Evotec SE — Investor Presentation 2011

Oct 17, 2011

Building innovative drug discovery alliances

Best in Class Drug Discovery - Evotec Company Pres entation

Evotec AG , Company Presentation, October 2011

Forward-looking s statements

Information set forth in this presen forward-looking statements, which invo risks and uncertainties ncertainties. The forward forward-lo contained herein represent the judgemen the date of this report. Such forward-lo are neither promises nor guarantees, bu variety of risks and uncertainties, man ntation containsolve ^a number ofoking statements nt of Evotec as ofooking statements ut are subject to ^a ny of which are

beyond our control, and which could cause actual results to differ materially from those contemplated in these forward looking statements We ^e pressl disclaim an forward-lookingstatements. expressly any obligation or undertaking to release publicly any updates or revisions to any such statements to reflect any change in our expectations or any change in events, conditions or circumstances on which any such statement is based.

Agenda

•Strategic background

• • Discovery alliances & De evelopment partnerships
• • Financial strategy & Out tlook

The external innovvation opportunity

Key growth factors

Building drug hun ting alliances

Solutions to accelerate innnovation

• Strong track record after >1 years drug discovery history 5 y

• 100 lead series

•

• 30 preclinical candidates s

• 20 clinical compounds

• • Comprehensive integrated approach in major therapeu areas
• • Innovative disease biology f new drug targets for
• • Three recent acquisitions to expand into metabolics, oncology and compound Göttingen gy ^p management1) os
• •More than 500 top-scientists

Our valueproposition Hi h litHigh quality drug and development l ti tsolutions to our partners

Systematic, unbias decisions in Drug sed, comprehensive investment Discovery

Why people work with us

Agenda

• •Strategic background
• • Discovery alliances & Development partnerships
• • Financial strategy & Out look

Drug discovery all liances & more

Our business model

Well balanced por rtfolio of top-class partners

Selected integrated drug d discovery alliances (1/2)

P t a r n e r s	F o c s a r e a u	U i d f E t p s e o r o e c v v	D i i t e s c r p o n
	O l i n c o o g y, p a n , i f l i t n a m m a o n	+ + +	P f b d l i- l t t t e r o r m a n c e a s e m u a r g e o n g - , l l i t e r m a a n c e
	H i d i t t n n g o n s e a s e u	+ +	L l l l l i i f d h f i h t t t t o n g e e r r m m a a a a n n c c e e o c s e o n e g u - , i H i d i t t t a g a n s u n n g o n s e a s e
	V i a r o s u	+ +	L l l i f d l i l t t o n g e r m a a n c e o c s e o n m p e u u - , t t a r g e s
	C S N	+ +	f P b d l l l i t e r o r m a n c e a s e o n g e r m a a n c e - - , , f C S d N t t o c u s e o n a r g e s
	P i a n	+ +	P f b d l l i f d e r o r m a n c e a s e a a n c e o c s e o n u - , i p a n
	V i a r o u s	+ +	P f b d l i- l t t t e r o r m a n c e a s e m u a r g e o n g - , l l i t e r m a a n c e

Upside through pe erformance based business models

Selected integrated drug d discovery alliances (2/2)

P t a r n e r s	F o c s a r e a u	U i d f E t p s e o r o e c v v	D i i t e s c r p o n
	M b l i t e a o c s , i l i i i t n s n s e n s e r u z	+ + + + +	D i b b i d b l i d t t t a e e s o e s a n m e a o c s n r o m e y y , f f R h d i € 7 t, e s e a r c u n n g m u p r o n , € 2 3 0 i l l i t t m m e s o n e s r o y a e s > ,
	B C l l h l t t e a e e c n o o g y	+ + + + +	T d d i b i b l l 1 2 t t t t p e a n a e e s a r g e n g e a c e y , R h f d i € f 5 t, m a s s e s e a r c n n g m p r o n u u , , € 2 0 i i l l l i 5 t t t m m m e e s s o o n n e e s s r o y a e s > ,
	P i a n	+ + +	V R A i 1 t t, n a g o n s P f b d l l i e r o r m a n c e a s e a a n c e - , \$ 1 0 i l l i 7 t t m m e s o n e s r o a e s > y ,
	R e s p o n s e d i i t p r e c o n	+ +	P f b d l l i f d e r o r m a n c e a s e a a n c e o c u s e o n - , d l f d i i t t e e o p m e n o r e s p o n s e p r e c n g v b i k d i l d f i i l o m a r e r s n s c o s e n a n c a s ; u

