Company Presentation Advanced Development of Additive Manufacturing, Inc - twid creative studio

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Company Presentation Advanced Development of Additive Manufacturing, Inc - twid creative studio
Company Presentation   Advanced Development of Additive Manufacturing, Inc.
June 2021
Company Presentation Advanced Development of Additive Manufacturing, Inc - twid creative studio
Disclaimer
This presentation and the information contained herein (the “Presentation”) is being presented to a limited number of parties who may be interested in reviewing information
regarding the Company. This Presentation does not purport to be all-inclusive or to necessarily contain all the information that a prospective investor may desire to know
or need to know to evaluate the ADVANCED DEVELOPMENT OF ADDITIVE MANUFACTURING, INC. (the “Company”) or the merits of a future investment. The information contained herein
has been prepared solely to assist prospective investors in deciding whether to proceed with a further investigation of the Company and does not purport to be all-inclusive
or to contain all of the information a prospective or existing investor may desire. In all cases, interested parties should conduct their own investigation and analysis of
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NOT LIMITED TO, LOSS OF   ALL OR A SUBSTANTIAL PORTION OF THEIR INVESTMENT.

                                                                                                                                                                          2
Company Presentation Advanced Development of Additive Manufacturing, Inc - twid creative studio
Investment Overview
• A.D.A.M. develops an on-demand personalized implant 3D-printing infrastructure with a full
  scope of related services, provided remotely or on-site.
    •   A.D.A.M. bundles the following services in its TAAS model: medical data storage, implant 3D-modelling, on-demand 3D-printing
        for bone implants using proprietary 3D-printing technique, and optional hardware installation at the POC
    •   Business model designed to decrease costs and to improve patient outcomes VS existing alternatives (i.e. titanium implants
        and emerging alternatives)

• We have developed a superior technology and possess a strong IP Portfolio
    •   Developed two biodegradable material composites, superior to metals and plastics in biocompatibility and patient outcomes
    •   Currently developing upgraded BJP and FFF printers with proprietary advancements for high-quality, fast and cost—efficient
        production
    •   IP Portfolio: 4 provisional patents (2 for materials and 2 for printers) in the U.S., 2 patents for materials in Ukraine

• Regulatory 510(k) pathway validated by FDA; Animal Trials to start Q3 2021
    •   FDA responded positively to A.D.A.M.’s Q-Sub regarding 510(k) eligibility requiring only successful animal studies (no human
        trials) for the FDA 510(k) clearance
    •   Draft Protocol for Animal Studies to be submitted to the FDA in May 2021; animal studies to begin in September 2021
    •   FDA 510(k) Clearance expected in Sep 2022

• Potential to disrupt growing markets
    •   3D printing for the medical industry - $1.8 billion (17% CAGR 2019-2029); segment – implantable devices (17% CAGR 2019-2029)
    •   Orthopedic implant market - $47B (2019) & $64B (2026); segments – 3D-printed bone implants ($3.8B in 2026)
    •   Growth in markets driven by ageing population, augmented incidence of orthopedic diseases. FDA endorsement of additive
        manufacturing in healthcare industry

• Solid management team and advisors
    •   CEO with international medical trials regulations and defense applications expertise
    •   Strong Advisory Board of 9 professionals in Orthopedics, 3D-printing, Strategy, Business Development and Digitalization
    •   The Board of Directors consists of 3 officers with 2 seats open                                                                3
Company Presentation Advanced Development of Additive Manufacturing, Inc - twid creative studio
Market Opportunity
problem    • Orthopaedic market is currently dominated by    technology video
             titanium implants, which are costly, rarely
             personalized, and typically require the           click to play
             second surgery to extract metal fixation
             elements
           • Implants made from alternative materials are
             expensive and have long delivery times

solution   On-demand personalized bone implant 3D-printing
           infrastructure with a full scope of related
           services, provided remotely or on-site
           • 3D-printed patient-specific implants (PSI)
             -> reduced surgical time and improved
             surgical results
           • Biodegradable and bioresorbable materials
             -> no need for revision surgeries -> reduced
             patient suffering and health costs
           • Proprietary printers installed at the point
             of care or at the company’s facilities
             -> delivery time of 1-3 days
                                                                                4
Company Presentation Advanced Development of Additive Manufacturing, Inc - twid creative studio
Market

