Best Buy

Formativa

N. Antoni & M. Krishnan

Presentation Outline

The Problem

The Opportunity

The Environment

The Insight: Solution & How it works

The Competition

Strike the Iron while it is hot

The Leaders

Envisioning Success

Reaching Milestones

Financial Plan

Risk & Rewards

Key Issues & Conclusion

The Problem

Growing Epidemic:

20.8 million diabetics in the United States

1.5 million new cases diagnosed in 2005.

Deadly Threats:

3rd leading cause of death within the US

The Opportunity

Market Size & Growth:

$ 132 billion cost in 2002.

Healthcare

1 out of 10 dollars spent in the United States is spent on diabetes and its complications.

The Environment

Stem Cell Industry:

$14.2 billion spent on stem cell research in the next 10 years.

Stem cell therapies market expected growth $10-30 billion by 2010.

Types of Stem Cells:

Cord Blood vs. Others

The Insight

Formativa’s Technology:

Z-Cell

Sustainable Advantages:

Autoimmunity

Pluripotent

Significantly proliferate upon stimulation

Cell feeders and or growth factors are not required

Platform Technology

The Competition

Viable Future Direct Competitors:

Novocell

Via Cell

Expect severe competition from companies such as:

Eli Lilly, Novo Nordisk, J&J, Amylin, and Serono.

Existing Products and Problems:

Insulin & Dependence

Lifetime Cost of Diabetes: $233,000

Transplants

Cost of Islet transplants: $200,000 + $30,000 annually

Strike the Iron while it is hot

Stem Cell Controversy:

Moral Issues Avoided вЂ" Cord Blood

Never Found in Cord Blood Until Zhao:

New Type of Stem Cell вЂ" Advanced Technology

Cord Blood Bank Initiative:

Increased Availability вЂ" Federal Funding

The Leaders

Founders:

Nicholas Antoni - Director of Business Development

UIC Liautaud Graduate School of Business MBA Candidate �07