Partnering for a cl inical pipeline without risk

Portfolio of product develo opment partnerships

I d i i t n c a o n	P t a r n e r	S t t a u s	U i d p s e f E E t t o r v v o o e e c c	N i l t t e x m e s o n e
) 1 T d i b 1 t y p e a e e s		P h I I I a s e	+ + +	P h I I I d 2 0 1 2 t a s e a a
´s A l h i D i z e m e r s s e a s e		P h I I a s e	+ + + + +	P h I I b i i i i t t a s e n a o n
T i t t t t r e a m e n r e s s a n ( ) d i T R D e p r e s s o n	o p e n	P h I I a s e	+ + +	N i i i i i t t t e p a r n e r n g n a e w v
) 2 I i n s o m n a		P h I I a s e	+ +	P h I I b d 2 0 1 2 t a s e a a
P i a n		P h I a s e	+ +	P h I d t a s e a a
I f l d i t n a m m a o r s e a s e s y	A i l H l h t n m a e a ( ) d i l d n s c o s e u	/ P h I I I I a s e	+ + +	P h I I i 2 0 1 2 t t a s e s a r n
) 3 C S N P i U I, h t a n o e r s ; ,	o p e n	P l i i l r e -c n c c a	+ + +	/ P h I i t a s e p a r n e r n g

Treatment for newType 1 Diabetes wly diagnosed Metabolicy g

Example: Andromeda Bio tech/Teva Pharmaceuticals

P t a r n e r	D l S I d i i t t t e v e o p m e n a g e n c a o n		T t a r g e
	P h I I I a s e	T 1 D i b t p e a e e s y	H 6 0 s p
A l h i t t t n o v e e r a p e u c r • i 1 d b i t t t p e a e e s y p a e S h i i d d t t t n e c p e p e y − P b l l t t t r o e c s e a c e s − d i t t e s r c o n s u	d o o s e 6 6 0 d t t e
( f P i l k 1 0 % d i b i h T I 5 t t t t o e n a m a r e o a e c s a v e y p e e • - ) d i b t a e e s / A d d T i k i l t t t t t t n r o m e a e a e s m a e s m a r e p o e n a a m o r e v −
\$ h 0 0 5 t a n m P h I I I d ( D I A A I D ) d 1 2 0 1 2 t t a s e a a e p e c e x - − i D P 2 7 7 a e p

Exp gp y loiting physiol regenerate beta ce ogical mechanisms to Metabolicellsalliances

CureBeta

Assemble top-class beta cell team and top qualit b t ll l tf lity beta cell platform

• Evotec & Harvard combine best of academia with leading process

Pursue a systematic, unbiased and comprehensive search for targets

• • Identify physiological mechanisms that control beta cell mass
• • Conduct mechanism-based screens for pathways and genes controlling beta cell mass mass

Select biologically most relevant targets i ti f t t t d litirrespective of treatment modality

•Small molecules, biologicals, peptides…

Insulin, Glucagon Pancreatic polypeptide Ghrelin, Somatostatin

Regenerative medicine at Evotec

B l l t e a c e i i t r e g e n e r a o n v a l l l l s m a m o e c u e s	D i b i d b l f b b l l t t a e e s s c a u s e y o s s o e a c e s • C d d b b l l l t t t t r r e n r g s o n o p r e e n e a c e o s s u u v • A h T b l l i i l l i l b l l l l l t t t
	p p r o a c a r g e e a c e r e e g e n e r a o n v a o r a y a v a a e s m a m o e c u e s : •
C h i k i d r o n c n e y C d i ( K D ) s e a s e	C K D h h i h i i d l i d t t t t t t a s g n c e n c e m o r a a a n r e a m e n c o s s y • , f ( S ) D i l i i h l i i i h d l d i E R D t t t t t t t t t a y s s s e o n y r e a m e n o o p o n o r p a e n s w e n s a g e r e n a s e a s e • A h P d i / i t t t t t p p p p r o a c o o c e p p r o e c o n r e g e n e r a o n : y y •
M l s c e u i t r e g e n e r a o n ( ) h f i l t e g e a r a u r e	L d i f b i d i d l i l d i d t t t e a n g c a u s e o m o r y a n m o r a y w o r w e • L i i d i t t t t t m e r e a m e n o p o n s • A h R i f t t p p r o a c e g e n e r a o n o m m y o c y e s : •
N N d d i i t e u r o e g e n e r a v e d i s e a s e s	S H i d i A D P D A A L t t n n g o n s e a s e u • , , , L i i d i t t t t t m e r e a m e n o p o n s • A h S l l b d i f d i d i f i t t t p p r o a c e m c e a s e s s c r e e n n g o r s e a s e m o n g a r g e s : y •

Long time experts in CNS

CNS alliances

EVT 1001) / EVT 302

• • EVT 101 /103 are high affinity, selective antago aspartate (NMDA) receptor subtypes containing for CNS diseases onists of N-methyl-Dg the NR2B subunit,
• • EVT 302 is an orally active MAO-B inhibitor for Alzheimer's Disease (AD) the development in Next value

