<PAGE>
Filed by Genzyme Corporation (Commission File No. 000-14680)
pursuant to Rule 425 under the Securities Act of 1933
Subject Company: GelTex Pharmaceuticals, Inc. (Commission File No. 000-26872)
This material is not a substitute for the prospectus/proxy statement
Genzyme and GelTex will file with the Securities and Exchange Commission.
Investors are urged to read that document because it will contain important
information, including detailed risk factors. The proxy statement/prospectus and
other documents filed by Genzyme and GelTex with the SEC will be available free
of charge at the SEC's website (www.sec.gov) and from Genzyme or GelTex.
This material contains forward-looking statements, including
statements about the consummation and anticipated timing of the merger, the
potential market opportunity for Renagel, the expected drivers of growth for
the market opportunity, the anticipated impact of Renagel on Genzyme's future
growth, the potential short and long-term revenues from Renagel, the expected
benefits of the merger, the value of the merger consideration, the tax-free
treatment of the receipt of Genzyme General common stock, the anticipated
impact of the acquisition on Genzyme's earnings, cash-earnings-per-share, and
development programs, Genzyme's plans concerning the operation of GelTex's
business after the merger, estimates concerning the current and future
dialysis patient population, the anticipated impact of Renagel on patient
morbidity and mortality, the cost of care for patients, the anticipated
benefits of the newly launched tablet formulation of Renagel, plans to
announce trial data, plans to initiate clinical trials of Renagel, GT
160-246, and other product candidates, estimates concerning the C. DIFFICILE
COLITIS patient population, and expectations concerning GelTex's product
candidates and polymer technology platform. Actual results may materially
differ due to numerous factors, including without limitation conditions in
the financial markets relevant to the proposed merger, the receipt of
regulatory and other approvals of the transaction, the operational
integration associated with the transaction and other risks generally
associated with such transactions, increasing market acceptance of Renagel,
optimal dosing and patient compliance with respect to Renagel, market
acceptance of Renagel tablets, the competitive environment for the dialysis
market, the results of clinical trials, the efficacy and safety of products,
enrollment rates for clinical trials, the content and timing of submissions
to and decisions by regulatory authorities, the availability of reimbursement
from third-party payers, the ability to manufacture sufficient quantities of
product for development and commercialization activities, the accuracy of the
companies' information about the dialysis and the C. DIFFICILE COLITIS
patient populations and the market for Renagel, the accuracy of the
companies' expectations about growth in the dialysis patient population, the
ability of Genzyme to successfully commercialize products and the risks and
uncertainties described in Genzyme and GelTex's reports filed with the
Securities and Exchange Commission under the Securities Exchange Act of 1934,
as Amended, including without limitation Exhibit 99.2 to Genzyme's Annual
Report on Form 10-K for the year ended December 31, 1999, as Amended. GENZ
stock is a series of common stock of Genzyme Corporation. Therefore, holders
of GENZ stock are subject to the risks and uncertainties described in the
aforementioned reports.
[The following is the text of slides from a slide show being presented in
meetings with analysts, potential investors and others.]
<PAGE>
[PHOTO]
GENZYME
GENERAL
ACCELERATING MOMENTUM...
<PAGE>
FORWARD-LOOKING STATEMENTS
This presentation contains forward-looking statements, including statements
regarding our:
- expectations concerning the proposed merger with GelTex
Pharmaceuticals;
- anticipated benefits of, and revenues from, Renagel-Registered
Trademark- brand phosphate binders;
- projected product development, regulatory, and commercialization
time tables;
- market estimates and sales and marketing plans; and
- expected future revenues, earnings per share, growth rates, and
cash flows.
Actual results could materially differ due to numerous risks and
uncertainties, including:
- the receipt of regulatory and other approvals of the proposed
merger;
- increasing market acceptance of, and optimal dosing and patient
compliance with respect to, Renagel-Registered
Trademark-;
- our ability to successfully complete development of and
commercialize products;
- our ability to manufacture sufficient amounts of products for
development and commercialization activities;
- our ability to obtain and maintain adequate proprietary rights
protection of products;
- the content and timing of decisions made by regulatory
authorities;
- the accuracy of our market estimates and information about the
competitive environment; and
- the risks and uncertainties described in Genzyme's and GelTex's
reports filed with the SEC, including Exhibit 99.2 to Genzyme's
1999 annual report on Form 10-K, as amended.
