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Investor Presentation Pressure BioSciences, Inc. (OTCQB: PBIO) Discovery Starts with Sample Preparation™ August 10, 2012
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Pressure BioSciences Investor Presentation

Oct 21, 2014

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Page 1: Pressure BioSciences Investor Presentation

Investor Presentation

Pressure BioSciences, Inc.(OTCQB: PBIO)( )

Discovery Startswith Sample Preparation™

August 10, 2012g ,

Page 2: Pressure BioSciences Investor Presentation

Forward Looking Statements

Thi t ti t i f d l ki t t tThis presentation may contain forward looking statements that reflect management’s current views and opinions as to the status of the Company’s products, technology and

other future events and operations These statements areother future events and operations. These statements are neither a promise nor guarantee, but involve risks and uncertainties that could cause actual results to differ

materially from those anticipated or indicated Investorsmaterially from those anticipated or indicated. Investors are cautioned that any forward looking statements should

be considered in light of such risks and uncertainties including, without limitation, those detailed in the g, ,

Company’s filings with theSecurities and Exchange Commission.

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Page 3: Pressure BioSciences Investor Presentation

Key Investment Highlights

• Pressure Cycling Technology (PCT): Powerful, Enabling, Patented

$6 Billi M k t O t it Bi l i l S l P ti• $6 Billion Market Opportunity: Biological Sample Preparation

• Focus on Sample Preparation for Biomarker Discovery & Forensics

PCT P d t Off Si ifi t Ad t O C titi M th d• PCT Products Offer Significant Advantages Over Competitive Methods

• Proven Technology: ~ 215 Installations in ~150 Marquee Laboratories

E i ti d N P d t Off Si ifi t G th O t it• Existing and New Products Offer Significant Growth Opportunity

• Attractive “Razor/Razorblade” Business Model

O i Di i ith L P t ti l St t i P t• On-going Discussions with Large Potential Strategic Partners

• Experienced Management Team and Board of Directors

F bl M k t V l ti f th I t• Favorable Market Valuation for the Investor

• Commercialization Program Rollout in 20123

Page 4: Pressure BioSciences Investor Presentation

Company Background

• Formed Sept 2004 - Sale of Boston Biomedica (BBII)( )

• Started Significant Operations in 2006

• OTCQB: PBIO• OTCQB: PBIO

• Twelve (12) Full-time Employees

S f• Strong Management Team and Board of Directors

• Focused on the Development and Commercialization of PCT-based Instruments and Consumables for the Preparation C C pof Biological Samples for Research Laboratories

• Strong IP - 24 Issued PCT Patents with More Pending

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Page 5: Pressure BioSciences Investor Presentation

Experienced Senior Management & Board

Management

• Mr. Richard T. Schumacher, President & CEOB t Bi di (CEO) P Ph (P id t) C t f Bl dBoston Biomedica (CEO); Panacos Pharma (President); Center for Blood Research (CBR Labs - Harvard Medical School) -General Manager

• Dr. Edmund Y. Ting, Senior Vice President of EngineeringAvure Technologies (CSO); Flow Int’l; Grumman Aerospace; MIT (Ph.D.)g ( ); ; p ; ( )

• Dr. Alexander V. Lazarev, Vice President of R&D Proteome Systems; Genomic Solutions; ESA; University of Kazan (Ph.D.)

• Dr Nathan P Lawrence Vice President of Sales & Marketing• Dr. Nathan P. Lawrence, Vice President of Sales & MarketingBoston Biomedica; BD; Gene-Trak Systems; Yale University (Ph.D.)

• Mr. Joseph Damasio, Vice President of Finance & Adm.PricewaterhouseCoopers; NEN Life Sciences; Boston College (MBA)

Board• Jeffrey N. Peterson, Board Chairman & Nominations Committee Chair• Kevin A. Pollack, Esq., Audit Committee Chair• Vito J. Mangiardi, Compensation Committee ChairVito J. Mangiardi, Compensation Committee Chair• R. Wayne Fritzsche, SAB Member Liaison• Richard T. Schumacher

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Page 6: Pressure BioSciences Investor Presentation

Past Accomplishments – CEO and Chairman

Company Role Top Market Cap Outcome

Schumacher

Pressure BioSciences (OTCQB: PBIO) Founder CEO DirectorPressure BioSciences (OTCQB: PBIO) Founder, CEO, Director

Boston Biomedica (Nasdaq BBII) Founder, CEO, Director ~$120 million Sold

Panacos Pharma (Nasdaq PANC) Co-Founder, Director ~$650 million Sold

Trinity Biotech (Nasdaq TRIB) Founding Group $250 million Going StrongTrinity Biotech (Nasdaq TRIB) Founding Group ~$250 million Going Strong

CBR Laboratories (Harvard Med) Founding Group N/A N/A

Fritzsche *Fritzsche *

Intelligent Medical Imaging Co-Founder, Chairman ~$280 million Sold

Immune Response Co-Founder ~$750 million Now OCHT.PK

O Ph (N d OPXAW) C F d $25 illi S ldOpexa Pharma (Nasdaq OPXAW) Co-Founder >$25 million Sold

Cytogen Co-Founder >$100 million Sold

Occulogix Co-Founder >$50 million Sold

* Mr. Fritzsche was also the founder or co-founder of approximately 20 additional companiesand has raised more than $120 million for these companies over the years.