Other CNS alliances

• •Status: Pre-clinical
• • CHDI – Multi-year alliance to find new treatmen disease using integrated discovery offering; col twice since 2006nts for Huntington's llaboration extended
• • Others: ⁻ ONO Ph ti l Pharmaceutical– M lti ^u -t t arge , multi-year alliance
• Genentech – Multi-target, multi-year r alliance
• Merck KGaA – Neurological target, m multi-year alliance

points:

Partnering and or milestones in other programs

1) EVT 101 /103 are high affinity, selective antagonists of N activated form of the receptor (activity-dependent); the N-methyl-D-aspartate (NMDA) receptor subtypes containing the NR2B subunit; they bind preferentially to the ey modulate channel activity by inhibiting channel opening probability

Exclusive worldwi Alzheimer's Diseade agreement to fight CNS g g se (AD)

Example: MAO-B inhibito or programme

P t a r n e r	S D l t t e e o p m e n a g e v	I d i i t n c a o n	T t a r g e
	P h I I a s e	A l h i 's D i ( A D ) z e m e r s e a s e	M A O B i h i b i t n o r -

Evotec´s MAO-B inhibitor programme (EVT 302) selective and reversible inhibitor of monoamine o Favourable preclinical profiles, well tolerated and pharmacokinetic properties in clinical studies studies. The selective MAO-B inhibitor is targeted to treat potentially slow disease progression )is an orally active, oxidase-B (MAO-B). d excellentt AD symptoms and

Upfront payment of \$10 m, \$ 820 m developm milestones, tiered double-digit royalties ment and commercial

MAO-B should redand slow down pro duce oxidative stress ogression of AD

MAO-B Mechanism of acttion

Alzheimer's Disease patient vs age-matched healthy individual Alzheimer sage matched

• • MAO-B is normally present in the brain and is responsible for breakdown of certain neurotransmitters
• • Activity of MAO MAO-B is linked to production of B of reactive oxygen species, molecules that cause oxidative stress which can result in neuronal damage damage
• • Excessive MAO-B activity in Alzheimer's Disease may contribute to neurodegeneration
• • Blocking the activity of MAO-B should reduce oxidative stress and this may slow oxidative the progression of Alzheimer's Disease

Theoretical conseq progression of sym quence of slowing CNSmptoms in AD

Slower rate of decline on ccognitive tests such as ADAS-Cog 1)

• Slowing the progression g pg of symptoms would be reflected in a slowing of the rate of decline in ADAS Cogcognitive tests such as ADAS-Cog 1) •
• This would result in a A progressively increasing divergence between placebo and CMAO-B-inhibitor treated groups
• No acute symptomatic effect expected

17 1) ADAS-Cog….Alzheimer's Disease Assessment Scale – C patients. Currently the best available assessment tool. Cognitive subsection – this is the current "gold standard" for assessing symptoms in Alzheimer's Disease All current pivotal clinical trials use this scale at the primary endpoint.

A unique approach h to fight AD

Evotec – Roche Agreemen nt

• • Programme represents ^a unique approach in Alzheimer's Disease in later stage development
• • Roche are committing substantial investment in Phase IIb to achieve proof-of-concept to trigger pivotal Phase III programme tnto ra
• • Proof-of-concept could be achieved very fast wi concept potential for fast regulatory filing ith
• • Evotec has a significant interest in the huge ups potential for the programme through developme and commercial milestones and royalties
• • Roche cover all development costs going forwa development no risk for Evotecard

side "I now begin the journey ent that will lead me into the sunset of my life" (from Ronald Reagan's letter to the American people concerning his diagnosis of Alzheimer disease)

Broad franchise inn pain and inflammation

Pain & inflammation alliannces

Pain & Inflammation alliance

• • Partnership with Boehringer Ingelheim for e.g neuropathic pain g. treatment of
• • Si ifi t b f th t t i Significant number of other targets in pre-cli i nc cal t s
• • Short-to-mid-term milestone potential, single-d royalties igit product

Other Pain & Inflammation alliances

• • Status: Pre clinical Pre-clinical
• • Others:
• Genentech – Multi-target, multi-year alliance e
• Pfizer Alliance focused on VR1 antagonist
• Novartis Alliance focused on pain target

age Next value points:

• •Clinical progress
• • Nomination of clinical candidates
• • Pre-clinical milestones

World-wide licensee agreement

Example: EVT 401 in anim mal health

P t a r n e r	S D l t t e v e o p m e n a g e	I d i i t n c a o n	T t a r g e
T i l b l i l h l h t t o p e r g o a a n m a e a c o m p a n y ( d i l d ) u n s c o s e	/ P h I I I a s e	I f l d i t n a m m a o r s e a s e y	P 2 X 7

