1. PERAK BIOTECHNOLOGY BUSINESS
PLAN
WTI Consulting, 9.12.2010

2. PERAK BIO KPI

3. PERAK BIO - TRANSFORMATION
 Having more professional, technical and support
staff.
 Creating of relevant departments with particular
expertise
 Working towards financial independence.

4. REVISED MANAGEMENT
STRUCTURE

5. CAPITAL RAISING PROGRAMMES

6. EXISTING ASSETS AND GAPS

7. PERAK BIOTECH PROJECT FUNDING
STRUCTURE
Listing
PKNP
Funder –
(PBTP-160ac
Cash Special Purpose
+ SIPP -60
Vehicle
ac)
Technology
Invest
IP
Industry Centres of Excellence
•Animal Vaccine
•Bioinformatics
•Wing-M Chemical
•Biozyme Pharmatech •Global Tropical Life
•Medical Device Sciences Institute
•Boar Goat Artificial •Incubators
Insemination Breeding •Advisory Centre
scheme •Perak Biotech Park
•Cattle Artificial Breeding
scheme
•Standards and Biosecurity

8. POTENTIAL INVESTORS:
 Inventages Venture Capital, Life Sciences Venture
Capital, London, interested to invest in selected
Malaysian biotechnology projects;
 A group of private equity partners from South Africa,
the United States, China, Canada, India and
Indonesia. They will be making visits to Perak
commencing in the first week of December 2010.
 A group of private equity through Goldman Sachs and
UBS who are willing to consider investments from
April 2011 onwards.
 Support from Malaysian Biotech Corp and
PEMANDU

9. TOWARDS FINANCIAL
INDEPENDENCE

10. INVESTMENT BASED
 Global Tropical Life Sciences Institute and its
subsidiaries;
 Bioinformatics Services;
 Development and Management of Perak
Biotechnology Park;
 Investment in potential joint venture partners in
various biotechnology sectors.
 Investment approach:
 Ordinary shares in certain companies as strategic
investment and strategic partners;
 Preference Shares in certain companies as strategic
investment and with a view of guaranteed income;
 Loan stock and debentures with strategic exit and
guaranteed income.

11. ROYALTY BASED
 Licensing of intellectual property under the CBioD
Initiatives.
 Royalty rate may vary from one sector to another but
may range from 5% to 15% of the total gross sale.

12. SALIENT TERMS
Collaboration 1. Share of IP ownership at 51% to Perak
Agreement between Bio and 49% to PEO.
Perak Bio and PEO. 2. Share of Royalty at 51%: 49% after cost.
3. PEO to handle all digitisation of FRIM
and non FRIM images of biodiversity
4. PEO to store and manage the data at the
PEO data centre.
5. Perak Bio to manage the intellectual
properties
6. Perak Bio be responsible to FRIM,
access to taxa and also access to
Temenggor and Belum for future non-
FRIM projects.
7. Management committee to manage the
collaboration
8. IP 50:50 ownership : ultimately 25:25:50
9. Marketing, development of enhanced IP,
IP management of the enhance d IP

13. INTELLECTUAL PROPERTIES AND
ROYALTY
 Trademark – CpBioD Logo and Brand
 Copyright – Digitised format of CpBioD species
 Patents (?) – Methods of digitisation?
 Royalty Rates (as in various markets): 3-15%
 Software (media content): 20-25%
 Long term real property (CBioD City, Hotel) : 3%
 Merchandising : 3-10% depending on product range
 Tourism (long term): 3%
 Travel and tours: events 5-15%

14. JUSTIFICATION ON MARKET BASED
ROYALTY RATES
Scope Rate on % of Justification
gross profit
Software – media 20-25% Average industry rate is 25% - 40%
content as it has fast product cycle with
higher industry average profit
margin
Real Property – 7-10% The use of copyrights and trademarks
Hotels etc reflect the long term business with
low profit margin hence lower royalty
rate
Merchandising 7-15% The lower end reflects the same
justification as above but the higher
end of the rate may be charged on
high end products
Tourism 7-10% Same as above
Event 10-15% Same as above

15. SALES REVENUE
 Developing and managing Perak Biotech Park.
 Biotechnology Advisory Centre (cooperate with
KPerak);
 As the manager and approving authority for
bioprospecting and access to genetic resources in the
9000 hectares Temenggor forest under the PITC;
 Standards Certification agency for biotechnology
products and biodiversity management in Malaysia
and other countries:
 compliance with National Biodiversity Policy,
 Certification process recognised by FSC and ISO,
 Protocol for Research Based Tourism and Research and
 Bioprospecting in the mega biodiversity areas.

