Pernix Therapeutics Holdings Inc
Pernix Therapeutics — PTX DISCUSSION MATERIALS DATED DECEMBER 22, 2016
36 slides from Pernix Therapeutics's investor presentation, Dec 27, 2016
Slide 1: PTX Discussion Materials
Slide 2: Table of Contents
Table of Contents > Company Overview * Treximet + Zohydro ER with BeadTek * Silenor + PPD Fulfillment Program * Other Branded & Generic Products >» SYP Summary >» Appendix
Slide 3: Company Overview
Company Overview PERNIX® THERAPEUTICS
Slide 4: Management Team
Management Team John Sedor Chairman & CEO Sandoz, Cangene, Bentley Pharmaceuticals, Centeon (a JV between Rhone-Poulenc and Hoechst), Armour Pharmaceutical Graham Miao, Ph.D. President & CFO PDI, Delcath, Pharmacia, Schering-Plough, J.P. Morgan Angus Smith George Jones Vice President, Business Devel
Slide 5: Pernix Highlights
Pernix Highlights > Fully integrated specialty pharmaceutical commercial platform > Focused on CNS & pain markets > Dedicated specialty sales force promoting 3 growing brands > Re-focused, efficient business model > Significant revenue and Adj. EBITDA scale > Experienced, re-organized senior managem
Slide 6: Pernix Today
Pernix Today PERNIX. THERAPEUTICS Core Branded Pharmaceuticals Other Branded / Generic Pharmaceuticals > Core branded products include: > Other branded products (with authorized generics) include: m . Khedezldiajor depressive disorder; promoted through an * Treximete acute treatment of migraine atta
Slide 7: Treximet
Treximet PERNIX® THERAPEUTICS
Slide 8: Treximet Overview
Treximet Overview Treximet » Approved and launched by GSK in 2008 2014 > 14.8 million tristan Rx dispensed > Acquired by Pernix in August 2014; re-launched in * Sumatriptan represents 61% of the September 2014 market > Acute treatment of migraine attacks with or > Treximet market share: 2% (by volum
Slide 9: Treximet Positioning
Treximet Positioning bir eg > More complete migraine relief Triptans alone may not be enough > 77% of patients require only 1 dose of . Over 51% of patients like you are unhappy Treximet with their current migraine medicine > Superior pain relief at 2 hours vs. sumatriptan alone!) > Superior sustain
Slide 10: Patients Are Dissatisfied With Other Medications
Patients Are Dissatisfied With Other Medications In a US telephone survey of migraine patients? In a two-nation survey of migraine Major reasons for patient dissatisfaction patients Pain relief takes too long 0) Doesn't (0) relieve all pain Doesn't always work of patients said they were willing Head
Slide 11: Treximet Attributes vs. Competitors: Physician Poll
Treximet Attributes vs. Competitors: Physician Poll Most Important Attributes By Treatment Sustained pain relief Favorable safety and side effect profile Sustained migraine prevention aver time (24 hours or more) Rapid pain relief (20 mins or less) Proven efficacy in adult population Maintains abili
Slide 12: Monthly TRx Y-o-Y Growth Treximet
Monthly TRx Y-o-Y Growth Teximet ‘sumatriptan /naproxen sodium Year-over-Year Growth in Monthly TRx 25% 20% Be Pernix Therapeutics closes acquisition of 10% Treximet and begins promotion 5% GSK pulls Samples become promotion entirely available to sales force 0% eee eee ee eee ee ee en nn en hn ne ee
Slide 13: Post-LOE Competitive Landscape
Post-LOE Competitive Landscape 2018 | Generic competitors ! pT Tees I may enter the ; I Additional ener th 1 Lat: i competitors may enter the I marke ha ! 14 1 ylan ai market: I ftertatvecppovi! | Additional » | I SUN “enters Feb. 14) | ANDA gin L740 I | Baaama 1 ! filed in | 1 (per 2010 Settlement)
Slide 14: Zohydro ER with BeadTek
a7 Zohydro ER with BeadTek PERNIX® THERAPEUTICS
Slide 15: Zohydro ER with BeadTek Overview
Zohydro ER with BeadTek™ Overview > Acquired from Zogenix in April 2015 > 100 million adults affected by chronic pain (U.S.)(” > Extended Release (ER) oral formulation of >» 90+ million hydrocodone/APAP Rx written in 2015 hydrocodone bitartrate designed with abuse- inU.S.2) deterrent technology * ~3
Slide 16: Zohydro ER Positioning
Zohydro ER Positioning ZohydroEr (hydrocodone bitartrate)@ Positioning / Messaging » 16 Trusted hydrocodone, in a unique ER formulation, fora simple 1:1 conversion from IR hydrocodone True 12-hour dosing allows more consistent pain relief Demonstrated pain control and tolerability with no pattern of
Slide 17: Enhanced IP Portfolio for Zohydro ER
Enhanced IP Portfolio for Zohydro ER Zohydro ER Patent Issuance Zohydro ER Issued Patents > On February 23, 2016, Pernix announced aten ee, Ee | issuance of a patent that covers Zohydro® ER pS EM BSE 6,228,398 Multiparticulate modified 41012019 in-Licensed fram ip > Patent Number: 9,265,760 release
Slide 18: Silenor
ay Silenor PERNIX® THERAPEUTICS
Slide 19: Silenor Overview
