Evogene - Bayer CropScience Multi-year Collaboration to Improve Wheat Seed. December 13, 2010

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1 Evogene - Bayer CropScience Multi-year Collaboration to Improve Wheat Seed December 13,

2 2 Agenda Evogene Bayer CropScience Collaboration Wheat Background

3 Complementary Capabilities Create Opportunity Evogene World leading developer of improved plant traits through use of plant genomics Proprietary computational genomic technologies: ATHLETE, RePack, EvoBreed, uniquely designed to discover biotechnology and native traits for plant improvement High throughput plant validation systems, field experiments and proprietary genomic data creation Bayer CropScience World leader in innovative crop science - crop protection, seeds and traits Strongly committed to develop innovative technologies to improve the productivity and quality of agricultural crops Product development and commercialization expertise world leading position in cotton, rice & canola and producer of herbicide tolerance technology Liberty Link Combining Evogene s innovative genomic technologies with Bayer CropScience s product development expertise to accelerate the introduction of improved wheat varieties

4 4 Key Elements of the Collaboration Collaboration Agreement Five year collaboration to accelerate introduction of improved wheat varieties Synergistic approach for wheat improvement: advanced breeding and state of the art genetic modification methods Focus on key plant traits: yield, drought tolerance, fertilizer use efficiency & certain other wheat traits Evogene will utilize its ATHLETE, RePack & EvoBreed computational genomic technologies for trait discovery Bayer CropScience s will incorporate traits discovered by Evogene into its breeding & product development pipeline Bayer CropScience will have exclusive rights to commercialize in wheat the traits resulting from this collaboration Evogene will receive approximately USD 20 million in the form of upfront fees and annual research payments over the term of the agreement Evogene will receive development milestone payments and royalties on the commercialization of any resulting products Equity Investment Agreement Bayer CropScience will make an equity investment of USD 12 million in Evogene at a price of approximately USD 7 per ordinary share

5 Collaboration Structure Trait Discovery by Evogene Product Development & Commercialization by Bayer CropScience Yield Drought tolerance Computational discovery of genetically modified & native Traits Model Plant Validation Breeding & Incorporation of Traits into Elite Varieties Improved Wheat Varieties Fertilizer use efficiency Additional traits Evogene will fuel Bayer CropScience s Wheat pipeline with candidate leads for trait improvement

6 Evogene s World Leading Plant Genomic Capabilities Diverse data from field experiments Proprietary & public data World leading discovery technologies Advanced computational genomic platforms Proof of Concept in Plants High-throughput platform for trait validation in plants Genes linked to traits Multi-year data generation plan Regulatory elements for gene expression Molecular Markers to enhance breeding An array of plant genomic capabilities to discover traits for crop improvement

7 7 Agenda Evogene Bayer CropScience Collaboration Wheat Background

8 Seed Market ($M) 8 Opportunity in Wheat - #1 Crop in Global Area Wheat World Acreage & Production Seed Market - Mil $ Global Acerage - Mil Acres 10, , ,000 4,000 2, Area (M acres) Maize Soy Cotton Canola Wheat 0 Source: USDA & Cropnosis ~25% of global agricultural land utilized for wheat cultivation! Opportunity for wheat seed industry

9 9 The Wheat Productivity Gap U.S. Commodity Yield Productivity (per acre), Yield productivity in Wheat lagging behind Corn 0.7% annual growth* Agricultural Productivity needed to address world food & feed demand in 2050 is much higher >1.5% annual growth *post 1990 Source: Farm Foundation Report, Sept. 2009,,Global Harvest 2010 GAP Need for technological breakthroughs in wheat to address global challenges

10 Price ($/ton) Signs of Change in Wheat Seed Market Farmers support introduction of new technologies Rising wheat prices >75% of wheat growers in U.S. approved petition supporting commercialization of biotechnology in wheat ( the REUTERS, 2009) $270 0 Jun-10 Jul-10 Aug-10 Sep-10 Oct-10 Increasing investments in wheat seed industry Bayer CropScience and Australia s CSIRO on wheat research cooperation (Mar 2009) Monsanto acquired wheat assets of WestBred (Jul. 2009) BASF and Monsanto expand their investments in joint plant biotechnology pipeline to include Wheat (Jul. 2010)

11 Bayer CropScience-Evogene Multi-year Collaboration to Improve Wheat Seed December 13,