3D Printing for Medical Devices market, $B                                                    • 3D-Printing for Implantable Device
                                                                                                Segment – 17% CAGR for 2019-2029
                                                                                     6.1      • Total addressable market for ADAM
                                                                                                not   limited  by   $1.8B  of  3D
                                                                             5.2                printing   for   medical  devices
                                                                    4.5
                                                                                                market
                                                            4.0                               • A.D.A.M. can target and disrupt
                                                    3.4                                         orthopedic     implants    market,
                                           3.0                                                  estimated   at    $47B  in    2019
                                   2.5                                                          (expected $79.5B in 2030), 3D-
                           2.2
                  1.8                                                                           printed segment expected to reach
          1.6
  1.3                                                                                           $3.8B in 2026
                                                                                              • Market growth driven by: ageing
                                                                                                population, augmented incidence of
 2019    2020    2021     2022    2023    2024     2025    2026    2027     2028    2029
                                                                                                orthopedic       diseases,     FDA
                            3D Printing for Medical Devices                                     endorsement   of   3D-printing  in
                                                                                                healthcare

Source: Report “3D Printing for the Medical and Dental Industry 2019-2029”, Technology, Market Opportunities and Outlook, Dr Bryony Core and
Dr Nadia Tsao, IDTechEx, 2020

                                                                                                                                               5
Therapeutic Target Markets

Orthopedic   Oncology   CMF, neuro-,
  surgery                and plastic
                           surgery

                                       6
Product Overview

                                   Technology-As-A-Service
                                            Model
               charging medical centers a fee for implant production and system usage

       Materials                  Printers                Digital Platform                  QMS
▪   Bioceramic and         ▪   BJP and FDM printers   ▪    MVP developed for      ▪   Quality Management
    biopolymer                 with proprietary            medical data cloud         System in place from
    composites developed       advancements under          storage                    the start of R&D
    for flat and tubular       development            ▪    Features under         ▪   ISO certification
    bone implants          ▪   2 provisional               development: implant
▪   2 provisional              patents in the U.S.         3D-modelling,
    patents in the U.S.;                                   medical staff
    2 patents in Ukraine                                   training

                                                                                                             7
Technology Validation

Histological sections of the implantation into the
soft tissue of wistar rats
                                                                             ▪   No hematoma, edema, scarring,
                                                                                 degenerative   changes,   tumors,
                                                                                 tissue    necrosis   and    other
                                                                                 abnormalities were detected
                                    Ceramic implant             Connective
                   Connective                                   tissue
                   tissue capsule                               capsule
                                                                             ▪   Implants are biocompatible

                                                                             ▪   In the fourth week, due to the
                                                                                 porous structure of the ceramic
             Ceramic implant
                                                                                 material,   cell  migration   and
                                                                                 germination of the connective
                                                                                 tissue (T) deep into the implant
                                                                                 was observed; in the twelfth
                                                                                 week the process has intensified
      4 week observation                    12 weeks observations
      after implantation                    after implantation

                                                                                                              8
Implants and Intellectual Property
         Bioceramic Bone Implants                         Biopolymer Bone Implants

         Application: non-weight-bearing bones            Application: weight-bearing bones
         reconstruction                                   replacement
         Material: ceramic bio-glass composite            Material: modified biopolymer
         • Highly bioactive                               • Imitates natural bone structure
         • High porosity                                  • High level of strength and
         • Stimulates osteogenesis                          recoverability
         Printing Technique: BJP                          Printing Technique: FFF
         • Proprietary printing powder                    • Proprietary sterilization system
           compression system feature                       feature

Intellectual Property
• 2 provisional patents for materials (US)
• 2 provisional patents for novel FFF and BJP printers (US)
• 2 permament patents for 3D-printed hernia meshes creation method (Ukraine)
A.D.A.M. plans to to file all patents under the PCT (Patent Cooperation Treaty) with a focus on
primary markets in EMEA and APAC regions in Q2 2022.

