#1mednow Mednow Inc. Online Pharmacy Company Overview June 2023#2THE PROBLEM Many Canadians Struggle to Access the Health Care They Need Traditional offline pharmacies dominate the pharmacy industry in Canada, leading to limited accessibility, high drug costs, and inefficiencies that are inconvenient for many patients. Mednow pharmacy provides a convenient and user-friendly platform, easily accessible for anyone with a phone or home computer. Patients get faster access to medications, clinicians get streamlined and coordinated care support, and businesses can provide teams with more convenient health benefit systems. /01#3THE MARKET OPINION What Does the Data Tell Us? The Canadian healthcare system is failing to meet the expectations of today's patients, leading to dissatisfaction, financial inefficiencies, and a decline in overall patient satisfaction. 50% Of patients managing a chronic illness do not take their medication as prescribed. 48% Of Canadians are dissatisfied with the health care system. 1. https://add.albertadoctors.org/issues/september-october-2018/sponsored-article-2/ 2.https://www.cbc.ca/news/canada/toronto/family-doctors-quitting-toronto-survey-shows-1.6653832 3. https://healthydebate.ca/2023/03/topic/millions-adults-lack-canada-primary-care $4B Cost/year to Canadian health care system. With non-adherence accounting for 5% of clinical visits. 28% Of Canadians believe health care is in crisis compared to 10% decade earlier. 125K Deaths in Canada/year due to cardiovascular medication non-adherence. 6.5M Canadians do not have a family doctor or consistent clinical care. $528B Annual cost of RX drug-related morbidity and mortality due to inefficient medication therapy. 20% Of family doctors in Toronto, ON plan to retire in the next 5 years. 4. https://policyoptions.irpp.org/magazines/may-2023/canadian-healthcare-system-crisis-survey/ 5. https://pubmed.ncbi.nlm.nih.gov/22964778/ 6. https://www.ctvnews.ca/health/less-than-half-of-canadians-are-satisfied-with-provincial-health-care-survey-1.6346995 /02#4THE SOLUTION Collaborate with Plan Sponsors and Providers to Make it effortless to access the medication and health care support you need, when and where you need it. Deliver outstanding healthcare and pharmacy services that patients trust, physicians approve of, businesses encourage, and investors believe in.#5mednow Product Demo || Google 5.0 Hi, Ronald. How can we help you? C Order a refill ***** 296 reviews 3 Medications Upload a new prescription Do you need a prescription? Talk to a clinician ✓ Transfer a prescription to Mednow O Chat with our Pharmacy What is the dispensing fee? > >#6MEDICATION SUPPORT Pharmacy Services Hi, Ronald. How can we help you? e Order a refill 3 Medications Upload a new prescription Do you need a prescription? Transfer a prescription to Mednow Talk to a clinician > > > E Simple and intuitive experience Clean and user-friendly interface that avoids clutter and complexity (Perfect for older users) Simplified navigation utilizing clear labels and logical pathways to help users easily find what they need Get access to the same pharmacy services you're used to without ever setting foot in a store. Mednow pharmacy is free to use and you only pay for your medications. I'm out of meds and I don't have any refills left. Help! No problem. I'll reach out to your doctor and renew your prescription. Really?? You bet! Do you want me to start an order for you once it's ready? Yes please! Thank you!!! Chat with a pharmacist-fast Start a chat or call us, 7 days a week Get expert advice about your or your loved ones' medication, treatment, or symptoms Get expert advice about your or your loved ones' medication, treatment, or symptoms < Back O A Olivia Martin Deliver Do you need a refill? Confim Omeprazole 40mg 30 tab Vitamin D 400 IU 30 tab Do you need a new prescription? Refills 3 3 > Manage your prescriptions online Easily transfer, fill, refill or renew a prescription Add and manage your dependents medications Fast reimbursement. We direct bill all private insurance plans for you and your dependents /05#7MEDICATION SUPPORT Health Care Services < Home Are you or a loved one experiencing symptoms of a: Urinary tract infection (UTIS) UTIs are bacterial infections in the urinary tract. more common in women, causing painful/ frequent urination and lower abdominal pain. Our pharmacists prescribe antibiotics, suggest OTC pain relievers, and provide preventive advice like post-sex urination and hydration Book an assessment now. Start Book a virtual clinical service Minor ailments including UTI, Impetigo, acid reflux, pink eye, dermatitis, muscle