Panacea Biotec Ltd. — Investor Presentation 2021

Jul 28, 2021

July 28, 2021

The Manager, Listing Department The National Stock Exchange of India Ltd. Exchange Plaza, Sandra Kurla Complex, Bandra (E), Mumbai - 400 051 NSE Symbol: PANACEABIO

Sub.: Investor Presentation

BSE Limited Corporate Relationship Department, Phiroze Jeejeebhoy Towers, Dalal Street, Mumbai - 400 001 BSE Scrip Code: 531349

Dear Sir/Madam,

In compliance with SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, please find enclosed herewith the Investor Presentation uploaded on the website of the Company at the link: https://www.panaceabiotec.com/corporate-presentation.

The Company will use this presentation for meetings with analysts / institutional investors.

This is for your kind information and record please.

Thanking you,

Sincerely yours,

for Panacea Biotec Ltd.

U Vinod Goel .. / ~roup CFO and Head Legal & Company Secretary

Encls: As above

91 Extn. IG3, Mohan Co-op Indl. Estate, Mathura Road, New Delhi -110044 Email: vinodgoel@panaceabiotec.com Phone: 0.1.0. +91·11-41679015 Fax: +91-11-4167 9070

Panacea Biotec Ltd.

CIN: L33117PB1984PLC022350 Registered Office: Ambala-Chandigarh Highway, Lalru - 140 501, Punjab, India. Ph.: +91-1762-505900, Fax: +91-1762-505906. e-mail: corporate@panaceabiotec.com website: www.panaceabiotec.com

We Collaborate

We Believe in Better Health Live Well Live Longer

We are Pioneers

BUILDING ON THE GROWTH MOMENTUM

I N V E S T O R P R E S E N T A T I O N

Innovate To create value

We

This presentation contains selected information about the activities of Panacea Biotec Limited (the "Company") as at the date of the presentation. This presentation has been prepared by the Company) for general information purposes only, without regard to any specific objectives, suitability, financial situations and needs of any particular person and does not constitute any recommendation or form part of any offer or invitation, directly or indirectly, in any manner, or inducement to sell or issue, or any solicitation of any offer to purchase or subscribe for, any securities of the Company, nor shall it or any part of it or the fact of its distribution form the basis of, or be relied on in connection with, any contract or commitment therefor.

This presentation does not solicit any action based on the material contained herein. Nothing in this presentation is intended by the Company to be construed as legal, accounting or tax advice. This presentation has not been approved and will not or may not be reviewed or approved by any statutory or regulatory authority in India or by any stock exchange in India. This presentation does not purport to be a complete description of the markets conditions or developments referred to in the material. This presentation contains certain forward-looking statements relating to the business, financial performance, strategy and results of the Company and/or the industry in which it operates. Forward-looking statements are statements concerning future circumstances and results, and any other statements that are not historical facts. The forward-looking statements, including those cited from third party sources, contained in this presentation are based on numerous assumptions and are uncertain and subject to risks. A multitude of factors including, but not limited to, macroeconomic conditions in India and globally, general market conditions, regulatory trends, competitive pressures and technological developments can cause actual events, performance or results to differ significantly from any anticipated development. This presentation also contains certain information relating to the quality of the Company's assets that are broad management estimates based on subjective criteria. These estimates are based on management's past experience and subjective judgment regarding the quality of the Company's assets, and the manner in which such estimates are determined may vary from that used for the preparation and presentation of similar information provided by other companies engaged in business of construction and development in India.

Neither the Company nor its affiliates or advisors or representatives nor any of their respective affiliates or any such person's officers or employees guarantees that the assumptions underlying such forwardlooking statements or management estimates are free from errors nor does either accept any responsibility for the future accuracy of the forward-looking statements contained in this presentation or the actual occurrence of the forecasted developments. Forward-looking statements speak only as of the date of this presentation and are not guarantees of future performance. As a result, the Company expressly disclaims any obligation or undertaking to release any update or revisions to any forward-looking statements in this presentation as a result of any change in expectations or any change in events, conditions, assumptions or circumstances on which these forward looking statements are based. Given these uncertainties and other factors, viewers of this presentation are cautioned not to place undue reliance on these forward-looking statements and management estimates. None of the Company, its directors, promoters nor any of its or their respective employees, advisers, affiliates or representatives or any other person accepts any responsibility or liability whatsoever, whether arising in tort, contract or otherwise, for any errors, omissions or inaccuracies in such information or opinions or for any loss, cost or damage suffered or incurred howsoever arising, directly or indirectly, from any use of this presentation or its contents or otherwise in connection with this presentation, and makes no representation or warranty, express or implied, for the contents of this presentation including its accuracy, fairness, completeness or verification or for any other statement made or purported to be made by any of them, or on behalf of them, and nothing in this presentation or at this presentation shall be relied upon as a promise or representation in this respect, whether as to the past or the future. Past performance is not a guide for future performance. The information contained in this presentation is current, and if not stated otherwise, made as of the date of this presentation.

