Sun Pharma Advanced Research Company Limited

Anil Raghavan

CHIEF EXECUTIVE OFFICER

Nitin Damle

CHIEF INNOVATION OFFICER

Vikram Ramanathan

HEAD, TRANSLATIONAL DEVELOPMENT

Chetan Rajpara

CHIEF FINANCIAL OFFICER

Jaydeep Issrani

SENIOR GENERAL MANAGER, BUSINESS DEVELOPMENT

500 million

es we built in the last few years. As you can see in this graph here, SPARC has spent upwards of $500 million up to the end of FY'22 running our operations in the last 15-years and building what we have toda

79 million

and building what we have today. Fresh equity rights issues in 2012 and 2016 contributed around $79 million in total, while preferential issues brought in the rest. In this period, we invested around $277

277 million

lion in total, while preferential issues brought in the rest. In this period, we invested around $277 million from our internal revenue accruals. Two things are worth noting besides the substantial non-dilut

rs,

g about our portfolio pivot from incremental to more riskier NCE opportunities in the past few years, with the rationale and nature of that transformation many times. Early on that pivot, we focused o

60%

risk position in novel biology. These numbers on the chart here are worth taking note of. Almost 60% of our portfolio now has first-in-class potential. The composition of the portfolio fro

60 million

the call for progress and that's cash runway on Slide #8. We have an expected spend of around $60 million in a year. Numbers for the outer years as you can imagine are estimates, but we are more or less

93 million

more or less in the ballpark here. In terms of cash flow, we expect warrant conversions of up to $93 million by end of December 2022. In addition, we will have certain milestones and royalties from existing

70%

king to file NDA in 2024. PROSEEK is our Phase-2 PD trial for vodobatinib and we have crossed the 70% recruitment mark a few weeks back, and we are pushing forward on all cylinders to complete the

71%

he top bar, and then what happened to them following treatment on the bottom bar. As you can see, 71% of patients came into the study with uncontrolled disease. Only 29% had a major cytogenetic respo

29%

bottom bar. As you can see, 71% of patients came into the study with uncontrolled disease. Only 29% had a major cytogenetic response at baseline. Following treatment with vodobatinib however, there

2.8%

ponse, which represents a three-log reduction in the number of cancer cells, has increased from 2.8% prior to treatment to 43% following treatment. Finally, slide #17 here depicts a swim

43%

three-log reduction in the number of cancer cells, has increased from 2.8% prior to treatment to 43% following treatment. Finally, slide #17 here depicts a swimmer’s plot that gives you

“The presentation will be similar to what we have been following in the previous versions, i.e.”

“In the interest of time though we don't plan to do detailed introductions.”

“And the second one, brimonidine once-a-day eye drop goes by the project name PDP- 716 was submitted recently.”

“We intend to bring two more projects to clinic in the next 18 months.”

“Alopecia Areata program later this year if everything goes on plan and MUC-1 ADC next year.”

“And more importantly, we are approaching some meaningful catalysts in the next 12-to-18-months for our stock and that's what we intend to cover in the rest of the deck.”

“I want to spend some time on three programs here, vodobatinib in PD, ADC using antibodies against MUC-1 alpha/beta junction, and SCD-153 for a novel immunological target to treat alopecia areata.”

“Moving on to the second project here on the slide, here, again, you can see several parts of the same strategy at play.”

“MUC-1 has been a high interest cancer target for ADC and other tumor-targeting programs because of its high tumor-specific expression.”

“In terms of cash flow, we expect warrant conversions of up to $93 million by end of December 2022.”

Anil Raghavan

26

Moderator

11

Jaydeep Issrani

8

Manish Jain

7

Girish Bakhru

6

Kunal Randeria

4

Ketan Gandhi

4

Harith Ahamed

4

Jayesh Gandhi

3

Dr. Siu-Long Yao

2

Jaydeep Issrani

Good evening, ladies and gentlemen. I am Jaydeep Issrani. On behalf of SPARC, I welcome you all to SPARC's Annual Update on Clinical Programs and R&D Pipeline. We have our CEO, Mr. Anil Raghavan and members of the SPARC's senior team on the call today. I hope that you have received the presentation that was sent out some time ago. The slides are also available on our website, www.sparc.life. The presentation will be similar to what we have been following in the previous versions, i.e. will walk you through the presentation, and then open the call for questions. Before I hand it over, I want to mention and remind you all that our discussion today includes forward-looking statements that are subject to risks associated with our business that may cause actual results to differ from those projected in the presentation. I will now hand over the call to our CEO, Mr. Anil Raghavan. Over to you, Anil.