<PAGE>
This material is not a substitute for the prospectus/proxy statement Genzyme
and GelTex will file with the SEC. Investors are urged to read that document
because it will contain important information, including detailed risk
factors. The proxy statement/prospectus and other documents filed by Genzyme
and GelTex with the SEC will be available free of charge at the SEC's website
(www.sec.gov) and from Genzyme or GelTex.
genzyme
general
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OUR STRATEGIC VISION
- Focus on chronic debilitating diseases with well-defined patient
populations
- Develop and expand robust pipeline
- Extend and leverage unique worldwide infrastructure
- Manage the business
genzyme
general
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GELTEX PHARMACEUTICALS
- Two patent-protected, marketed products
- Renagel-Registered Trademark- brand phosphate binder
- WelChol-TM- brand bile acid sequestrant
- Exciting product pipeline
- GT160-246 for CLOSTRIDIUM DIFFICILE infections
- Fat absorption inhibitors for obesity
- A number of early stage programs
- Unique platform technology
- Productive research/development team
- Facilities, cash, NOLs
genzyme
general
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GELTEX PRODUCT PIPELINE
<TABLE>
<CAPTION>
Research & Regulatory
Development Phase 1 Phase 2 Phase 3 Review Marketed
---------------------------------------------------------------------------------
<S> <C>
Renagel(R) Capsules
- U.S. /Europe -------------------------------------------------------------------------------->
- Japan ------------------------------------------------>
Renagel(R) Tablets -------------------------------------------------------------------------------->
WelChol(TM) -------------------------------------------------------------------------------->
2nd Generation WelChol(TM) ---------------------------------->
C. Difficile Toxin
Binder -------------------->
Anti-Obesity ----->
Oral Iron ----->
Psoriasis ----->
Mucin ----->
</TABLE>
genzyme
general
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MERGER WITH GELTEX
- 50/50% cash/stock, tax-free
- GelTex shareholders have option of:
- $47.50 in cash OR
- 0.7272 of share of GENZ
- Targeted for completion in Q4 2000
- One-time IP R&D charge to GENZ expected in Q4 2000
- Accounted for as purchase accounting
- Dilutive to GENZ near-term earnings
- Accretive to earnings in 2002 (before D&A)
- Requires GelTex shareholder vote
genzyme
general
<PAGE>
THE EVOLUTION OF PHOSPHATE BINDERS
- First generation binder - Aluminum in 1980's
- Second generation binder - Calcium in 1990's
- Calcium binders seen as being problematic for some patients
- Third generation binder - Renagel-Registered Trademark- launched
in 1998
- Renagel-Registered Trademark-'s role seen initially as:
- Helping hypercalcemic patients
- Providing lipid benefits
- Today
- Calcium binders seen by thought leaders as having an
unacceptable safety profile
- Renagel-Registered Trademark- shows real promise in
reducing cardiac morbidity and mortality
genzyme
general
<PAGE>
WHAT HAVE WE DONE FOR ESRD PATIENTS?
[The following table was depicted as a line chart in the printed material.]
<TABLE>
<CAPTION>
Annual mortality %
1982 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998
---- ---- ---- ---- ---- ---- ---- ---- ---- ---- ---- ---- ---- ---- ---- ---- ----
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Mortality Per Year % 34 34.5 35 34 33 32 31 29 26.4 26 26.4 26 25 25 24.6 24 23
</TABLE>
genzyme
general
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Cardiac Death is 30X Greater in Dialysis Patients(1)
[The following table was depicted as a bar chart in the printed material.]
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General Hemodialysis
Population Patients
---------- --------
Annual Risk of CV Death 0.3% 9.2%
--------------------------------------------------------------------------------
o Risk factors include:
o Hypertension
o Lipid abnormalities
o Smoking
o Glucose intolerance
o Now - Calcium Load
1. Foley RN, et al. Am J Kidney Dis. 1998;32:S112-S119.
genzyme
general
<PAGE>
CLEAR EVIDENCE DEMONSTRATED ELEVATED PHOSPHORUS LEVELS INCREASE
MORTALITY RISK(1)
IDENTIFIED NEED TO MANAGE MORE AGGRESSIVELY
After launch - USRDS showed elevated phosphorus increases mortality risk(1)
[The following table was depicted as a bar chart in the printed material.]
