Full Press Release Details
Decoding Biology To Radically Improve
Lives End of Q2 2021 Exhibit 99.1
This presentation and any accompanying
discussion or documents may contain information that includes or is based upon "forward-looking statements" within the meaning of the Securities Litigation Reform Act of 1995. These forward-looking statements are based on our current expectations,
estimates and projections about our industry, management's beliefs and certain assumptions we have made. They are neither historical facts nor assurances of future performance, are subject to significant risks and uncertainties, and may turn out to
be wrong. For a discussion of factors that could affect our business, please refer to the "Risk Factors" sections in our Prospectus filed with the SEC on April 16, 2021 and in our periodic filings with the SEC. This presentation does not purport to
contain all the information that may be required to make a full analysis of the subject matter. We undertake no obligation to correct or update any forward-looking statements. Forward-Looking Statements
Technology is disrupting the way we
communicate, eat, move, work, exercise, travel, and so much more Trademarks are the property of their respective owners and used for informational purposes only.
but in biopharma, a decades
long trend of increasing costs Source: based on EvaluatePharma. Analysis is not inflation-adjusted. Analysis is not restricted to novel molecules, though it does exclude generics. Cumulative, 10-year trailing industry R&D spend per launch ($bn)
Annual launches Cunulative, 10-year trailing industry R&D spend per launch ($bn) Annual launches About 90% of clinical trials fail and it takes about 14 years and $2B of R&D for each new drug approval
Why have we not seen the same scale of
improvements in drug discovery and development efficiency?
In practicing, I may need a bit more
time on this one, so maybe can we slow the animation down? Maybe double the time to zoom out? Because biology is massively complex
AI Expert Systems given way to Modern
AI Automation Automation tools enable massive scale Storage 1M-Fold Decrease In Costs over 40 years Compute 1M-Fold Increase in Compute over 40 years Bio Tools Tools like CRISPR allow CONTROL of Biology Exponential improvements in technology are
converging to enable a less biased systems biology approach to industrialize drug discovery
82M+ Proprietary experiments in human
cells conducted in our own laboratories 9PB At 9 petabytes, one of the largest proprietary biological and chemical datasets 179B+ Inferred relationships between human genes, chemical compounds and more using our Map of biology 37 Human cell types
onboarded to our high throughput phenomics platform and hundreds of cell types/lines in-house for validation assays
The Recursion Operating System for
industrializing drug discovery An integrated, multi-faceted system for generating, analyzing, and deriving insight from massive biological and chemical datasets to industrialize drug discovery. It is composed of: Infrastructure Layer Recursion Data
Universe Recursion Map and held together by our People and Culture Enabling Hardware Enabling Software Recursion Operating System Infrastructure Recursion Map Activity Assessment Value Drivers Pipeline Partnerships Induction Labs Suite of
Proprietary Therapeutic Discovery, Design, and Development Tools Data Processing Recursion Data Universe Program Insight Program Acceleration People & Culture Institutional Knowledge
Our OS enables highly scalable,
unbiased exploration of biology across multi-omics technologies, with phenomics (images) as a foundation Recursion in-house software to design, manage and execute experiments Execute up to 1.7 million experiments each week in highly automated
laboratories Generate high-dimensional data including phenomics, proteomics, transcriptomics, and more at scale
and new investments in
computational infrastructure and digital chemistry demonstrate we are scaling our technology stack We have more data flux to the cloud than the firehose 9 PB of data served to scientists using Recursion software to generate insights In-house digital
chemistry tools to in silico screen 12 billion molecules Trademarks are the property of their respective owners and used for informational purposes only.
