EX-99.1 2 d732986dex991.htm EX-99.1 EX-99.1
A Better World through Better DNA
™
Investor Presentation
May 2014
Exhibit 99.1

©
2014 Intrexon Corp.  All rights reserved.
2
Forward-Looking Statements
Special Note Regarding Forward-Looking Statements
Some
of
the
matters
discussed
in
this
presentation
may
constitute
forward-looking
statements
within
the
meaning
of
the
“safe
harbor”
provisions
of
the
Private
Securities
Litigation
Reform
Act
of
1995.
Forward-looking
statements
relate
to
expectations,
beliefs,
projections,
future
plans
and
strategies,
anticipated
events
or
trends
and
similar
expressions
concerning
matters
that
are
not
historical
facts.
The
forward-looking
statements
are
based
on
Intrexon’s
beliefs,
assumptions
and
expectations
of
its
future
performance,
taking
into
account
all
information
currently
available
to
it.
These
beliefs,
assumptions
and
expectations
can
change
as
a
result
of
many
possible
events
or
factors,
not
all
of
which
are
known
to
Intrexon
or
are
within
its
control.
The
following
factors,
among
others,
could
cause
actual
results
to
vary
from
the
forward-looking
statements:
These
risks
and
uncertainties
include,
but
are
not
limited
to,
(i)
our
ability
to
enter
into
new
exclusive
channel
collaborations
(ECCs)
and
joint
ventures;
(ii)
developments
concerning
our
existing
ECCs;
(iii)
competition
from
existing
technologies
and
products
or
new
technologies
and
products
that
may
emerge;
(iv)
our
ability,
and
the
ability
of
our
collaborators,
to
protect
our
intellectual
property
and
other
proprietary
rights
and
technologies;
(v)
the
ability
of
our
collaborators
to
secure
any
necessary
regulatory
approvals
to
commercialize
any
products
developed
under
the
ECCs;
(vi)
the
rate
and
degree
of
market
acceptance
of
any
products
developed
by
a
collaborator
under
an
ECC;
and
(vii)
our
expectations
relating
to
AquaBounty.
Intrexon
does
not
undertake
any
obligation
to
update
any
forward-looking
statements
to
reflect
circumstances
or
events
that
occur
after
the
date
on
which
such
statements
were
made
except
as
required
by
law.
Additional
information
about
factors
affecting
Intrexon
is
available
in
Intrexon’s
Annual
Report
on
Form
10-K
for
the
year
ended
December
31,
2013,
and
Quarterly
Report
on
Form
10-Q
for
the
period
ended
March
31,
2014,
and
other
filings
with
the
SEC,
which
are
available
at
www.sec.gov.
Use of Non-GAAP Financial Measures
This
presentation
presents
Adjusted
EBITDA
and
Pro
Forma
Adjusted
EBITDA
earnings
per
share,
which
are
non-GAAP
financial
measures
within
the
meaning
of
applicable
rules
and
regulations
of
the
Securities
and
Exchange
Commission
(“SEC”).
For
a
reconciliation
of
Adjusted
EBITDA
to
net
loss
attributable
to
Intrexon
in
accordance
with
generally
accepted
accounting
principles
and
for
a
discussion
of
the
reasons
why
the
company
believes
that
these
non-GAAP
financial
measures
provide
information
that
is
useful
to
investors
see
the
tables
below
under
“Reconciliation
of
GAAP
to
Non-
GAAP
Measures.”
Such
information
is
provided
as
additional
information,
not
as
an
alternative
to
our
consolidated
financial
statements
presented
in
accordance
with
GAAP,
and
is
intended
to
enhance
an
overall
understanding
of
our
current
financial
performance.

©
2014 Intrexon Corp.  All rights reserved.
3
Intrexon Overview
•
Leader in the emerging field of synthetic biology using an iterative process
that is rapid, automated and highly reproducible
•
Over the past 16 years we have developed a proprietary and complimentary
suite of technologies to design, modify and regulate gene programs
•
Apply engineering principles to biological systems in large, well-established
markets
•
Our unique Exclusive Channel Collaboration (ECC) model enables the level of
scale and capital efficiency needed to address multiple large market
opportunities
•
Royalty structure & equity ownership in ECC partners provide multiple paths
to deliver meaningful returns to our shareholders
•
To date our unique technology has attracted a world class management team
and collaborations with large companies such as Johnson & Johnson and
Elanco, among others

