AllRest Pitchdeck 1.04
-
Upload
crimson-growth-partners-lllp -
Category
Documents
-
view
87 -
download
0
Transcript of AllRest Pitchdeck 1.04
ALLREST TECHNOLOGIES LLC
Pitchdeck Presentation:Juan Ramon Zarco,
President/[email protected]
(703) 376-4893
2
HIGHLY CONFIDENTIAL AND PRIVILEGED INFORMATION
The information contained herein is being furnished on a confidential basis. AllRest Technologies LLC (the “Company”) expects it to be used for the sole purpose of considering an interest in atransaction with the Company. BY RECEIPT OF THE ENCLOSED MATERIALS, THE RECIPIENT AGREES THAT THE INFORMATION CONTAINED HEREIN WILL BE KEPTCONFIDENTIAL AND SHALL NOT, WITHOUT PRIOR WRITTEN CONSENT FROM THE COMPANY BE DISCLOSED BY THE RECIPIENT IN ANY MANNER WHATSOEVER INWHOLE OR IN PART, AND SHALL NOT BE USED OTHER THAN IN CONNECTION WITH THE TRANSACTION DESCRIBED HEREIN. The recipient shall be responsible for anybreach of this confidentiality undertaking by its agents, employees, or representatives. Moreover, the recipient shall agree to transmit the information only to its agents, employees, andrepresentatives who need to know the information for the purpose of evaluating the materials herein, who are informed of the confidential nature of the information and who agree to maintain itsconfidentiality. Should the recipient decline to acquire an interest in any transaction with the Company, it shall return all supplied materials as soon as possible and, in any event, upon request,and continue to maintain in confidence any memoranda or similar materials prepared by or for the benefit of the recipient based upon the materials supplied to it.
THE ENCLOSED MATERIALS SHALL NOT BE PHOTOCOPIED, REPRODUCED, OR DISTRIBUTED TO OTHERS AT ANY TIME WITHOUT PRIOR WRITTENCONSENT OF THE COMPANY.
Contact:Rob de Heer or Juan Ramon Zarco
(408) 316-1976 (703) 376-4893
AllRest Technologies LLCPO Box 60123
Palo Alto, CA 94306(408) 316-1976
OVERVIEW• AlllRest designs and markets cost effective, smart,
therapeutic medical devices for sleep disorders
• U.S. Total Addressable Market (TAM) is 53 million users
• Current working prototype has been developedsince 2009 and has been effective in private trials
• New electronic technologies will allow CRMmonitoring of the medical device’s performanceand adjust the device for maximum efficiency
• EBITDA Margins exceed 78% in this space
• AllRest seeks $1.5 million to complete electronics, tohandle regulatory matters, and to market the devicein the U.S. and Worldwide
AllrestTech.com Private & Confidential 20143
THE PROBLEM• The predominant therapy is the
Continuous Positive Air Pressure(CPAP), the current legacy devicein treating sleep-disorderedbreathing.
• 17% - 40% of CPAP patientsabandon the device after severalmonths – discomfort, costs
• CPAP equipment costs $500-$5,000
• Other sleep disorder solutionsinclude surgery, dentallyprescribed mouthpieces-$1,500,and electrical implants – allphysically invasive and costly
• Over 53 million people suffer fromsome sleep disorder. 20% areuntreated. And about 10% areuninsured.
AllrestTech.com Private & Confidential 20144
SOLUTION – OPTI-FLOW
• TheAllRest medical device, Opti-Flow, an alternative to CPAP, is anadvanced technology to be usedeasily with the least amount ofsleep discomfort
• Filters can be replaced to fit theindividual’s apnea needs andperformance
• Sensors and data can provideweekly sleep reports for CRM
• By integrating the medical devicewith a health platform, the usercan monitor his/her weight or anyother conditions for better sleepregimen
• Priced at or below $200, thedevice is economically availableto those with or without insurancecoverage
• It improves the Sleep Apnea Indexby 40% at a fraction of a CPAP
AllrestTech.com Private & Confidential 20145
MARKET OPPORTUNITY AND DRIVERS Current U.S. TAM is 53 million users Rest Of the World is still catching up to Sleep Disorder recognition and
treatment It is estimated that less than 20% of those with Obstructive Sleep Apnea
have not been diagnosed or treated, about 10 million. Over 8 millionapnea sufferers without medical coverage
According to a report by the global research firm MarketsandMarkets,the global sleep apnea device market, which was valued at more than$7 billion last year, is expected to increase to $19.72 billion by 2017
Potential worldwide growth: A recent report from July 2013 showed thatthe US passed on the obesity rates leadership to Mexico, moving intosecond place for the most obese nation. Researchers estimate thatBrazil will trail the US in 2022, with 64 million overweight and 26 millionobese.
