Investor Presentation

June, 2020

Levadura Biotechnology

A Superior Production Process for Cannabinoids and Wellness Ingredients

This presentation contains certain statements that may be deemed “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. All statements that address activities, events or developments that we intend, expect, plan, project, believe or anticipate will or may occur in the future are forward-looking statements. Examples of forward-looking statements include, but are not limited to, statements we make regarding general economic conditions, spending by municipalities, the outlook for the residential and non-residential construction markets and the recovery, if any, of our end markets and the impact of these factors on our businesses. Forward-looking statements are based on certain assumptions and assessments made by us in light of our experience and perception of historical trends, current conditions and expected future developments. Actual results and the timing of events may differ materially from those contemplated by the forward-looking statements due to a number of factors, including regional, national or global political, economic, business, competitive, market and regulatory conditions. Undue reliance should not be placed on any forward-looking statements. We do not have any intention or obligation to update forward-looking statements exceptas required by law.

SAFE HARBOR

Consumer Demand and Applications in Cannabis are Evolving

Legal Marijuana Market Size Worth $73.6 Billion By 2027 | CAGR 18.1%February 2020

The global cannabis pharmaceuticals market size is

projected to reach USD 5.8 billion by 2027, expanding at

a CAGR of 76.8% over the forecast period . . .

June 2020Concentrates +144%

Edibles +39%

Flower -45%

Market Share (change)

Neurodegeneration

Inflammation

Chronic Pain

Mental Illness

Addiction

Epilepsy

MSALSParkinson’sAlzheimer’sArthritis

FibromyalgiaLower BackOpioids

Depression

Anxiety

Schizophrenia

Source: ClinicalTrials.gov

. . . consistency in chemical composition is one of the greatest challenges to [plant-based] drug development . . . Cannabis and Cannabinoid Drug Development: Evaluating Botanical Versus Single Molecule Approaches. Int Rev Psychiatry. 2018 June ; 30(3): 277–284

The cannabis market is growing . . .

. . . and changing. 100+ Clinical Trials

How will the market efficiently source

pure and consistent cannabinoids?

Levadura Combines Synthetic Biology with Fermentation Technology

GENE 1

GENE 2

GENE 3

GENE 4

CO2

H2O

TH

C

CB

D

3-6 months

mixture

Patented Levadura yeast strain (THC)

CB

DTH

C

Cannabis plant

NutrientsFatty acids (veg oil)

6-8 days 6-8 days

NutrientsFatty acids (veg oil)

Genetic engineering

Patented Levadura yeast strain (CBD)

Traditional Cultivation The Levadura Solution

The Plant is the Problem, Levadura is the Solution

Characteristic Plant Levadura

Purity Multiple cannabinoids produced plus taste, smell and color molecules

Single cannabinoid produced with no plant taste, smell or color molecules

Dosage THC and CBD content varies widely from plant to plant

Dosage can be tightly controlled to meet pharmaceutical standards

Reliability Weather, soil quality, daylight all affect production

Self-contained production ensures consistent, high-yield production

Safety Significant amount of products are rejected due to pesticide levels, heavy metals and microbial contamination

Sterile process and no pesticide use

Production footprint Large production footprint(3 acres greenhouse space = $150m worth of cannabis)

Small production footprint(20,000 L fermentor =$150m worth of cannabis)

Environmental issues Odor of growth operations outrage communities

No skunk odor produced

Production cycle 3-6 month production cycle 1-week production cycle

A Simpler and Less Risky Development Path

Sugar(Our Biosynthesis

Competition)

Optimize glycolysis pathway

Block fatty acid synthesis pathway

Block amino acid synthesis pathways

Block ethanol pathway

Optimize hexanoyl-CoA pathway

Optimize polyketide pathway

Optimize mevalonate pathway

Vegetable Oil(Levadura)

Optimize beta-oxidation pathway

Optimize polyketide pathway

Optimize mevalonate pathway

Optimize cannabinoid pathway

Optimize cannabinoid pathway

Levadura has demonstrated proof of concept for production of THCA and CBGA

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

Levadura Sugar

Maximum Yield 2.5x greater from

vegetable oil vs. sugar

CBGA THCA

Levadura IP Protects the Levadura Process From End to End

Purification

Provisional US 62/902,341

Novel Fermentation Feedstock

Fatty Acid to Cannabinoids

Fermentation

US 62/985428

US 62/987759

US 62/987767

US 62/987803

PCT/US2019/051357

PCT/US2019/051357

PCT/US2019/051357

Product

US 62/985428

US 62/987759

US 62/987767

US 62/987803

PCT/US2019/051357

PCT/US2019/051357

PCT/US2019/051357

Microorganism

US 62/985428

US 62/987759

US 62/987767

US 62/987803

PCT/US2019/051357

PCT/US2019/051357Enhanced Secretion of Cannabinoids

New Provisional Patents

(filed Apr 2020)

Levadura Business Model

Primary

Partner

Licensee

Partner

CBG

CBD/THC

Others

ConsumerProducts

Rare CannabinoidsTHCV, CBC, CBV, etc.

