SPT — Investor Presentation 2015

Jan 8, 2015

TWSE 1789

ScinoPharm Management Presentation 2015 JP Morgan Healthcare Conference

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Disclaimer

This material has been prepared by ScinoPharm Taiwan, Ltd. (“ScinoPharm”).

Any opinions expressed in this material are subject to change without notice as a result of using different assumptions. ScinoPharm is under no obligation to update or keep current the information contained herein. The information contained in this presentation is ScinoPharm’s confidential information.

Any disclosure, copying, distribution or any action taken or omitted to be taken in reliance on it is prohibited and may be unlawful.

No representation or warranty , express or implied, is or will be made in or in relation to, and no responsibility or liability is or will be accepted by the Company as to , the accuracy or completeness of this material and any liability therefore is hereby expressly disclaimed.

Statements made in this material include forward-looking statements, which include, without limitation, statements about the issues, plans and expectations of ScinoPharm. Without limiting the foregoing, statements including the words “believes”, “anticipates”, “plans”, “expects” and similar expressions are also forward-looking statements. Forward-looking statements reflect, among other things, management’s plans and objectives for future operations, current views with respect to future events and future economic performances and projections of various financial items. These forward-looking statements involve known and unknown risks , uncertainties and other factors which may cause actual results to differ materially from those implied by such forward-looking statements.

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Confidential

Table of Content

• Overview of ScinoPharm

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• ScinoPharm’s Strategies and Opportunities

� Operating Results & Outlook

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Overview of ScinoPharm - an API + ANDA Company

Active Pharmaceutical Ingredients Abbreviated New D A rug pplication

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Background

• Established in 1997 in Taiwan and listed on TWSE in 2011, current market cap around US$1.3 billion

• Major shareholders include Uni-President Group, National Development Fund, Taiwan Sugar, etc.

• Facility & organization built in Taiwan by experienced Syntex team, received multiple regulatory inspections from US FDA, Australia, EU, Japan, etc.

• Specializes in high potency (steroid/cytotoxic) APIs and expands to injectable formulations

• Expanding in China with a new GMP plant in Changshu & marketing base in Shanghai

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World Class API Facilities

Taiwan

• 6.6 hectares of land, 330K sqft facilities with >200M[3] reactor volume

• 8 of 18 production lines equipped with high potency capabilities for cytotoxics/steroids

• US FDA approved & 250+ CGMP audits by customers

• Provides comprehensive contract research & manufacturing services for brand drug companies

• Global Market

China

• 6.6 hectares of land with ~250M[3 ] reactor volume

• 2 of 8 production lines equipped with high potency capabilities for cytotoxics

• cGMP designed facility for intermediates & high potency API

• Full scope capabilities in developing and manufacturing APIs from small to large scale for generic & CRAM markets

• Global market including China

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Confidential

Innovative Injectable Plant

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Confidential

Business Overview

� Risk & return balanced model to offer APIs and fill/finish capability for both generic and new drugs

• 70 generic APIs developed with 27 APIs launched; 50 US DMFs filed (694 DMFs WW), 24 US DMFs in oncological APIs

� 80+ NCE CRAM projects, with 5 launched and 7 in phase III for NDA filing in 2-3 years; The Qualified Asian supplier to provide APIs to global market for multiple commercial NCEs

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Confidential
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Sales Distribution

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By Indication
By Business
Others
CMO
15%
CRO 20% Other CNS
3% <1% By Region 22%
Oncology
Rest of AU & NZ ROW 63%
Asia 2% <1%
Generic 11%
India
77%
15%
US &
CAN
EU 53%
Date: up to Q1-Q3 2014 19%
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Confidential