16. BIOTECHNOLOGY ADVISORY
CENTRE
Web based –
contents and Transfer of
email the experts Foreign
knowledge to local
and local
understudies
experts
and
advisors
National Advisory Centre for
Biotechnology Regulations and
Commercialisation
Manager
Physical Office
and staff
Various clients
Capacity Building

17. PERAK BIOTECHNOLOGY PARK

18. OBJECTIVES
 Enterprise development
 Job and skill creation
 Investment Attraction
 Export and trade
 Innovation and entrepreneurship
 Diversification of Perak Economy
 Sustainable economy

19. PERAK BIOTECHNOLOGY PARK:
DEVELOPMENT STRUCTURE
Perak
Strategic Partner:
Federal Hitech Sale and Perak Contract
Project Management,
Government Park Sdn Purchase Bio
Project Implementation,
Bhd
Marketing, Promotion
Financial Main
Support Project Design
infra
Owner Build
Manageme
nt
Promotion
Marketing
Support
system
Perak Biotechnology Park

20. REQUEST FOR APPROVAL
 Perak Bio Board to appoint a team lead by Amal
Architech, Kuala Lumpur to:
 Plan the development of the Perak Biotechnology Park
 Plan the development of Global Tropical Life Sciences
Institute, Incubators and other facilities on Perak
Biotechnology Park;
 To be the Project Manager;
 To market Perak Biotechnology Park

21. PROPOSED TRANSACTIONAL METHOD
 Perak Bio enters into S&P with Perak Hitech Park:
 Deferred payment basis – PHTP will be paid based on the
progress of each industrial lot.
 PHTP will be paid an RM x amount, and will build the
basic infrastructure.
 PHTP to pay premium to the state.
 Perak Bio and Project and Marketing Managers
 Perak Bio will appoint Project and Marketing Managers on
success basis;
 Perak Bio will be paid RM Y amount from the progress
sale
 Project Manager to obtain professional fees and profits
from the sale of each lots
 Project Manager to look for funding of the rest of
development of Perak Biotech Park

22. STAGES OF DEVELOPMENT

23. MILESTONES
Develop the Plan for the Optimum Park for Perak 2H10
including Designing the Park including the service of the
relevant experts
Marketing of the Park: Aggressively promote and recruit 2010-2012
new investments from leading biotechnology and
pharmaceutical companies to fully populate the Perak
Biotechnology Park
Initiate Links with All Stakeholders in the Perak 2010/11
Biotechnology Park (Universities, Companies, Employee
Base)
Transaction with the First Company to Locate at the Perak 2H10
Biotechnology Park

24. PERAK BIOTECH PARK - CONCEPT
 Utilise renewable energy and sustainable energy
building concept
 Limit on use of motor vehicle, encourage use of
bicycles, battery powered cars, walking
 Industrial Lots for manufacturing and production
meeting highest standards
 Perak Bio HQ, PLSI, Centres of Excellence
 Recreational facilities

25. PREFERRED CLUSTERS IN THE PERAK
BIOTECH PARK

26. PREFERRED CLUSTERS IN THE PERAK BIOTECH
PARK: R&D

27. PERAK BIOINFORMATICS AND
TRADITIONAL KNOWLEDGE
DIGITAL LIBRARY
PROJECT

28. OBJECTIVES

29. STRUCTURE

30. IMPLEMENTATION (1)
Protection
Link

31. IMPLEMENTATION (2)
Biodiversit Perak Global Data
Fee
y and TK Bioinformati Users
Fund cs Customers
R&D Institute
Access Pharma Companies
Access Royalt
y
Research and
Development
Perak Life Sciences Institute Commercialisati
Perak Biotechnology Incubators on

