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BHM
A Reliable And Innovative Partner
Of Chemistry From China

              Yang Ping
              (Project Leader/Senior Organic Chemist)

              Email:ping.yang@honghui-meditech.com
              Tel:+86-10-61253848-801
              Fax:+86-10-61253882


                                                        1
Company Overviews
• Business
  – A CRO in chemistry outsourcing
  – Catalog compounds
  – No internal drug discovery program
• Location
  – Medicine Valley 1 in CBP, South of Beijing
• History
  – Dec. 2002:             established
  – Oct. 2003:             lab in use
• Ownership
  – private




                                                 2
Management Team
• Ye Liu                CEO
   – PhD in chemistry, Uppsala Univ., Sweden
   – >10 years working experience in European drug industries
      • Research Scientist in Pharmacia & Upjohn,
      • Head of chemistry department, Karo Bio
• Jinchang Wu           VP Research
   – PhD in chemistry, Uppsala Univ., Sweden
      • Research Scientist in Pharmacia; Senior scientist in Astra
      • Professor of Jilin Univ.
• Yang Cai              CSO
   – PhD in chemistry, Osaka Univ., Japan
      • Post Doc at Ciby-geigy,
      • Professor of Beijing Univ.
• Liping Shao           VP Administration
   – PhD in chemistry, Uppsala Univ. Sweden
      • Senior Scientist of Swedish Work-protection Institute


                                                                     3
Staff
• Number of employees
   – 90
• Number of chemists
   – 67
   – 70% with Master’s degree and 1-5
     year working experience
• Number of Ph.D. chemists
   – 9
• Support staff
   – 14
   – Analytical, shipping, administrative,
     procurement, etc.




                                             4
Infrastructure
• Square footage of facility and Labs
   – 2200 M2
• Number of hoods / walk in hoods
   – 70 / 12
• Capacity for expansion
   – Another 1200 M2 available at the same floor
   – Estimated time for lab renovation: 3 months
• Library and online services
   – Own small library
   – Multi-licenses & easier access to online databases
   – Crossfire, SciFinder, ACD
• Computer access
   – Internet and intranet
   – Video and tele-comference accessories




                                                          5
Equipments
• R&D lab                           • Kilo lab
  – Table top hoods with               – Walk in hoods with
    international standard               international standard
  – Low temperature                    – 2X20 L, 5X50 L & 100 L
    circulators                          glass reactors
  – Dry operational box                – 250 L reactor and
                                         accessories
  – Parr hydrogenator ( (1L
    and 3L)                            – 10 L, 20 L and 2x50 L
                                         evaporators with pump
  – Autoclave (2000psi)                  and chiller
  – Free-dryer                         – Workup unit
  – Speedvac                           – Vacuum drying oven
  – Microwave reactor                  – Column for large scale
  – Biotage SP1                          chromatography
  – parallel synthesis facilities
    for focused-libraries




                                                                  6
Instruments

• Analytical instruments
  –   NMR:    300 MHz, with multinuclear probe, Bruker
  –   LCMS:   2 Agilent
  –   GC:     2 Agilent
  –   HPLC:   2 Analytical Agilent
              2 Preparative Agilent
              with UV, PDA, ELS detector
              with some chiral columns
  –   Free-dryer
  –   UV-VIS Shimadzu
  –   FT-IR    Shimadzu
  –   Polarimeter



                                                         7
Capabilities
• Organic synthesis                 • Chiral chemistry
   – From milligrams to kilograms
                                       – Asymmetrical synthesis
   – Multistep and structural
     complex synthesis                 – Enzymatic resolution
   – All category of biological        – Ciral resolution
     interested compounds
• Med-Chem                          • Areas of Specialty
   – Hits to lead                      – Nucleoside
   – Lead optimization                 – Peptide mimics
   – SAR study                         – Heterocyclics
• Combi-chem                           – Palladium chemistry
   – focused libraries
   – Parallel synthesis                – Steroids/ non-steroids
   – Scaffolds & building blocks         hormones
• Processing and manufacturing         – Boric acid
   – Route discovery and               – CNS (5-HT, Dopamine, etc)
     optimization
   – Large scale preparation