Anil Raghavan

Thank you, Jaydeep, for the introduction and the opening comments. Good morning and good afternoon, everybody, if you're joining from the US or Europe. A very warm welcome to the 12th edition of our Pipeline to engage and make this such a special event on our calendar. So, welcome back to this important call and thank you for your time. As Jaydeep mentioned, we have the management team on the call today. In the interest of time though we don't plan to do detailed introductions. Slide #3 has the agenda for the day. We will start with brief comments on our strategy and some important program updates, including a brief snapshot of the portfolio performance and the listing of upcoming catalysts. Subsequently, we will dedicate most of our presentation today to provide additional color on six opportunities with four NCE clinical programs plus one important biologics platform with IND visibility and a new first-in-class NCE asset in dermatology. Dr. Siu-Long Yao, who heads our clinical develo

Dr. Siu-Long Yao

Thank you, Anil. Again, my name is Siu Yao and I oversee clinical development. The next set of slides go over SCO-088 for the treatment of chronic myelogenous leukemia. So, with SCO-088, we believe that we have a safe, effective option for the treatment of heavily pretreated, last-line patients. This Slide #14 summarizes the clinical development program for this drug. The program started with a healthy volunteer single ascending dose and food effect study in 40 subjects and then proceeded to a multiple ascending dose study in patients. Currently, we're in the midst of a pivotal study involving chronic phase, accelerated phase and blast phase CML. As noted in the first bullet in the lower right-hand part of the slide, this is last line therapy. So, patients are required to have disease that is refractory and/or intolerant to greater than or equal to three prior tyrosine kinase inhibitors, one of which must have been ponatinib. For this study, we have sites in the US, Belgium and there's

Dr. Nitin Damle

Thank you very much, Siu, and good evening, everyone. My name is Nitin Damle, and I would like to provide an update on our first biologic therapeutic program SBO-154. During our presentation to this audience a year ago, we had described SPARC's initiative to invest in biologic therapeutics and introduce our strategy to explore antibody drug conjugates as anti-cancer therapeutics. SBO-154 is the first product of such exploration and represents an antibody drug conjugate, in which a humanized IgG1 antibody with a high affinity for MUC-I alpha/beta heterodimer, is linked to a potent cytotoxic drug that preferentially kills dividing cells when delivered to tumors via antibody drug conjugates. The cytotoxic drug used as a payload in SBO-154 is clinically and commercially validated for clinical use in different types of cancers. The tumor target that we have been interested in focusing on is human Mucin-1, also known as MUC-1, as shown on slide 36. MUC-1 is a glycoprotein overexpressed on th

Dr. V. Ramanathan

Thank you, Nitin, and good morning, good afternoon or good evening to you all based on where you're located. My name is Vikram Ramanathan, and I'll give you an update on SCD-153. SCD-153 is an NCE that we're working on with potential for use in autoimmune disease called Alopecia Areata. SCD-153 is a topical agent for this disease which has a significant unmet medical need. Slide #43 gives you some background on the disease. Alopecia Areata is an autoimmune disease that causes loss of scalp hair and clumps, and it's a psychologically very debilitating disease. This occurs because the hair follicles, which are normally protected from the effects of patrolling immune cells lose their so-called immune privilege. So, on the upper left is a diagram of a healthy human hair follicle. At the base is the bulb of the follicle. Immune cells are present, but the bulb of the follicle is normally immune from their effects. To the right of it, is a depiction of a diseased hair follicle in alopecia are

Chetan Rajpara

Thank you Dr. Vikram. Good evening, everyone. This is Chetan Rajpura, CFO at SPARC. I plan to go over SPARC financials and cash position at a high level. Slide #48. During FY'22, total income was at Rs.144 crores, equal to US$19.3 million, while total expenses were at Rs.347 crores, equal to $46.6 million, resulting into a net loss of Rs.203 crores, equal to US$27.3 million. FY'22 income was lower as compared to FY'21, as previous year income included an upfront non-recurring receipt of US$20 million from SCD-044 licensing deal. Let me update you on our financial results for first quarter of FY'23. For Q1 FY'23, total income was at Rs.29 crores, equal to US$3.7 million, while total expenses were at Rs.111 crores, equal to US$14.4 million, resulting into a net loss of Rs.82 crores, equal to US$10.7 million. Slide #49, as you may be aware company raised Rs.1,112 crores, equal to US$148 million in July '21 by way of a preferential issue of convertible warrants. The company has already rec