Our OS learns and grows thanks to a
virtuous cycle of wet-lab and dry-lab side by side
Data shown is the average of all our
programs since late 2017. All industry data adapted from Paul, et al. Nature Reviews Drug Discovery. (2010) 9, 203-214 We are demonstrating meaningful leading indicators of industrializing drug discovery and development Failing faster and
earlier to spend less and go faster
The power of the Recursion OS is
demonstrated by the scale and breadth of active research and development programs
Choose Your Own Adventure: We are
transforming drug discovery into a search problem Immunology Using 82M+ proprietary experiments, we can algorithmically infer 179B+ biological relationships across the human genome, 100s of thousands of compounds and soluble factors to explore many
therapeutic areas for novel targets, compounds and mechanisms: Neuroscience Oncology Similar Opposite
Oncology: Known oncology pathways
cluster together as expected Shown below are therapeutic area specific subsets of the thousands of genetic knockouts, compounds, and soluble factors profiled by the Recursion OS Oncology Multiple oncology pathways cluster independently demonstrating
ability to identify known biology, including negative regulators in the same pathway RAS family negative regulators DDR gene family MYC gene family RAS gene family PI3K family negative regulators PI3K gene family DDR family negative regulators
Oncology: Novel targets can be
identified as they cluster with known biology Shown below are therapeutic area specific subsets of the thousands of genetic knockouts, compounds, and soluble factors profiled by the Recursion OS Oncology Knockout of novel gene is inferred to be
similar to PI3K gene family, presenting a potential novel target gene RAS family negative regulators DDR gene family MYC gene family RAS gene family PI3K family negative regulators PI3K gene family DDR family negative regulators PI3K family negative
regulators PI3K gene family Novel target gene Similar Opposite
Neuroscience: Neuro-relevant
pathways cluster together as expected Shown below are therapeutic area specific subsets of the thousands of genetic knockouts, compounds, and soluble factors profiled by the Recursion OS Neuroscience Gene knockout of mitochondrial and autophagy
genes, highly relevant in neurological disorders, cluster as expected Mitochondrial complex genes Autophagy genes Mitochondrial membrane genes Similar Opposite
Neuroscience: Novel chemical insight
provides fodder for discovery programs Shown below are therapeutic area specific subsets of the thousands of genetic knockouts, compounds, and soluble factors profiled by the Recursion OS Neuroscience Similar Opposite Compounds with three distinct
Mechanisms of Action (MoAs) are potential starting points for discovery efforts Mitochondrial complex genes Autophagy genes Mitochondrial membrane genes Compound MoA 1 Compound MoA 2 Compound MoA 3
Immunology: IL6/JAK biology
recapitulates across gene knockouts and chemical substrate Immunology Shown below are therapeutic area specific subsets of the thousands of genetic knockouts, compounds, and soluble factors profiled by the Recursion OS Knockout of IL6 gene family
and dosing of cells with IL6 show expected opposite relationship Similar Opposite Known JAK inhibitors IL6 gene family NFKB gene family IL6 family soluble factors and SOCS3 gene NFKB inhibitory gene family
Immunology: Novel chemical insight
provides fodder for discovery programs Shown below are therapeutic area specific subsets of the thousands of genetic knockouts, compounds, and soluble factors profiled by the Recursion OS Immunology A novel chemical series similar to IL6 gene
knockout and opposite to IL6 soluble factor dosing present a starting point for a discovery effort Known JAK inhibitors IL6 gene family New chemical entity NFKB gene family IL6 family soluble factors and SOCS3 gene NFKB inhibitory gene family
We leverage a capital efficient
business strategy with broad ambition for the future Internal Pipeline - Rare Genetic Diseases Asset Sales / Licenses / Commercialization Partnership strategy Enterprise scale contracts Add knowledge to growing map of biology Internal Pipeline --
Capital Efficient Disease Opportunities Discovery Partnership Contracts -- Large Therapeutic Areas Commercialization, licensing and asset sales Fibrosis Inflammation Neuroscience Aging & Senescence Oncology Immuno-oncology Infectious Disease
Large molecules Collaboration in Fibrosis Exclusive multi-year discovery deal $30M upfront and $50M equity investment >$1B in milestones for >10 Programs possible Royalties on Net Sales
A biotechnology company scaling more
like a technology company Forward program growth Significant program growth Growing economic opportunity Reduction of binary risks (1) Unique Perturbations' refers to the number of gene, soluble factor, cell and/or compound combinations
physically explored. (2) Includes approximately 500,000 compounds from Bayer's proprietary library. (3) Inferential Relationships' refers to the number of Unique Perturbations that have been predicted using our Recursion Map. (4)
Cost Per Experiment' refers to the average adjusted direct cost to perform one phenomic experiment (defined as one well per perturbation) and is inclusive of consumable, compound and labor costs.
Comparison to relevant platform
companies Company Early Discovery - Preclinical Clinical / commercial assets 8 15 15 13 11 3 8 10 6 (multiple through collaboration) 1 2 44 4 Pipeline data from company websites as of 8/26/2021. Trademarks are the property of their respective
owners and used for informational and educational purposes only.
Recursion is leading
technology-enabled drug discovery Trademarks are the property of their respective owners and used for informational purposes only.
Team Experience Full-time Employee
Split Biology, Chemistry & Development ~40% Data Science, Software Engineering & Automation ~35% BD, Product, Administration, Legal, IP, etc. ~25% Advanced degrees (Ph.D. or M.D.) Employees today Team Credentials ~25% 300+ Gender: % Women
~45% ~40% Below VP VP and above Our diverse interdisciplinary team is one of our greatest strengths Trademarks are the property of their respective owners and used for informational purposes only.