sprains, and more. Get a prescription for less common ailments (via a nurse practitioner assessment) Get a medication review (Easily book from the app) Mednow Pharmacy stands out by offering comprehensive support to individuals managing long-term illnesses or requiring frequent clinical assistance. Home ✰✰✰✰✰ Pillsmart® Packs (Free) mednow 18 Get all your daily medications in one single daily dose pack. Chronic Disease Management With PillSmart, all your daily medications (including inhalers, creams, and injectables) come in one single daily dose pack. At no extra cost. Access long-term support for diabetes (types 1+2) < Home We're packing up your order now. Free Delivery (Canada-wide) DOCTO ✔Order Submitted July 25, 2022 Processing We're working on your order now! & D Payment Review order and complete payment. Preparing for Shipment Were packing up your order now Free delivery (Canada-wide) Available for you and your dependents 1-7 days delivery time (depending on your location) Discreet, tamper proof packaging /06#8PATIENT CARE Accessible Healthcare for Everyone Mednow is designed to cater to diverse groups of patients, providing convenient prescription management, free Canada-wide delivery, and specialized support for chronic illness patients. Elderly population Seniors who often require multiple medications and face challenges in visiting physical pharmacies regularly. Chronically ill patients Those with ongoing health conditions who require regular medication management and monitoring. Caregivers Family members or professional caregivers responsible for managing medications for their loved ones or patients. Patients with mobility issues Individuals with physical disabilities or limitations that make it challenging to visit traditional pharmacies. Complex medication patients People taking multiple medications with varying dosages and schedules, requiring careful management. Busy professionals Individuals with demanding work schedules who find it difficult to visit pharmacies during operating hours. "This app, and these people, are a God send. If you need help managing your meds and making sure you get your prescriptions perfectly on time, you need this pharmacy in your life." - Ali M. 5.0 Google 296 reviews. /07#9A Comprehensive Care Ecosystem Our unique ecosystem, seamlessly integrates infrastructure, cutting-edge technology, and personalized patient care. Infrastructure 18. PATIENT CARE Patient Care Technology Infrastructure We have established the largest pharmacy network, above virtual competitors and offering unmatched capabilities. Patient Care Loved by patients with a perfect 5.0 Google rating. Loved by physicians due to our focus on Chronic Disease Management (preferred pharmacy for premier medical partnerships) Technology We offer cloud-based, accessible software that enhances the pharmacy experience, leveraging an easy-to-use portal for enhanced convenience and patient care. /08#10TESTIMONIALS What Customers are Saying This is a life changing service "This is a life changing service. No more phoning the pharmacy. No more coming back the next day to pick up. No more confusion about which prescriptions you need filled. Just a super smooth experience! And cheaper too." Angela G. Incredibly responsive and efficient "Mednow makes managing my prescriptions for myself and my family so much easier - from online ordering, automatically faxing from my doctor, online chat for help and DELIVERY!!! And the web app is simple but works for exactly what I need it to do - no extra ads/ items/filler. Angela G. Recommend 1000 times over! "I wasn't expecting such a fantastic service from an online pharmacy. They are so kind, helpful and fast! I recommend this app 1000 times over. They are so speedy and seriously so helpful. It's so convenient especially with my busy schedule." Vittoria G. Best pharmacy I've ever been with "No waiting In line. Everything is done for you. Transfers are incredibly easy. The staff go above and beyond. It's amazing not having to leave my house to get my prescriptions! Any issues? Message them and I always get a reply within 10 min (usually right away)." Tess R. 5.0 Google 296 reviews ** This is a fantastic service "In about 6 hours, they transferred my RX's from my old pharmacy, filled them, called me to counsel me about them, and delivered them. Everyone I spoke to was kind and coupled with the convenience of delivery means Mednow is my new go-to pharmacy. Yagna V. Amazing experience!! "It's super convenient, all you need to do is upload your prescription, confirm with them, and they will deliver your prescription to your door! No extra cost! Fast