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Page 1: Hikma Pharmaceuticals PLC - Jefferies · Building strong market positions in the US, MENA and Europe US 76.9% of Injectables revenue1 EUROPE 10.5% of Injectables revenue 1 MENA 12.6%

Hikma Pharmaceuticals PLC

Page 2: Hikma Pharmaceuticals PLC - Jefferies · Building strong market positions in the US, MENA and Europe US 76.9% of Injectables revenue1 EUROPE 10.5% of Injectables revenue 1 MENA 12.6%

► This document, which has been issued by Hikma Pharmaceuticals PLC (the “Company”), comprises the written materials/slides for a presentation. This document and its contents are confidential and may not be reproduced, redistributed or passed on, directly or indirectly, to any other person or published, in whole or in part, for any purpose without the consent of the Company. This document is intended for distribution in the United Kingdom only to persons who have i) professional experience in matters relating to investments who fall within Article 19(5); or ii) high net worth companies or unincorporated associations falling within Article 49, in each case of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005 or to those persons to whom it can otherwise lawfully be distributed. The contents of this presentation are only available to such persons and any persons of any other description should not act upon the contents of this document or any other information supplied with it.

► This document does not constitute an offer to sell, or the solicitation of an offer to subscribe for or buy, any shares in the Company to any person in any jurisdiction to whom it is unlawful to make such offer or solicitation in such jurisdiction, nor shall it or any part of it nor the fact of its distribution form the basis of, or be relied on in connection with, any contract or investment decision in relation thereto.

► Some of the information is in draft form and has not been legally verified. Neither the company nor any party is under any duty to update or inform you of any changes to such information. In particular, it should be noted that the financial information relating to the Company contained in this document may not have been audited and in some cases is based on management information and estimates.

► No reliance may be placed for any purposes whatsoever on the information contained in this document or on its completeness. No representation or warranty, express or implied, is given by or on behalf of the Company or any of such persons’ affiliates, directors, officers or employees, advisors or any other person as to the accuracy or completeness of the information or opinions contained in this document and no liability whatsoever is accepted for any such information or opinions or any use which may be made of them.

► Neither this document nor any copy of it may be taken or transmitted in or into the United States, its territories or possessions, or to any US person (as defined by Regulation S of the US Securities Act of 1933 (the “Securities Act”)) or distributed, directly or indirectly, in the United States, its territories or possessions or to any US person. Neither this document nor any copy of it may be taken or transmitted in or into Australia, Canada or Japan or to Canadian persons.

► Certain statements in this presentation, are forward-looking statements under the US federal securities laws, including the Private Securities Litigation Reform Act of 1995. By their nature, forward-looking statements involve a number of risks, uncertainties and assumptions that could cause actual results or events to differ materially from those expressed or implied by the forward-looking statements. These risks, uncertainties and assumptions could adversely affect the outcome and financial effects of the plans and events described herein.

► Forward-looking statements contained in this presentation regarding past trends or activities should not be taken as a representation that such trends or activities will continue in the future. The Company does not undertake any obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. You should not place undue reliance on forward-looking statements, which speak as only of the date of this presentation.

► By participating in or listening to this presentation or by accepting any copy of this document, you agree to be bound by the foregoing limitations.

1

Page 3: Hikma Pharmaceuticals PLC - Jefferies · Building strong market positions in the US, MENA and Europe US 76.9% of Injectables revenue1 EUROPE 10.5% of Injectables revenue 1 MENA 12.6%

0 0 0 0 0 0 0 0 00

200

400

600

800

1000

1200

1400

2005 2006 2007 2008 2009 2010 2011 2012 2013 2014

Excellent track record of delivering strong growth

Group revenue ($ million)

CAGR 05-14: 21%

2

Page 4: Hikma Pharmaceuticals PLC - Jefferies · Building strong market positions in the US, MENA and Europe US 76.9% of Injectables revenue1 EUROPE 10.5% of Injectables revenue 1 MENA 12.6%

