2. Today’s Presentation
Third Quarter Highlights
Selected Portfolio Companies
Financial Information
Summary
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3. Karolinska Development in Summary
Exclusive access to top class medical innovations
First-in-class drug candidates with multi billion dollar
sales potential
Significant clinical progress – 15 projects in clinical
phase, 11 in the active portfolio
Large portfolio of companies removes binary risk –
25 companies, 34 projects
Cash position provides funding through major
clinical data
Strong focus on business development activities
across the portfolio
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4. Highlights During and After the Third Quarter 2012
Pergamum reported top-line Phase II data from the clinical trial on the
prevention of post-surgical adhesions
The first patient was dosed with Pergamum’s drug candidate LL-37 for
treatment of hard-to-heal wounds
Aprea announced positive data from a Phase I/II clinical study with APR-246 in
patients with advanced cancers
5. The Portfolio has a Significant Market Potential
Concept Lead Lead Preclinical
Ownership* Phase I Phase II Phase III Launch
PHARMACEUTICALS development discovery optimization development
ONCOLOGY
Axelar AB 50%
Aprea AB 69%
KDev Oncology AB (AKN-028) 90%
KDev Oncology AB (GliGene) 44%
DERMATOLOGY
Pergamum AB (DPK-060, infected eczema) 62%
Pergamum AB (DPK-060, external otitis) 62%
Pergamum AB (PXL01) 62%
Pergamum AB (LL-37) 62%
WOMEN’S HEALTH
Dilafor AB 55%
Pharmanest AB 60%
Umecrine Mood AB 43%
INFECTIOUS DISEASE
Dilaforette AB 66%
Biosergen AS 60%
CARDIOVASCULAR
Athera Biotechnologies AB (Annexin A5) 65%
Athera Biotechnologies AB (PC-mAb) 65%
CNS
BioChromix Pharma AB 76%
Umecrine Cognition AB 54%
INFLAMMATION
NovaSAID AB 89%
OPHTHALMOLOGY
Clanotech AB 88%
Solid colored area = completed phase
Shaded colored area = ongoing phase
*Including indirect ownership. Ownership in Axelar and GliGene shown after
all tranches in recent investment round. Ownership in Aprea after share
swap transaction.
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6. The Portfolio has a Significant Market Potential
TECHNOLOGY Ownership* Concept development Prototype Development Product Sales
IMPLANTS
Promimic AB 28%
Oss-Q AB 16%
DIAGNOSTICS
Athera Biotechnologies AB (CVDefine®) 65%
BioChromix AB 14%
PHARMACEUTICAL FORMULATION
Inhalation Sciences Sweden AB 75%
XSpray Microparticles AB 62%
Lipidor AB 46%
MEDICAL EQUIPMENT
NeoDynamics AB (Fourier/AS) 21%
NeoDynamics AB (Therapy/PRFA) 21%
Solid colored area = completed phase
Shaded colored area = ongoing phase
*Including indirect ownership
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7. Portfolio Focus in 2012 and 2013
Axelar – AXL1717 for NSCLC Initiate Phase II
Akinion – AKN-028 for AML Initiate clinical studies
ONCOLOGY Aprea – APR-246 Complete Phase I/II
Akinion – AKN 028 Complete Phase I/II
Axelar – AXL1717 for NSCLC Complete Phase II
Pergamum – DPK-060 for external otitis Initiate Phase II
Pergamum – LL-37 for chronic wounds Initiate Phase I/II
DERMATOLOGY Pergamum – DPK-060 for skin infection Preparation for Phase IIb
Pergamum – LL-37 for chronic wounds Complete Phase I/II
Pergamum - DPK-060 for external otitis Complete Phase II
Pharmanest – SHACT for pain relief at IUD insertion Initiate Phase I
Pharmanest – SHACT for pain relief at IUD insertion Initiate Phase II
WOMEN’S HEALTH Dilafor – Tafoxiparin for protracted labor Initiate Phase IIb with partner
Pharmanest – SHACT for pain relief at IUD insertion Complete Phase II
Umecrine Mood – Severe PMS and PMDD Initiate new Phase I/II
Dilaforette – Sevuparin for malaria Initiate Phase I/II
OTHER Dilaforette – Sevuparin for malaria Complete Phase I/II
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8. Anticipated Major Clinical Data
LL-37 Phase I/II data
PXL01 Phase II data DPK-060 Phase II data Phase II data
Phase II data
in NSCLC
2012 2013 2014
Phase I/II data Phase I/II data Tafoxiparin Phase IIb data
Phase I data
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10. Normalizing p53 to Overcome Drug Resistance Ownership: 69%
Platinum refractory patients in ovarian cancer (US)
Company: Aprea AB First Line Treatment (60500 patients) 86% 14%
Active ingredient: Small molecule
Second Line Treatment (30500
58% 42%
Primary indication: Ovarian cancer patients)
Current Phase: Phase I/II Third Line Treatment (18000 patients) 25% 75%
Patients given platinum-based therapy Patients ineligible for platinum-based therapy
Status Market Overview
Aprea has identified small molecules that reactivate 63 500 patients are diagnosed with ovarian cancer
p53, a key protein involved in tumor growth and each year in 7MM, 25 % with an advanced disease at
chemotherapy resistance diagnosis
Positive Phase I/II data - recently published in Journal of Close to half of the patients in second line treatment
Clinical Oncology develop resistance to platinum-based treatment