©
2014 Intrexon Corp.  All rights reserved.
4
Synthetic Biology 101
•
Synthetic Biology sits at the intersection of biology and technology and has
the potential to redefine many of the world’s challenges
•
It combines fundamental principles of biology, engineering and informatics
to facilitate the rational design, programming and construction of novel DNA,
proteins and cells, which in turn produce desired bio-function in numerous
high-value applications
•
A study from BCC Research predicts the Synthetic Biology sector will grow to
$10.8 Billion by 2016, and a McKinsey & Co study estimates its impact could
reach $100 Billion by 2025
High Value Applications
Human Therapeutics
Industrial Products
Agriculture
Animal Sciences
Aquaculture
Protein Production
Environmental Products
Biology,
Engineering,
and
Informatics
DNA
Cells
Proteins

©
2014 Intrexon Corp.  All rights reserved.
5
Platform Neutral
Knowledge Driven
Rationally Designed
Capable of Complexity
Industrial Scale
Key Characteristics of Our Platform

©
2014 Intrexon Corp.  All rights reserved.
6
•
Our
UltraVector®
platform
is
the
Operating
System
for
DNA
Solutions
allowing
us
to
translate
complex
gene
programs
into
standard
components
that
can
be
manufactured
in
a
robust,
automated
format
•
This
proprietary
technology
enables
precise
control
over
function
and
output
of
living
cells,
and
industrial
scale
production
capability
at
the
cellular
level
UltraVector®
–
Our Proprietary OS for DNA Solutions

©
2014 Intrexon Corp.  All rights reserved.
7
RheoSwitch Therapeutic System®
(RTS®) Technology
•
Our
exclusive
biologic
switch,
incorporated
into
our
UltraVector®
designed
vectors,
providing
the
most
advanced
clinical
method
to
turn
genes
on
and
off
•
Ability
to
express
proteins
and
enzymes
as
well
as
control
level
and
timing
of
expression
•
RTS®
has
demonstrated
highly
controllable
expression
both
in
vivo
and
ex
vivo
Gene off
Gene on
(+activator ligand)

©
2014 Intrexon Corp.  All rights reserved.
8
Improved Outcomes with Our Technology Suite
Intrexon’s integrated technology suite allows us to rapidly
design-build-test-learn enabling us to predict the probability of success &
achieve improved outcomes
across various applications in diverse markets 
RheoSwitch®: Proprietary on/off
biologic switch for highly controlled
gene expression 
Cell Processing: LEAP®
(Laser-Enabled
Analysis and Processing) to select and
isolate cells of interest 
Cell Systems Informatics:
Bioinformatics software/database
platform permitting swift designs
mAbLogix™: Allows for antigen
targeting using “fully human”
monoclonal/polyclonal antibodies  
Protein Engineering: Extremely fast &
cost-productive platform for generating
protein biologics
AttSite®
recombinases: Facilitates rapid
integration of DNA into targeted
genomic locations
UltraVector®: OS For DNA Solutions 

©
2014 Intrexon Corp.  All rights reserved.
9
Global human pharmaceuticals market is estimated over $900 Billion
of which biological therapeutics represents roughly $150 Billion. *
* According to IMS (Health), Pike Research (Energy), Euromonitor
(Consumer), ISAAA (Food), and Industry Experts (Environment)
Global
biofuels
market
predicted
to
grow
from
$83
Billion
in
2011
to
$185
Billion
in
2021.*
Global sales in the beauty and personal care industry totaled $426
Billion
in 2011.*
Global GMO plants grow on 170MM hectares and are worth ~$65
Billion.
Global
aquaculture
market
is
valued
at
over
$110
Billion.
*
Global biosensor global market is forecasted to exceed $12 Billion by
2016. Bioremediation to reach over $1 Billion by 2016. *
Broad Market Potential For Our Solutions
Health
Health
Food
Food
Consumer
Consumer
Energy
Energy
Environment
Environment

©
2014 Intrexon Corp.  All rights reserved.
10
Our ECC Model Is Scalable and Capital Efficient 
An Exclusive Channel Collaboration (ECC) is an agreement with a collaborator
to develop and market products in its field of expertise, enabling a
capital efficient, scalable business model to address the broad applicability
of our technology across many diverse end markets
Partner
Intrexon
•
Technology Access
Fees
•
Cost Recovery
•
Milestones
•
Backend Economics
•
Exclusive License in
Their Field of
Expertise
•
Strategic Access To
All of Intrexon’s
Technology
•
Commercialize
Valuable Products 