This presentation is strictly confidential and may not be copied or disseminated, reproduced, re-circulated, re-distributed, published or advertised in any media, website or otherwise, in whole or in part, and in any manner or for any purpose, without the Company's written consent. No person is authorized to give any information or to make any representation not contained in or inconsistent with this presentation and if given or made, such information or representation must not be relied upon as having been authorized by any person. Failure to comply with this restriction may constitute a violation of the applicable securities laws. By reviewing this presentation, you agree to be bound by the foregoing limitations. The Company undertakes no obligation to update or revise any information in this presentation as a result of new information, future events or otherwise. Any person / party intending to provide finance / invest in the shares / businesses of the Company shall do so after seeking their own professional advice and after carrying out their own due diligence procedure to ensure that they are making an informed decision. This presentation is not a prospectus, a statement in lieu of a prospectus, an offering circular, an advertisement or an offer document under the Companies Act, 2013, as amended, or the rules made thereunder, the Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) Regulations, 2018, as amended, or any other applicable law in India. This presentation is being communicated to selected persons who have professional experience in matters relating to investments for information purposes only and does not constitute a recommendation regarding any securities of the Company. Other persons should not rely or act upon this presentation or any of its contents.

Business Overview & Highlights

• OVERVIEW AND GROUP STRUCTURE
• KEY MILESTONES
• PANACEA BIOTEC AT A GLANCE

Company Overview

# Includes assets held for sale. $ Gap in Total Assets & Total Liabilities excluding Equity is on account of assets and liabilities pertaining to Real estate business, which is classified discontinued operations. Figures have been rounded off to ₹ Mn

Our Journey

HUMBLE BEGINNINGS

Founder, Promoter, Director of Panacea Biotec and has been the Chairman since October 1984, having 50+ years of experience in the pharmaceutical industry

SOSHIL KUMAR JAIN CHAIRMAN

• 1984 : Founded by Mr. Soshil Kumar Jain
• 1988 : Established production facilities for vaccines
• 1989 : Established production facilities for pharmaceutical formulations
• 1995 : IPO of INR 180 mn
• 2003 : WHO pre-qualification for tetravalent vaccine (DTwP-HepB) and Oral Polio Vaccine
• 2005 : Launch of world's first wP based fully liquid Pentavalent vaccine (DTwP-HepB-Hib) Easyfive

SAILING THROUGH EBB & FLOW

2006 2015

2006 : Commissioned cGMP compliant pharmaceutical formulation facility at Baddi

FCCB issue of US$ 100 mn

2008 : WHO pre-qualification for Pentavalent Vaccine Easyfive

Commenced commercial production at Vaccine Formulation facility at Baddi

2010 : USFDA approval for Pharmaceutical Formulations facility at Baddi

Received supply award of US$ 222 mn from UNICEF for Easyfive vaccine for CY2010-2012

• 2011 : Delisting of pentavalent vaccine by WHO
• 2013 : Regained WHO pre-qualification for Pentavalent Vaccine
• 2014 : Strategic alliance with Apotex for development, license and supply of 2 complex generic drugs in USA, Canada, Australia and New Zealand

PRISM OF POSSIBILITIES

2016 Onwards

• 2017 : Launch of world's first wP based fully liquid Hexavalent vaccine (DTwP-HepB-Hib-IPV) – EasySixTM
• 2018 : Agreement with Natco Pharma and Breckenridge Pharmaceutical Inc. for Azacitidine injection for US markets

Granted Authorized Generic status for ANDA of Paclitaxel protein bound particles

• 2019 : Fund raise of INR 7,750 mn from IndiaRF
• 2021 : Collaboration with Russian Direct Investment Fund (RDIF) to manufacture 100 mn doses of Covid-19 vaccine Sputnik V

Continuous focus on R&D spends, good manufacturing practices and cost rationalization initiatives throughout the journey

Business Segments

• VACCINE BUSINESS
• PHARMACEUTICAL FORMULATION BUSINESS

Vaccines - Leading player in key pediatric vaccines

• Panacea Biotec is one of the largest vaccine manufacturing Company in India
• We believe that we have played a pivotal role in eradication of polio by supplying billions of doses of WHO pre-qualified oral polio vaccine over last two decades
• Robust vaccine portfolio with high market potential built upon a strong R&D foundation