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Page 7: Pressure BioSciences Investor Presentation

Value Proposition – Sample Prep Market

• Analysis of DNA, RNA, Proteins, & Lipids (“biomolecules”) is Crucial to the Development of New Diagnostics & Therapeutics

• Sample Preparation is Required Prior to Virtually All Analyses

• Current Sample Preparation Methods are Highly Inadequate: bottleneck

• PCT Offers Many Clear Advantages Over Current Competitive Products

• Current Target: Life Sciences Research Market – minimal regulatory

• PBI Holds 24 Issued PCT Patents in Multiple Sample Prep Applications

• Early Traction…about 200 PCT Systems installed through Q4 2011y y g

• $6 Billion* Market Opportunity for Sample Preparation Products

~ 500K Scientists in ~ 80K Labs WW require some sample preparation**

* Strategic Directions Int’l; **The Emmes Group

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Page 8: Pressure BioSciences Investor Presentation

Pressure Cycling Technology (PCT)Release Important Biomolecules by Cell Lysisy g gy ( )p y y

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Page 9: Pressure BioSciences Investor Presentation

Sample Input Quality = Sample Result Quality

Scientific research can be broken down to three key elements:sample preparation, analysis, & data reduction/interpretation

“Discovery Starts with Sample Preparation” 9

Page 10: Pressure BioSciences Investor Presentation

Competitive Landscape

Mostly Commodity Products Through Catalogue Sales

• Mortar & Pestle• Dounce homogenizer (glass on glass)• Potter-Elvenhjem homogenizer (Teflon on glass)• Enzymatic Digestion• Polytron shearing homogenizers• Polytron shearing homogenizers• Blenders• Bead Beating• Sonication• Repeated Freeze/Thaw cycles• French Press (≤ 2000 PSI)

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Page 11: Pressure BioSciences Investor Presentation

PCT Sample Preparation System

Barocycler™ NEP2320 Barocycler™ NEP3229 PULSE Tube

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MicroTubes PCT-dependent Kits

Page 12: Pressure BioSciences Investor Presentation

Selected Marquee Customers (40 of 150)

• Amgen• Biogen• Lilly

• Thermo Fisher• Target Discovery • Battelle Memorial Institute y

• Novartis• Monsanto• BM Squibb• Merck

• Harvard Medical School • Harvard School of Public Health • Rockefeller University • University of New Hampshire

• Centocor• Takeda Pharmaceuticals• Momenta Pharmaceuticals• US Army

y p• Barnett Research Inst (NEU) • UCLA • UC - San Diego• UC - Davisy

• FBI• Food and Drug Administration • US Department of Agriculture • National Institutes of Health

• Lawrence Livermore • Stanford University • University of North Texas • Mississippi State

• Armed Forces Inst. of Pathology• Centers for Disease Control• USAMRIID• Beth Israel Deaconess Hospital

• Montana State • Lawrence Berkeley • University of Kentucky• Florida Int’l University

• Burnham Research Institute • UMASS – Boston

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Page 13: Pressure BioSciences Investor Presentation

Current PCT Products & Product Pipeline

• PCT Sample Preparation System 2012: Aggressive(Barocycler NEP3229 & NEP2320) Commercialization

• The PCT Shredder SG3 Just Released

• Barocycler HUB440 Just Released

• FFPE System – proteins, DNA/RNA 2013

• PCT-based HT (48 - 384 well format) 2014

• XstreamPCT™ HPLC Digestion System 2014

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Page 14: Pressure BioSciences Investor Presentation

PCT Sample Preparation System

Barocycler™ NEP2320 Barocycler™ NEP3229 PULSE Tube

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MicroTubes PCT-dependent Kits

Page 15: Pressure BioSciences Investor Presentation

Product Pipeline (2011 Release)

The ShredderSG3SG3

Low Shear, Mechanical, Homogenization Device

• Long lasting lithiumrechargeable batteries

• Paddle for convenientpressure setting

• Pressure levels: 15, 30, 45 lbs. Force

• Uses PCT PULSE and Shredder Tubes

• Heavy Duty, Robust Driver

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Page 16: Pressure BioSciences Investor Presentation