BRANDED

37%of Group revenue1

GENERICSSelling non-injectable generic

products across the US

15%of Group revenue1

27 MANUFACTURING SITES IN 11 COUNTRIES6 R&D CENTRES

Operating across the US, the Middle East and North Africa and Europe

1 For the year ended 31 December 2014

INJECTABLESSelling specialised generic and

branded injectable products globally

48%of Group revenue1

Selling branded generics and in-licensed products

across the MENA region

$551m$216m

$713m

3

Page 5: Hikma Pharmaceuticals PLC - Jefferies · Building strong market positions in the US, MENA and Europe US 76.9% of Injectables revenue1 EUROPE 10.5% of Injectables revenue 1 MENA 12.6%

37%

48%

15%

Branded Injectables Generics

2014 revenue by business segment 2014 revenue by region

43%

51%

6%

MENA US Europe & ROW

Benefiting from a diversified business model

4

Page 6: Hikma Pharmaceuticals PLC - Jefferies · Building strong market positions in the US, MENA and Europe US 76.9% of Injectables revenue1 EUROPE 10.5% of Injectables revenue 1 MENA 12.6%

Branded

Page 7: Hikma Pharmaceuticals PLC - Jefferies · Building strong market positions in the US, MENA and Europe US 76.9% of Injectables revenue1 EUROPE 10.5% of Injectables revenue 1 MENA 12.6%

9%

7%7%

5%

4%

3%3% 3%

2% 2%

0%

2%

4%

6%

8%

10%

Sanofi GSK Novartis Pfizer Hikma Merck & Co Spimaco Astrazeneca Novo Nordidk Tabuk

Strong market position in the MENA region

Hikma 5-year CAGR (reported): 9%

Hikma 5-year CAGR (constant currency): 12%2

MENA market 5-year CAGR: 8%3

MENA top 10 market share (by $ value)1

1 2 3 4 5 6 7 98 10

6

1 IMS Health, YTD December 2014. Private retail sales for top 9 MENA markets, excluding injectables and government tenders2 Constant currency based on 2009 exchange rates3 Source: IMS Health

Page 8: Hikma Pharmaceuticals PLC - Jefferies · Building strong market positions in the US, MENA and Europe US 76.9% of Injectables revenue1 EUROPE 10.5% of Injectables revenue 1 MENA 12.6%

231

$730.9m

$786.6m

$918.0m

Large and experienced sales team and local manufacturing footprint

Jordan

Jordan

Algeria

Tunisia

LibyaEgypt

Sudan

Saudi Arabia

Yemen

Iraq

Oman

MoroccoKuwait

UAE

Lebanon

Hikma UAE

Sharjah

Qatar

Bahrain

Manufacturing plants

74

50

266

19

301

544

8513

146

65

9

6

6

6

50

Over 1,800 sales people across MENA

7Sales and distribution

Page 9: Hikma Pharmaceuticals PLC - Jefferies · Building strong market positions in the US, MENA and Europe US 76.9% of Injectables revenue1 EUROPE 10.5% of Injectables revenue 1 MENA 12.6%

23%

30%

8%

11%

22%

6%

2013

Cardiovascular Anti-infectives Opthalmic Dermatology & creams

Central Nervous System Diabetes Oncology Others

69 launches 59 launches

14%

18%

5%16%6%3%

38%

2015E

10%

23%

2%39%

8%

19%

2014

Expecting to launch around 200 products over the next two years

12%

12%

13%

48%

1% 15%

2016E

Developing our Branded pipeline to meet growing demand in specific therapeutic areas

Branded launches by therapeutic area

8

Page 10: Hikma Pharmaceuticals PLC - Jefferies · Building strong market positions in the US, MENA and Europe US 76.9% of Injectables revenue1 EUROPE 10.5% of Injectables revenue 1 MENA 12.6%

Injectables

Page 11: Hikma Pharmaceuticals PLC - Jefferies · Building strong market positions in the US, MENA and Europe US 76.9% of Injectables revenue1 EUROPE 10.5% of Injectables revenue 1 MENA 12.6%

Building strong market positions in the US, MENA and Europe

US

76.9%

of Injectables revenue1

EUROPE

10.5%

of Injectables revenue1

MENA

12.6%

of Injectables revenue1

KEY

7 MANUFACTURING PLANTS2 R&D CENTRES

1 2014 Injectables revenue10

Page 12: Hikma Pharmaceuticals PLC - Jefferies · Building strong market positions in the US, MENA and Europe US 76.9% of Injectables revenue1 EUROPE 10.5% of Injectables revenue 1 MENA 12.6%

