1. European Incubators in
Silicon Valley: the M31 case
Aldo Cocchiglia, CEO – M31 USA
Stanford Engineering School, January 3 2011

2. What’s in a name?
M31 is the code name for Andromeda
galaxy
M31 is a galaxy of technology stars
2

3. What does M31 do?
M31 Italia turns innovative technologies into start-
ups.
M31 USA turns technology start-ups into successful
global companies.
3

4. Where and When
M31 Italia founded in Padova, Italy in 2006
Focus on incubation: working with entrepreneurs
from seed funding to corporate exits
M31 USA established in Silicon Valley in 2010
Initial focus: global expansion for Italian high-tech
companies including start-ups and larger high-
tech enterprises
4

5. M31 Operating Model
Venture incubation - office space
and office shared services
Funding – from seed
to 2nd + rounds
Management advisor– from
strategy to execution
Global Business Development –
from leads to contracts
5

6. M31 Focus
Sectors we invest in: Medical Equipment, Embedded
Computing, Optical Systems, Software and Web,
Sensor Networks
Core competences: Innovative Product Development,
Strategic Management, Global Reach
Services provided: from incubation to management,
from international expansion to exit
Deal flow: affiliation with universities, research labs,
private companies, Angels, early-stage VCs., etc.
Typical investment size: € 50 K to 2.5 M, with
syndicate if needed
6

7. Our Value Proposition
M31 is different from:
Business Plan Competitions
We invest capital
Traditional Incubators
We provide more than just office
space and services
M31 decodes the
Angels and early stage VCs start-up DNA
Founders retain large equity
stakes and we co-manage the
company with them
7

8. M31 Portfolio
software & WEB,
sensor networks,
wireless
I-net of things
antennas
biomedical
instruments
WEB services
in eyecare
embedded
electronics & PCs
WEB services
adaptive
optics
8

9. Shareholders
Private Investors, including
academics, business managers and
entrepreneurs
TTVenture - Technology Transfer
Venture Capital Fund
M31 Management Team
Funds raised since 2007: $ 10 M
M31 investments: $ 10 M
9

10. Management Team
Ruggero Frezza
President, M31 Italia
Riccardo Fontanelli
COO, M31 Italia
Aldo Cocchiglia
CEO, M31USA
Mauro Odorico
Board Director, M31
Chief Investment Officer of TTVenture
Elisabetta Ghisini
CMO, M31 USA
10

11. M31 USA
Global Expansion Services
• US entry planning
• Global expansion planning
• Start-up incubation in SV
• Innovation tours for Italian companies and university
programs
• Exit strategy and Fundraising support for additional
rounds
Gateway to Italian Technologies
• Technology scouting for US companies
• Partner/supplier scouting for US companies
• High-tech investments in Italy: start-up or product line
acquisitions
11

12. M31USA Clients
M31 Portfolio
Companies
University
Italian Technology
High-Tech Transfer
Companies Offices
12

13. M31 portfolio companies: the CenterVue case
13

14. The CenterVue Case
Incorporated in April 2008 - first startup for M31
Develops hw & sw for cost-effective screening
programs to detect and treat ocular diseases
that bring to blindness
Shareholding: M31 46%, Seed investor 28%,
Founders & Management 26%
Total capital raised: $2.4M; headcount: 17
Developed two innovative devices approved by
FDA in 2010, and a Web software platform
14

15. The CenterVue Case
The Eye Knowledge network: a Web
platform for eye care, i.e. online
continuing education, expert
consultation and telemedicine
MAIA: early detection and
management of Age Related
Macular Degeneration (AMD)
DRS: a fully automated, inexpensive,
retinal camera for large scale
screening of Diabetic Retinopathy
15

16. The DRS
Takes digital photo of the back
of both eyes in 50 sec. and
transfers it to telemedicine
platform for remote diagnosis
Fully automated: requires no
installation, no training and no
operators
Sale price: less than half of any competitive product
Can be available at any health-care point nationwide
with no need for skilled operators
Allows for basic and large–scale data collection for
prevention of diabetes-related blindness
16

17. The DRS
17

18. Highlights of the CenterVue Story
Major positive impact on social costs of
blindness in US and worldwide
Short development time and very limited
investment thanks to the “M31 model”
2010 sales: 120+ units
Estimated 2011 sales: 1700+ units in 60
countries for $25+M (64% in US)
Planning an exit via acquisition or IPO in
US within 2 -3 years
18

19. M31 Italia Srl M31 USA, LLC
Via N. Tommaseo 77 4655 Old Ironsides Dr.
35131 Padova – Italy Santa Clara, CA 95054
Ph: +39 049 781 1811 Ph: +1 408 988 8404
www.m31.com www.m31usa.com
aldo.cocchiglia@m31.com
M31: Incubation of European Ideas,
with European R&D, European job creation
and US business development