©
2014 Intrexon Corp.  All rights reserved.
11
* See Appendix A;  #* As of market close May 23, 2014
•
Our royalty structure varies among our ECCs, from low to upper single-digits
of net sales in some partnerships, to 50% of net profits in others*
•
Intrexon
owns
approximately
$153Million
#
*
in
total
equities
in
connection
with
its
ECC
partners
ECC Model Provides Multiple Paths To Drive Shareholder Value

©
2014 Intrexon Corp.  All rights reserved.
12
Large Addressable Opportunity In Healthcare
Utilization of Intrexon’s suite of
proprietary and complementary technologies has the potential
to facilitate end-to-end development of new therapeutics

©
2014 Intrexon Corp.  All rights reserved.
13
Synthetic Immunology for Cell-based Oncology Treatments
Synthetic Immunology for Cell-based Oncology Treatments
Intrexon has the integrated technology platforms, molecular engineering, systems
biology,
and
cell
engineering
capabilities
required
to
actualize
the
potential
of
CAR-T Cell therapies. Utilization of our RheoSwitch
®
facilitates exquisite regulation
of
multiple
bioeffectors
in
CAR-T
Cells
enabling
physicians
to
control
systemic
effects of cell therapies by delivering minimally invasive oral activator ligands.
Intrexon’s UltraCART Initiative
Intrexon’s UltraCART Initiative

©
2014 Intrexon Corp.  All rights reserved.
14
“Ad-RTS-IL-12 seems to offer precise control over a potent immuno-oncology
“Ad-RTS-IL-12 seems to offer precise control over a potent immuno-oncology
weapon, the IL-12 cytokine…unlike other therapies the ability to control IL-12
weapon, the IL-12 cytokine…unlike other therapies the ability to control IL-12
expression in vivo may prove to be ground breaking.”
expression in vivo may prove to be ground breaking.”
ZIOPHARM Oncology
ZIOPHARM Oncology
Clinical expression of anti-cancer effectors
under RheoSwitch®
control:
•
High expression of IL-12 mRNA in tumors, tightly
controlled by dose of veledimex (activator ligand)
•
Modulated immune response with Ad-RTS-IL-12
has resulted in anti-tumor effects in both injected
lesions and systemic non-injected lesions in
subjects with melanoma and breast cancer
ECC Economics
•
ZIOP will pay XON 50% net quarterly profits
derived from sale of products
*Source: Ziopharm Press Release, May 22, 2014
**Source: Ziopharm March 2014 Investor Presentation
-
Antonio Chiocca, MD, PhD, Chairman, Neurosurgery at Brigham and Women's
Hospital, and Professor of Surgery at Harvard Medical School *

©
2014 Intrexon Corp.  All rights reserved.
15
OvaScience and OvaXon
OvaScience and OvaXon
•
OvaTure
SM
is an approach to IVF
using woman’s
own EggPCs (immature egg cells)
•
May provide new option for women with
compromised eggs, or who may be unwilling or
unable to undergo hormone treatment
•
$2.5 million payment by OVAS to XON in common
stock and $2.5 million due one year after signing
•
Commercial milestone payment and royalties
OvaXon Joint Venture
Accelerating the development of next-gen approach
to in vitro fertilization (IVF)
Source: CDC 2009 report on Assisted Reproductive Technology
•
Improving human and animal health
•
Offer innovative approach for prevention of
inherited diseases in humans
•
Equal share in the R&D costs

©
2014 Intrexon Corp.  All rights reserved.
16
Healthcare Pipeline
Healthcare Pipeline

©
2014 Intrexon Corp.  All rights reserved.
17
-
Robert F. Walsh, SVP of Intrexon’s Energy Sector
•
IEP is first partnered endeavor to optimize and scale Intrexon’s gas-to-
liquid bioconversion platform for production of fuels and lubricants
•
Initial target product is isobutanol from natural gas which is lowest
cost carbon feedstock after coal
•
New investors committed $50MM comprised of $25MM for 50%
partnership interest & $25MM additional capital (matched by XON)
Engineering Energy
Engineering Energy
"Our synthetic biology toolbox and whole genome engineering capabilities enable
Intrexon to generate a biocatalyst solution with the highest economic return,
maximizing energy output using fewer resources."
•
Natural gas upgrading to higher value fuels and chemicals including
isobutanol, acids, terpenes, fragrances, lubricants and alcohols
•
Developing
economically
viable
alternatives
to
carbon
feedstocks
via
natural production platforms (plant or microbe) for building block
chemicals