Novel Cannabinoid(s)

Secondary

In Parallel

Produce & SellIngredients

License Technology

Partner with Pharma

Experienced and Successful Management Team

Alex Hutagalung, Ph.D.

CSO

• Highly published, multidisciplinary scientific leader credited with 3 U.S. patents.

• Led highly successful teams and projects in startup environments

• Deep experience in metabolic and protein engineering of yeast

Brian Conn

CFO

• Over $250m capital raised including equity, debt and grants

• Successful at taking startups through commercialization

• Broad operational experience including marketing and manufacturing

Matt Engler

CEO

• Over eight years of business development and strategy experience in biotechnology

• Five years proprietary equity and derivatives trading on Wall Street

• MBA from Rady School of Management

José M Laplaza, Ph.D.

CTO

• Recognized leader with over 15 years in industrial biotechnology.

• Credited with 13 patents covering from strain engineering to process development.

• Successfully managed two projects from concept to commercialization.

• Proven track record in renewable chemicals and food ingredients

Concept Commercial

✓ Genetic Engineering

✓ Scale-Up✓ Fermentation ✓ Operations✓ Project Finance

✓ Purification ✓ Business Development

Fundraising Strategy

Sept 2018 – Apr 2019

$30 k

Provisional patent applications filed

Timeline

Round Size

Milestones

Valuation Converted to SAFE

April 2019 – June 2020

$300 kSEED

• Conversion to patent application

• Proof of concept –vegetable oils to CBGA, and THCA from olivetolic acid

SAFE (discount to Series A)

June 2020 – June 2021

$2 MMSERIES A

• Purified CBGA for commercial development

• Production of CBDA and THCA in fermenters

• Established commercial partnerships

• Patent granted

Expected $5 MM pre-money

(Raising Capital at Value Inflection Points)

June 2021 – Jan 2023

$13.5 MMSERIES B

• Key production metrics achieved

• Technology ready for scale-up and tolling

• Offtake and co-development agreements with customers

Comparable Companies:Demetrix, Teewinot, Willow

Biosciences, Amyris

Acq

uisitio

n o

r IPO

Achieved Targets

Current Ask

2023: Acquisition ReadyCannabis Plant Based

Production Cost (THC Equivalents)

Aurora 3,200 ($/kg) Q1 2020

Aphria 4,200 ($/kg) Q2 2020

6,790

3405

1712

358 189

-

1,000

2,000

3,000

4,000

5,000

6,000

7,000

8,000

0 2 4 6 8 10 12

Titer (g/L)

Levadura Estimated Cost of Manufacturing ($/kg)

Levadura Based

Expected Production Cost (THC Equivalents)

Levadura 350 ($/kg) Q2 2023

Why acquire instead of being a Levadura customer?• Reduction in COGS of up to 90%

• IP position allows for blocking competitors from accessing Levadura product creating sustainable competitive advantage

• 1-week production cycle allows for quick response to changes in market demand

• Acquirer can produce using Levadura technology under existing license

• Small footprint and economies of scale allows for state by state production

Levadura Target Production Metric, 5 g/L

Pro-Forma Financials

Financial Projections ($million)

2023 2024 2025 2026 2027 Nutraceuticals 4.1 6.8 8.4 15.6 25.5 Beverages 2.1 4.4 19.6 32.1 Edibles 13.3 10.5 3.6 Devices 6.5 10.7 11.0 24.5 40.1 Spec. Oils 3.3 4.3 4.4 9.8 16.0 Pharma 3.6 11.3 34.6 57.6

Total revenue 27.2 37.9 43.0 104.1 171.3 Gross profit 21.8 30.3 34.4 83.4 137.0

margin 80% 80% 80% 80% 80%

Operating profit 13.6 18.9 21.5 52.1 85.7

margin 50% 50% 50% 50% 50%

Series A: Deal Terms and Use of Funds

Series A• $2 million convertible preferred stock to

optimize technology, secure IP position, and produce market development samples of first cannabinoid product

• $5 million pre-money valuation• Full participation rights• 1x liquidation preference over common stock

Series A Use of Funds

(in thousands)

Thank You

Levadura Biotechnology

Matt Engler

Chief Executive Officer

Matt@levadurabio.com

(858) 922-5882

Brian Conn

Chief Financial Officer

Brian@levadurabio.com

(858) 449-5658