Hello, and welcome to this investor update with Pharma Equity Group. With us today, we have the Commercial Relationship Director, Pernille Lyngholm-Kjærby. First, there will be a presentation, and afterwards, a Q&A, where Pharma Equity Group will answer questions submitted via Stokk.io. There have already been pre-submitted questions on Stokk.io, and the Q&A is still open, so that you can submit questions live as well. I will now hand over the mic to Pharma Equity Group to start the presentation. Pernille, your line is now open.
Hello, everybody. Good day. Thank you so much for attending this meeting, and I'm enormously pleased to be able to tell a little bit about my job as a commercial relationship director in Reponex Pharmaceuticals. I will have my focus on four different headers in this presentation. I will start introducing myself, and then I will explain a little about how we aim to expand our professional network. I will go in little details with the market analysis we have been doing, and then finally, I will go in detail into our partnership and cooperation strategy. And in the end, you, as Anders told, will have the opportunity to give me some questions, and I will try on the best to answer those. Yeah, I think it's important that you know a little about why am I here.
And I think also the question is, why her? Why is it me that has had this great opportunity to be part of Reponex? I'll tell you a little about my background, and also tell that actually I've only been here for three months, and I enjoy it enormously, and I would love to help Reponex to gain the full potential of what it is doing. My educational background is that I'm a Master of Pharmaceutical Science. This background that is very scientific gives me an opportunity to actually have in-depth discussion with clinicians and also understand the therapeutic areas we are working in. I have also an MBA, which is like a business education, and the combination of those two e ducations, they give me a I think a very good blend of technical and business skills.
At the same time, I have worked more than 20 years in life science industry in many different positions that have give me an insight in how this industry is working, what we can expect, the mindset, way of thinking. In my previous positions, I have been sitting in on both sides of the table, both being the one that should do licensing agreement and the one that should sell the company for in licensing. I think I'm well equipped to take this position. Another question is, why now? What happened? Why is it important for Reponex actually to make this investment in me? If you have, I suppose many of you as stakeholders and shareholders, have read the prospectus, Reponex have now several timelines related to the revenue streams, and to achieve this, and deliver on promises, it is time now to reach out for, and prepare for partnerships.
At the same time, we want to confirm the business case and the clinical strategy, you know, is the best proof of concept, and it will take significant time to analyze and open up for collaboration. Expanding our professional network is a major job, I think, because and it's very important for the company because the professional network is crucial in the process of developing new pharmaceutical products for, and that for several reasons. You need access to expertise. You can, of course, ask, why didn't you already have that? Of course, we have access to certain expertise, but not in a broader context, and the reason for that is that we have had lack of people to do that.
This is a tiny little organization. It's very lean, that has had almost 100% focus on the development, and of course, our CEOs have had more or less 100% focus on investment to secure the financing of what we are doing right now. But we need access to expertise. We need to find out which collaboration opportunities do we have outside the little tiny world we're living in now. We need to have more market intelligence, and also look on further funding investment opportunities. To be attractive for potential partners, we need to increase reputation and credibility in the surroundings where we are working. A group of person I'm focusing on right now is the clinicians, top clinicians, and the clinical medical settings. We need, we explore how we can connect the academic and research institute for further cooperation on clinical trials and as cooperation on research project.
What we do is also we explore and connect the relevant medical associations, which associations are actually within the therapeutic area where we are working. When we connect with them, what do we expect to gain? Of course, we want to know a little more about the trend, which research is done, how those clinicians are thinking? What type of guidelines are they working with? We need to know also, it's very important to know the need of the clinicians and the patient need. It means that we actually have to find out, standing next to the doctor, how is their world? How do they manage the patient? What part is critical in the treatment of a patient? Of course, we also have to look at the exact patient need. Are the patient supposed to be sent home early? Are they supposed to have a high quality in the treatment?
