adoption Reimbursement

Clinical Data

Pilot complete

Pivotal began 2011

Regulatory Reimbursement Adoption

EU Chronic Myocardial Ischemia

EU Acute Myocardial Infarction

US Chronic Myocardial Ischemia

Regulatory Clinical Data

Adoption Reimbursement

Stages of

Market Access

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Cardiac Repair: PRECISE CMI Trial


Soft Tissue Repair

Change in Max Volume of Oxygen (MV02) from Baseline to 6 & 18 months

Baseline 6 Mos 18 Mos

Transplant List

20.0

18.0

16.0

14.0

19.0

15.5 15.3

16.6

17.117.2

ADRC’sStandard of Care

P<0.05 P<0.05

N = 27 pts

(6 placebo/21 treated)

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Cardiac Repair: PRECISE CMI Trial

MVO2:significant change at 18 months• MVO2 correlates to improved survival

• MVO2 ≤ 14 = 47% 1 yr survival rate

METS: significant change at 18 months

Cytori procedure safe and feasible through 18-months

Lower cardiac mortality rate:• At avg. follow up of 28 months:

- 2/6 placebo

- 1/21 treated

Next Steps:

Applying for European Approval

Initiating US IDE Clinical Trial: ATHENA • Completed pre-IDE meeting with FDA

0% 10% 20% 30% 40%

Placebo

Treated

33%

5%

28 Month Mortality Rate

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Cardiac Repair: U.S. CMI Trial

Confirmed device designation by FDA

Pursuing IDE/PMA clinical trial

Pre-IDE meeting with FDA Q3 2011

Proposed design for “Athena” trial:

• Approx. 50 patient pilot

• Randomized, double-blind, placebo-controlled

• 1o Endpoints: Safety & Efficacy

Next Steps:

• Submit IDE application by end of year

• Initiate 1H 2012

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Cardiac Repair: APOLLO Acute MI Trial

Potential new approach for treatment of heart attacks

Strong signals of safety & efficacy

Higher SAE rate in Controls

Initiated pivotal European clinical trial, ADVANCE

Difference in reduction of infarct size is maintained in cell-treated patients

p<0.05 for change in infarct size for cell-treated patients at 6 and 18 months (paired t-test comparing baseline and follow up for same patients)

P < 0.05 for change from BL for ADRCs

P > 0.05 for change from BL for Placebo

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Cardiac Repair: APOLLO Acute MI Trial

Lower abnormal ventricular beat rate in cell group

More significant Ventricular Arrhythmias in

placebo

Higher frequency of recordings with Ventricular Premature Beats (VPB) in Controls

Higher number of VPBs per recording in placebo

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Cardiac Repair: Significant Market Need

AMI

$ 7 Billion

Annual Heart Attack Incidence (EU) 1.9 million

% STEMI (large heart attacks) 38%

Target Addressable Procedures 720,000

Est. Price per cardiac consumable $ 10,000

Estimated Market Size for Europe Alone

Region# of Patients

(Incidence)# of Pts (10-Yr

Prevalence)

UnitedKingdom

40,000 400,000

Italy 40,000 400,000

Germany 55,000 550,000

France 40,000 400,000

Spain 30,000 300,000

Total G5 205,000 2,050,000

CMI

$ 20 Billion*

Potential Healthcare Savings for CMI LVAD + Procedure > $200,000

Celution Consumable + Procedure < $50,000

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Current Commercial Business

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Build for profitable growth

• Manage regions as distinct operating units

• Establish beach-head customers

Near-term catalysts

• Additional country approvals

CE Mark can get Cytori to profitability

• Multi-hundred million dollar markets accessible with current approvals

Enter/grow in emerging markets

• India and Apollo Hospital as example

• Other countries to follow

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• Revenue growth year over year

• Quarters variable

• Systems driving revenue

• EU focus on reconstruction

• Emerging markets & Asia:

- Aesthetics- Reconstruction

- Translational research

- StemSource® cell & tissue banks


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Our Business

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Partners

Astellas Pharmaceuticals • $10 mm equity investment at $7.00

• Potential for future liver disease partnership

Green Hospital Supply• Co-selling StemSource® Cell Banks in Asia

GE Healthcare• Co-distributer in select countries

• Lead lender

Olympus (Japan): Manufacturing Joint Venture• Next-generation Celution® One System

•ADVANCE trial

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Intellectual Property: Foundation for Protection

North America/Europe Asia Emerging Markets

US:CELUTION DEVICE (‘484)CELUTION PLUS ADDITIVES (‘420)CELUTION FOR CRS (‘488)STEMSOURCE DEVICE (‘115)CELUTION FUTURE GENERATIONS (‘075)CELUTION PLUS SENSORS FOR CLINICALLY SAFE OUTPUT

(‘670)CELUTION FOR BONE (‘043)CELUTION OR CELGRAFT FOR SOFT TISSUE DEFECTS

(‘684)BEDSIDE COMPREHENSIVE

DEVICE (‘059)CELUTION OUTPUT PLUS PROSTHETIC

FOR BONE RELATED DISORDERS (‘716)CELLS PLUS FAT PLUS ADDITIVES (‘795)CELLS PLUS FAT (‘672)

Europe:CELUTION FOR ACUTE

TUBULAR NECROSIS (‘834)

Korea:CELUTION DEVICE (‘995)STEMSOURCE DEVICE (‘812)CELUTION DEVICE (‘139)

Singapore:CELUTION DEVICE & FUTURE GENERATIONS

(‘683)CELUTION FOR CARDIOVASCULAR (‘590)

China:CELUTION DEVICE (‘689)CELUTION FOR

CARDIOVASCULAR (‘104)

Japan:CELUTION DEVICE (‘952)DEVICES FOR CELLS PLUS FAT (‘041)CLINICALLY SAFE (‘556)

Australia:CELUTION DEVICE (‘135)STEMSOURCE DEVICE (‘901)CELUTION FOR CARDIOVASCULAR (‘858)CELUTION DEVICE WITH CENTRIFUGE OR

FILTER (‘937)

South Africa:CELUTION FOR CARDIOVASCULAR (‘446)

Mexico:CELUTION FUTURE GENERATIONS (‘348)CELUTION FOR CARDIOVASCULAR (‘775)

Russia:CELUTION FOR CARDIOVASCULAR (‘924)

India:CELUTION DEVICE (‘706)CELUTION FUTURE GENERATIONS (‘529)CELUTION DEVICE FOR TREATING WOUND

HEALING (‘580)

Israel:CELUTION DEVICE WITH CENTRIFUGE OR

FILTER (‘800)

30+ Patents Issued Worldwide with 100 + Pending

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Financials

Cash (Q3, 2011) $41 million

GE Loan $25 million

Shares Outstanding 55 million

Warrants (average price $ 3.80) 12 million

Vested Options (average price $5) 5 million

Q3 New cash used in operating activities $7.9

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Potential Near-Term Catalysts

Celution® One CE Mark

CE Mark for Chronic myocardial ischemia

Initiate chronic myocardial ischemia trial in U.S.

Breast reconstruction technology evaluation in UK (reimbursement)

Celution® System approval in additional major countries

Additional partnerships

30

Cytori Therapeutics

(NASDAQ: CYTX)

Lazard Capital Markets 8th Annual Healthcare Conference

November 16, 2011

Mark E. Saad, Chief Financial Officer

view this presentation (pdf 2.88 mb) - cytori

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