©
2014 Intrexon Corp.  All rights reserved.
18
Combining Intrexon’s synthetic biology approaches with capabilities
at Johnson & Johnson Innovation as well as Johnson & Johnson Consumer &
Personal
Products
Worldwide,
technical
and
commercial
experts
at
both
companies will work together to advance new skin and hair products.
Consumer Opportunity
Consumer Opportunity

©
2014 Intrexon Corp.  All rights reserved.
19
Potential To Improve Food Yields
Potential To Improve Food Yields

©
2014 Intrexon Corp.  All rights reserved.
20
AquaBounty Technologies
AquaBounty Technologies
Source: AquaBounty Technologies
AquAdvantage®
Salmon (AAS)
Awaiting FDA approval*
Genetically enhanced finfish endowed with
advantageous traits to enhance efficiency and
sustainability of farmed seafood
•
Aquaculture is a $110 billion industry and the
fastest growing segment of the worldwide
food industry
•
AAS grows to market weight in half the time
•
AAS suggests proof of concept for use of
synthetic biology in aquaculture
Exclusive Collaboration
•
ECC developing the next generation of
genetically enhanced finfish products
•
AquaBounty will pay XON 16.7% of quarterly
gross profits for each collaboration product

©
2014 Intrexon Corp.  All rights reserved.
21
Year
1961
1970
1980
1990
2000
2008
2015
2030
2050
World’s Natural Resource Capacity
0.0
0.5
1.0
1.5
2.0
2.5
Source: WWF Living Planet Report 2012
Population Growth Increasingly Driving Demand
Population Growth Increasingly Driving Demand
At current rates of population growth and consumption
trends it is estimated that by 2030 we will need the equivalent
of two Earths
to meet annual demand

©
2014 Intrexon Corp.  All rights reserved.
22
Focused On Environmentally Friendly Solutions
Focused On Environmentally Friendly Solutions

©
2014 Intrexon Corp.  All rights reserved.
23
Look To Increase ECCs and R&D Collaborations Moving Forward
Look To Increase ECCs and R&D Collaborations Moving Forward
Health
Food
Energy
Environment
Intrexon’s bio-engineering platform will provide collaborators across 
many diverse markets with direct access to our proprietary technologies
and capabilities to design, test, and build solutions

©
2014 Intrexon Corp.  All rights reserved.
24
We aspire to convert our technology leadership in synthetic biology to
industrial
leadership,
and
envision
revenue
and
technology
growth
through
expansion of our ECCs, exclusive R&D collaborations and strategic acquisitions
ECC Growth to Drive Revenues In Capital Efficient Manner 
ECC Growth to Drive Revenues In Capital Efficient Manner 

©
2014 Intrexon Corp.  All rights reserved.
25
Financial Snapshot
Financial Snapshot
3 months ended
3 months ended
March 31, 2014
March 31, 2014
Total Cash and Investments (excluding equity securities)
$263 million
Total Equity Securities In Connection With ECCs
$169 million
Net income (loss) attributable to Intrexon
$4.1 million
Basic and diluted EPS
$0.04
Adjusted EBITDA
$17.6 million*
Basic and diluted pro forma adjusted EBITDA per share
$0.18*
Cost recovery revenues as % of total cash opex
35%
Approximately 99 million shares outstanding
230 employees as of March 31, 2014
*Non-GAAP financial measure.  See Appendix.