Everything has to be taken into consideration, and therefore, we need to have a close contact with the person, that is the clinicians and nurses that is closest to the patients to get that insight. At the same time, we need network. We need to know who is important and have a mutual impact or mutual insight in the world of the clinicians. Many clinicians also know who is valuable companies and what are other companies doing, how. You know, it's, so it also could give us insight in what could be potentially good partners for us in the future. When I have been looking at who to contact, I especially looking on KOLs, key opinion leaders. Key opinion leaders is doctors with a special impact on the medical society where they're working.
They are usually within a narrow therapeutic area, so there will be several different key opinion leaders to look at. We are not only exploring key opinion leaders in Denmark, but also international. You know, the world is our market. I also look into which type of publications do the doctor have a special interest in our therapeutic areas, and I will take time what we call developments, and because then we can explore potentially cooperations on clinical trials phase II and III. The doctors that is most influential in this the world in this scientific world also will impact their colleagues and open if you get like a cooperation with one doctor, they usually will open both a national and international network. So all in all, we we we really seek ambassadorship among clinicians.
If you look into whether this is perceived important by potential partners, it is crucial. They will, if we don't have, they will ask clinicians, "Do you really want to use this product? Do you think it fill in a clinical gap?" So we'd rather do it ourself, and we'll be able, when we pitch for a potential partner, that of course, we already are connected with the most important doctors, and they potentially embrace a product beforehand. If they was on the market, yes, they would actually use it and find it valuable. Before I will approach potential partners, it's crucial that we have an in-depth market analysis. We have to really understand our markets. We need to know what value we have to market, we need to know which potential our products will have on a future market.
So, a market analysis is a really critical component in our strategic planning, in our strategic planning of Reponex. You need to have a market overview, a product description, on intended use. You need to know the size and the trend of the market, and identifying key players and potential competitors in the market. Who is the target audience? Who, who is the target population? You also have to look at the regulatory environment. What is the requirement for the target market? We need to meet those requirement in our datasets. We also have to look at trend. In the old day, you potentially look at historical data to predict how the future is, but everything has changed. There is so much focus on prices right now, to keep patient at home. There is a lot of stakeholder. You're not always offered the best product on the market.
Maybe it's the cheapest, the one that in an analyst economic analysis seems to be overall cheapest to use. All those things you have to have an in-depth insight into, before you talk with a potential partner. Of course, they will also be interested in what is the revenue potentially within the market? How big is it? It is a growing market, it's a decreasing market. Do they predict any changes in the market? I will give a little more insight into how I have performed competitive analysis. It is pretty time-consuming to do that. You know, there is a lot of online research in that, combined, of course, with personal engagement. But online, you have a lot of potential sources for knowledge. You can see what the companies are the market they are entering. It is not a, it's not a secret at all.
Actually, it's pretty open if you want to use time to analyze it. You can go on clinicaltrials.gov. Every clinical trial in the world has to be presented on that platform. So if you spend a decent time, you actually will know what the different companies are doing of clinical trial. Where do they put their focus? Where will they have data? Which patient type, and where in the world are they working with those indications? Of course, you can also go on PubMed and see what publication has been done, but that is more historical. And there you also have the Med Watch. There are some platforms that, actually have a full focus on what is happening in life science. You know, where do you have product releases? What does FDA think? Where do you have good investments, prediction of new market and focus?
There's a lot of things you can achieve by sitting next to your computer. The only thing is, it takes time to collect all your data, but it's really interesting and valuable. You have to combine it with personal engagement. You know, things you would not know there could be what exactly are they. What are they talking with the doctors? Which type of doctors do they look at or prefer for cooperation? It is very valuable also to talk with potentially different stakeholders in the market to get additional information that is a little more potentially off the record. Not confidential, but not something that is written. Our partnership and cooperation strategy, there is a thorough analysis of potential partners before you decide who to approach.
I will say that I have been sitting, analyzing this for quite a while now, and it is actually not so different from a competitor analysis. What you take out is just what I do is top-down. I start with who could potentially be the most valuable partner out, seen from a different perspective, and then I dig into those potential companies and look as much in detail, in what I can find of public available information, of course, combined with information from other stakeholders face-to-face. What is important here is that there is a strategic fit. I will not contact anyone where I don't think that this potentially will be a major win-win situation.