                                                                  8
Project Management

• Project management
  – Project leader                                              Collaborative
     • with PhD                                                  Committee


     • Project planning and                           Senior
                                                   Project Leader
                                                                                       Senior
                                                                                    Project leader
       progress monitoring                             BHM                             Client


     • communication              Project leader                                            Project leader
                                      BHM                                                      Client

  – Project teams
     • FTEs fully assigned to
                                                    Chemistry                   Chemistry
                                                     Team 1                      team1

       client’s project
                                                    Chemistry                   Chemistry
     • Multiple ways/levels for                      Team 2                      Team 2


       communication
                                              Supporting team              Supporting team




                                                                                                             9
Project Management
• Communication practices
   – Weekly progress report by E-mail
   – Tele/video conference biweekly/monthly (facility available)
   – Face to face project meeting on client’s request
• Procurement and shipment
   – Chemicals procurement
      • Cheap chemicals available in China
      • Readily available chemicals from international provider (Aldrich
        etc.)
   – Documents for the shipment
      • Ready substances with spectrums, compound specifications
      • Safe & reliable package with content list & declaration paper
      • Protocol (experimental procedures, packet list) submitted by E-mail
   – Timelines for delivery
      • 3-5 days from Beijing to USA and Europe (by FEDEX or EMS)
      • Routine for customs clearance for Import/export


                                                                           10
Intellectual Property (IP)
• Management of IP
  – Critical for our success (Clients and Honghui)
  – All IP rights belong to client (rewards on process IP)
• Systems to protect client IP
  – CDA with every employee; IP assignment right to BHM
  – BHM fulfils obligation to clients
• Protocols to manage IP
  –   Firewall between projects of different clients
  –   Project’s specific password
  –   Separate project team meetings for different projects
  –   PGP encryption used in email communications or adopt
      clients security system per request




                                                              11
Safety
• Procedures
   – Rules, documents, equipments, inspection
   – Lab coats, eye-glasses, gloves, showers & eye washers
   – Smoke detectors, extinguishers & auto anti-fire system
• Waste disposal
   – Separated by types; removal by a special service company
• Use of hoods
   – All reactions & work-ups
• Training
   – 3 Days for new employees
   – Annual follow-up for every chemist
• Safety personnel
   – Responsible persons at 3 level: Company; lab and team




                                                                12
BHM – A Competitive Resource For You

• Training-for highly capable chemists
   – Initial training with supervisor
        • Safety, lab routine, databases, documentation, project practices
   – Continuous training by company
        • Literature follow-up, internal/invited seminars, special
          courses/training programs, scientific meetings/conferences
• Efficient organization
   – Senior manage with overseas experience
   – Team leader with strong background
   – Assembling the right team
• Result oriented management
   –   Quality and timely delivery to our clients
   –   Keeping track of in-house goals and milestones
   –   Incentive income based on performance
   –   Overtime possible in the evening & weekend if needed



                                                                             13
BHM – A Competitive Resource For You
• Quality
  – Purity: 95% routinely; 98% per request
  – Identification/characterization
     • Spectra included with each compound delivered
     • H1 NMR, LCMS & HPLC (UV-detector)
• Communication
     • Skillful communicators with clients
     • Reporting system highly evaluated by clients
     • English as the working language for protocol, notebook,
         reports and communications
• References/current clients
     • “it is a pleasure to work with you guys, your service is very
         professional and your team is nice to work with”
         (comments from one client)
     •   J&J PRD, Astra, Phenomix, Karo Bio, Sunesis, Biotica,
         Acadia & 7TM…



                                                                 14
FTE Based Service
• Full Time Equivalent dedicated only in client’s
    project
•   Experienced bench chemists with MS. Degree or
    equivalent & team leader with PhD
•   240 working days (48 weeks) per year
•   Each FTE succeeded about 80-100 “full” steps
•   Regular project meetings via tele/video
    conference
Price list