ved . . il ~: "il Silenor Overview silenor > Treats insomnia characterized by difficulties with > As many as 70 - 80 million people sleep maintenance (23.6% of U.S. population) have (ewe > Only non-controlled prescription sleep medication chronic insomnia”) for people with trouble staying asleep > 1
Slide 20: Silenor Positioning
Silenor Positioning sem » Helps patients stay asleep without the trade- offs of other Rx or OTC medications » Helps you stay asleep for up to 7 - 8 hours 24 > Non-narcotic and non-addictive eg » Has no evidence of physical dependence or > Two-thirds of people surveyed said the withdrawal symptoms (b
Slide 21: Arousability Study: Positive Phase IV Results
Arousability Study: Positive Phase IV Results > Phase IV study assessing the effects of a nighttime administration of Silenor 6 mg, zolpidem 10 mg, and placebo on arousability, gait/balance, and cognitive performance >» Assessed the effects of Silenor 6 mg, zolpidem 10 mg and matching placebos in 52
Slide 22: Silenor Intellectual Property
Silenor® Intellectual Property // Ga // ee esulted in 4 ge ries to launch in 2020 Patents to cover OTC to 2030 * Due to settlement agreements dated between 2012-2013, 4 generics can enter in 2020 * Two entrants: January 1, 2020 * Two entrants: 180 days after first commercial launch by a third party
Slide 23: Silenor Rx to OTC
Silenor Rx to OTC Ad silenor "+ 4 "doxepin table's, Product Opportunity Large Market Opportunity » 23 Potential to switch Rx Silenor to OTC for the treatment of occasional sleeplessness in people who have trouble staying asleep Occasional sleeplessness is a large unmet consumer need (80% of current
Slide 24: PPD Fulfillment Program
Pan PPD Fulfillment Program PERNIX® THERAPEUTICS
Slide 25: PPD Fulfillment Program
PPD Fulfillment Program ,PERND« Patients Receive the Medications Their Healthcare Providers Intended > Fulfillment program rolled out nationally for Treximet and Silenor in August 2015 > Created to reduce attrition between time prescription is written and dispensed + Fulfillment directly to patient'
Slide 26: Other Branded & Generic Products
PERNIX® THERAPEUTICS
Slide 27: Other Branded Products
Other Branded Products > 7 other branded products > Other branded products include: * Other: Arbinoxa, Eliphos, Ilcar and Nodolor * Cough / Cold: Cedax and Zutripro * CNS: Khedezla (desvenlafaxine) » Cough / Cold products discontinued in 2016 Arbinoxa. ©ELIPHOS. Oral Solution (Cat ACE START IN THE R
Slide 28: Generic Products
Generic Products > 28 Pernix markets generic products primarily through two of its wholly-owned subsidiaries, Cypress Pharmaceuticals, Inc. (“Cypress”) and Macoven Pharmaceuticals, LLC (“Macoven”) Cypress, founded in 1993, was acquired by Pernix in 2012; Macoven was acquired by Pernix in 2010 30 pro
Slide 29: 5YP Summary
PERNIX® THERAPEUTICS
Slide 30: Summary Income Statement
summapryelncome Statement 30 6 ie mitions) Trexiemet Zaduyeea ER, Senne All Other ‘Tost Met Sess Cast of Goneds Garces Pret Gross Margin Selling Experce: Marketing Expense: General & Aalrin Expense: Resear & Dewedeypeeni: Eaperer: Depeesiation ak Oiker Total Operating Kaqpeses: Hotes: (1) Estimated
Slide 31: Pro Forma 2016E Adj. EBITDA
Pro Forma.2016E Adj. EBITDA 2016E Pro Forma Adj. EBITDA Bridge ($ in millions) $35.0 $30.0 79 $28.8 s10 —— $25.0 $7.2 —s $20.0 $5.9 $15.0 $118 $10.0 $5.0 rs 2016 Adj. EBITDA De-Stocking Adjustments Sales Headcount Reduction Other Headcount Reduction Non-Recurring Operating Pro Forma 2016 Adj EBITDA
Slide 32: Recent ER Opioid Launches
Recent ER Opioid Launches — wan sero fa pa 2 oro _ ° 22 mainte tenggroey mention menos tining Seatac Mer CoN DENTAL PERNIX.
Slide 33: Risks & Opportunities to 5YP Sales
Risks & Opportunities to 5YP Sales Treximet ZohydroER silenor Other Products Continued gross to net pressures (managed care, coupons, DSAs) TRx to retail demand conversion factors Impact of sales force reorg (fewer reps) December — January effect / December exit rate Payor exclusions Relpax LOE Bran
Slide 34: Q1 - Q3 2016 Results
Q1 - Q3 2016 Results mNet Sales Adj EBITDA $50.0 one 2016Q1 | 2016Q2 | 201603" | 2016 Sept’ $40.0 $36.7 Actual Actual Prelim _| YTD Preli =u Treximet 16.3 17.9 24.0 58.1 $30.0 Zohydro ER Be 5.9 64 17.4 Silenor 3.7 42 47 126 $20.0 Other 71 88 67 22.5 Total Net Revenue 32.5 36.7 415 110.7 $10.0 $84 Ad
Slide 35: Appendix
> Ley Appendix PERNIX® THERAPEUTICS
Slide 36: Corporate Structure
Corporate Structure Pernix Ireland Limited (ireland) Pemix Acquisition Corp Kt? (Delaware) Pernix Ireland Pain ‘Limited (ireland) ive Therapeutics, LLC (Loui a) ‘AssetsiLoan Pledged to Treximet Netes Borrowers Under Wels Facilty 36 atest (1) These erties a inactive, dont have ey ases er! the company
Pernix Therapeutics Holdings — PTX DISCUSSION MATERIALS DATED DECEMBER 22, 2016 on 6ix