What do I just mean? It could be a product. It could be a company that actually are going to see the same type of doctors already have some strange scientific strengths and strategic focus within this body area. It could also be a therapeutic area. Because that's my experience, the way that most companies work, they work in silos, where they have, like a cluster of focus products they're working with and an organization built up around this cluster area. My analysis up to now has been on where can we find a fit on a therapeutic area of competencies in a therapeutic area, and actually looked at the potential some companies where they would be fit on more than one product, because several companies have more than one therapeutic area where they have a focus.
Due to the fact that, our, I think, biggest challenge is the financial weakness. We don't have the strength, we don't have all the world or the money in the world. We are definitely going for a company with a severe financial strength. We need some company that have the power to lift our products to a higher level. Of course, we also aim for a company, but that's combined with that it should be a strategic fit, that they do have development and commercialization experience within the therapeutic area. We will make the product, but we need support to make the additional data for registration.
It is nice to actually see that this is a company that aim for and also have the competencies to get access and have a decent distribution network, which is usually also combined with it's a major company with a financial strength. And also, like a intellectual property portfolio where you can add our product to that. For us, reputation, ethical considerations is important. We are not compromising our ethical insight and ethical way of working and our reputation. So if a company what should seem from one perspective be a very interesting company, if there is any, like, problem with the ethics, it will not be a partner for us. There should also be like we of course, we should look at the risk, and but also a thing as cultural comparability is important.
Of course, all the legal and due diligence should be a fit. To my best experience, working with big pharma, most of the big pharma, they would where I could think us potentially be partners, would meet those criteria. But this also goes a little into what is the perfect partner? Overall, I think they should align on vision and goals. They should have the strength we don't have. It could also be, maybe, of course, potentially most on finance, financial strengths, but also other capabilities we might lack. It should also be a company that go for long-term commitment, because it takes time to build up the trust, and it will be nice for us to have a platform to explore our further development on. What is also very important is that. I forgot that. Sorry. At least, there is a lot of criteria on a perfect partner.
Of course, we could ask ourselves, why choose Reponex as a partner? Why us? What can we deliver? How do we value? And I do strongly believe in that our product candidates is a very innovative product, potential products that are meeting a medical unmet need. We have some fantastic employee. There is a very entrepreneurial, innovative team of top specialists, special, collected for, Reponex. We have a agile and cooperative mindset and organizational way of being built, which do that we can fit in, in many different way of cooperation. We have a strong culture of integrity, high quality, and a very high ethical standard. And not at least, the people that is hired here is highly motivated and work really hard to succeed. So overall, with few words, we can say that we will identify, engage with companies that complement and strengthens our objectives.
Our target is to establish the first partnership in 2025. Thank you for your attention, and I am now open for questions.
Thank you for your presentation, Pernille, and I will now open up for the questions that have been submitted on Stokk.io. Just to give you an idea of how it works here, it's your first time at Stokk.io. We usually, we read up all the questions so that you have the chance to answer the questions, and if there's anything that you cannot answer because of regulations and so on, just say it, and we move on to the next question. So the first question is: Which companies are you looking at as potential partners?
I will, at this given time, not give some specific names, though I have some in mind. But as I told, I look at companies with power, financial power, and where I see a true strategic fit with first one or more of our therapeutic areas. You know, I have a list, and there will be a sequence in how to approach those companies. I go for the infra first, and then we go next. If they don't want us, we have to go down in the list. But I have a strong feeling of how to who to contact. You say, "Why don't you do it now?" I want to be, have some more ambassadorship among clinicians, and why do we do that? Because that's simply crucial.
It will bring up the value of the perception Reponex, that we can have opinion leader back up. It's crucial. It does really range us higher. So, what I intend to do now is to wrap Reponex in more expensive, what do you call it? Wrapping, to make it more exciting for a potential partner to work with us. I will make the appetite for Reponex higher by the work I'm doing. So I wait a little to be enough prepared. I've only been short time in the position, but we are reaching out and ensuring some backup and part cooperation in the clinical setting, which will be valuable when we start talking partnerships.
