Making the Food You Love a Healthier Choice™ · future developments or otherwise, should...
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1 Making the Food You Love a Healthier Choice™
Transcript of Making the Food You Love a Healthier Choice™ · future developments or otherwise, should...
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Making the Food You Love a Healthier Choice™
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Thiscommunicationcontains“forward-lookingstatements”withinthemeaningofthesafeharborprovisionsoftheU.S.PrivateSecuritiesLitigationReformActof1995.Insomecases,youcanidentifythesestatementsbyforward-lookingwordssuchas“may,”“might,”“will,”“should,”“expects,”“plans,”“anticipates,”“believes,”“estimates,”“predicts,”“potential”or“continue,”thenegativeofthesetermsandothercomparableterminology.Theseforward-lookingstatements,whicharesubjecttorisks,uncertaintiesandassumptionsaboutus,mayincludeprojectionsofourfuturefinancialperformance,ouranticipatedgrowthstrategiesandanticipatedtrendsinourbusiness.Thesestatementsareonlypredictionsbasedonourcurrentexpectationsandprojectionsaboutfutureevents.Thereareimportantfactorsthatcouldcauseouractualresults,levelofactivity,performanceorachievementstodiffermateriallyfromtheresults,levelofactivity,performanceorachievementsexpressedorimpliedbytheforward-lookingstatements,includingthosefactorsdiscussedunderthecaptionentitled“RiskFactors”inourAnnualReportonForm10-K,alongwithourotherfilingswiththeU.S.SecuritiesandExchangeCommission.Wedonotassumeanyobligationtopubliclyproviderevisionsorupdatestoanyforward-lookingstatements,whetherasaresultofnewinformation,futuredevelopmentsorotherwise,shouldcircumstanceschange,exceptasotherwiserequiredbysecuritiesandotherapplicablelaws.
FORWARD LOOKING STATEMENTS
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Whatifthefoodsyoulovecouldimproveyourhealth?
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Who is Calyxt?Food ingredients for consumer health
Weare…
acompanydevelopinghealthierspecialtyfoodingredients……byleveragingcuttingedgesciencetodevelopfoodcropsthroughgeneeditingtechnologies
ConsumerNeedsHealthierfoodingredients
FarmerNeeds
CuttingEdgeGeneEditingTechnologies
andTechnicalExpertise
InnovativeProductDevelopmentCapabilities
IdentityPreservedSupplyChain
SpecialtyFoodIngredients
Howwearebuildingapathtomarket...
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Recent Investment Highlights
ü CalynoTMHighOleicSoybeanOilisthefirstevergene-editedfoodproducttosuccessfullyundergoreviewbytheUSDAandFDAandbecommercializedintheU.S.
ü CalynoHighOleicSoybeanOilisnowavailablefromoneoftheworld’slargestbroadlinefoodservicedistributors
ü Soldoutofseedforthe2019growingseasonwith55,000Calyxtsoybeanacrescontracted,representinga3xgrowthcomparedto2018acres
ü KemXGlobalrefininghigh-oleicsoybeanoil
ü AmericanNaturalProcessorscrushingandprocessinghigh-oleicsoybeansü AgtegraCooperativedistributingCalyxtHighOleicSoybean
ü SuccessfulharvestofHigh-FiberWheatfieldtrialswithcommerciallaunchplannedasearlyas2022
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ProductPipeline
SoybeanProductsHighOleicSoybean
HighOleic/LowLinolenicSoybean
WheatProductsHighFiberWheat
OtherCropsImprovedQualityAlfalfa
ColdStoragePotato
ReducedBrowningPotato
ProductCandidate
PhaseI PhaseII PhaseIII
Commercial
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Calyno High Oleic Soybean Oil
• 80%oleicacid• 20%lesssaturatedfats• Zerotransfatsperserving• Similaroilprofiletooliveoil• Upto3xincreasedfry-life• Neutraltastedesiredbycertainfoodapplications
CalynoHighOleicSoybeanOilComposition2,3
OleicOilCompositionComparison2,3Status
Zero Trans Fats - Enhancing Health Attributes by Improving Oil Composition
1. “WHOplantoeliminateindustrially-producedtrans-fattyacidsfromglobalfoodsupply,”May14,2018http://www.who.int/news-room/detail/14-05-2018-who-plan-to-eliminate-industrially-produced-trans-fatty-acids-from-global-food-supply
2. Companydata3. CodexAlimentarius,StandardsforNamedVegetableOils,CODEXSTAN210-1999
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50
100
Commodity CalyxtHOSoybean
Linoleic Linolenic Saturated Oleic
15242731
52616980
0% 20% 40% 60% 80% 100%
SafflowerSoybean
SunflowerMaizePeanutCanolaOlive
CalyxtHOSoybean
Oleic Saturated Polyunsaturated
Ø CommerciallaunchinQ12019Ø Supplychainpartnershipsestablished
RegulatoryBackground
• FDAbanontheadditionoftransfatstofoodproducts-firstphase2018
• EliminationoftransfatsfromtheglobalfoodsupplyisaprioritytargetofWHO’sstrategicplan1
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Calyxt HO Soy Business Model High Oleic Soybean Value Chain has Three Revenue Opportunities
Calyxtcontractsfarmerstogrowhigholeicsoybeans