• • P2X7 receptor is an ATP-gated ion channel pri expressed on cells of the immune system and to p y p yp lay an important role in inflammatory proce marily is thought esses
• • Approx. 4 years to market
• Technology-transfer payment, milestones, si royalties ignificant
• All costs taken up by major animal health co ompany
• Phase II start in 2012

World leading mas oncology field eve ss spectrometry to open Oncology ^p yp en broaderalliances

Oncology alliances

Oncology alliance

• • Optimal use of Boehringer Ingelheim target a know-how with Evotec science and technologie and biology es
• • Biomarker development with Roche. Alliance fo healthcare in cancer research and developmen or personalized nt

Other oncology alliances (through Kinaxo)

• AstraZeneca Evotec support of oncology p –
• Daiichi Sankyo long-term partnership in c cancerresearch
• Janssen Pharmaceutical Evotec to apply and i serv ces y its technologies

Next value points:

• • Nomination of clinical candidates
• • Pre-clinical milestones
• program Leverage of technologies in new alliances

Agenda

• •Strategic background
• • Discovery alliances & De evelopment partnerships
• • Financial strategy & O utlook

Go for sustainablee Growth!

Strategy overview

INNOVATE

Strong operationa al performance and organic growth

H1 2011: Condensed consoolidated statement of operations

i € n m
	H 1 2 0 1 0	H 1 2 0 1 1	% 2 0 1 0 s v
R e v e n u e s	2 0 5	3 3 4	3 4 % +
G i r o s s m a r g n	4 5 1 %	4 3 3 %
R & D e p e n s e s x •	2 9	4 7	5 9 % +
S G & A e p e n s e s x •	7 7	7 6	2 % -
A i i t t m o r s a o n •	0 3	) 1 0 5
O ( ) h i t t e r o p n c o m e e x p e n s e n e • ,	0 0	0 7
O i i t p e r a n g n c o m e	0 3	0 9	1 6 9 % +
N i t e n c o m e	0 1	0 8	7 3 6 % +

Increased guidanc ce for 2011

Updated operational busin ness overview

I € n m	i O l d d 2 0 1 1 g a n c e u	i N d 2 0 1 1 e g a n c e w u	F Y 2 0 1 0
R e v e n u e s	) 1 0 2 7 7 -	) 2 7 7 7 9 –	3 5 5
O i I t p e r a n g n c o m e	I d 2 0 1 0 m p r o e o e r v v	I d 2 0 1 0 m p r o e o e r v v	1 7
N I t e n c o m e	I d 2 0 1 0 m p r o v e o v e r	I d 2 0 1 0 m p r o e o e r v v	3 0
U d R & D t n p a r n e r e e x p e n s e s	A 1 0 p p r o x	A 1 0 p p r o x	6
L i i d i i d d t t q a p e r o e n u y	1 ) 3 ) 5 5	) 3 A b 6 0 o v e	7 0

²⁵ 1) Original guidance of € 64 m– € 66 m revenues and € ⁶⁵ €70 – 72mm cash was changed after acquisition of Compound Focus, Revenue guidance was raised after H1 results to

2) USD 10 m upfront payment will be recognized in 2011; b but should be seen as a ONE TIME effect

3) Including cash acquisition payments to Galapagos and Kinaxo shareholders and earn-out payments in respect of Kinaxo and DeveloGen

Strong outlook for rlong term growth

Overview – Growth param meters

in € m

Global reach for g lobal projects

Ca. 600 Evotec employees s worldwide

Team committed to growth

Management & sharehold der structure

Strong news flow to come

Outlook

Key milestones for 2011

Grow discovery alliances, build joint innovation 1 j alliances

• • Build at least two signific cant new integrated DAB alliances (e.g. UCB)
• • Deliver significant and a accelerated preclinical/clinical milestones
• • Show expansion succes ssof existing alliances (e g ONO) alliances (e.g.
• • Show operational synerg gies of acquisitions

Generate •optimal pipeline progress & biotech values2

• Compl t ^e e recruit t i men ⁿ 2011 f Ph II d t f EVT 101for Phase data of
• • At least 1 strategic deal for an early asset (P2x7 and EVT 302)
• • Generate more innovatioon upsides (e.g. Harvard cooperation, …)

Manage •and path to profitability 3

• Prepare growth of reven innovationnues by more than 15% y-o-y into 2012ff
• • Build profitability, withou ut infringing innovation power
• • Keep strong strategic ca ash position

Building innovative drug discovery alliances

Your contact:

Dr Werner LanthalerChief Executive Officer

+49.(0).40.560 81-242 +49.(0).40.560 81-333 Fax werner.lanthaler@evotec.com