Product Pipeline (2011 Release)

The Barocycler HUB440Hi h P G tHigh Pressure Generator

• Compactp• Portable• Versatile• Manual orManual or

Computer Controlled• Pressures to 58Kpsi

State-of-the-ArtHigh Pressure GeneratorHigh Pressure Generator

for Multiple Bioscience Applications16

Page 17: Pressure BioSciences Investor Presentation

Product Pipeline (2012 Release)

The Barocycler NEP-FFPEy

• 1 Billion Stored Samples WW• 1 Billion Stored Samples WW

• 6x More Non-redundant Proteinsfrom FFPE AortaDr. J. Van Eyk, et al., J. Hopkins

• 2x More Unique Proteins fromFFPE Mouse Liver

PCT-enhanced Protein Extraction fromF li Fi d P ffi E b dd d (FFPE) S l

Dr. C. Fowler, et al., AFIP

AVAILABLE 2013Formalin-Fixed Paraffin-Embedded (FFPE) Samples

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Page 18: Pressure BioSciences Investor Presentation

Product Pipeline (2013 Release)

XstreamPCT™ Digestion ModuleA t t d I li O d d PCT h d Di tiAutomated, In-line, On-demand PCT-enhanced Digestion

• Significantly ReducedSignificantly Reduced Protein Digestion Time

• Increased Membrane Protein Recovery

• Rapid & Less CostlyDe-glycosylation

• Excellent Reproducibility

AVAILABLE 2014The First Module in PBI’s Extreme PCT (35,000 psi) HPLC Platform

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Page 19: Pressure BioSciences Investor Presentation

Product Pipeline (2013 Release)

The Barocycler HT Multiwell (48/96/384)

Process 48, 96, or 384 Samples with the

S f• Safety• Speed• Quality• Versatility• Versatility• Reproducibility

of PCT

For High Throughput PCT-enhanced Biomolecule Extraction & Accelerated Enzymatic Digestion

AVAILABLE 2014Extraction & Accelerated Enzymatic Digestion

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Page 20: Pressure BioSciences Investor Presentation

Financial Data

Historical Revenue Data • 2009 $1,200,000• 2010 $1 300 000• 2010 $1,300,000• 2011 $1,000,000

Selected Data Through March 31, 2012• Cash/Cash Equivalents ~$ 0.2 million• Inventory ~$ 1.0 million• Debt (unsecured) ~$ 0.06 million

Selected Data Through July 13, 2012• Price per Share $0.42• Total Common 10 4 million• Total Common 10.4 million• Total Preferred (com equiv) 0.8 million

Total Shares OS 11.2 million• Market Cap (Com/Prfd) $4.7 millionp ( ) $

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Page 21: Pressure BioSciences Investor Presentation

Capitalization Table

As of July 13, 2012I C St k E i l t ( b i t )In Common Stock Equivalents (numbers are approximate)

Description NumberDescription Number

Common Shares Outstanding 10,400,000

Convertible Preferred Stock D 800,000

Total Common Stock Equivalents 11,200,000

Warrants (Weighted Average Strike Price of $1.06) 5,100,000

Stock Options (Weighted Average Strike Price of $2 17) 1 700 000Stock Options (Weighted Average Strike Price of $2.17) 1,700,000

Total Warrants and Options 6,800,000

Total Proceeds from Exercise of Warrants and Options $9,100,000

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Page 22: Pressure BioSciences Investor Presentation

PBI Sample Preparation Focus Areas

Dr. Andreas Huhmer – Thermo Fisher Scientific…advantages of speed and quality using PCT in mass spec workflow

Biomarker Discovery

…advantages of speed and quality using PCT in mass spec workflow

Dr. Michael Alterman – Tumor Vaccines and Biotechnology Branch, CBER, FDA…improved influenza vaccine quality using PCT in mass spec workflow

Dr. Alexander Ivanov – Harvard School of Public Healthimproved protein identification using PCT in mass spec workflow…improved protein identification using PCT in mass spec workflow

Dr. Luke Schneider, Target Discovery, Inc.…improved membrane protein recovery in ovarian cancer studies using PCT in mass spec workflow

Forensics ***

Dr. Bruce McCord, Florida International University…improved processing of forensic (rape kit) samples using PCT

Forensics Dr. Henry C. Lee, the Henry C. Lee Institute of Forensic Science

…evaluation of PCT in the recovery and detection of DNA in difficult forensic samples

…improved processing of forensic (rape kit) samples using PCT

Dr. Bruce Budowle, Health Science Center, University of North Texas…improved detection of DNA in forensic samples using PCT

Pathology (FFPE Samples)Dr. Jeff Mason and Dr. Carol Fowler, Armed Forces Institute of Pathology

