C1, An Ultra-High Yielding, Game Changing Gene Expression Platform - PowerPoint PPT Presentation

C1, An Ultra-High Yielding, Game Changing Gene Expression Platform Dyadic (non- c onf) BD Ove r vie w F e brua ry, 2018

Safe Harbor Regarding Forward-Looking Statements Ce rta in sta te me nts c o nta ine d in this pre se nta tio n a re fo rwa rd-lo o king sta te me nts within the me a ning o f the fe de ra l se c uritie s la ws. T he se fo rwa rd-lo o king sta te me nts invo lve risks, unc e rta intie s a nd o the r fa c to rs tha t c o uld c a use Dya dic ’ s a c tua l re sults, pe rfo rma nc e o r a c hie ve me nts to b e ma te ria lly diffe re nt fro m a ny future re sults, pe rfo rma nc e o r a c hie ve me nts e xpre sse d o r implie d b y suc h fo rwa rd-lo o king sta te me nts. Any fo rwa rd-lo o king sta te me nts spe a k o nly a s o f the da te o f this pre se nta tio n a nd, e xc e pt a s re q uire d b y la w, Dya dic e xpre ssly disc la ims a ny inte nt o r o b lig a tio n to upda te o r re vise a ny fo rwa rd-lo o king sta te me nts to re fle c t a c tua l re sults, a ny c ha ng e s in e xpe c ta tio ns o r a ny c ha ng e in e ve nts. F a c to rs tha t c o uld c a use re sults to diffe r ma te ria lly a re disc usse d in Dya dic ’ s pub lic ly a va ila b le filing s, inc luding info rma tio n se t fo rth unde r the c a ptio n “Risk F a c to rs” in o ur De c e mb e r 31, 2016 Annua l Re po rt file d with OT C Ma rke ts o n Ma rc h 24, 2017. Ne w risks a nd unc e rta intie s a rise fro m time to time , a nd it is impo ssib le fo rus to pre dic t the se e ve nts o r ho w the y ma y a ffe c t us. DYADIC INF ORMAT I ON 2

Table of Contents T itle and Safe Har bor Re gar ding F or war d- L ooking State me nts 1 T able of Conte nts 3 Dyadic Ove r vie w 4 C1 Comme r c ially Suc c e ssful in Industr ial Biote c h 7 C1 T e c hnology Platfor m - Whe r e to Play and How to Win 8 Biophar ma Industr y and Soc ie ty Challe nge s 11 C1 Pr oduc tion Host 15 C1 F or Biologic s 17 C1 T e c hnology Combat E me r ging Dise ase s and T hr e ats 22 Advantage s of using C1 for the De ve lopme nt & Pr oduc tion of Biologic s and Vac c ine s 25 Summar y 28 DYADIC INF ORMAT I ON 3

Dyadic Overview 1979 F OUNDE D R&D: F inla nd BD&L : L o nd o n : Bud a pe st BD&L R&D: Spa in HQ: Jupite r, F L 20+ YE ARS E XPE RIE NCE IN PHARMA / F UNGAL GE NE E XPRE SSION PL AT F ORMS DYADIC INF ORMAT I ON 4

Platform Technology C1: F ungal Ge ne E xpr e ssion Platfor m fo r use in the De ve lo pme nt a nd Pro duc tio n o f Bio lo g ic s No ve l e ng ine e re d c e ll line (Myc e lio ptho ra the rmo phila ) >20 Pate nts Value & Diffe r e ntiation: De c re a se d De ve lo pme nt T ime L o we r Pro duc tio n Co sts I mpro ve d Bio lo g ic Pe rfo rma nc e Sig nific a ntCa pE x Sa ving s DYADIC INF ORMAT I ON 5

Industrially Proven >100 g/ l Yie ld & ~80% Pur ity Hype r Pro duc tive E nzyme E xpre ssio n GRAS F DA 500,000L Ce rtifie d Sc a le Pro duc tio n Industr ial L ic e nse e s: DYADIC INF ORMAT I ON 6

Dyadic Leadership Team M. E malfar b T . Dubinski F ounde r, CE O Vic e Pre side nt, CF O R. T c he le t, PhD M. Jone s Vic e Pre side nt, R&D Comme rc ia l Offic e r DYADIC INF ORMAT I ON 7

Financial Overview L IQUIDIT Y F INANCIAL S >$110M $51M C1 Re late d L ic e nse Cash & Inve stme nt De als, Mile stone s & Gr ade Se c ur itie s (1) E quity $0 $75M De bt De a l with DuPont for Dya dic ’s Industr ia l T e c hnolog y Busine ss $44M Ma rke t Ca p $19M Sha r e Buyba c k OT C Mar ke ts Stoc k E xc hange Comple te d 2/ 2017 (OT CQX: DYAI) $5M Add’l Sha r e Buyba c k Initia te d 8/ 2017 28.7M F ully F unde d to Common Shar e s E xe c ute Busine ss Plan Outstanding (1) DYADIC INF ORMAT I ON 8

