Corporate Presentation September 2015

Enhancing Life Through Nature
Corporate Presentation
TSX: CZO
April 2016
www.ceapro.com
Forward Looking Statements
This presentation contains forward-looking statements. Various
factors could cause actual results to differ materially from those
projected in forward-looking statements, including those
predicting the timing of product development and launches.
Although the company believes that the forward-looking
statements contained herein are reasonable, it can give no
assurance that the Company’s expectations are correct.
All forward-looking statements are expressly qualified by this
Cautionary Statement.
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Corporate Overview
Focused on the development and commercialization of active ingredients for
healthcare and cosmetic industries
- Unrivaled, proprietary plant extraction based manufacturing process
Two active ingredients currently used in multiple household name products –
cosmetics & personal care
- Beta Glucan
- Avenanthramides
Revenue generating, de-risked business model supports near-term and future growth
- Highest revenues, profits and cash flows reported in Company’s history for FY 2015
Unique Pressurized Gas Expanded (PGX) enabling technology with the potential to
address broad range of industries
Robust growth strategy with near-term potential to expand into nutraceutical, OTC
and pharma markets
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Core Expertise
Identification, extraction and
purification of active compounds from
natural sources
Create innovative ingredients for the
personal and healthcare industries
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From Field to Formulation
Field
Identify
Unique
Plants
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Research
Discover
Novel
Functional
Actives
Manufacturing
Develop
Consumer
Provide
Innovative
Innovative
Processes
Products
Unique Bioprocessing Expertise
Ability to isolate and purify specific molecules from a wide range of
botanical sources
Prototype extracts are then prepared for bio-screening or in vivo
testing
Unique drying (heat-free) technology for sensitive compounds
Commercialized unique bio-actives from several botanical sources
Ability to take concept to commercialization in a relatively short
period of time
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New & Innovative Technologies
Pressurized Gas Expanded (PGX) Technology
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Proprietary Plant Extraction Based Manufacturing
Lead Active Ingredients
Beta Glucan
Avenanthramides
Lupinus angustifolia
and
Avena sativa
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Beta Glucan and Avenanthramides
in Multiple Household Name Products
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Aveeno
Coppertone
Jergens
Dove
Lubriderm
Burt’s Bees
3M – Nexcare
The Body Shop
KY Products
Philosophy
Neutrogena
ROC
Financial Performance 2012-2015
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10
8
6
4
2
0
-2
2012
2013
Revenue, ($M)
10
2014
2015
Income (loss) from operations, $000000
Opportunity to Expand into Multiple Markets
Cosmeceuticals
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Nutraceuticals
Pharmaceuticals
Fueling Our Pipeline
Pre-Clinical
Clinical
Beta Glucan
Cosmetics and
Personal Care
Functional Drink
Cholesterol
Avenanthramides
Cosmetics and
Personal Care
Exercised Induced
Inflammation
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Market
Beta Glucan
Beta glucan is a water soluble fibre found in the cell walls of oat
kernels
Acts as a natural moisture barrier and film-forming agent
Relieves and alleviates dry and itchy skin by replenishing and
protecting the skin’s moisture barrier
Provides hydration against the drying effects of the sun
Smoothens wrinkles, reducing the visible signs of aging
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Beta Glucan in Cosmeceuticals
Ceapro was the first to
demonstrate that high molecular
weight beta glucan can penetrate
human skin
Dermatology applications range
from anti-ageing to wound healing
New highly purified beta glucan
powder successfully developed to
address new market
demands/trends
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Natural Skin Restructuring Agent
Proven to effectively reduces fine
lines & wrinkles
Forms a natural barrier protecting
skin
Wound healing agent – films or gels
Sustained release of active agents
requiring enhanced percutaneous
transportation
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Beta Glucan in Nutraceuticals and Pharmaceuticals
Potential reduction of cardiovascular and heart diseases risk
- Acts to decrease LDL and total cholesterol
Proprietary beta glucan drug-delivery platform
- Shown to effectively penetrate into the skin, into the deep layers as well
as into the skin cells
- Uses ranging from wound care and therapy, to skin care treatments
that reduce the signs of aging
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Unique Enabling Technology - PGX
Pressurized Gas Expanded (PGX) Liquid – Spray Drying
PGX is a novel spray drying technique for processing water-soluble biopolymers
- Platform that can produce numerous morphologies of biopolymers ranging from fine
fibres to granular powder, which are highly water soluble
Operates at lower temperatures than conventional spray drying allowing
incorporation of thermosensitive bioactives as well
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PGX-BG Impregnated with CoQ10 (iBG)
Impregnation of highly porous
biopolymer matrix
- with thermosensitive bioactives (or
drugs, API)
- Nutraceuticals
- Functional food ingredients
- Drug Delivery Vehicle
Pure PGX BG
Impregnation is accomplished
- by means of supercritical CO2
- in the same processing equipment
- at moderate temperatures of 40 °C.