Strong Generics Product Portfolio

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Diversified CRAM Portfolio

Confidential

Confidential Diversified CRAM Portfolio	Confidential Diversified CRAM Portfolio	Confidential Diversified CRAM Portfolio	Confidential Diversified CRAM Portfolio	Confidential Diversified CRAM Portfolio	Confidential Diversified CRAM Portfolio
Stage First Launch Year Indication Location Commercial 2005 Eluting Stent US Commercial 2009/2013 Skin Infection/HAP US/EU
	Stage	First Launch Year	Indication	Location
	Commercial	2005	Eluting Stent	US
	Commercial	2009/2013	Skin Infection/HAP	US/EU
	Commercial	2011	Depression	US
	Commercial	2012	Obesity	US
	Commercial	2013	Seizure	US
	Stage	Est. NDA Filing Year	Indication	Location
	Phase III	2014	Infections	US
	Phase III	2016	Prostate & Ovarian Cancer	EU
11 11 Phase III 2016 Prostate Cancer US Phase III 2016-2017 Ovarian Cancer CN Phase III 2017 Seizure US Phase III 2017 Parkinson’s Disease US Phase III 2017 Opioid-Induced Constipation US 11	Phase III	2016	Prostate Cancer	US
	Phase III	2016-2017	Ovarian Cancer	CN
	Phase III	2017	Seizure	US
	Phase III	2017	Parkinson’s Disease	US
	Phase III	2017	Opioid-Induced Constipation	US

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ScinoPharm’s

Strategies and Opportunities

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Confidential

Long Term Strategies

Transforming to a full-scope pharma company per our core competency of R&D and cGMP manufacturing in high-technical barrier APIs

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• Vertical Integration to Generic Formulations Developing dossiers per our difficult-to-make APIs to increase value proposition in the supply chain

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• Innovative Delivery Formulations Targeted delivery & extended release of proven APIs via 505(b)2 fast track

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• Brand New Chemical Entities (New Drugs) Collaborating with academic research institutes, focusing on un-met oncological medical needs of high prevalence in Asia

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Keys to Generic Formulation Business

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• Expanding formulation portfolio

• Injectable: 11 drugs planned

• Oral: 10 drugs planned

• Ophthalmic: 3 drugs planned

• To be launched in 2017 through 2024

• Building on-site oncological injectable facility and establishing a complete supply chain

• Sustaining B2B model, promoting our formulations via strategic alliance, especially in China and US

• Acquiring critical resources via M&A

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Confidential

ScinoPharm - Oncological API Leader

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Confidential

Golden Opportunities in China

• Government’s 12[th] five-year plan encourages pharma industry to grow at a CAGR of 20%

• Tighten GMP requirements to align with US/EU

• Motivate drug makers to improve quality by applying for US ANDAs, which need SPT’s world class APIs

• MNCs and emerging virtual-model players create huge needs in API contract manufacturing in China for compliance

• ScinoPharm timely captures oncological API needs via importing from Taiwan and local made in Changshu sites

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Strategic Alliances

Partner Product Indications Region Launch Year(E) Remarks Genovate Entecavir Hepatitis B Viral Taiwan 2013 1st co-developed formulation product launch t*	Partner Product Indications Region Launch Year(E) Remarks Genovate Entecavir Hepatitis B Viral Taiwan 2013 1st co-developed formulation product launch t*	Partner Product Indications Region Launch Year(E) Remarks Genovate Entecavir Hepatitis B Viral Taiwan 2013 1st co-developed formulation product launch t*	Partner Product Indications Region Launch Year(E) Remarks Genovate Entecavir Hepatitis B Viral Taiwan 2013 1st co-developed formulation product launch t*	Partner Product Indications Region Launch Year(E) Remarks Genovate Entecavir Hepatitis B Viral Taiwan 2013 1st co-developed formulation product launch t*	Partner Product Indications Region Launch Year(E) Remarks Genovate Entecavir Hepatitis B Viral Taiwan 2013 1st co-developed formulation product launch t*	Partner Product Indications Region Launch Year(E) Remarks Genovate Entecavir Hepatitis B Viral Taiwan 2013 1st co-developed formulation product launch t*	Partner Product Indications Region Launch Year(E) Remarks Genovate Entecavir Hepatitis B Viral Taiwan 2013 1st co-developed formulation product launch t*
	Partner	Product	Indications	Region	Launch Year(E)	Remarks
	Genovate	Entecavir	Hepatitis B Viral	Taiwan	2013*	1st co-developed formulation product launch
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	Sagent	Oncological Injectable	Myeloid Leukemia	US	2017	1s US ANDA filing to trigger US FDA inspection in Changshu site
	Foresee	Leuprolide	Prostate cancer	US	2018	505(b)2 NDA CRAM + Equity
	Coland	Bortezomib	Multiple Myeloma	China	2018	1st co-developed drug in China to trigger CFDA inspection in Changshu
		Azacitidine	MDS	China	2019	Co-developed formulation
		Fondaparinux	Anti-thrombotic	China	2019	1st dru in China
Lee’s Pharma g Travoprost Bimatoprost Glaucoma China 2020 Co-developed formulation Nanjing King Friend Regadenoson Stress agent for heart scan China 2020 1st type 3.1 co-developed new drug in China	Lee’s Pharma					g
		Travoprost Bimatoprost	Glaucoma	China	2020	Co-developed formulation
	Nanjing King Friend	Regadenoson	Stress agent for heart scan	China	2020	1st type 3.1 co-developed new drug in China

