MDB Capital Holdings (MDBH) investor relations material

Strategy and market conditions

• 30-year track record launching category-defining businesses, often built around IP moats; completed 18 IPOs, with roles ranging from co-founder to value-added investment banker.

• Public-company count fell from ~8,000 to ~4,000 or fewer over 25 years; sub-$100M market-cap stocks have struggled for attention, with this group down ~20% on average this year.

• Going public and scaling during the micro-cap downturn was described as a mistake; priorities are pivoting toward portfolio value realization and shareholder returns.

• Continued weak markets could force significant dilution at portfolio businesses that need capital; the plan is to monetize assets without diluting shareholders where possible.

Portfolio initiatives

• Public Ventures, wholly owned, built a self-clearing operation over ~5 years; discussions with multiple larger firms seeking self-clearing, with a partnership and monetization targeted soon.

• PatentVest, wholly owned, is planned as a separate business unit funded by outside investors; strategic and investor discussions are underway, with a spinout ideally in the next couple of months.

• PatentVest targets the fragmented ~$15B U.S. patent-prosecution market; AI-assisted patentability analysis has fallen from 40 hours to ~2 hours, with client and lawyer additions and plans to scale rapidly.

• eXoZymes, with ~40% ownership, is moving into commercialization; described as a multi-billion-dollar opportunity and a highly disruptive synthetic-biology business.

• Paulex Bio, with 7M shares held, filed a registration statement; its first safety trial is expected to start in December, with a potential IPO early next year if safety is demonstrated.

Operating model and capital plans

• Annual operating expenses are ~$10M; two banking transactions in H1 2026 offset costs, while fewer transactions are expected in H2 2026 as Paulex Bio was pushed out.

• After spinning out Public Ventures and PatentVest, annual operating expenses are expected to fall to ~$6M; goal is operating profitability while continuing to build equity stakes in new ventures.

• Future approach is leaner and more capital-efficient: reduce development-related costs, launch high-upside businesses, and retain meaningful equity positions.