Case Study: Financing Your Lead Drug Candidate
(to Create Value for Patients & Shareholders)

Bioscience CEO’s must be prepared for multiple financing options to improve value for both patients and shareholders.   Many of today’s investors are looking for commercially viable products first, then at its related platform.  Others investors and partners see greater value in financing a platform technology as it confers a greater breadth of possibilities.   This open discussion, led by Tom Callaway of HealthQuest Capital and Life Science Partner, will focus on challenges and opportunities in financing drug development. Our case study is Atlanta-based Celtaxsys, with the CEO, Greg Duncan, and lead investor, Mike Masters. Celtaxsys' leading drug candidate, orally administered CTX-4430, completed a 96-subject Phase 1 clinical trial in August, 2013 and is currently in a Phase 1B trial in adult Cystic Fibrosis patients. Following completion of the Phase 1 program, oral CTX-4430 will enter Phase 2 trials for Adult Cystic Fibrosis, Gout and Acne.

Thomas H. Callaway, M.D.
President, Life Science Partner, Inc.
Venture Partner, HealthQuest Capital

Tom is a venture partner with HealthQuest, where he leverages his training as a physician, experience in the diagnostics industry and success as one of the industry’s best executive recruiters and management team builders.
Tom founded Life Science Partner, a very successful executive recruiting firm that has helped build the leadership teams at some of the world’s foremost medical device and pharmaceutical companies, as well as many venture-backed companies in the medical device, biotech and healthcare services sectors. Prior to LSP, he led similar practices at Korn/Ferry and Russell Reynolds. Tom has learned that the quality of a company’s management team predicts it’s success more than products or technologies and that perspective guides him in looking at companies for HealthQuest.
Tom began his career at Roche Molecular, where he developed and implemented their first marketing programs around PCR for medical diagnostics, including HIV detection. Like all HealthQuest partners he then worked inside a start-up, SyStemix where he established technology developmental partnerships with major cancer centers including MD Anderson, Fred Hutchinson Cancer Research Center and the Mayo Clinic. SyStemix developed proprietary stem cell purifying technologies important for treatment of cancer and genetic illnesses. He was the liaison with Sandoz's oncology group, whose parent company completed its acquisition of the company in 1996.
Tom has been especially active at promoting the industry across his home state of Georgia and the entire southeast. He is former Chairman of Georgia Bio, co-founder of SEMDA, the Southeast Medical Device Association and serves on the boards of SEBIO and the Parker H. Petit Institute for Bioengineering and Bioscience at Georgia Tech.
Tom earned his MD from Vanderbilt and both his undergraduate degree and MBA from Duke University. He lives with his wife and two daughters in Atlanta. He splits his free time between hiking and skiing in the mountains and kite-boarding on the coast.

Greg Duncan
President & Chief Executive Officer
Celtaxsys Inc.

Greg Duncan is the President and Chief Executive Officer of Celtaxsys, Inc. He was most recently Executive Vice President and President of North American Operations for Brussels based specialty pharma UCB. He was responsible for providing leadership and strategic direction to all aspects of the organization's operations in both the United States and Canada. Prior to that, he was the President of European and Emerging Market Operations. Before joining UCB, Greg spent 17 years with Pfizer where he held several U.S. and international executive appointments, including SVP of Marketing andf President of Pfizer Latin America Operations. His brand management, and general management teams had accountability for the launches of many "blockbuster" pharmaceutical brands including Lipitor, Zoloft, Viagra, Celebrex, Aricept, Lyrica, Cimzia, Zithromax (ZPack), Diflucan, Sutent and Vimpat.
Greg has served as a Board Member of the American Psychiatric Foundation, Biotie Therapeutics and as a Board Director for both the national Bio and the Georgia Bio industry association groups. He holds a master's degree in business administration from Emory University in Atlanta, GA, and a bachelor's degree in economics from the State University of New York in Albany, NY.

Michael Masters
Founder and Managing Member, Masters Capital Management, LLC
Celtaxsys Board Member


 Michael W. Masters is the founder and managing member of Masters Capital Management, a global investment management firm. He is an expert on the topic of commodities speculation and financial reform and has testified before many Congressional committees and government agencies, including the Senate Homeland Security Committee, the House Energy Subcommittee, the House and Senate Agriculture Committees, the Commodity Futures Trading Commission (CFTC), and the Financial Crisis Inquiry Commission. Recently, he participated in joint SEC-CFTC roundtable discussions on a variety of security-based swaps issues.
Mr. Masters has made numerous appearances in media outlets around the world, including 60 Minutes, CBS News, CNBC, BBC, BBC Korea, The Wall Street Journal, The New York Times, The Washington Post, Bloomberg, Der Spiegel, and The Nikkei Veritas. He was profiled in the book "Stock Market Wizards” (by Jack D. Schwager, HarperCollins, Inc.).
Mr. Masters is the founder of Better Markets, a Washington, D.C.-based nonprofit, nonpartisan organization established to promote transparency and accountability in the financial markets for the public interest. He also serves on the boards of several charitable and private organizations and was the 2004 winner of the "Open Your Heart” award from Hedge Funds Care. Mr. Masters is a 1989 graduate of the University of Tennessee, where he was an All-American swimmer.

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