Our leadership team brings together
experience & innovation to build the operating system for scaling biopharma discovery Board of Directors TINA LARSON President & COO MASON VICTORS Chief Product Officer RON ALFA, MD/PHD SVP of Research Executive Team CHRIS GIBSON, PHD
Co-Founder & CEO DEAN LI, MD/PHD Recursion Co-founder, President of Merck Research Labs ZAVAIN DAR Partner, Lux Capital ZACHARY BOGUE, JD Partner, Data Collective ROBERT HERSHBERG, MD/PHD Former EVP CSO & BD, Celgene BLAKE BORGESON, PHD
Recursion Co-founder, Board member Machine Intelligence Research Institute SHAFIQUE VIRANI, MD FRCS Chief Corp Dev Officer MICHAEL SECORA, PHD Chief Financial Officer HEATHER KIRKBY Chief People Officer BEN MABEY Chief Technology Officer CHRIS
GIBSON, PHD Co-founder & CEO TERRY-ANN BURRELL, MBA CFO & Treasurer Beam Therapeutics R. MARTIN CHAVEZ Vice-Chair of 6th Street Financial. Former CFO/CIO at GS RAMONA DOYLE, MD Chief Medical Officer LOUISA DANIELS, JD Chief Legal Officer
& General Counsel Trademarks are the property of their respective owners and used for informational purposes only.
Key Updates During Q2 2021
Infrastructure Phenomics experiments executed during Q2 increased more than 30% QoQ Operating BioHive-1 Supercomputer Data Universe Proprietary biological data increased by >1 PB, total biological data now 9 PB >2x orthogonal transcriptomics
and proteomics datasets Map/Inference Nearly doubled inferred relationships to 179B+ across the human genome and 100s of thousands of compounds in multiple human cell types Programs 11 new research and development programs added to pipeline across
multiple therapeutic areas bringing total programs to 48 Advancing 4 clinical-stage programs to ph2 or ph2/3 studies in the next 3-4 quarters Advanced first NCE program (C diff) into IND-enabling studies Cancer immunotherapy target
alpha' demonstrated 40% complete response in CT26 model of immune checkpoint resistance Partnerships Advancing multiple simultaneous discovery programs with Bayer in fibrosis Exploring enterprise-scale partnerships in additional large
therapeutic areas People Grew from 217 employees at IPO to over 300 today Formed Therapeutics Advisory Board chaired by Joseph Miletich MD, PhD Expanding operations into Toronto and Montreal with emphasis on software engineering and data science
Induction Labs is a growth engine
for exploring additional market opportunities Recursion OS - Industrialize small molecule drug discovery broadly across biology Other Modalities including large molecules, and RNA therapeutics Diagnostics Finance Animal Health/ Smart Agriculture
REC-4881: Orally bioavailable MEK
inhibitor for the potential treatment of Familial Adenomatous Polyposis (FAP) Disease Overview: Autosomal dominantly inherited rare tumor syndrome caused by mutations in APC gene affecting ~50,000 patients in US and EU5 Expected Milestone: First
patient enrolled in a phase 2 randomized, double-blind, placebo-controlled trial within 3-4 quarters Summary and differentiation: Orally bioavailable, gut-localized small molecule therapeutic being developed to reduce tumor size in FAP patients
Phase 1 data with favorable ocular safety profile and confirmed pharmacodynamics on ERK signaling Projected Phase 2 dose at exposures with limited observed AEs in Phase 1 REC-4881 reduces high grade adenomas in Apcmin mouse model of FAP EU5 is
defined as France, Germany, Italy, Spain and the UK. Figure adapted from http://syscol-project.eu/about-syscol/
Eligibility: 18 years of age
with clinical diagnosis of FAP with more than 100 polyps prior to colectomy or APC gene mutation REC-4881 Dose A REC-4881 Dose B Placebo R 2:2:1 Responder REC-4881 or 24 Week Follow-up Non-Responder REC-4881 or Standard of Care Placebo REC-4881 or
Standard of Care 45 days Primary Treatment Period - 24 weeks Extension Period - 24 weeks Planned Phase 2 Clinical Trial to Evaluate Efficacy and Safety in Classical FAP REC-4881: Planned Phase 2 clinical trial design to evaluate efficacy and
safety in classical Familial Adenomatous Polyposis Food effect Primary treatment