Group 1: Company Overview - Alvotech is a biotech company focused on the development and manufacture of biosimilar medicines for patients worldwide [3] - The company aims to be a global leader in the biosimilar space by delivering high-quality, cost-effective products and services [3] - Alvotech has two approved biosimilars, Humira® (adalimumab) and Stelara® (ustekinumab), marketed in multiple global markets [3] - The current development pipeline includes nine disclosed biosimilar candidates targeting various diseases, including autoimmune disorders and cancer [3] Group 2: Strategic Partnerships - Alvotech has formed a network of strategic commercial partnerships to enhance its global reach and leverage local expertise [3] - Key commercial partners include Teva Pharmaceuticals, STADA Arzneimittel AG, and Fuji Pharma Co., Ltd., among others, covering various territories [3] - Each partnership is tailored to specific products and regions, enhancing Alvotech's market presence [3] Group 3: Liquidity Provider Agreement - Alvotech has entered into an agreement with DNB Carnegie Investment Bank AB for liquidity provider services for its Swedish Depository Receipts (SDRs) [1] - DNB Carnegie will continuously quote prices for Alvotech's SDRs to ensure liquidity and reduce the spread between buying and selling prices [2] - The liquidity provider arrangement is set to commence on May 20, 2025 [2]

Core Viewpoint - Alvotech, a global biotech company focused on biosimilar medicines, successfully completed an oversubscribed offering of Swedish Depository Receipts (SDRs) in connection with its listing on Nasdaq Stockholm, which is expected to enhance its market presence and access to capital [2][5][8]. Offering Details - The offering attracted strong interest, resulting in over 3,000 new shareholders and was multiple times oversubscribed [2][8]. - The final price per SDR was set at SEK 87.51, reflecting a 10% discount from the volume-weighted average price of the ordinary shares during the application period [8]. - The gross proceeds from the offering amounted to approximately SEK 39 million [8]. Strategic Expansion - Alvotech aims to expand its R&D capabilities, having recently acquired Xbrane Biopharma AB's R&D operations in Sweden, which will enhance its scientific and innovation capabilities [4]. - The integration of Xbrane's workforce is expected to strengthen Alvotech's presence in the Swedish life-science sector and support its growth trajectory [4]. Market Positioning - The listing on Nasdaq Stockholm is anticipated to improve Alvotech's recognition in Nordic and European markets, attracting a broader base of institutional and retail investors [5]. - There is strong investor demand for opportunities in European biotech, biopharma, and biosimilar stocks among Nordic and international institutional investors [5]. Trading Information - Trading of the SDRs on Nasdaq Stockholm is set to commence on May 19, 2025, under the ticker symbol "ALVO SDB" [8]. - A free conversion period for existing shareholders to convert their shares into SDRs will be offered for one year from the first trading day [7].

Core Viewpoint - Alvotech intends to list Swedish Depository Receipts (SDRs) on Nasdaq Stockholm to broaden its investor base and enhance visibility among Nordic and European institutional investors following the acquisition of Xbrane Biopharma AB's R&D operations [2][3][8] Offering Details - The Offering will be directed solely into Sweden during an application period from May 9–16, 2025, with a maximum price of SEK 90 per SDR [6][12] - The gross proceeds are estimated to be approximately SEK 30 million, with 441,600 SDRs offered, each representing one Share [6][12] - The first day of trading on Nasdaq Stockholm is expected to be May 19, 2025 [6][12] Strategic Importance - The acquisition of Xbrane's R&D operations is a strategic priority to enhance Alvotech's R&D capabilities and establish a strong presence in the Swedish life-science sector [5][8] - The integration of Xbrane's workforce will expand Alvotech's scientific and innovation capabilities, allowing access to a broader talent pool [5][8] Market Positioning - The listing on Nasdaq Stockholm is expected to strengthen Alvotech's recognition in Nordic and European markets, improving access to regional capital and attracting a broader base of institutional and retail investors [3][8] - Alvotech aims to be a global leader in the biosimilar space, with a current pipeline that includes nine disclosed biosimilar candidates targeting various diseases [13][14] Investor Engagement - A free conversion period will be offered to existing shareholders to convert their Shares into SDRs, with conversion fees covered by Alvotech for one year from the first trading day [9][10] - A prospectus detailing the Offering has been published and is available on Alvotech's website and other financial platforms [10][11]