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Operating Results & Outlook

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Historical Performance

*** In NT$ million**

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5,085
5,500
4,572
4,500 3,887 3,953
3,791
3,145
3,500
2,494
2,500
1,463
1,010
1,500
572
1,170 1,273
1,040 961
872 1,041
500 613
143
(392) (479)
-500
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
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Recent Financial

*** In NT$ million**

Year 2011 2012 2013 Total assets 9,480 10,339 11,484 hhld’ i**	Year 2011 2012 2013 Total assets 9,480 10,339 11,484 hhld’ i**	Year 2011 2012 2013 Total assets 9,480 10,339 11,484 hhld’ i**	Year 2011 2012 2013 Total assets 9,480 10,339 11,484 hhld’ i**	Year 2011 2012 2013 Total assets 9,480 10,339 11,484 hhld’ i**	Year 2011 2012 2013 Total assets 9,480 10,339 11,484 hhld’ i**
	Year	2011	2012	2013
	Total assets*	9,480	10,339	11,484
	hhld’ i*
	Sareoers equty	8,609	9,070	9,643
	Sales*	3,953	4,572	5,085
	Net profit after tax*	961	1,170	1,273
	Earnings per share (NT$)	1.56	1.80	1.88
	Cash dividends (NT$/share)	1.0	1.2	1.2
Stock dividends (NT$/share) 0.3 0.4 0.4 Pay-out ratio 83% 89% 85%	Stock dividends (NT$/share)	0.3	0.4	0.4
	Pay-out ratio	83%	89%	85%

Note 1: All of the above figures represent consolidated information. Note 2: Data for 2011 and 2012 reported per the standards set by the Financial Accounting Standards Committee (FASC) in Taiwan; data for 2013 reported per international accounting standards.

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2014 Product Launches

2014 Product Launches	2014 Product Launches	2014 Product Launches	2014 Product Launches	2014 Product Launches	2014 Product Launches	2014 Product Launches	2014 Product Launches
API Region Indications Brand Marketer Regional Sales WW Sales Azacitidine US MDS Oncology Celgene US$358MM US$818MM Dantrolene Malinant JHP**
	API	Region	Indications	Brand Marketer	Regional Sales	WW Sales
	Azacitidine	US	MDS Oncology	Celgene	US$358MM*	US$818MM*
	Dantrolene		Malinant	JHP
	(injectable)	US	g hyperthermia	Pharmaceuticals	US$20MM*	US$46MM*
	Decitabine	US	MDS, AML Oncology	Eisai	US$250MM*	US$289MM*
	Docetaxel trihydrate	JP	Oncology	Sanofi Aventis	US$180MM (Taxotere)**	US$1,422MM*
	Entecavir	TW	Hepatitis B virus	BMS	US$67MM***	US$1,413MM*
	Exemestane	US	Breast cancer	Pfizer	US$995MM*	US$3001MM*
. . Riluzole (liquid) EU Amyotrophic lateral sclerosis Sanofi Aventis US$66MM US$187MM Zoledronic acid JP Osteoporosis Novartis US$120MM* US$1,361MM***					.	.
	Riluzole (liquid)	EU	Amyotrophic lateral sclerosis	Sanofi Aventis	US$66MM*	US$187MM*
	Zoledronic acid	JP	Osteoporosis	Novartis	US$120MM***	US$1,361MM*

Source: * IMS Data (Year 2013) ** Datamonitor In-house research*

Launched

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Pipeline Outlook

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� 4-5 new launches � 8-10 new launches � 6-8 new launches
� US FDA inspection on SPC � 1 [st] co-developed drug � 1 [st] type 3.1 co-developed
product launched in China new drug launched in
� US FDA inspection on INJ China
2015 2016 2017 2018 2019 2020
� 5-6 new launches � 5-6 new launches � 7-9 new launches
� 1 [st] ANDA product � 1 [st ] drug product
launched in US launched in China
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Confidential

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Brand Quality with Asian Advantages

www.scinopharm.com

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