Do you have an idea of how many potential commercial partners there is in your field? Is it a few big potential commercial partners, or is there a lot of different key potential partners for you to be in contact with?
I think there is a few big companies. I have really focused. We need speed, and sorry, I forgot what was important also in our selection of partnership. I lost my mind a little. Speed. We need a partner that actually want us and want to speed, not just like a silent partnership where we have it if we need something. We need speed, and they should need speed as well. No, there is a handful of potentially major partners. We like to work with them. They might not like us, but we will see, you know. I start on top of the list, and then, I think there could be, for many reasons, a lot of other partners. I haven't explored into that. I've focused on the top five, right now, and if they don't want us, I will make new analysis and go down the list.
Are you focusing on any specific geographical areas when looking at clinicians and key opinion leaders, or is geography not important in this case?
Overall, I think geography is not important, but due to the fact we are in Denmark and we are doing some developments in Denmark, and it is like you often start with your own in your own area. The thing is that Nordic actually have enormously high reputation, so, a good recommendation from Nordic doctors is perceived valuable because Nordics is often on the top with scientific adventures. However, what I aim for is we need support from a broader geography because Denmark is not the market. The world is our market, overall.
You just started in the company a short while ago, so, how far have you come in your work so far? Have you started to reach out to clinicians and key opinion leaders?
Yeah. Yes, I do.
Or are you doing ? Okay.
Yeah, I have started out. I have identified the most, I think, the key opinion leaders within some of the therapeutic areas, and I'm in contact with those. And the way I work is, if you go for the absolute top, they will know who is the next after them or the peer to them, and often they will open the network for you. And so it is you start with the one. Go for the top and ask, "Who is the most important, seen from your perspective?" Also, knowing that sometimes they're very competitive, so don't really want to reveal that. But you can, I think, knowing that it is a start, yes. So I have started reaching out. It's very exciting.
Analyst Group expects you to deliver the first revenue from royalties in 2025. That is already next year. Do you also expect to enter partnership agreements with corresponding royalties if the first one are already due in 2025?
I need the last part of the question again.
When can one expect you to enter into partnership agreements with corresponding royalties if the first ones are already due in 2025?
In 2025.
Perfect. Then there is a question here: What is the normal structure of a license agreement? Is it an initial one-time payment or annual royalty payments?
It is, could be a combination of both. I think there is many different structures, so it depends. And I have to say, we are open. That's also part of the agility, and I suppose that, especially with the first one, we have to, I don't say, we'll say, humble, but we, we want to do, of course, an agreement, but also very open for the way we can do it. I think that, we will become more and more attractive for the outside world, and. So, so the structure could be what you say, but it could also be different. It could be cooperation, it could be full payment of phase II, III. Of course, we, we aim for the best we can get. Don't, don't worry, don't worry about that.
Then there is a question in connection to that, and if you cannot answer it or give any more detail on it, just tell me, and we skip it. But the question is: If we use RNX-051 as a case, is it correct that a license agreement with a 10% market share and a 10% royalty rate will generate a substantial three-digit danish krona million amount annually?
Oh, that's a fantastic question. I really would wish I could answer that. Unfortunately, I cannot at the moment. Thank you for the question.
No problem. And that was, actually, all the questions that we had for this event, so that finalizes the Q&A and the presentation from you, Pernille. Before we end the webcast, I will just hand over the word for you again, if you have any final remarks to end with or just want to say thank you for today.
I will say thank you for listening, and I know potentially, if I'm lucky, more will listen. Of course, it will be uploaded to the internet together with my presentation. I will also say you can always approach me. I'm approachable, very approachable, I can tell you. And I can tell you, I so much believe in Reponex and the future for Reponex, and I hope that my presentation give a little more comfortability in that Reponex is on the road to get partnerships and in the future.
Perfect. Thank you for that. We look forward to follow you. And again, thank you everyone for listening in. See you next time when we have Pharma Equity Group again. Bye.