                                                                                               9
Benefits VS Alternatives

•   Production speed is substantially higher while price of finished product
    is substantially lower

•   No need for re-operation to extract metal fixation elements

•   No need to   traumatize   a   patient   for   the   purpose   of   bone   marrow
    autoplasty

•   Implants stimulate osteogenesis processes

•   Sufficient strength indicators to withstand implant loads for use in
    maxillofacial surgery

•   The components from which the implant is made do not have allergic,
    toxic, teratogenic properties

•   3D modeling technique allows printing individualized implants for each
    specific clinical case
                                                                                       10
Customer Lifecycle

                                                                                     John needs no
                                               Medical team                          revision
               John is                         orders John’s                         surgeries, the
               admitted to                     implant from                          implant degrades
               the hospital                    A.D.A.M.                              while John’s own
               with a bone                     facilities or                         bone tissue
               fracture                        prints it on-site                     regrows
John has his                  Medical team                         Surgeon
MRI/CT scans                  models an                            operates John
stored on                     individualized                       on the same day
A.D.A.M.                      implant for                          with improved
Digital                       John’s                               accuracy and
Platform                      specific case                        speed

                                                                                                11
Next Product Lines

Heart Valve   Bronchial     Major Blood
  Implants     Implants   Vessel Implants

                                            12
Product Development and Clinical Timeline

                                                     Product Development Timeline

                                                                                                                                 R&D of heart
                       Lab                                                                              Advanced Material
   Project                          Digital platform     Established HQ at                                                       valve, blood     Market Launch for
                  set-up; QMS                                                      Printers MVP           Composites R&D
 initiation                                MVP              TIP at UCONN                                                      vessel, bronchial     Bone Implants
                     launch                                                                                  Completed
                                                                                                                               implants launch

     |                 |                     |                     |                     |                      |                      |                     |
 Aug 2018        Feb-May 2019             Oct 2019              Sep 2020              Nov 2021              Dec 2021               Jun 2022           Oct 2022

                                                                Clinical Timeline

                                               Draft Protocol
                           FDA Confirms
Pre-Clinical Trials                              for Animal         Implant Testing          Animal Studies         510(k) Submission to
                               510(k)                                                                                                             FDA Clearance
     completed                                Studies sent to        Samples Ready               Kickoff                     FDA
                            Eligibility
                                                     FDA

         |                      |                    |                     |                        |                          |                        |
     Oct 2019               Aug 2020             May 2021              June 2021                 Sep 2021                   May 2022                Sep 2022

                                                                                                                                                            13
Competitive Landscape
• Majority    of   competitors    are   highly
  specialized on system, software, materials,
  or   services   segment   whereas   A.D.A.M.
  develops a holistic TAAS model.
• All competitors have long delivery times (2
  weeks on average VS A.D.A.M.’s 1-3 days)
• Most competitors offer implants made of
  either biopolymer or bioceramic implants,
  whereas A.D.A.M. offers both
• OPM, the market leader,     does   not   offer
  biodegradable materials
• A.D.A.M. bone implants can be used in
  oncology   applications  (i.e.   surgical
  replacement of the damaged bone with the
  implant)
• Due to the integrated approach of the
  A.D.A.M. implant-manufacturing process, it
  is expected that the final cost for patient
  will be cheaper compared to the existing
  and emerging alternatives
                                                   14
Projected Budget
$4.93M (17 months financing) to reach FDA clearance and product readiness
for market launch.