Larget Vaccine Company in India1

Note: Other Operating Income accounted for 2.0% of FY21 Net Revenue; * As on 31st March 2021 ^ PAHO - Pan American Health Organization 1. As of March 31, 2021 in represented markets. Sathguru business report

Pharmaceutical Formulations - Strong domestic franchise with export focus

Domestic market (including Nepal)

• Strong focus on niche and high growth segments Organ Transplantation, Oncology and Diabetes management Operates through 4 SBUs - Transplant & Immunology, Oncotrust, Diacar Alpha and Procare
• 70 brands; with 11 brands among Top 3 in represented market
• Specialist sales force of 730+ personnel* and over 2,200+ distributors*

Larget Pharma Company in India1

• 4 products already commercialized including Tacrolimus; Rizatriptan Prasugrel & Azacitidine

• USA to be one of the key focus market, with opportunistic expansion in Europe, Australia and Canada

• Strong sales growth of 67.0% and 50.0% in FY20 & FY21 respectively

• Front end partnerships with leading global generic pharma companies Apotex Inc.; Bionpharma Inc. & Breckenridge Pharmaceutical Inc.

• Rest of the World (RoW) Markets 20%

• Strong global footprint with exports to 30+ countries*

• Key Products Mycept, PanGraf, Alphadol, Toff Plus, Glizid-M, Nimulid, PacliAll

• Partnerships with leading local distributors in respective countries

FY21 Revenue – ₹816 mn

Note: Other Operating Income accounted for 1.0% of FY21 Net Revenue *As on March 31, 2021 1. As of March 31, 2021 in represented markets. Sathguru business report

FY21 Revenue – ₹822 mn

Key Investment Highlights

• PIONEER IN VACCINE BUSINESS
• LEADING DOMESTIC FORMULATIONS PLAYER
• STATE-OF-THE-ART MANUFACTURING FACILITIES
• ESTABLISHED R&D CAPABILITIES
• LEVERAGING GROWTH ALLIANCES
• VISIONARY PROMOTER GROUP

Key Strengths

Established vaccine business with strong legacy

Established vaccine development capability with three firsts to its credit

EasySix DTwP-Hib-HepB-IPV

Fully Liquid Hexavalent Vaccine

First to launch fully liquid wP based hexavalent vaccine in the world

Currently market leader in domestic private market (for wP based combination vaccines)

Patented in India & several other countries

WHO Prequalification to be initiated

Easyfive-TT DTwP-Hib-HepB

Fully Liquid Pentavalent Vaccine

First to develop and launch fully liquid wP based pentavalent vaccine in world

Supplied to recognized bodies such as to Government of India, UNICEF and PAHO

WHO Prequalified

T-OPV, bOPV, mOPV1, mOPV3

Oral Polio Vaccines

Has been one of the largest suppliers of OPV to institutional markets

We believe that we have played a pivotal role in eradication of polio by supplying billions of doses of WHO prequalified oral polio vaccine over last two decades

bOPV is WHO Prequalified

DTwP-Hib-HepB-IPV - Diphtheria, Tetanus, Pertussis, Hepatitis B, and Haemophilus Influenzae Type B and Inactivated Polio Vaccine

Leading domestic formulations player - Strong brands in niche segments

Source #: AIOCD AWACS Sales Data, MAT March 2021

State-of-the-art manufacturing facilities with large capacities

State-of-the-art manufacturing facilities with large capacities

Oncology Formulation Facility, Baddi, Himachal Pradesh Pharmaceutical Formulation Facility, Baddi, Himachal Pradesh

Established R&D capabilities & brands and extensive distribution network

and Philippines among others

R&D strengths Strong brand equity in domestic market with Pan India presence and growing exports presence 80+ Team of R&D Professionals 60+ Scientists 34 Active Patents globally Pharma – 15 Vaccine – 19 21 Patent Applications under process 3 ANDAs approved by USFDA 6 ANDAs submitted and awaiting approval from USFDA 45 Products under development 12 brands ranked among top 3 in represented markets Pharma – 11; Vaccine – 1 2,750+ Pan India Distributors Pharma – 2,200+ Vaccine – 550+ 11 brands with INR 50 mn of sales in domestic markets Pharma – 10; Vaccine – 1 870+ Pan India Field Force Pharma – 730+ 74 Brands 70 - Pharma 4 - Vaccines 30+ export countries USA, Germany, Russia, Turkey Top 50 Innovators in India1

Vaccine – 148

All information as on March 31, 2021. 1. Clarivate Analytics (Thomson Reuters)