©
2014 Intrexon Corp.  All rights reserved.
26
Randal J. Kirk, Chairman and CEO -
Mr. Kirk serves on the Board of Directors of Halozyme Therapeutics, Inc. (NASDAQ: HALO) as
well
as
the
Board
of
Directors
of
ZIOPHARM
Oncology,
Inc.
(NASDAQ:
ZIOP).
In
addition,
Mr.
Kirk
is
Founder,
Senior
Managing
Director and Chief Executive Officer of Third Security, LLC, an investment management firm. Prior to Intrexon, Mr. Kirk was
Chairman of the Board of Clinical Data, Inc., until the NASDAQ-traded company was acquired by Forest Laboratories, Inc. in April
2011. Mr. Kirk was also Chairman of the Board of New River Pharmaceuticals Inc., a specialty biopharmaceutical company he
founded in 1996, until its acquisition by Shire plc on April 18,
2007.
Thomas D. Reed, Ph.D., Founder, CSO -
Dr. Reed is a molecular geneticist with over twenty years of experience in recombinant
DNA technology. He has developed sophisticated transgenic model systems for studying the role of gene products in neuronal,
cardiovascular, and cancer systems.
Dr. Reed has published numerous peer-reviewed articles in the fields of subcellular
modulation, gene regulation and cardiac function and is an inventor on numerous patents. Dr. Reed co-founded Intrexon in 1998.
Krish S. Krishnan, Chief Operating Officer -
Mr. Krishnan brings many years of experience in the life sciences industry, having held
key executive roles at several companies including, most notably, his tenure as Chief Financial Officer, Chief Operating Officer, and
board member of New River Pharmaceuticals, Inc., previously traded on NASDAQ prior to its acquisition by Shire plc in 2007.
Suma
M.
Krishnan,
Senior
Vice
President,
Product
Development
–
Mrs.
Krishnan
has
served
as
our
Senior
Vice
President
—
Regulatory Affairs since 2012. From 2009 to 2011, Mrs. Krishnan served as Senior Vice President of Product Development at
Pinnacle Pharmaceuticals, Inc. From 2007 to 2009, she served as Chief Financial Officer of Light Matters Foundation. Previously,
Mrs. Krishnan was Vice President, Product Development at New River Pharmaceuticals Inc. from September 2002 until its
acquisition by Shire plc in April 2007.
Samuel Broder, M.D., Executive VP, Scientific and Public Affairs
-
Dr. Broder brings more than 30 years of internal medicine and
oncology
experience
to
Intrexon.
Dr.
Broder
was
Director
of
the
National
Cancer
Institute
(NCI)
during
the
Reagan
administration,
a position he held for six years. Before joining Intrexon in 2012, Dr. Broder was the EVP for Medical Affairs and CMO at Celera
Corporation where he helped advance the human genome project. Dr. Broder also played a major role in developing the first three
FDA-approved AIDS treatments.
Experienced Management Team
Experienced Management Team

©
2014 Intrexon Corp.  All rights reserved.
27
Gregory Frost, Ph.D. –
SVP, Health Sector -
Dr. Frost brings more than 20 years of biotechnology industry and research experience
in
the
areas
of
biochemistry,
molecular
pathology,
pharmacology,
and
drug
delivery.
Previously,
Dr.
Frost
was
the
Chief
Executive
Officer of Halozyme Therapeutics, a company he co-founded in 1999.
Thomas R. Kasser, Ph.D. –
SVP, Food Sector -
Dr. Kasser brings over 25 years of business management experience in the
biotechnology
and
life
sciences
industries.
He
was
most
recently
President
and
CEO
of
Angionics,
Inc.,
an
early-stage
biotech
company focused on novel anti-angiogenic technology directed at therapies for cancer and ocular diseases.  Prior to Angionics, he
was a Covance Corporate VP and GM of Covance Research Products. Dr. Kasser also had over 20 years of experience at Monsanto
Company both in commercial as well as scientific leadership roles.
Robert
F.
Walsh,
III
–
SVP,
Energy
Sector
–
Has
more
than
30
years
of
global
petroleum
and
chemical
industry
experience,
including 26 years at Royal Dutch Shell. Most recently, Mr. Walsh was Chief Commercial Officer of ZeaChem, Inc., a private
industrial biotechnology company developing a cellulose-based bio-refinery platform capable of producing advanced fuels and
chemicals. Previously, Mr. Walsh was CEO of Aurora Biofuels, Inc., a private industrial biotech company developing algae based
alternative
fuels
and
animal
protein.
He
was
also
President
and
Executive
Board
Member
of
LS9,
Inc.,
a
private
industrial
biotechnology company developing biofuels using synthetic biology.
Nir Nimrodi –
SVP, Environment Sector –
Has over 20 years of diverse international experience, in large global businesses in the
life sciences, pharmaceutical, biotechnology, and diagnostics industries.  Prior to joining Intrexon, Mr. Nimrodi was most recently
the VP and GM of Life Technologies, Inc. Food Safety and Animal Health Business, and also served in numerous executive roles,
including CEO and Board Member of Life Technologies Israel and Head of Protein Technologies. 
Kelly Huang, Ph.D. –
SVP, Consumer Sector -
Dr. Huang brings to Intrexon over 18 years experience leading global businesses in life
sciences and consumer healthcare through integration of scientific, consumer, and professional insights to create value by putting
the
customer
and
patient
at
the
center.
Before
joining
Intrexon,
Dr.
Huang
was
President
of
HealthTronics,
a
subsidiary
of
Endo
Health
Solutions,
and
Executive
Committee
Member
of
Endo
where
he
contributed
to
strategic
leadership
across
multiple
sectors
since
2011.
Formerly,
Dr.
Huang
spent
a
significant
16-year
tenure
with
the
Johnson
&
Johnson
Family
of
Companies.
Experienced Market Leaders
Experienced Market Leaders

