Assertio Holdings, Inc.

Good afternoon and welcome to the Acercio Holdings Inc third quarter 2021 financial results conference call. All participants will be in listen only mode. Should you need assistance please signal a conference specialist by pressing the star key followed by zero. After today's presentation there will be an opportunity to ask questions. Please note this event is being recorded. I would now like to turn the conference over to Max Nemmes, Head Investor Relations and Administration. Please go ahead Max.

Thank you. Good afternoon, and thank you all for joining us today to discuss Assertio's third quarter 2021 financial results. The news release covering our earnings for this period is now available on the investor page of our website at investor.assertiotx.com. I would encourage you to review the release and the accompanying presentation as it is important to today's discussion. With me today are Dan Peysert, President and Chief Executive of and Paul Schwichtenberg, Senior Vice President, Chief Financial Officer. Dan will open the remarks and provide an overview of the business, followed by Paul, who will review our financial results. After that, we'll open the call for your questions. During this call, management will make projections and other forward-looking statements regarding our future performance. Such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, including those noted in this afternoon's press. released, as well as Assertio stylings with the SEC. These and other risks are more fully described in the risk factor section and other sections of our annual report on Form 10-K. Our actual results may differ materially from those projected in the forward-looking statements, and Assertio specifically disclaims any intent or obligation to update those forward-looking statements, except as required by law. With that, I will turn the call over to Dan. Dan?

Thanks, Max. Welcome to everyone joining us this afternoon. This September marked my fourth anniversary with Assertio. As I reflected back on that time, one thing struck me. Change. Tremendous change. It's everywhere you look. The people, the name of the company and its ticker symbol, the location of our headquarters, our portfolio of products, our investor base, and our balance sheet. In September of 2017, we had 720 million in debt. and leverage measured by net debt to EBITDA of 5.5 times. This September of 2021, we had $75.5 million of debt and leverage of just 0.4 times. In that four-year period, we've repaid over $900 million to debt holders for both principal and interest, and we've funded that largely from asset sales, and legal settlements as we've restructured the company a number of times to get us where we are today. Today, our restructuring is complete. We've reported two consecutive quarters of positive operating cash flow, and this quarter's cash flow and adjusted EBITDA is the highest it's been since we divested Nusenta. We're incredibly proud of what we've accomplished, and especially in the condensed timeframe we've been able to do it in. Going forward, Our debt service doesn't need to come from these external sources of funding. We're generating that cash from the operations of the business. We have enough runway until the maturity of that debt to look towards business development, investment, and growth. Our revenues so far this year have also been consistent on a quarterly basis, demonstrating the resilience of the portfolio. As our non-personal promotional model continues to improve and mature, and the investments we're making in Indus and bear fruit, we're now seeing it show in our quarterly results, and it's being reflected in our forward-looking guidance as well. We now see our four-year revenues exceeding $103 million and our adjusted EBITDA exceeding $43 million. We've come a long way in just a short time. This is considerably above our initial guidance for the year that we gave just six short months ago, and now expect to come in above the high end of our original adjusted EBITDA range, despite the $11.3 million litigation charge we incurred last quarter. Our operating cash flow results are even more impressive when you factor in that this quarter reflects the cash payments of $7 million to resolve our federal claims in the Glumessa antitrust matter. The class portion of the plaintiffs is still pending final court approval, but our belief is that it will become final early in the new year. The opt-out claims being brought by Humana and state court remain ongoing and are on a much slower track. We will continue to pursue all legal remedies available to us, including dismissal, and once those are exhausted, our desire with these claims will be the same as the others, to resolve them on favorable terms when the opportunity arises. In addition, we're also disclosing that we ventured into a settlement agreement to resolve our securities class action litigation and to related derivative suits. The total is $1.2 million, but will be netting at $750,000 to be covered by our insurer. Having both of these cases behind us is a significant achievement for us, and it also frees up management time to focus on operating the business and positioning for the future, as well as reducing the ongoing legal costs in the business. These were the matters for which we took the charge last quarter, so they were fully reserved for. The only additional item being recorded this quarter is the benefit of the insurance proceeds. On the commercial side, I'm excited that our expanded alliance with Cove has gone live this quarter for both Cambia and Sprix. Cove has been a customer of ours for about 18 months and had offered Cambia on their platform during that time. What's new now is that we've worked with them to build a broader set of DTC resources and engagement drivers for patients tailored to both Cambia and Sprix. We think that telemedicine is going to be a very meaningful part of how patients interact with physicians and receive their prescriptions in the future, versus just a niche yesterday. As evidenced, the most recent data from Ikevia shows that the rapid increase in prescription claims through telemedicine as a result of the pandemic have helped. And the share of total claims has remained steady recently. The improvements being made by these platforms every day are only making them more convenient and user-friendly. Cove is just the first of what we hope is many such relationships. And in just the early days, we're seeing great results. This quarter alone for Cambia saw 77% year-over-year growth in prescription volume at Cove. And despite getting Spricks launched late in the quarter, we've already seen our first prescriptions through Cove for Spricks as well. In dollar terms, our sales to Cove were up 207%. It's off a small base, and it's still a small proportion of our overall revenue today, but reflective of the growth we can achieve with this platform. Cove has tens of thousands of active patients today and is growing rapidly, which dwarfs some of the largest physician practices, but we had historically focused our detailing resources. Another unique aspect is that 47% of Cove's patients don't have a single headache specialist in the county they live in and might otherwise consult a primary care physician who's not overly familiar with innovative migraine or pain treatments, but it can be in Sprix. There are also likely physicians we wouldn't have detailed in the past and patients we wouldn't have had access to via our other promotional means. So this truly expands our market reach. Today, our offering on the COVE platform is for the cash pay market. COVE is currently contracting with health plans to offer insurance coverage for migraine care in 2022 for patients with commercial health insurance. As they're able to add these capabilities, we'll be able to add additional offerings for patients seeking insurance coverage. Another exciting development, we've just recently finalized the terms of a contract with a large regional IDN for Spricks. There's still a lot of work to do to integrate Spricks into this network, but this is a great first step in the right direction and affords us the opportunity to return the Spricks franchise to growth. Business development has always been a priority. It is more so now. In addition to having the financial resources to do BD, we're making sure that we're also bringing the right external resources to bear as well. In combination with our own internal efforts, we've engaged Back Bay Life Science Advisors to aid us on the buy side in identifying and completing acquisitions. We've completed a comprehensive asset screening and evaluation process, which yielded many attractive opportunities. Our goals have not changed with respect to business development. We still intend to acquire a product or products that fit within our platform and can generate at least $50 million in gross profit by 2024. Together with BackBay, we have now turned our attention towards execution of a transaction. Now I'll turn the call over to Paul, who will walk through the quarterly results.