Pharma – 40 ; Vaccine - 5

Pharma - 3 ; Vaccine - 18

Collaborative approach to increase access to Innovative, Affordable and Quality vaccines for global population

Russian Direct Investment
Fund (RDIF)

Agreement signed with RDIF to manufacture 100 mn doses per year of SPUTNIK V vaccine, the world's first registered vaccine against Corona virus

In licensed technology from Intravacc Netherlands for production of sIPV vaccine and related quality control testing for commercialization in India and other international markets

National Institutes of Health (NIH) Intravacc National Institutes of Health (NIH)

In-licensed the candidate tetravalent Dengue vaccine for development and commercialization in Asian and African countries

Leveraging Alliances for Growth – Pharmaceutical Formulations

Expanding presence in regulated markets through strategic collaborations

Promoter Group with Cumulative Experience of 80+ years

DR. RAJESH JAIN MANAGING DIRECTOR

• Directly oversees innovation and business development at Panacea Biotec
• PGDM and Ph.D. in Business Administration
• Appointed as Director in Nov. 1984 and has 36+ yrs. experience in the sector
• Chairman CII National Committee on Biotechnology for 2020-21 and Vice President – IPA for 2017-19 and 2019-2021

SANDEEP JAIN JOINT MANAGING DIRECTOR

• Responsible for Panacea Biotec's international marketing, business development, tax laws and regulatory matters
• Appointed as Director in Nov. 1984 and has 36+ yrs. Experience in the sector

ANKESH JAIN DIRECTOR – SALES & MARKETING

• Oversees the Sales and Marketing, Clinical Data Management, Drug Regulatory, Quality Assurance and Project Management in Pharmaceutical Development.
• Holds degree of BSc in Pharmaceutical Management from University of Bradford, U.K with 8+ years of experience in the pharmaceutical industry.

HARSHET JAIN HEAD BUSINESS DEVELOPMENT (BIOLOGICALS)

• Leading the Business Development and program management for Biological business

• Holds MBA Strategy and Marketing, IE Business School Spain & BSc.(Business), Miami University

• 4+ years sales and marketing experience in pharmaceutical and vaccines.

• Strong mix of administrative and clinical work experience

• Well respected in the industry with strong customer relationships

• Deep rooted understanding of the Vaccines & Pharmaceutical Formulations industry

• Backed by a professional management with a perfect blend of experience and expertise

Growth Strategies

• VACCINE GROWTH STRATEGIES
• PHARMA GROWTH STRATEGY

Growth Strategies - Vaccines

Capitalize on
Covid-19 Vaccine
Opportunity

• Collaboration with RDIF for producing 100 mn doses.
• Technology transfer successfully completed
• Registration & Validation batches in progress
• Manufacturing permission received from DCGI
• Dengue Vaccine & Pneumococcal Conjugate Vaccine offers huge market potential with limited players

Commercialization of Specialized Vaccines

• Unmet Need Dengue Vaccine Technology in-licensed from National Institutes of Health, USA. Phase I/II studies completed in India. Aim to initiate Phase III studies, subject to receipt of permission from DCGI.
• Unmet Demand Pneumococcal Conjugate Vaccine (PCV) Phase I studies for 11-valent vaccine completed. Aim to initiate Phase III studies, subject to receipt of permission from DCGI.

Leveraging upon wP based Hexavalent Vaccine

• Scaling up EasySix vaccine sales in India with target of catching up 1 million newborn babies/ year
• Adoption of Hexavalent vaccine in the national immunization program of developing countries including India and UNICEF/ PAHO program. UNICEF is expected to start procurement of hexavalent vaccine from 2023 onwards for Middle Income Countries (MICs) and from 2024 onwards for GAVI supported countries.
• Registration in several developing countries initiated as part of international market penetration

Consolidated Financial Highlights

• FINANCIAL HIGHLIGHTS

₹6,248 MN CONSOLIDATED REVENUES 15%

Net Revenue in FY21 was ₹ 6,248 Mn, up 15% YoY FY21 Vaccine Revenue at ₹2,278 Mn; up 62% YoY FY21 Pharma Revenue at ₹3,970 Mn; down 2% YoY

CONSOLIDATED EBITDA *

₹803 MN

4%

• EBITDA grew 4% to ₹803 Mn in FY21 as against ₹ 772 Mn in FY20
• Pharma business earned EBITDA of ₹690 Mn in FY21 against ₹909 Mn in FY20. Decline was on account of lower sales due to pandemic
• Vaccine business earned EBITDA of ₹113 Mn in FY21 against loss of ₹ (137) Mn in FY20