• Yearly Rate of FTE for R&D program
  – 60,000 USD/Year
   Chemists of Master’s degree or equivalent
• Yearly Rate of FTE for scale-up processing
  – Mutually agreed price per offer
Price clarifications
• Price including
  – Compensation & facility costs
  – Consumable materials
     • Solvents, silica gel, SPE columns, vials etc.
  – Characterization and analysis
     • NMR, LC-MS, HPLC, GC
  – Packing and delivery cost
  – Protocols and reports
• Price excluding
  – Chemicals & reagents
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Our company's back ground

  • 1. BHM A Reliable And Innovative Partner Of Chemistry From China Yang Ping (Project Leader/Senior Organic Chemist) Email:ping.yang@honghui-meditech.com Tel:+86-10-61253848-801 Fax:+86-10-61253882 1
  • 2. Company Overviews • Business – A CRO in chemistry outsourcing – Catalog compounds – No internal drug discovery program • Location – Medicine Valley 1 in CBP, South of Beijing • History – Dec. 2002: established – Oct. 2003: lab in use • Ownership – private 2
  • 3. Management Team • Ye Liu CEO – PhD in chemistry, Uppsala Univ., Sweden – >10 years working experience in European drug industries • Research Scientist in Pharmacia & Upjohn, • Head of chemistry department, Karo Bio • Jinchang Wu VP Research – PhD in chemistry, Uppsala Univ., Sweden • Research Scientist in Pharmacia; Senior scientist in Astra • Professor of Jilin Univ. • Yang Cai CSO – PhD in chemistry, Osaka Univ., Japan • Post Doc at Ciby-geigy, • Professor of Beijing Univ. • Liping Shao VP Administration – PhD in chemistry, Uppsala Univ. Sweden • Senior Scientist of Swedish Work-protection Institute 3
  • 4. Staff • Number of employees – 90 • Number of chemists – 67 – 70% with Master’s degree and 1-5 year working experience • Number of Ph.D. chemists – 9 • Support staff – 14 – Analytical, shipping, administrative, procurement, etc. 4
  • 5. Infrastructure • Square footage of facility and Labs – 2200 M2 • Number of hoods / walk in hoods – 70 / 12 • Capacity for expansion – Another 1200 M2 available at the same floor – Estimated time for lab renovation: 3 months • Library and online services – Own small library – Multi-licenses & easier access to online databases – Crossfire, SciFinder, ACD • Computer access – Internet and intranet – Video and tele-comference accessories 5
  • 6. Equipments • R&D lab • Kilo lab – Table top hoods with – Walk in hoods with international standard international standard – Low temperature – 2X20 L, 5X50 L & 100 L circulators glass reactors – Dry operational box – 250 L reactor and accessories – Parr hydrogenator ( (1L and 3L) – 10 L, 20 L and 2x50 L evaporators with pump – Autoclave (2000psi) and chiller – Free-dryer – Workup unit – Speedvac – Vacuum drying oven – Microwave reactor – Column for large scale – Biotage SP1 chromatography – parallel synthesis facilities for focused-libraries 6
  • 7. Instruments • Analytical instruments – NMR: 300 MHz, with multinuclear probe, Bruker – LCMS: 2 Agilent – GC: 2 Agilent – HPLC: 2 Analytical Agilent 2 Preparative Agilent with UV, PDA, ELS detector with some chiral columns – Free-dryer – UV-VIS Shimadzu – FT-IR Shimadzu – Polarimeter 7
  • 8. Capabilities • Organic synthesis • Chiral chemistry – From milligrams to kilograms – Asymmetrical synthesis – Multistep and structural complex synthesis – Enzymatic resolution – All category of biological – Ciral resolution interested compounds • Med-Chem • Areas of Specialty – Hits to lead – Nucleoside – Lead optimization – Peptide mimics – SAR study – Heterocyclics • Combi-chem – Palladium chemistry – focused libraries – Parallel synthesis – Steroids/ non-steroids – Scaffolds & building blocks hormones • Processing and manufacturing – Boric acid – Route discovery and – CNS (5-HT, Dopamine, etc) optimization – Large scale preparation 8