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Relative Mortality Risk (RR) 1.00 1.00 1.02 1.18* 1.39**
--------------------------------------------------------------------------------
Serum Phosphorus Quintile (mg/dL) 1.1-4.5 4.6-5.5 5.6-6.5 6.6-7.8 7.9-16.9
--------------------------------------------------------------------------------
*P=0.03 **P less than 0.0001 (N = 6407)
1. Adapted from Block GA, et al. Am J Kidney Dis. 1998;31:607-617.
genzyme
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ECHOCARDIOGRAPHY SHOWED HIGH LEVELS OF VALVULAR CALCIFICATION IN
DIALYSIS PATIENTS(1)
[The following table was depicted as a bar chart in the printed material.]
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Mitral Annulus Aortic Annulus
-------------- --------------
Percentage of Patients
Dialysis 45% 52%
Normal 10% 4%
--------------------------------------------------------------------------------
1. Ribeiro S, et al. Nephrol Dial Transplant. 1998;13:2037-2040.
genzyme
general
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<PAGE>
A NEW WAY TO SEE: ELECTRON BEAM COMPUTED
TOMOGRAPHY (EBCT)
[GRAPHIC OF PATIENT IN CT-SCAN TUBE AND EBCT OMITTED]
genzyme
general
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CORONARY-ARTERY CALCIFICATION IN YOUNG ADULTS WITH END-STAGE RENAL
DISEASE WHO ARE UNDERGOING DIALYSIS
NEW ENGLAND JOURNAL OF MEDICINE, MAY 18, 2000
Source: Goodman, et al
- Cardiac calcification is a serious problem
- 90% of young adult dialysis patients showed signs of coronary
artery calcification
- Calcification scores doubled over 17-23 months in 10 patients who
showed signs of coronary artery disease doubled
genzyme
general
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CORONARY ARTERY CALCIFICATION IN YOUNG
DIALYSIS PATIENTS USING EBCT
[GRAPHIC SHOWING INCREASE, WITH AGE, IN CORONARY ARTERY CALCIFICATION IN YOUNG
DIALYSIS PATIENTS OMITTED]
genzyme
general
<PAGE>
EXTENSIVE TRIPLE VESSEL (CORONARY ARTERIES) CALCIFICATION
IN A DIALYSIS PATIENT
[EBCT IMAGES SHOWING CALCIFICATION IN A DIALYSIS PATIENT OMITTED]
Slide courtesy of P. Raggi
genzyme
general
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RETROSPECTIVE STUDY: SUGGESTS MORTALITY AND MORBIDITY DIFFERENCES IN MATCHED
GROUPS OF RENAGEL-Registered Trademark- AND CONTROL PATIENTS
- Groups matched for age, gender, race, diabetic status, hematocrit
time on dialysis and hospital stay
- Relative risk of hospitalization reduced by approximately 50% (by
Cox regression)
- Relative risk of death reduced by approximately 33% (by Cox
regression)
genzyme
general
<PAGE>
RETROSPECTIVE STUDY: DEATH RATES BY CAUSE
(PER 1,000 PATIENT YEARS)
<TABLE>
<CAPTION>
CATEGORY CONTROL RENAGEL-Registered Trademark-
<S> <C> <C>
All Cause 100.9 66.7
CARDIAC 27.1 14.1
Infectious 12.1 14.8
Unknown 16.2 18.1
</TABLE>
SOURCE: A. COLLINS, USRDS
genzyme
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SAVINGS TO MEDICARE: $17,000 OR 24% ANNUALLY
[The following table was depicted as a bar chart in the printed material.]