Financial Performance - In 2024, the company achieved revenues of $492 million, representing a growth of over 400% compared to the previous year [20][70] - Adjusted EBITDA for 2024 was approximately $108 million, a significant improvement from a loss of $300 million in 2023 [20][69] - Product revenues exceeded milestone revenues for the first time, totaling just over $273 million, an increase of 460% year-on-year [20][66] - Product gross margins improved from negative in Q1 to 45% in Q4, driven by scale, process improvements, and a better product mix [22][67] Business Lines and Market Performance - The company has ten products in advanced development and 18 molecules have passed cell line development, targeting a total addressable market of over $185 billion [12][13] - The launch of AVT02 in the U.S. and AVT04 in Europe were highlighted as significant achievements, with AVT02 capturing about 12% of the total U.S. demand for Humira by the end of 2024 [16][34] - The company expects to launch several new biosimilars in 2025, including AVT03 and AVT06, with anticipated approvals in Q4 2024 [24][78] Strategic Direction and Industry Competition - Alvotech aims to leverage its R&D capabilities and expand its pipeline, with a goal of reaching $1.5 billion in revenues and a 40% to 45% EBITDA margin by 2028 [25][90] - The acquisition of Xbrane's R&D operations in Sweden is expected to enhance the company's development capabilities and attract talent [28][61] - The company is positioned to be first to market with several biosimilars, including those for Cimzia and high-dose Eylea, which are expected to launch in 2028 [30][88] Management Commentary on Operating Environment and Future Outlook - Management expressed confidence in the growth of biosimilars, particularly in the U.S. market, where they expect significant market share conversion in 2025 [35][36] - The company anticipates a strong performance in 2025, projecting revenues between $570 million and $670 million, representing a 25% year-on-year growth [74][75] - Management highlighted the importance of maintaining a strong supply chain and quality focus to capitalize on market opportunities [40][41] Other Important Information - The company raised over $300 million in capital in 2024, simplifying its capital structure and removing all 2025 maturities [19][72] - Alvotech closed the year with $1.069 billion in debt and $51 million in cash, with plans to achieve free cash flow positive status in 2025 [72][73] Q&A Session Summary Question: Thoughts on Stelara pricing and potential private label deals - Management indicated that it is too early to comment on U.S. pricing for Stelara due to its recent launch, but they are optimistic about market position [100][102] - In Europe, established pricing trends were noted, with expectations of some price pressure as competition increases [101][102] Question: Cadence of milestone revenues and future expectations - Management expressed confidence in achieving milestone revenues in 2025 due to signed contracts and progress in R&D [99][103] - They expect about 75% of milestone revenues to be recognized in the second half of 2025, driven by approvals and launches [104][105]

Core Viewpoint - Alvotech has announced the acquisition of Xbrane Biopharma AB's R&D operations and a biosimilar candidate, XB003, which will enhance its development capabilities and establish a presence in the Swedish life science sector [1][3][6] Company Overview - Alvotech is a global biotech company focused on developing and manufacturing biosimilar medicines, with a goal to be a leader in the biosimilar space by providing high-quality, cost-effective products [4][7] - The company has invested approximately $1.9 billion since 2013 in a biosimilars R&D and manufacturing platform and has established partnerships with 19 leading companies across over 90 global markets [4][7] Acquisition Details - The acquisition includes Xbrane's R&D operations located at the Karolinska Institute in Sweden and the biosimilar candidate XB003, which references Cimzia® [1][6] - The purchase price for the acquisition is approximately SEK 275 million (around USD 27 million), consisting of SEK 102.2 million in cash and SEK 172.8 million in assumed debt and accounts payable [6] - The closing of the acquisition is expected in April 2025, pending approvals from relevant authorities and Xbrane's shareholders [6] Strategic Implications - This acquisition will allow Alvotech to expand its development capacity and enhance patient access to quality biologics through its commercial network of 19 partners [3][6] - Alvotech aims to attract new talent and foster scientific collaboration in the Swedish life science sector, which is comparable to the U.S. in this field [3][6] - Xbrane will retain over 75% of its addressable market, focusing on the commercialization of its remaining pre-clinical assets, including Ximluci and Xdivane [3][6]