28
©
2014 Intrexon Corp.  All rights reserved.
Board of Directors
Board of Directors
Cesar Alvarez
Director
Larry Horner
Director
Jeffrey Kindler
Director
Dean Mitchell
Director
Robert Shapiro
Director
•
Currently Executive Chairman of Greenberg Traurig
•
Recognized as one of the “100 Most Influential Lawyers in America”
Steve Frank
Director
•
Previous Chairman of Asia Pacific Wire & Cable, Ltd.
•
Formerly Chairman and Chief Executive Officer of KPMG Peat Marwick
•
Recently Chairman and Chief Executive Officer of Pfizer, Inc.
•
Formerly Executive Vice President and General Counsel at McDonald’s Corporation
•
Currently President and Chief Executive Officer of Lux Biosciences
•
Formerly
Senior
Vice
President,
Clinical
Development
and
Product
Strategy
at
GlaxoSmithKline
•
Currently Co-Founder and Managing Director of Sanbox Industries, LLC
•
Formerly Chairman and Chief Executive Officer of Monsanto Company
•
Currently Chairman of Global Healthcare Investment Banking at J.P. Morgan
•
Formerly head of Bear Stearns Worldwide Health Care Investment Banking Group
James Turley
Director
•
Formerly Chairman and CEO of Ernst & Young
•
Currently serves on the corporate boards for Citigroup and Emerson Electric Company

©
2014 Intrexon Corp.  All rights reserved.
29
Summary
Summary
•
Leading the second generation of biotech through synthetic biology
•
First mover advantage applying proven engineering principles to biological
systems
•
Look
to
convert
our
technology
leadership
position
to
industrial
leadership
position
•
Focus on revenue and technology growth through expansion of our ECCs,
exclusive R&D collaborations and strategic acquisitions
•
Generate shareholder value through equity ownership and royalty structure
of ECCs
•
Broad application for our technology across multiple, large markets

©
2014 Intrexon Corp.  All rights reserved.
30
Thank You

Exclusive Channel Collaborations
Date
Target
Backend Economics
Ownership
Ziopharm
(NASD: ZIOP)
Jan 2011
Cancer
Royalty of 50% net profits
16.4MM Shares
Elanco
(Eli Lilly Animal Health
Subsidiary)
Nov 2011
Chronic Disease in Animals
Royalties between mid-
to upper-single & lower-
double
digits of net sales
Oragenics
(NYSE: OGEN)
Jun 2012
A. Infectious Disease (Lantiobiotics)
B. Oral Cavity Disease (Probiotics)
A. Royalty of 25% Net Profits
B. Royalty of 10% Net Sales 
8.8MM Shares
Synthetic
Biologics
(NYSE:
SYN)
Aug 2012
Infectious Disease (mAb)
Royalty between upper-single & lower-
double digit net
sales
8.7MM Shares
Fibrocell
Science
(NYSE:
FCSC)
Oct 2012
Autologous Fibroblasts
Royalty between 7% and 14% net sales
6MM Shares
AmpliPhi
Biosciences
(OTCBB:
APHB)
Mar 2013
Bacteriophage Therapeutics
Upper-single & lower-
double digits net sales
24MM Shares
Genopaver
Mar 2013
Alkaloid
Lower Double-digits Gross Profits
Soligenix
(OTCBB:
SNGX)
Apr 2013
Infectious Disease (mAb)
Upper-single & lower-
double digits net sales
1MM Shares
OvaScience
Dec 2013
Human Infertility
Not Publicly Disclosed
273K Shares
Agilis Biotherapeutics
Dec 2013
DNA-based Therapeutics
Not Publicly Disclosed
Amneal Pharmaceuticals
Mar 2014
Active Pharmaceutical Ingredient
Not Publicly Disclosed
Appendix
A
A
Exclusive R&D Collaborations
and Joint Ventures
Date
Target
Backend Economics
Ownership
Sun
Pharmaceutical
Industries
(NSEI:
SUNP)
Oct 2013
Ocular Diseases
Royalties in mid-single digits and above; Intrexon’s joint
venture with Sun Pharma is S & I Ophthalmic, LLC
50% of JV
OvaXon, LLC
Dec 2013
Animal Health & Human Inherited
Diseases
Not Applicable; OvaXon, LLC, is Intrexon’s joint venture
with OvaScience
50% of JV
Rentokil
Initial
PLC
(LSE:
RTO)
Sept 2013
Pest Control
Not Publicly Disclosed
Johnson
&
Johnson
(NYSE:
JNJ)
Dec 2013
Skin & Hair
Not Publicly Disclosed
Intrexon Energy Partners, LLC
Mar 2014
Biofuels / Isobutanol
Not Applicable; IEP is joint venture with external investors
50% of JV
Majority-Owned Subsidiary
Date
Target
Backend Economics
Ownership
AquaBounty
(AIM: ABTX)
Oct 2012
Commercial Aquaculture
Royalty of 16.7% gross profits under Feb 2013 ECC terms
86.4MM Shares