US generic Injectables market share (million eaches) US generic injectables market share ($ million)

Successfully growing our US market share by value

39.9%

13.0% 13.0%

4.5% 4.4% 3.6%2.0% 1.6% 1.4% 1.4% 1.3% 1.3%

0.0%

5.0%

10.0%

15.0%

20.0%

25.0%

30.0%

35.0%

40.0%

45.0%

Market Share

Dec 2013 Dec 2014 Change

Value 4.0% 6.1% +2.1 ppt

Market Share

Dec 2013 Dec 2014 Change

Volume 13.9% 13.0% (0.9) ppt

Source: IMS Healthcare, YTD 12/2014 Source: IMS Healthcare, YTD 12/2014

17.5%

11.0%

9.6%

6.1% 6.1%5.4% 5.3% 5.1%

4.2% 4.1%3.4% 3.2%

0.0%

2.0%

4.0%

6.0%

8.0%

10.0%

12.0%

14.0%

16.0%

18.0%

20.0%

11

Page 13: Hikma Pharmaceuticals PLC - Jefferies · Building strong market positions in the US, MENA and Europe US 76.9% of Injectables revenue1 EUROPE 10.5% of Injectables revenue 1 MENA 12.6%

83

40

13

20

11

62

Pipeline products Bedford products to be techtransferred & re-launched

Products under development

96

51

82

Strong product pipeline will drive future growth

US Injectables product pipeline at 31 December 2014 Hikma products

Bedford productsIncludes 9

1more

differentiated products

Includes 102

products that are more differentiated or developed through R&D

partnerships

1 Products counted excluding dosage forms and strengths2 More differentiated products, or products being developed through R&D partnerships, are counted excluding dosage forms and strengths

12

Page 14: Hikma Pharmaceuticals PLC - Jefferies · Building strong market positions in the US, MENA and Europe US 76.9% of Injectables revenue1 EUROPE 10.5% of Injectables revenue 1 MENA 12.6%

Generics

Page 15: Hikma Pharmaceuticals PLC - Jefferies · Building strong market positions in the US, MENA and Europe US 76.9% of Injectables revenue1 EUROPE 10.5% of Injectables revenue 1 MENA 12.6%

Leveraging our FDA approved manufacturing facilities in MENA for the US market

US

Saudi Arabia

Jordan

20% of Generics revenue is generated from products manufactured in our MENA facilities

14

Page 16: Hikma Pharmaceuticals PLC - Jefferies · Building strong market positions in the US, MENA and Europe US 76.9% of Injectables revenue1 EUROPE 10.5% of Injectables revenue 1 MENA 12.6%

Building a strong product pipeline in niche market segments

3

1

3 5 5

3

107

4

13

2

4

1

1

1

1

3

3

1

1

0

2

4

6

8

10

12

14

16

18

20

2015 2016 2017 2018 2019 2020

Patches & transdermals Orals - controlled release Orals - other specialised Opthalmics

Oncology Other dermatologics Inhalations Other orals

Generics expected launches, 2015 to 2020

15

Page 17: Hikma Pharmaceuticals PLC - Jefferies · Building strong market positions in the US, MENA and Europe US 76.9% of Injectables revenue1 EUROPE 10.5% of Injectables revenue 1 MENA 12.6%

Summary

Page 18: Hikma Pharmaceuticals PLC - Jefferies · Building strong market positions in the US, MENA and Europe US 76.9% of Injectables revenue1 EUROPE 10.5% of Injectables revenue 1 MENA 12.6%

Building a leading provider of generic pharmaceuticals

17

Delivering high quality, affordable

medicines to patients

• Leading global injectablesmanufacturer

• Leading pharmaceutical manufacturer in MENA and emerging markets

• High quality provider of non-injectable generics in the US

Six key strategic priorities

Pipeline development

Operational excellence

Investing for growth

Employees

Sustainability

Commercial opportunities