delivery, you don't have to wait in the pharmacy like in the past, and the price is very reasonable. Their customer service is always patient and polite." Ruby L. /09#11mednow Market Opportunity 20#12MARKET OPPORTUNITY Expanding the Reach of E-Pharmacy in Canada's $47B Retail Pharmacy Market 99% $4B of Canadians use brick- and-mortar pharmacies of Canadians are open to using an online pharmacy 125K forecasted CAGR of the e-pharmacy market by 2028 HEALTHCARE $264B EDUCATION $106B TRANSPORTATION $71B RESTAURANT $8B /11#13NATIONAL TRENDS The Canadian Health Care Economy is Changing While various industries have embraced new technology, pharmacies remain stagnant, limiting accessibility and convenience. Growing Medication Usage The number of individuals on multiple medications, particularly among those aged 65+, is rising. Convenient and accessible pharmacy services would ensure proper adherence and medication management. Rising Drug Costs Drug payers, such as insurance carriers, unions, and corporations, overpay for medications despite the availability of potential discounts. E-pharmacies can help control and reduce rising drug costs. Traditional Pharmacy Limitations Traditional pharmacies are limited in the care they can provide. Convenient and accessible online pharmacy services would deliver focused care and medication adherence support for all Canadians. /12#14mednow Business Model & Competitors < Back Choose a refill for delivery 00000 Patient Name Metformin 500mg 30 tabs Atorvastatin 40mg 30 tabs Ramipril 10mg 30 tabs Omeprazole 40mg 30 tabs Vitamin D 400 IU 30 tabs Do you need a prescription? Cancel Refills Add to Cart 3 2 1 1 >#15HOW IT WORKS Business Model Mednow Pharmacy Services Available in B.C., Ontario, & Quebec (78% of Canadian population) Pharmacy Revenue Clinical Services Revenue Franchise, Marketing, & Tech Usage Fees 35% GM 70% GM 80% GM Network Partner Pharmacies Available everywhere else in Canada (22% of Canadian population) Mednow partners with third party pharmacies (53 locations) to fulfill medications nationwide. Tech Usage & Marketing Fees* 90% GM *Potential SaaS Revenue#16DUMMY Competitive Analysis Prescription fulfillment Chronic Disease Management Virtual and in-home physician services Text a pharmacist (7 days/week) Health care provider partnerships Free medication delivery (Canada-wide) Niche over-the-counter products Brick & Mortar Pharmacy X X X X Grocery & Discount X X X X X X e-Pharmacy Competitors X X X X Telemedicine Competitors X X X X X X 18. Mednow Pharmacy /15#17A Path to Better Health Discover a new era of healthcare with Mednow pharmacy, where personalized care and advanced technology work together to improve your health. Chronic Disease Management We empower patients with chronic illnesses through personalized care plans, medication adherence support, and continuous monitoring. DIFFERENTIATORS Al & Robotics Medication Dispensary Leveraging advanced Al technology, our automated dispensary streamlines prescription fulfillment, enhancing accuracy, efficiency, and timely delivery. Specialty & Compound Medication We specialize in providing customized medications tailored to individual patient needs, ensuring optimal efficacy and safety for complex conditions. National Network of pharmacists With our extensive network of licensed pharmacists across the country, we ensure accessible and reliable healthcare expertise, enabling patients to receive personalized guidance and support wherever they are. /16#18mednow B2B Growth Strategy#19GROWTH STRATEGY B2B Partnerships Since 2021, we've been building a secure and scalable patient-facing pharmacy app and backend distribution infrastructure. As of today, our tech stack is ready to support medium-to-large partnerships for future sustainable revenue growth. Payor Partnerships Insurance, brokers, advisors, and employees Private payor drug spend: $15B/year in Canada Provides access to cost control measures Virtual wellness services to support hybrid work Easy access for employees (linked to primary benefits) Payor Partnerships (as of 2023): Sterling, The PBAS Group, Reformulary Group, PIPSC, Aria Ų Provider Partnerships Private clinics and specialty providers Admin time required by family doctors: 19hrs/week Reduces administrative burden (via Mednow tech) Improved medication and treatment adherence rates Increased support for chronic disease management Provider Partnerships (as of 2023): Dexcom, Medcan, KMH, Cookie Cutter, Integra#20GROWTH STRATEGY Early B2B Growth Indicators < Home MEDCAN Hi, Ronald. Welcome to Medcan's preferred pharmacy. How can we help? Upload a new prescription Do you