©
2014 Intrexon Corp.  All rights reserved.
32
Appendix
B
B
Intrexon Corporation and Subsidiaries
Reconciliation of GAAP to Non-GAAP Measures  (Unaudited)
Adjusted
EBITDA.
To
supplement
our
financial
information
presented
in
accordance
with
U.S.
generally
accepted
accounting
principles
(“GAAP”),
we
present
Adjusted
EBITDA.
A
reconciliation
of
Adjusted
EBITDA to our net income or loss attributable to Intrexon under GAAP appears below.  Adjusted EBITDA is a non-GAAP financial measure that we calculate as net income or loss attributable to Intrexon adjusted
for income tax expense or benefit, interest expense, depreciation and amortization, stock-based compensation, contribution of services by shareholder, unrealized appreciation or depreciation in the fair value of
equity
securities,
gain
on
previously
held
equity
investment,
equity
in
net
loss
of
affiliate
and
the
change
in
deferred
revenue
related
to
upfront
and
milestone
payments.
Adjusted
EBITDA
is
a
key
metric
for
our
management and Board of Directors for evaluating our financial and operating performance, generating future operating plans and making strategic decisions about the allocation of capital.  Management and the
Board of Directors believe that adjusted EBITDA is useful to understand the long-term performance of our core business and facilitates comparisons of our operating results over multiple reporting
periods.
We
are
providing
this
information
to
investors
and
others
to
assist
them
in
understanding
and
evaluating
our
operating
results
in
the
same
manner
as
our
management
and
board
of
directors.
While
we
believe
that
this
non-GAAP
financial
measure
is
useful
in
evaluating
our
business,
and
may
be
of
use
to
investors,
this
information
should
be
considered
as
supplemental
in
nature
and
is
not
meant
as
a
substitute
for the related financial information prepared in accordance with GAAP. In addition, this non-GAAP financial measure may not be the same as non-GAAP financial measures presented by other companies. 
Adjusted EBITDA is not a measure of financial performance under GAAP, and is not intended to represent cash flows from operations under GAAP and should not be used as an alternative to net income or loss as
an
indicator
of
operating
performance
or
to
represent
cash
flows
from
operating,
investing
or
financing
activities
as
a
measure
of
liquidity.
We
compensate
for
the
limitations
of
Adjusted
EBITDA
by
using
it
only
to supplement our GAAP results to provide a more complete understanding of the factors and trends affecting our business.  Adjusted EBITDA has its limitations as an analytical tool and you should not consider it
in isolation or as a substitute for analysis of our results as reported under GAAP.
In addition to the reasons stated above, which are generally applicable to each of the items we exclude from our non-GAAP financial measure, we believe it is appropriate to exclude certain items for the following
reasons:
Interest
expense
may
be
subject
to
changes
in
interest
rates
which
are
beyond
our
control;
Depreciation
of
our
property
and
equipment
and
amortization
of
acquired
identifiable
intangibles
can
be
affected
by
the
timing
and
magnitude
of
business
combinations
and
capital
asset
purchases;
Stock-based
compensation
expense
is
a
noncash
expense
and
may
vary
significantly
based
on
the
timing,
size
and
nature
of
awards granted and also because the value is determined using formulas which incorporate variables, such as market volatility; Contribution of services by shareholder is a noncash expense which we exclude in
evaluating our financial and operating performance; Unrealized appreciation or depreciation in the fair value of securities which we hold in our collaborators may be significantly impacted by market volatility and
other
factors
which
are
outside
of
our
control
in
the
short
term
and
we
intend
to
hold
these
securities
over
the
long
term;
Equity
in
net
loss
of
affiliate
and
the
gain
on
such
equity
investment
occurred
as
a
result
of
our
initial
investment
in
AquaBounty
in
the
fourth
quarter
of
2012
and
the
subsequent
additional
investment
in
the
first
quarter
of
2013
which
resulted
in
a
controlling
interest
by
us
and
the
consolidation
of
the
investment.  We believe excluding the impact of such losses or gains on these types of strategic investments from our operating results is important to facilitate comparisons between periods; and GAAP requires us