Calyxtcontractscrusherstoprocesshigholeicsoybeanstomealandoil
CalynoTM-Calyxtsellshigholeicsoybeanoil
Calyxtutilizesexistingseedproducerstoproducehigholeicsoybeans
GrainProduction Processing SaletoFoodIndustryCustomers
SeedProduction
Distributor
HOSoybeanOil
HOSoybeanMeal
HOSoybeanSeedsoldtogrowers
HOSoybeanMealsoldasproteinforanimalnutrition
HOSoybeanOilsoldtofoodservicedistributorsandfoodcompaniesasaspecialtyingredient
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Super-Charge Distribution - Example Agtegra collaboration improves logistics and de-risks supply-chain
IDPStorageandHandling
SeedDistributionandTransportation
PooledAgronomicAdvice
AccesstoLargeFarmerNetwork
• Agtegraisaninnovativefarmerownedgrainandagronomycooperativeservingover6,300farmermembersacrossNorthandSouthDakota
• 8thlargestagretailerintheUnitedStates
• CalyxtandAgtegraworktogethertoprovidefieldservicesforproperplacementandagronomicadviceduringthegrowingseason
• AgtegradistributesCalyxtHighOleicSoybeanseedstothecooperative’sfarmermembersinSouthDakota
• Agtegraprovideslogisticsandtransportationservicesforgrainshipments
• StorageandhandlingofCalyxtHighOleicSoybeangrainatAgtegraundertheCalyxtSoybeanIdentityPreservedProgram
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0% 50% 100% 150%
Apples,raw,withoutskinCarrotsOrange
Commodityriceflour,brownCommodityoatflour,partiallydebranned
QUAKER,100%NaturalGranolaOatsandHoneyCommoditycornflour,wholegrain
Peas,green,rawCommoditywholewheatflour
Almonds,dryroastedKELLOGG'S,SPECIALKLowCarbLifestyleProtein
Calyxtwheatflour,wholegrain
%DailyValue
Dietaryfibercontentcomparison
High Fiber Wheat
Calyxt’sHighFiberWheatComposition5
CalyxtHighFiberWheatComparison4,5
Status/Timing
White Wheat Flour with Up to 3x More Fiber
• CurrentlyinPhase2• 2018:SuccessfulfieldtestingofCalyxtHigh
FiberWheatFlour• 2020:Developmentofsupplychain• 2022:Anticipatedcommerciallaunch
AsingleservingofCalyxthighfiberflourmayprovideupto100%oftherecommendeddailyvalue
1.CodeofFederalRegulations(2012).Title21,Section101.54-Nutrientcontentclaimsfor“goodsource,”“high,”“more,”and“highpotency.”2.CodeofFederalRegulations(2012).Title21,Section101.76-Healthclaims:fiber-containinggrainproducts,fruits,andvegetablesandcancer.3.CodeofFederalRegulations(2012).Title21,Section101.77-Healthclaims:fruits,vegetables,andgrainproductsthatcontainfiber,particularlysolublefiber,andriskofcoronaryheartdisease.4.Calyxtinternalcalculation5.http://nutritiondata.self.com/
ü “Highinfiber”contentclaim1ü “Mayreduceriskofsometypesofcancer”
labelingclaim2
ü “Mayreduceriskofcoronaryheartdisease”labelingclaim3
PotentialProductFeatures
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ReduceWaste
Insect/DiseaseResistance
HerbicideTolerance
ReduceInputslikenitrogen,phosphorus
IncreaseYield
A Paradigm Shift for Food Ingredients Our Technology Allows Us to Address Both Consumer and Farmer Needs
MOREOF…
LESSOF…
PlantProteins
Nutrients
Color,Flavor
DietaryFibers
GoodFats
Vitamins
SaturatedFatsTransFats Allergens Toxic
Compounds
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Trait Development Process
Revolutionary Trait Development Process Taking the lead in high-value crops through lower development costs and significantly shorter timelines
Phase I
1-2 years
Phase II
1-2 years
Field Validation & Testing
Phase III
1-3 years
Seed Production & Pre-Launch
Healthier Food needs
Market Launch
Creation of Genome-Edited Lines
Calyxt Trait Development Process vs. Traditional Trait Development:
ü Significantly reduces development timelines
ü Significantly reduces development costs
Trait Discovery
Months
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Accelerating Return on Investment Clear Metrics to Unlock Gross Margin Growth Opportunity
ConsumerProductLaunches
SupplyChainImprovements
FarmerProductLaunches
GrossM
argin
ü CommercialLaunchofCalynointheUS
ü GrowacresYOYü Establishfoodcompany
customerfunnel
KeyFactorstoProfit
Growth
• Improvedqualitytraitslaunchedwithout-licensingmodel
• Newadditionalproducts
Time
• Reach100,000acres• regionalexpansion• Introducenewvarieties
• Scale(e.g.moreandlargercrushers)• Nextconsumerproductlaunched(highfiberwheat)
ExpandGeography
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Investor Information
CLXT$85.7Million32.7Million
GoldmanSachs,Citi,Jefferies,WellsFargo,BMO,Ladenburg,NationalSecurities
Ticker(Nasdaq):
CashPosition1:
SharesOutstanding1:
CoveringResearchAnalysts:
Calyxtcorporateheadquartersandfarm-to-tablekitcheninRoseville,Minnesota–openedinSeptember2018
ContactUs:
1AsofMarch31st,2019
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Whatifthefoodsyoulovecouldimproveyourhealth?
Wouldyouevereatanythingelse?