Dyadic Board – Decades of Big Pharma Experience Ar indam Bose , PhD Bar r y Buc kland, PhD Mic hae l P. T ar nok Chair man E XPE R IE NCE E XPE R IE NCE E XPE R IE NCE Dr. Bo se wo rke d a t Pfize r fo r 34 Dr. Buc kla nd wo rke d a t Me rc k fo r 29 ye a rs Mr. T a rno k spe nt the ma jo rity o f his ye a rs a nd he ld le a de rship ro le s whe re he se rve d in a numb e r o f se nio r c a re e r a t Pfize r a nd is a se a so ne d within b io pro c e ss de ve lo pme nt R&D le a de rship ro le s fo c using o n fina nc e a nd o pe ra tio na l e xe c utive a nd c linic a l ma nufa c turing a nd is fe rme nta tio n a nd b io pro c e ss with e xte nsive e xpe rie nc e in the wide ly re c o g nize d a s a K e y de ve lo pme nt a nd the c o mme rc ia l pha rma c e utic a l industry. Curre ntly T ho ug ht L e a de r in the ma nufa c turing o f b io lo g ic s a nd is wide ly a lso se rve s o n the Bo a rd o f the b io pha rma c e utic a l industry. re c o g nize d a s a K e y T ho ug ht L e a de r in Glo b a l He a lth Co unc il, a nd Io ne tix, the b io pha rma c e utic a l industry. Curre ntly, Inc . Prio r Bo a rd se rvic e inc lude s Dr. Buc kla nd is the E xe c utive Dire c to r, K e ryx Bio pha rma c e utic a ls, Inc ., NI I MBL (Na tio na l Institute fo r Inno va tio n in whe re he a lso se rve d a s Cha irma n Ma nufa c turing Bio pha rma c e utic a ls) A o f the Bo a rd. pub lic -priva te c o nso rtium de dic a te d to a dva nc ing b io pha rma c e utic a l ma nufa c turing inno va tio n. L AST POSIT ION L AST POSIT ION L AST POSIT ION Vic e Pre side nt, Bio the ra pe utic s Vic e Pre side nt, Bio pro c e ss R&D, Me rc k Se nio r Vic e Pre side nt in Pfize r’ s US Pha rma c e utic a l Sc ie nc e s, E xte rna l Re se a rc h L a b o ra to rie s Pha rma c e utic a l Divisio n Affa irs a nd Bio simila rStra te g y DYADIC INF ORMAT I ON 9

Dyadic Launch's Biopharmaceutical Strategy for The C1 Gene Expression Platform DYADIC INF ORMAT I ON 10

Dyadic is Developing What the Industry Refers to As a “CHO stopper” CHO sto ppe r? Bio g e n lo o ks to a lte rna tive c e ll line s fo r future o f b io pro duc tio n. Bio Pha rma Re po rte r Bio pro c e ssing surve y re po rt, T he Chine se ha mste r o va ry 11/ 03/ 2017 (CHO) c e ll line is no t the future fo r b io ma nufa c turing “Ne a rly ha lf the re spo nde nts o f sa ys Bio g e n, MI T & Ga te s o ur se c o nd sta te o f the g lo b a l F o unda tio n b io ma nufa c turing surve y b e lie ve we a re to o re lia nt o n Chine se Ha mste r Ova ry (CHO) e xpre ssio n syste ms.” Dya dic ’s Goa l T o furthe r de ve lo p C1 into a sa fe a nd e ffic ie nt g e ne e xpre ssio n syste m to he lp spe e d up the de ve lo pme nt, lo we r pro duc tio n c o sts a nd impro ve the pe rfo rma nc e o f b io lo g ic va c c ine s a nd drug s a t fle xib le c o mme rc ia l sc a le s. DYADIC INF ORMAT I ON 11

C1 Technology Platform– Where to Play & How to Win Bio lo g ic drug s ma ke up the fa ste st g ro wing se g me nt o f the pha rma industry a nd a re so me o f the mo st e xpe nsive tre a tme nts; the re fo re , the y a re pla c ing a n e no rmo us fina nc ia l b urde n o n b o th pa tie nts a nd the he a lthc a re syste ms g lo b a lly. ation 1 T otal Addr e ssable Mar ke t and Mar ke t Pe ne tr Glo b a l va c c ine s ma rke t pro je c te d to b e $48.0 b illio n Bio lo g ic s a re the fa ste st b y 2021 g ro wing se g me nt o f the pha rma c e utic a l industry $1.3 trillio n pro je c te d to g ro w a t a spe nt o n drug s CGAR o f 10.9% o ve r the c urre ntly, 18% pe rio d 2016 – 2024 to o r $235 b illio n $479.8 b illio n is fo r b io lo g ic s Dya dic is we ll positione d to pe ne tra te the ve ry a ttra c tive biolog ic s ma rke t for Drug s a nd Va c c ine s, both huma n a nd a nima l he a lth, with its unique ly powe rful a nd prove n te c hnolog y, the C1 Ge ne E xpre ssion Pla tform. 1 Data from market research published by MarketsandMarkets as of May 12, 2017 & Transparency Market Research published on Oct 6, 2016 DYADIC INF ORMAT I ON 12

Industry & Society Challenges Industry Proble ms F e w a d va nc e s in the pro te in Invo lve s using e no rmo us pro d uc tio n pro c e ss d uring the pa st q ua ntitie s o f e xpe nsive d e c a d e , pa rtic ula rly in the a re a o f g ro wth me d ium CHO c e ll impro ve me nt T he ra pe utic pro te in Re q uire s c o stly Curre nt pro d uc tivity is no t pro d uc tio n is e xpe nsive ma nufa c turing fa c ilitie s a d e q ua te to me e t future c o mme rc ial ma nufa c turing d e ma nd o Ha ve Pla te a ue d 1 CHO Produc tivity Appe a rs T 4 g/l 0.1 g/l 1985 1995 2005 2015 y Solution: Build mo re e xpe nsive ma nufa c turing pla nts & o pe ra te Cur r e nt Industr 1 Estimated Industry Average CHO Yield for a 12-14 day fermentation run, results vary by company. DYADIC INF ORMAT I ON 13

CHO Technology is Highly Capital Intensive and Costly Sa msung Bio lo g ic s pla nts in the So ng do distric t in I nc he o n, So uth K o re a , Co st $740 millio n DYADIC INF ORMAT I ON 14