CONSOLIDATED PAT

₹(1,477) MN 24%

Loss reduced by 24% to ₹(1,477) Mn in FY21 against loss of ₹ (1,943) Mn in FY20

TOTAL REVENUE

VACCINE REVENUE

PHARMACEUTICAL REVENUE

* EBITDA = Profit before exceptional items and tax- Other income+ Interest expense+ Depreciation & Amortisation+ loss on sales of property, plant and equipment(net)+ Property, plant and equipment and intangible assets under development written off/provided + provision for impairments + provision for non-recurring claims+ One time settlement loss on settlement of Foreign currency loans

Financial Highlights – Consolidated Profit & Loss Statement

KEY PERFORMANCE METRICS (₹Mn)	VACCINE			PHARMACEUTICAL			CONSOLIDATED
	FY19	FY20	FY21	FY19	FY20	FY21	FY19	FY20	FY21
Revenue from operations	962	1,404	2,278	3,605	4,037	3,970	4,567	5,441	6,248
EBITDA#	(984)	(137)	113	425	909	690	(559)	772	803
EBITDA Margin (%)	-102.3%	-15.1%	4.9%	11.6%	22.5%	17.4%	12.4%	14.2%	12.8%
Profit / (Loss) Before Tax (PBT) and exceptionalitemsfrom continuing operations							(2,855)	(1,562)	(1,443)
Profit / (Loss) Before Tax (PBT) after exceptionalitems from continuing operations							486	(1,712)	(1,442)
Profit / (Loss) After Tax (PAT) from continuingoperations							409	(1,879)	(1,462)
PAT / (Loss) from discontinued operations							(32)	(64)	(15)
PAT/ (Loss) for the year							377	(1,943)	(1,477)

EBITDA = Profit before exceptional items and tax- Other income+ Interest expense+ Depreciation & Amortisation+ loss on sales of property, plant and equipment(net)+ Property, plant and equipment and intangible assets under development written off/provided + provision for impairments + provision for non-recurring claims+ One time settlement loss on settlement of Foreign currency loans

Financial Highlights – Summary of Consolidated Balance Sheet

	CONSOLIDATED
KEY PERFORMANCE METRICS (₹Mn)	FY19	FY20	FY21
Assets
Net Fixed Assets1	8,281	6,814	6,431
Other Non-current Assets2	396	256	247
Total non-current assets	8,677	7,070	6,678
Total Current assets3	2,414	3,595	4,742
Assets classified as held for sale and discontinued operations	2,664	3,238	367
Total Assets	13,755	13,903	11,788
Equity & Liabilities
Equity attributable to owners of Holding Company	3,503	1,987	(2,287)
Non-Controlling Interest	(30)	(30)	(30)
Total Equity	3,473	1,957	(2,317)
Non-Current Liabilities4	899	7,394	9,848
Total Current Liabilities5	9,078	4,168	4,257
Liabilities directly associated with discontinued operations	305	384	-
Total Liabilities excluding Equity	10,282	11,946	14,105
Total Equity & Liabilities	13,755	13,903	11,788

1: Net fixed assets include property, plant and equipment, capital work in progress, other intangible assets, Intangible assets under development

2: Other Non-current assets include Investments, Financial assets, deferred tax (net), income tax assets (net) and other non-current assets

3. Total current assets include inventories, financial assets including trade receivables, cash and cash equivalent, other financial assets and other current assets

4. Non-current liabilities include Financial liabilities including borrowing, provisions and other non-current liabilities

5. Total non-current liabilities include Financial liabilities including borrowing and trade payables, other current liabilities, provisions and current tax liabilities (net)

Segmental Break up (₹Mn)	FY19	FY20	FY21
Total Assets
Vaccine	4,721	7,078	7,164
Pharmaceuticals	4,307	3,587	4,257
Real Estate (Discontinued Operations)	2,664	2,930	-
Assets held for Sale	-	308	367
Unallocated Corporate Assets	2,063	-	-
Total Assets	13,755	13,903	11,788
Liabilities excluding Equity
Vaccine	779	1,489	2,117
Pharmaceuticals	2,295	10,073	11,988
Real Estate (Discontinued Operations)	305	384	-
Unallocated Corporate Liabilities	6,903	-	-
Total Liabilities excluding Equity	10,282	11,946	14,105

THANK YOU C O N T A C T U S

Panacea Biotec Limited

B-1 Ext./G-3, Mohan Co-operative Industrial Estate, Mathura Road, New Delhi - 110044 www.panaceabiotec.com Tel: +91 – 11 – 4157 8011 Mob: +91 - 98109 04102 Email: devendergupta@panaceabiotec.com

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