...improved processing of FFPE (histology) samples using pressureDr. Jennifer Van Eyk, Johns Hopkins School of Medicine

…improved recovery of aorta proteins from FFPE samples using PCT 22

Page 23: Pressure BioSciences Investor Presentation

Professor Wayne Hubbell - UCLA

Distinguished Professor ofDistinguished Professor of Chemistry & Biochemistry, and Jules Stein Professor at UCLA

"Protein flexibility is the new frontier in understanding protein

UCLA

Protein flexibility is the new frontier in understanding protein function and regulation. The study of proteins under pressure has great ability to reveal salient features of protein flexibility,

and hence provide new insights into protein function and p g prational drug design. In my opinion, high pressure will

play a central role in the discovery process that lies ahead in the exciting field of protein science, and the PBI hardware will

make major contributions to this field.”

December 7, 2011 23

Page 24: Pressure BioSciences Investor Presentation

Dr. Henry C. Lee

Professor of Forensic Science and founder of the Forensic Science Program at the University of New Haven; founder of the HC Lee Institute of Forensic Sciences; and f C i i f P bli

former Commissioner of Public Safety for the State of Connecticut.

“We are excited about this opportunity to collaborate with Pressure BioSciences to examine the potential applications of

their PCT Platform in improving the collection of forensic evidence particularly DNA in several important areas ofevidence, particularly DNA, in several important areas of

forensics…such collaborations not only provide new, effective technologies for forensic DNA testing of samples that have

been difficult or unsuitable using today’s standard techniquesbeen difficult or unsuitable using today s standard techniques, but can also provide new and more effective ways to

reexamine old biological evidence in cold cases.” 24

Page 25: Pressure BioSciences Investor Presentation

News of Interest - 2012PBI Expands Sales Reach with Distribution Agreements for China, Australia, and Others

PBI Closes First Tranche ($600K) of a $1.2 Million Above-Market Private Placement

PBI Reduces Board of Directors from Eight to Five; Adds Veterans Mangiardi and Pollock

Ironridge BioPharma Invests $500K in PBIO at $1.02/share (no warrants, etc.)

PBI’ PCT Pl f K TDI’ Pl d O i C T i S iPBI’s PCT Platform Key to TDI’s Planned Ovarian Cancer Testing Service

Collaboration with Dr. Henry C. Lee and the HC Lee Institute of Forensic Science

Dr. W. Hubbell (UCLA) Presents Data Citing Proteomics Enhancement with PCT ubbe (UC ) ese ts ata C t g oteo cs a ce e t t C

European Sales Reach Expanded with Distribution Agmt for Benelux Countries

PBI Reports 2011 Financial Results: 22% revenue increase in Q42011 vs. Q42010; 66% revenue increase in 2H2011 vs 1H2011Q42010; 66% revenue increase in 2H2011 vs. 1H2011

$800,000 Private Placement Closed – transaction priced at market

Significant Progress Cited Using PCT in Processing of Sexual Assault Samples

PBI and DIGI Labs Announce Global Co-Marketing/Selling/Development Agreement

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Page 26: Pressure BioSciences Investor Presentation

2012 Potential Drivers

• Aggressive Commercialization Program for PCT Products

• Expansion of Distribution Network (3 to ~20 countries)

• Expansion of PBI Sales (3 to 8) & Marketing (1 to 3) Teamsp ( ) g ( )

• Expansion of Strategic Partners (2 to 4, at a minimum)

• Expected Completion of Significant Funding (up to 2 years cash)• Expected Completion of Significant Funding (up to 2 years cash)

• Measurable Progress on FFPE, XstreamPCT, HT MicrowellInstruments and Consumables

• Continuation of Aggressive IR (Awareness) Campaign

• Significant Revenue Run-rate Increase Throughout 2012 Significant Revenue Run rate Increase Throughout 2012

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Page 27: Pressure BioSciences Investor Presentation

Key Investment Highlights

• Pressure Cycling Technology (PCT): Powerful, Enabling, Patented

$6 Billi M k t O t it Bi l i l S l P ti• $6 Billion Market Opportunity: Biological Sample Preparation

• Focus on Sample Preparation for Biomarker Discovery & Forensics

PCT P d t Off Si ifi t Ad t O C titi M th d• PCT Products Offer Significant Advantages Over Competitive Methods

• Proven Technology: ~ 215 Installations in ~150 Marquee Laboratories

E i ti d N P d t Off Si ifi t G th O t it• Existing and New Products Offer Significant Growth Opportunity

• Attractive “Razor/Razorblade” Business Model

O i Di i ith L P t ti l St t i P t• On-going Discussions with Large Potential Strategic Partners

• Experienced Management Team and Board of Directors

F bl M k t V l ti f th I t• Favorable Market Valuation for the Investor

• Commercialization Program Rollout in 201227