Citius Pharmaceuticals Inc. Common Moody Capital Disruptive Growth & Life Science Conference

Take it away. Thank you for the introduction, and I appreciate all of you taking the time to be here with us today.

I especially appreciate those that are online joining us as well. With that, let me go through this. This is an important statement here that I want everybody to read because, especially if you are having difficulty falling asleep in the evening, read this from the beginning to end. By the time you get to the end, you will be sound asleep. Nevertheless, what is important here is that all of you do everything you can to find out as much about the company that you are investing in. That includes going to sec.gov, type in our symbol, and everything will pop up, all the information on the company. Also, our website has all our filings and all the relevant information on the company.

Historically, before I get into this, there are two companies here. One is Citius Pharmaceuticals, the other one is Citius Oncology. The reason for that is because when we started the company back in 2014, myself and Myron Holubiak, who was former president of Roche Laboratories, we started as a private company. We funded all the work ourselves. What we did is we in-licensed the drug from MD Anderson in Houston, which is the leading cancer hospital probably in the world at this point. It was an antibiotic lock solution that you will hear more about that will eradicate infections inside of infected central venous catheters. We went along privately for a while, funding everything, and as you can see there, basically we have put in a substantial sum of money into the company.

I have $22.5 million invested directly, and Myron Holubiak has $4 million of his own money invested directly, something you will not hear from anybody else in this conference. For the most part, unless Phil Frost is presenting here. At this point, in terms of, we went along as Citius Pharmaceuticals and then, subsequent to some raises that we did back in 2021 when the markets were really great, we raised close to $120 million at that time in one month. An opportunity came our way for a drug that was for a rare cancer, cutaneous T-cell lymphoma called LYMPHIR, that was being divested by Dr. Reddy's of India. We decided then to put it into a subsidiary company. We basically paid $40 million up front for that asset at that time. It was an auction. We went along.

The drug did get approved very quickly. We made a decision at that point that what we wanted to do was to see if we couldn't get that sub to trade on the market under Nasdaq so that we could raise the capital that way for the launch of the drug so that we wouldn't dilute the Citius Pharma shareholders with the funding that was going to require for launching LYMPHIR. We did that, and what happened was Maxim actually came to us and had a SPAC. SPAC basically acquired the sub. We became the 90% owners of that sub in that process. As a result, we were traded on Nasdaq immediately because of the SPAC acquiring, became CTOR, so we have CTOR, which is Citius Oncology, and CTXR. You'll hear about what we have inside these two companies.

LYMPHIR is the principal asset inside of Citius Pharmaceuticals, Citius Oncology. It basically has been launched. We actually did a launch in December of this past year, where we shipped a product to the wholesalers. We wanted to set everything up for the launch of the drug so that when the sales force was fully out there, which they weren't at that time, we had everything covered for them. As a result, what we have at this point is everything is in place, reimbursement, coverage, insurance, shipping, billing, invoicing, all the functions that you need are in place. We'll cover later in terms of that. We did a recent financing where did a warrant exercise for 11 point- Is the J-code in place?

The reimbursements are 100%, including Medicare. We have 100% coverage. We basically did a recent financing as well, with a $11.5 million warrant exercise plus $10 million of debt that was the first tranche of a $25 million facility. We did a previous raise, that was for CTOR, CTXR, we did a $5 million raise in April. Let me get into LYMPHIR and Citius Oncology. CTXR owns 71% of Citius Pharmaceutical. It's a standalone public company. We have a shared services management agreement between the two companies. The same management team that is in place for Citius Pharmaceuticals is also the same identical management team for Citius Oncology. It makes it this way, it's much more economical for both companies. The market size for LYMPHIR is about $400 million. It's growing now to about $500 million at this point.

We acquired all the rights to the drug except for India, Japan, and certain parts of Asia. There are some investigator INDs that I'll describe shortly underway with LYMPHIR. LYMPHIR is actually the very first new treatment in cutaneous T-cell lymphoma. It's a rare cancer. It's an awful cancer, and I'll show you shortly in terms of that. It's an IL-2 receptor-directed cytotoxin indicated in the treatment of adult patients with relapsed or refractory stages 1 through 3 CTCL or cutaneous T-cell lymphoma after one prior systemic therapy. These patients suffer greatly with this cancer, and you'll see it in a second. We've got commercial supply now across the board in all the wholesalers. We've got early adoption taking place without a major sales force present already in certain institutions, and basically broad payer acceptance right across the board.

We started limited international distribution as well. Just some quick numbers in here. Basically, we've got $7.1 million worth of revenue for the first three quarters. We're on a September fiscal, I should explain that. Both companies are on a September 30th fiscal. Basically, we're now into our last quarter coming up. With that, 44 institutions have already pulled the drug out of the wholesaler. This again took place with a very limited number of people. We didn't have the full sales force on board until actually two to three weeks ago, when finally we got all 29 people in place. We're going to do real well here once all those feet on the street really start synchronizing and working well together. We've got 135 health plans secured in here, and 100% of the lives are being covered.

So, basically, this is just to show you some of the growth that's taken place as far as from the institutional side. As you can see here, we got good growth in the quarter ending June 26. Again, without any major representatives. So, basically this tells us that we've got some real interesting potential down the road once everybody is in place. I call this our mugshots. This is our management team. So, basically, just to give a quick highlight here, Jaime Bartushak, our CFO, great background, has done a lot of work on the pharmaceutical side. Myron Holubiak, who's my partner in starting the company, used to be the president of Roche Laboratories. I want to highlight Dr. Myron Czuczman. I should also highlight something else for you here.

We're the only pharma company in America that has two Myrons in our upper management team, as far as I can tell. So, Dr. Czuczman spent 23 years in Buffalo at Roswell Park Comprehensive Cancer Center as the chief of lymphoma/myeloma. He published 180 papers, and he is a lymphoma rock star. He then went, after 23 years there, to Celgene as vice president in charge of worldwide research in lymphoma/myeloma. After they were acquired by Bristol-Myers Squibb, he didn't want to be with a larger company. We're fortunate that we managed to hire him well before we even did the transaction for LYMPHIR. And anywhere he goes, he's well-known around the world. So, Michael McGuire is in charge of commercial operations, spent 25 years at Hoffmann-La Roche and launched all their major antibiotics. Omar Lansari is our Director of Marketing.

He came to us from Regeneron, where he participated in their major launches. So, one thing I should say about our company, first of all, we have no trainees, we don't have any summer programs, no interns, none of that. We only have professional, highly experienced people with a solid background of success. So, what is CTCL? It's actually part of a subgroup of non-Hodgkin lymphoma that is driven by malignant T cells. It is an orphan cancer. It basically accounts for about 4% of the non-Hodgkin lymphoma. It's more prevalent in men than it is in women. There are different subtypes of it. Mycosis fungoides is the most common type, followed by Sézary syndrome, and then in other CTCL forms. I started, I tried to describe for you how awful this cancer is.