$1.12M Product Development             Completion of animal studies for bioceramic
                                       and biopolymer bone implants
•   R&D - $530k
•   Software Development - $100k
•   Platform Development - $120k
•   Scientific Consulting - $240k      2 material composites and 2 printers ready
•   IP - $130k                         for market launch

$1.46M Clinical
                                       FDA 510(k) Clearance
• Animal Studies - $1.2M
• Regulatory Expenses - $260k
                                       Global IP Coverage Secured
$0.18M Marketing

$2.17M OpEx                            Digital Platform Ready for Commercial Use

                                                                                   15
Partners

Long-established   Technology Incubation   Boutique investment bank,      Industry-oriented      Top-Tier law firm
bioscience         Program at the          financing over $50 billion     center dedicated to    in the area of
ecosystem          University of           of public and private          pre-competitive        “FDA Law”
                   Connecticut             capital raises,                research in additive
                                           restructurings, and mergers    manufacturing
                                           and acquisitions

Top 3D-printing    One of the biggest      Fortune 500 American           Early-stage            Largest commercial
company            network of seed         manufacturer of industrial     venture capital        research center in
                   accelerators in US      tools and household hardware   firm                   North Carolina

                                                                                                                 16
Management
   Denys Gurak                               Andy Pedtke, MD
   CEO                                       Chief Medical Officer
   Formerly a top executive of industrial    Practicing orthopaedic surgeon, founder
   conglomerates; expert in global medical   of innovative limb prosthetics company,
   trials regulations                        advisor to startups, VC investor

   Ada Bovsunovsky                           Arkadii Bohdan, MD
   COO                                       Head of R&D
   Formerly an analyst at a VC firm          Practicing surgeon, researcher in 3D
   BA, Economics (Boston University), MSc    bioprinting, writer of materials’
   Finance (Bocconi University)              patents

   Dmytro Skomorokhov                        Mykhaylo Pluzhnik
   VP of Business Development                R&D Project Manager
   3D printing industry expert; Techstars    Engineer focusing on thermal processing,
   accelerator program experience            materials chemistry, project management

   Markian Silecky, Esq.                     Yuliya Shapovalova
   General Counsel                           Head of Ukraine Office, Legal
   Corporate Counsel with over 30 years of   Counsel
   international experience; co-founder of   Startup manager in IT     and   investment
   various multinational entities            projects; legal support
                                                                                          17
Advisory Board
    Dr. Anthony Tether                           Dr. Phillip Karber
    Chief Scientific Advisor                     Chief Strategy Advisor
    Former DARPA Director, expert           in   President at Potomac Foundation, former
    innovative research and development          Head of Strategy at Department of
                                                 Defense, strategic advisor to NATO,
                                                 governments and corporations

    Dr. Mark Horowitz                            Tamir Harosh
    Chief Trials Advisor                         Business Development Advisor
    Professor at the Department of               Professional advisor, leads the BD,
    Orthopedics and Rehabilitation, Yale         negotiations, and consulting teams for
    University School of Medicine                companies and individuals

    Dr. Anson Ma                                 Den Burykin
    Chief Technology Advisor                     Digital Strategy Advisor
    Associate Professor at UConn, site           Experienced entrepreneur with executive
    director at SHAP3D, expert in complex        and board positions in ICT and
    fluids and 3D printing                       technology driven organizations

    Dr. Adnan Mjalli                             Eugene Fedorchenko
    Chief Development Advisor                    Digital Strategy Advisor
    Internationally recognized entrepreneur      Strategic business advisor with over
    in pharma and biotech industries             decade of track record in management,
                                                 law and go-to-market domains
                                                                                           18
Summary
• One-stop shop for implant production
• Potential to disrupt outdated healthcare models
  and $47 billion orthopedic implant industry
• Advantages: reduction in costs for all Parties,
  improved surgical outcomes and reduced patient
  suffering
                                                        For more information,
• Pre-clinical trials successfully       completed;     please contact:
  animal studies start in Q3 2021
• No human trials required
                                                          DENYS GURAK, CEO
• Expected time of FDA 510(k) clearance: September
  2022
                                                         dg@adamproject.org
• Results-driven   management    team    and   strong
  Advisory Board

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