need a prescription? Transfer a prescription to Mednow Talk to a clinician D Chat with our Pharmacy What is the dispensing fee? > > > 51 Mednow already supports B2B healthcare through our "pharmacy in your pocket" technology. We continue to focus on continuing to improve this experience to better support any B2B partnership. +$5.2M Run Rate Annualized Revenue G Perfect 5.0 Rating 300+ 5-star Google reviews 17,000 Registrations Since 2022 launch 8K pharmacy, 20k medical 500,000+ connected Private payor network (B2B) Early Voluntary of Uptake 5%-10% /19#21mednow Financials & Performance PACMED C#22Early Revenue Growth +720% ✔ $500K 2021 $2M 2022 $4.1M 2023 Quarterly Growth Annualized revenue +150% $1.8M Q1-2022 $3M Q2-2022 $3M Q3-2022 $3.3M Q4-2022 $3.7M Q1-2023 $3.9M Q2-2023 $4.5M Q3-2023 /21#23Patient Growth 3,600 2022 (app launch) 6,900 Jan 2023 8,000 +17,000 App Signups (since launch) the App Store TIN T Google Play USE YOUR Web Browser May 2023 Overhead Costs Total per quarter -45% $5.9M Q4-2022 $4.8M Q1-2023 $4.5M Q2-2023 $3.2M Q2-2023 Excluding Livercare $2M Q2-2023 Adjusted¹ /22#24THE FUTURE Expansion Roadmap (GM) How we plan to expand our technology to increase gross margins and maintain healthy growth in an unpredictable market. Historic 12% → Specialty + chronic medication (GM) 2022 (app launch) Current 30% Specialty + chronic medication (GM) → Initial user acquisition Jan 2023 40% Future Expansion ✓ Specialty + chronic medication (GM) ✓ Initial user acquisition → White-labelling for B2B partners to leverage Mednow technology → Non-prescription product sales (via improved OTC storefront experience) → Improved fee structure technology (for marketing, franchise, and technology usage fees to third party pharmacies) → Unlock purchasing discounts from increased patient volume (via scaling B2B partnerships) May 2023 Breakfast Fri.. ONE ITH, JA 08:00 ** 31 1547 1000M F ZINC GLUCONATE Why Rod To M MEDNOW 201 NOW PHARMACY /23#25mednow The Team Vix Nix Nix FELFORMEELPOIN TELFORM NICODERM NICODERM D Multi OCTOR#26THE TEAM About the Founder & CEO, Ali Reyhany Ali Reyhany, CEO and Co-Founder Ali Founded Care Pharmacies, A National Chain with over 60 Locations and $220M in annual revenue and one of the largest operators of rural and remote pharmacies in Canada. Ali has been recognized as BNN Bloombergs and Financial Posts, Top 40 Under 40 in 2020 and is the founder of Debwe which empowers First Nation communities by setting up profitable, fly-in reserve-owned pharmacies. With a Bachelor of Science degree in Pharmacy from the esteemed University of Toronto, Ali combines expertise, innovation, and a genuine commitment to health care to help Canadians get the care they need and deserve. RX CarePharmacies Rx HAWANO HARTA SHAWANO PHARMACY OUR COMMUNITY, OUR PHARMACY, OUR HEALING CANADA'S TOP 40 UNDER 40 XI /25#27THE TEAM The Mednow Management Team David Marantz Chief Revenue Officer David has 15 years of experience working in sales, strategy and general management at leading HR, benefits and health tech companies, such as Dayforce, Ceridian (NYSE: CDAY) and League. MBA and HBA, in strategy and finance, respectively, from the Ivey Business School at Western University. Ben Ferdinand (CPA, CMA, ICD.D) CFO Former CFO at a publicly traded medical health & wellness company, overseeing $300M in acquisitions and raising $70M. Previously working in investment banking at JP Morgan in New York and BMO in Toronto. Served on the boards of CanDeal Inc. and Shorcan Brokers Ltd. Holds an MBA from Ivey Business School at Western University. Raji Al Kurdi Director of Pharmacy, Quebec Raji has 10+ years of experience working in pharmacy, with a focus on specialty and clinical services. For years, Raji built and ran Bioscript Quebec specialty pharmacy. Previously, Head of professional services at Pharmaprix (Quebec division of Shoppers Drug Mart) Felipe Campusano, RPh Director & Co-Founder Felipe is a Co-Founder of the Care Group of Pharmacies, overseeing 70+ businesses and earning $180M in annual revenue. He is also the Founder and Chair of Liver Care Canada, specializing in liver disease treatment. Felipe holds degrees in pharmacy and science from the University of Toronto and Queen's University, respectively. /26#28mednow From all of us at Mednow, thank you. 1. As of May 26, 2023. 2. Option strike price of $1.26; warrant strike price of $0.39 3. As of January 31, 2023, pro forma for equity raise on May 15, 2023 18. Mednow Corporate Structure TSX-V Symbol: MNOW OTCQB: MDNWF Market cap: C$7M¹ Cash balance: C$1.9M³ Share outstanding: 25M Options: 3.7M² Warrants: 13.9M² Insider ownership: ~47% /27