Planning in progress of a Phase II proof of concept study Aprea's drug candidate aims to target this problem
in ovarian cancer relapsing after platinum treatment
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11. APR-246 – Positive Phase I/II Ownership: 69%
Good safety and pharmacokinetic profile
Predicted therapeutic levels reached,
well below dose limiting toxicity
No overlap in toxicity with cytotoxic
therapies – combination treatment
feasible
Signs of clinical effect
APR-246 activates the p53 response genes in cancer patients –
mechanism supported
Two patients experienced anti-tumor effects
Source: Lehmann et al., 2012, J Clin Oncol 30:3633-3639
12. DPK-060 – A Novel Anti-infective Peptide Ownership: 62%
Company: Pergamum AB
Active ingredient: Therapeutic Peptide
Primary indication: External Otitis
Current Phase: Phase II
Status Market Overview
Patient recruitment of the Phase II trial has been External otitis is a painful infection of the outer ear
finalized and ear canal
Proof-of-concept in external otitis opens for use of The disease is caused by a wide range of gram-
DPK-060 in further indications of skin and soft tissue positive and gram-negative bacteria as well as fungal
infections infections, which are all targets of DPK-060 treatment
8 million people are estimated to suffer from external
otitis each year in the US and EU alone
Source: van Balen et al, BMJ 2003
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14. Key Financial Information for the Group (SEK)
2012 2011 2011
Amounts in SEKm Jan-Sep Jan-Sep Full year
Income statement
Revenue 7.4 7.1 10.5
Profit/loss after tax -315.9 -271.3 -385.7
Earnings per share before and after dilution (SEK) -5.99 -5.88 -8.07
Balance sheet
Cash and cash equivalents 202.7 165.4 163.3
Short-term investments 213.2 526.5 457.2
Share information
Net asset value per share (SEK) 40.4 46.7 44.7
Share price, last trading day in the reporting period (SEK) 16.3 25.8 24.0
Portfolio information
Investments in portfolio companies* 207.0 237.9 297.6
Of which investments not affecting cash flow 72.8 86.5 94.9
Valuation of total portfolio holdings 1,535.6 1,563.9 1,546.9
* Portfolio companies comprise subsidiaries, joint ventures, associated companies and other long-term securities holdings
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15. Key Financial Information for the Group (USD)
2012 2011 2011
Amounts in USDm Jan-Sep Jan-Sep Full year
Income statement
Revenue 1.1 1.1 1.52
Profit/loss after tax -48.4 -41.6 -55.9
Earnings per share before and after dilution (USD) -0.92 -0.90 -1.17
Balance sheet
Cash and cash equivalents 31.1 25.3 23.7
Short-term investments 32.7 80.7 66.3
Share information
Net asset value per share (USD) 6.2 7.1 6.48
Share price, last trading day in the reporting period (USD) 2.5 4.0 3.48
Portfolio information
Investments in portfolio companies* 31.7 36.4 43.1
Of which investments not affecting cash flow 11.1 13.2 13.8
Valuation of total portfolio holdings 235.2 239.5 224.2
* Portfolio companies comprise subsidiaries, joint ventures, associated companies and other long-term securities holdings
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16. Strong Shareholder Base
Shareholder A Shares B Shares Cap % Votes %
Third Swedish National Pension Fund 4 678 500 9.6% 7.5%
Karolinska Institutet Holding AB 1 503 098 2 453 933 8.2% 28.2%
Coastal Investment Management LLC 3 470 541 7.2% 5.6%
The Foundation of Baltic and East European Studies 3 345 537 6.9% 5.4%
Jarla Investeringar AB 1 629 354 3.4% 2.6%
Länsförsäkringar Group 1 514 620 3.1% 2.4%
Swedbank Robur Funds 1 454 167 3.0% 2.3%
Foundation Asset Management AB 1 392 035 2.9% 2.2%
Skagen Funds 1 301 200 2.7% 2.1%
Stefan Persson 1 261 278 2.6% 2.0%
Insamlingsstiftelsen för främjande och utveckling av medicinsk
forskning vid Karolinska Institutet 1 150 323 2.4% 1.9%
Holberg Funds 800 330 1.6% 1.3%
Norges Bank Investment Management 750 000 1.5% 1.2%
SBSB Innovation AB 700 000 1.4% 1.1%
Ruffer Funds 450 000 0.9% 0.7%
Fourth Swedish National Pension Fund 383 959 0.8% 0.6%
Gålö Foundation 375 535 0.8% 0.6%
Nordea Funds 366 600 0.8% 0.6%
OTK Holding A/S 325 000 0.7% 0.5%
KL Ventures AB 300 000 0.6% 0.5%
Sum listed shareholders 1 503 098 28 102 912 61.0% 69.5%
Sum other shareholders 0 18 925 407 39.0% 30.5%
Sum all shareholders 1 503 098 47 028 319 100.0% 100.0%
As per September 30, 2012
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17. Karolinska Development in Summary
Exclusive access to top class medical innovations
First-in-class drug candidates with multi billion dollar
sales potential
Significant clinical progress – 15 projects in clinical
phase, 11 in the active portfolio
Large portfolio of companies removes binary risk –
25 companies, 34 projects
Cash position provides funding through major
clinical data
Strong focus on business development activities
across the portfolio
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