iBG: 5.5% CoQ10 on BG
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CNC Before and After PGX Drying
Production of biomaterials from different industries
0.5 g CNC
Spray Dried
0.5 g CNC
PGX Dried
CNC AEROGEL
Density : 0.006 g/cm3
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Impregnation of PGX-GA with b-Carotene
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PGX - A New Platform Technology
Application of PGX-CNC
-
Wound healing, scaffolds
Drug delivery
Absorbents
Composite-plastic
Paints
PGX processing allows processing of high value biopolymers
-
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Beta Glucan
Chitosan
Gum Arabic
CNC
Avenanthramides
Antihistamine and anti-inflammatory properties
Potential benefits in the control of inflammation-based diseases
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Avenanthramides Clinically Proven in Cosmeceuticals
Significant improvements in erythema
symptoms associated in subjects with
mild to moderate atopic dermatitis
- 40% improvement in itch perception after
1 week
- 62% of patients showed an improvement
in their skin condition
Subjects with atopy
- 89% of subjects saw significant
improvement in itch after 1 week
- Continued improvement after 4 weeks
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Advanced Skin Care
Skin inflammation is a complex physiological process
Beta Glucan
Beta glucan
-
Accelerates tissue healing
Deep hydrating agent
Improves elasticity
Natural film protective barrier
Avenanthramides
- Relief from itching (Pruritus)
- Reduces inflammation and swelling
- Reduces redness (erythema)
Avenanthramides
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Avenanthramides in Nutraceuticals and Pharmaceuticals
Avenanthramides shown to attenuate exercise-induced
inflammation in animal studies
Human clinical studies showed that dietary avenanthramides
supplements significantly reduced inflammation biomarkers in
both elderly and young population
New process technology licensed from Agriculture and AgriFood Canada (AAFC) enables production of high concentration
of AVAs
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Strategy Designed to Leverage Enabling Technologies
Cosmeceuticals
Nutraceuticals
Pharmaceuticals
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•
•
•
•
•
Generate scientific data to support current product indications
Pursue new indications for current product portfolio from research programs
Develop new products in accordance with needs expressed by customers
Improve manufacturing technologies
Look for ability to develop co-products
• Produce 2nd generations of current products (higher concentrations, powder versions, etc)
• Capture bigger margins
• Produce 3rd generations of current products (higher concentrations, powder versions, etc)
• Conduct formulation work and assess potential for pharmaceutical development
Value Drivers
Cosmeceuticals - Current and new indications - Base business
Nutraceuticals - New product development - Near term catalyst
Pharmaceuticals - New products, new partnership discussions
Manufacturing Innovation - New processes, higher output, lower cost
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New Bio-Processing Facility
R&D
Pilot Scale Capability
Commercial Production
New 30,000 sq. ft. GMP Bio-processing Extraction Facility in Edmonton,
Alberta, Canada
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Financial Profile
Highest revenues, profits and cash flows reported in Company’s history for FY 2015
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TSX-V: CZO
Stock Ticker
$43.8M
Market capitalization as of April 20, 2016
62.6M
Common shares outstanding
$10,667,000
Total sales for the full year 2015
$5,000,000
Total amount of grant-based-funding raised to date
Value-Driving Milestones
Q1 2016
Q2 2016
Complete New Manufacturing Facility
Complete Commercial Scale-up of PGX
PGX Alliance Opportunities
Nutraceuticals and Pharmaceuticals
Beta Glucan: Conduct Safety Studies of High
Purity Beta Glucan in Oral Formulation
Beta Glucan: Commence Cholesterol Pilot
Clinical Trial
Avenanthramides: Anti-inflammatory Effect from
High Dose vs. Low Dose - Study Results
Complete Development of Functional Drink
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Q3 2016
Q4 2016
Enhancing Life Through Nature
Corporate Presentation
TSX: CZO
www.ceapro.com