to account for our collaborations as multiple-element arrangements.  As a result, we defer certain collaboration revenues because certain of our performance obligations cannot be separated and must be accounted
for as one unit of accounting.  The collaboration revenues that we so defer arise from upfront and milestone payments received from our collaborators, which we recognize over the future performance
period
even
though
our
right
to
such
consideration
is
neither
contingent
on
the
results
of
our
future
performance
nor
refundable
in
the
event
of
nonperformance.
In
order
to
evaluate
our
operating
performance,
our
management
adjusts
for
the
impact
of
the
change
in
deferred
revenue
for
these
upfront
and
milestone
payments
in
order
to
include
them
as
a
part
of
adjusted
EBITDA
when
the
transaction
is
initially
recorded. 
The
adjustment
for
the
change
in
deferred
revenue
removes
the
noncash
revenue
recognized
during
the
period
and
includes
the
cash
and
stock
received
from
collaborators
for
upfront
and
milestone
payments
during
the
period.
We
believe
that
adjusting
for
the
impact
of
the
change
in
deferred
revenue
in
this
manner
is
important
since
it
permits
us
to
make
quarterly
and
annual
comparisons
of
our
ability
to
consummate
new collaborations or to achieve significant milestones with existing collaborators.  Further, we believe it is useful when evaluating our financial and operating performance, generating future operating plans and
making strategic decisions about the allocation of capital.
Pro
forma
adjusted
EBITDA
per
share.
Our
calculations
for
pro
forma
adjusted
EBITDA
per
share,
basic
and
diluted,
assumes,
as
of
the
end
of
the
respective
period,
the
conversion
of
all
outstanding
shares
of our
redeemable convertible preferred stock plus all cumulative dividends payable thereon into shares of common stock as if such conversion had occurred as of the later of (i) the beginning of the period or (ii) the
issuance date of those shares.  Because all of our shares of redeemable convertible preferred stock and all accrued and cumulative dividends thereon automatically converted into common shares upon the closing of
our initial public offering on August 13, 2013, we believe that the inclusion of such shares on an as-converted basis results in a useful metric for our investors, analysts and others when evaluating our results on
a
comparable
basis
with
other
periods.
While
our
management
and
board
of
directors
believe
that
this
non-GAAP
per
share
metric
is
useful
in
evaluating
our
past
adjusted
EBITDA
results,
and
may
be
of
use
to
investors, analysts and others, this information should be considered supplemental in nature and is not meant as a substitute for the per share information prepared in accordance with GAAP.  In addition, this non-
GAAP per share metric may not be the same as non-GAAP per share metrics presented by other companies. Pro forma adjusted EBITDA per share is not a measure of financial performance under GAAP, and is
not
intended
to
represent
cash
flows
per
share
from
operations
under
GAAP
and
should
not
be
used
as
an
alternative
to
net
income
or
loss
per
share
as
an
indicator
of
operating
performance
or
to
represent
cash
flows from operating, investing or financing activities as a measure of liquidity. We compensate for the limitations of pro forma adjusted EBITDA per share by using it only to supplement our GAAP results to
provide a more complete understanding of the factors and trends affecting our business. Pro forma adjusted EBITDA per share has its limitations as an analytical tool and you should not consider it in isolation or as
a substitute for analysis of our results as reported under GAAP.
Continued on next slide…

©
2014 Intrexon Corp.  All rights reserved.
33
Appendix
B continued
B continued
(1) Pro forma adjusted EBITDA per
share, basic and diluted have been
calculated for the three month period
ended March 31, 2013 after giving
effect to (i) the conversion of
112,906,464  shares of our preferred
stock outstanding on January 1, 2013
into 64,517,977 shares of common
stock upon the completion of our
initial public offering; (ii) the
issuance of 8,178,964 shares of
Series F preferred stock issued
between January 1, 2013 and March
31, 2013 and the conversion of those
shares into 4,673,693 shares of our
common stock upon the completion
of our initial public offering; and (iii)
the conversion upon the completion
of our initial public offering of
aggregate cumulative dividends on
the our preferred stock of $56.9
million into 3,553,776 shares of our
common stock at the initial public
offering price of $16.00 per share.