According to the report, nearly 2.8 million people worldwide die eachyear as a result of obesity and the conditions it causes, which includesthe potential for sleep apnea
Worldwide TAM will be about 400 million
AllrestTech.com Private & Confidential 20146
MARKETING STRATEGY
AllRest will target sales of 1.1 million units in 3 years, within the U.S.53 million TAM with a growing OSA market
The Opti-Flow medical device will be priced at or about $200, lessthan 50% of the least cost CPAP
AllRest will implement the “shock and awe” marketing to useeCommerce and the 1-800-AllRest support to the product
AllRest will distribute the medical device in Europe and LatinAmerica where the regulatory hurdles are fewer, and thenpenetrate the U.S.
AllRest will use digital ad agencies to market the product in themedia to saturate the market
AllrestTech.com Private & Confidential 20147
POTENTIAL CHANNELS/PARTNERS/RESELLERS
mHealthAlert, a European mHealth platform, already usesBluetooth to connect ECG, weight scales, blood pressure,and other remote devices to monitor health electronically
CPAP machine manufacturers and distributors (ProAct) oral appliance manufacturers sleep product stores sleep labs.
AllrestTech.com Private & Confidential 20148
BARRIERS TO ENTRY
FDA approval processProvisional patent Integration and design of semiconductorsMarket recognition – within radarCurrent users wed to CPAP solutions.
AllrestTech.com Private & Confidential 20149
MANAGEMENT TEAM
Juan Ramon Zarco, JD/MBA (startups: Viatel, DataFoundation/Pegasus, US Cable)
Robert de Heer (inventor, technology, software) Dr. Jerome Hester, Chief Advisor and Industry Apnea
Expert (www.calsleep.com)Marc Papageorge, Mems/Semiconductor Advisor Hogan Lovells (D.C.) – IP Legal Counsel Bank of the West
AllrestTech.com Private & Confidential 201410
AllrestTech.com Private & Confidential 201411
DIRECT AND INDIRECT COMPETITION
AllRest (mouth)
Fisher & Paykel
RespiratoryTherapy
Programs
CareFusion
Com
patib
ility
Scalability
Resmed
Respironics
Medtronics
• Resmed andRespironicscontrol over70% of CPAPMarket
• Resmed 2013Income $1.5bill.
• Respironics(Philips) 2013Income $1.05bill.
Clinics/Sleep lab
Provent (Nasal)
REVENUE MODEL
AllrestTech.com Private & Confidential 201413
2014 2015 2016 2017 2018Revenue $0.0 $3,575.8 $219,317.5 $348,750.0 $426,600.0COGS 0.0 856.5 37,272.1 42,140.0 51,891.0 Total Operating Expenses 423.9 3,576.0 23,626.6 35,678.3 42,664.8EBITDA (377.2) (856.8) 158,418.8 270,931.7 332,044.2
($50,000.0)
$0.0
$50,000.0
$100,000.0
$150,000.0
$200,000.0
$250,000.0
$300,000.0
$350,000.0
$400,000.0
$450,000.0
Dolla
rs ('
000s
)
AllRest Technologies LLCProForma
AllrestTech.com Private & Confidential 201414
Mouthpiece Prototypes Design Phases and Costs
Prototype Versions 1
Each Prototype Locations
OptiFlow01 USA
OptiFlow02UK/Mexico/NewZealand
Developmental Stages per Month/2014 Initial
September Design
OctoberDevelopment &Engineering
NovemberDevelopment &Engineering
December Programming
January Prototype
FebruaryReliability &Testing
March Beta Testing
April Integration
May
Testing andRegulatoryAcceptance
JuneCommercialProduct
TIMELINE
SUMMARY
AllRest enters into a huge Market opportunity withEBITDA margins over 78%, 1.1 million units in 2 years
Unique medical device product embedded withsmart electronics, an alternative to CPAPs
Barriers to entry – FDA approvals, Patents Seeking $1.5 mill. at pre-money of $4.5 mill.Potential exits are acquisition or IPO
AllrestTech.com Private & Confidential 201415