agm meeting...buy buy buy, page-8

Mesoblast (MSB) Spec Buy, TP$16.00 – Stuart Roberts
AGM presentation emphasises strength of the company
Today’s AGM presentation by Mesoblast CEO Silviu Itescu provided a solid demonstration of
the shareholder value that is building in the company. The key points were:
The range of the company’s achievements in 2011 – including the strategic alliances with
Cephalon and Lonza, the move into chronic angina as a new cardiovascular indication, the successful
completion of the Phase II trial in heart failure, the commencement of the Phase II trials in
degenerative disc repair and wet AMD, and strong animal data on diabetes. This suggests an
increasingly busy company going forward with plenty of news flow.
The successful de-risking of the company that has taken place – Mesoblast now has with
multiple shots on goal, US$250m cash in the bank, and is experiencing a staged de-risking of the
technology through work with its partners as well as in its own clinical trials and laboratory work.
The high number of number of ‘value inflection’ points coming up in the short and medium
term, including 1) the progression to a Phase 3 pivotal trial in heart failure; 2) completion of the
orthopaedic Phase 2 spinal fusion trials; 3) completion of disc repair Phase 2 trial; 4) the move of
diabetes into Phase 2 trials; 5) the building out of the intravenous franchise and 6) future partnering
opportunities.
Disclosure: Bell Potter Securities