  • 9. Project Management • Project management – Project leader Collaborative • with PhD Committee • Project planning and Senior Project Leader Senior Project leader progress monitoring BHM Client • communication Project leader Project leader BHM Client – Project teams • FTEs fully assigned to Chemistry Chemistry Team 1 team1 client’s project Chemistry Chemistry • Multiple ways/levels for Team 2 Team 2 communication Supporting team Supporting team 9
  • 10. Project Management • Communication practices – Weekly progress report by E-mail – Tele/video conference biweekly/monthly (facility available) – Face to face project meeting on client’s request • Procurement and shipment – Chemicals procurement • Cheap chemicals available in China • Readily available chemicals from international provider (Aldrich etc.) – Documents for the shipment • Ready substances with spectrums, compound specifications • Safe & reliable package with content list & declaration paper • Protocol (experimental procedures, packet list) submitted by E-mail – Timelines for delivery • 3-5 days from Beijing to USA and Europe (by FEDEX or EMS) • Routine for customs clearance for Import/export 10
  • 11. Intellectual Property (IP) • Management of IP – Critical for our success (Clients and Honghui) – All IP rights belong to client (rewards on process IP) • Systems to protect client IP – CDA with every employee; IP assignment right to BHM – BHM fulfils obligation to clients • Protocols to manage IP – Firewall between projects of different clients – Project’s specific password – Separate project team meetings for different projects – PGP encryption used in email communications or adopt clients security system per request 11
  • 12. Safety • Procedures – Rules, documents, equipments, inspection – Lab coats, eye-glasses, gloves, showers & eye washers – Smoke detectors, extinguishers & auto anti-fire system • Waste disposal – Separated by types; removal by a special service company • Use of hoods – All reactions & work-ups • Training – 3 Days for new employees – Annual follow-up for every chemist • Safety personnel – Responsible persons at 3 level: Company; lab and team 12
  • 13. BHM – A Competitive Resource For You • Training-for highly capable chemists – Initial training with supervisor • Safety, lab routine, databases, documentation, project practices – Continuous training by company • Literature follow-up, internal/invited seminars, special courses/training programs, scientific meetings/conferences • Efficient organization – Senior manage with overseas experience – Team leader with strong background – Assembling the right team • Result oriented management – Quality and timely delivery to our clients – Keeping track of in-house goals and milestones – Incentive income based on performance – Overtime possible in the evening & weekend if needed 13
  • 14. BHM – A Competitive Resource For You • Quality – Purity: 95% routinely; 98% per request – Identification/characterization • Spectra included with each compound delivered • H1 NMR, LCMS & HPLC (UV-detector) • Communication • Skillful communicators with clients • Reporting system highly evaluated by clients • English as the working language for protocol, notebook, reports and communications • References/current clients • “it is a pleasure to work with you guys, your service is very professional and your team is nice to work with” (comments from one client) • J&J PRD, Astra, Phenomix, Karo Bio, Sunesis, Biotica, Acadia & 7TM… 14
  • 15. FTE Based Service • Full Time Equivalent dedicated only in client’s project • Experienced bench chemists with MS. Degree or equivalent & team leader with PhD • 240 working days (48 weeks) per year • Each FTE succeeded about 80-100 “full” steps • Regular project meetings via tele/video conference
  • 16. Price list • Yearly Rate of FTE for R&D program – 60,000 USD/Year Chemists of Master’s degree or equivalent • Yearly Rate of FTE for scale-up processing – Mutually agreed price per offer
  • 17. Price clarifications • Price including – Compensation & facility costs – Consumable materials • Solvents, silica gel, SPE columns, vials etc. – Characterization and analysis • NMR, LC-MS, HPLC, GC – Packing and delivery cost – Protocols and reports • Price excluding – Chemicals & reagents