32. GLOBAL TROPICAL LIFE
SCIENCES INSTITUTE
32

33. VALUE PROPOSITION
33

34. FORMATION
34

35. POTENTIAL PARTNERS
35

36. MISSION AND OBJECTIVES
36

37. POTENTIAL INVESTMENT/ EXPANSION TO
PERAK (1)
No Company Country of Field Estimated
Origin Potential
Value (RM)
1 Wing-M Chemical Malaysia Biomass, 30,000,000
diesel
substitute
2 Wing-M Chemical JV Malaysia / Bamboo 50,000,000
with Xiamen Investor China based textile
material
3 Biozyme Pharmatech Taiwan Glucosamine 50,000,000
from
vegetable
(healthcare)
4 Hirugen Biopharma Malaysia / Pharmaceuti 50,000,000
China cal (Clinical
Clinical Trial Trial)
Contract
Research 150,000,000
(production)

38. POTENTIAL INVESTMENT/ EXPANSION TO
PERAK (2)
No Company Country of Field Estimated
Origin Potential
Value (RM)
5 Jeffi Malaysia/ Aquaculture 200,000,000
China
6 1st Global Biotech Malaysia / Healthcare 20,000,000
Taiwan Enzyme
7 Pharco Medical Device Egypt / Medical 50,000,000
Australia Device
8 Medical Devices Malaysia/ Medical 50,000,000
Germany Device

39. POTENTIAL INVESTMENT/ EXPANSION TO
PERAK (3)
No Company Country of Field Estimated
Origin Potential
Value (RM)
9 Global Tropical Life Malaysia/ Research and 400,000,000
Sciences Institute International Development
Centre of
Excellence
10 AIAZ JV Malaysia Animal 300,000,000
Vaccine
11 Bioinformatics Malaysia Bioinformatics 20,000,000
12 Animal Biotechnology Malaysia Animal 60,000,000
(3 companies) biotechnology

40. POTENTIAL PERAK BIO REVENUE
PerakBio Corporation Sdn Bhd
Consolidated Income For 5 Years Period
Year1-2011 Year2-2012 Year3-2013 Year4-2014 Year5-2015
Net Income Receivable
Life Science Institue - 600,000.00 600,000.00 750,000.00 750,000.00
Royalty Fees - 340,000.00 848,000.00 1,356,000.00 2,032,000.00
BioInformatic - 600,000.00 600,000.00 750,000.00 750,000.00
Rental Income-Hitech&Iskandar - - 3,293,136.00 3,457,792.80 3,630,682.44
Preference Shares Participation 600,000.00 2,400,000.00 2,400,000.00 2,400,000.00 2,400,000.00
Incubator - - 3,000,000.00 3,000,000.00 3,750,000.00
Product & Services 213,500.00 311,500.00 357,000.00 420,000.00 437,500.00
Total Income 813,500.00 4,251,500.00 11,098,136.00 12,133,792.80 13,750,182.44

41. ESTIMATED ECONOMIC IMPACT ON PERAK’S
ECONOMY
1 Total estimated Investment 1.06 Billion
2 Estimated Annual Sale 400 million
3 Estimated Annual Salary 20 million
Creation of Support Industries: Housing, Bookstores,
4
Food Supply, Specialised Transportation, IP and Legal
Services, specialised accounting, computing, data
Centres, Hotels, Conference Centres, housing,
international
School.
Annual Economic turnover
100,000,000

42. REQUEST
 Right to implement projects planned/ referred to WTI
Consulting, in consultation with Perak Bio and KE
PKNPk.
 Right to work with various PKNPk subsidiaries and to
co ordinate with various government departments
 Easier access to land including state lands
 To organise trade mission/ marketing trips and to bring
along representative from Perak Bio Management and
Board members in order to convince investors (funding
to be arranged separately)