--------------------------------------------------------------------------------
Control Renagel
------- -------
Inpatient $23,904 $13,788
Outpatient $29,772 $29,076
Other $3,264 $1,152
Physician $13,452 $9,048
Total $70,392 $53,064
Renagel Saving/Yr $17,000
--------------------------------------------------------------------------------
Source: A. Collins, USRDS
genzyme
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RENAGEL-Registered Trademark- CLINICAL PROGRAM: CURRENT TREAT TO GOAL STUDY
- Vascular calcification is common and progressive in the ESRD
population
- We are employing a method new to the renal community to
detect cardiac and aortic calcification - EBCT
- Demonstrate Renagel-Registered Trademark- has expected
impact
- Prospective randomized study
- Renagel-Registered Trademark- vs calcium binders
- Multicenter, 225 patients
- Timeline
- 3 years, 12 month data H1 2001
genzyme
general
<PAGE>
RENAGEL-Registered Trademark- CLINICAL PROGRAM: NEW MORBIDITY & MORTALITY
STUDY
- Prospective randomized study
- 2000 patients
- Reduction in hospitalization - 18 months (2003)
- Reduction in cardiac mortality - 2.5 years (2004)
- Start H1 2001
genzyme
general
<PAGE>
SUMMARY
- Calcium toxicity is seen as a real issue
- Renagel-Registered Trademark- may have a significant impact
- Not absorbed, well-tolerated
- Non-calcium, non-metal
- Lipid profile improvements
- Reduction in calcification
- Possible reduction in morbidity and mortality
- Cost savings to the system
genzyme
general
<PAGE>
KEY DRIVERS OF REVENUE GROWTH
- Dialysis patient population growing 6 - 8% annually
- 1 million now to 1.7 million in 10 years
- US population 280,000, Europe 170,000
- Increasing revenue/patient/year
- Approximately $1,000 increasing to $2,000 as a result of
optimizing dosage levels and compliance improvements
- Expanding market share
- Strong clinical benefits
- Reduction in hospitalization costs
genzyme
general
<PAGE>
RENAGEL-Registered Trademark- NRx's
[The following table was depicted as a line chart in the printed material.]
<TABLE>
<CAPTION>
----------------------------------------------------------------------------------------------------------------------
JUL AUG SEP OCT NOV DEC JAN FEB MAR APR MAY JUN JUL AUG SEP
----------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Renagel 5535 5643 5326 6391 6347 6456 6311 6764 7441 7419 8419 8610 9815 10847 11522
----------------------------------------------------------------------------------------------------------------------
1999 2000
</TABLE>
Source: IMS NPA
genzyme
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<PAGE>
RENAGEL-Registered Trademark- TRx's
[The following table was depicted as a line chart in the printed material.]
<TABLE>
<CAPTION>
---------------------------------------------------------------------------------------------------------------------------------
JUL AUG SEP OCT NOV DEC JAN FEB MAR APR MAY JUN JUL AUG SEPT
---------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
RENAGEL 12047 12731 12504 14112 14888 15627 15394 15626 17288 17361 19571 20075 22050 24260 25060
---------------------------------------------------------------------------------------------------------------------------------
1999 2000
</TABLE>
Source: IMS NPA
genzyme
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<PAGE>
RENAGEL-Registered Trademark- REVENUES
[The following table was depicted as a bar chart in the printed material.]
--------------------------
In millions
Q4'98 $0.3
1H 1999 $7.6
2H 1999 $11.9
1H 2000 $18.2
2H 2000E $30
--------------------------
genzyme
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<PAGE>
RENAGEL-Registered Trademark- MARKETING PROGRAMS
- European rollout began early 2000
- Physician-sponsored education symposiums ongoing
- Tablet launched September 2000
- In next several months in Europe, Canada
- Increase sales force by 50%
- Significant presence at American Society of Nephrologists meeting
Toronto, October 2000
genzyme
general
<PAGE>
GENZYME GENERAL UPDATE
- Financial update
- Marketed products
- Pipeline
- Infrastructure
genzyme
general
<PAGE>
GENZ TOTAL REVENUES
[The following table was depicted as a bar chart in the printed material.]
---------------------------------
In millions
1990 $ 61
1991 $120
1992 $216
1993 $268
1994 $311
1995 $379
1996 $461
1997 $496
1998 $570
1999 $635 $655*
YTD 9/30/00 $549 $549
10-year CAGR: 30.2%
---------------------------------
* Includes $20M in Renagel(R) revenues
** Beginning Q2-00 forward, total revenues include Renagel(R) revenues
genzyme
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<PAGE>
GENZ FREE CASH FLOW
[The following table was depicted as a bar chart in the printed material.]
---------------------------------
(in millions)
1996 ($33.2)
1997 $79.2
1998 $109.9
1999 $131.3
YTD 9/30/00 $132.0
---------------------------------
Free Cash Flow = net income plus depreciation less net cash used for capital
expenditures and dividend payments
genzyme
general
<PAGE>
THERAPEUTICS PIPELINE EXPANSION
[The following table was depicted as a line chart in the printed material.]
<TABLE>
<CAPTION>
-----------------------------------------------------------------------------------------------------------------
Number of Products Products in Market New Products Expected in Market
------------------ ------------------ ---------------------------------------
<S> <C> <C> <C>
1997 1 Cerezyme(R)
-----------------------------------------------------------------------------------------------------------------
1998 3
-----------------------------------------------------------------------------------------------------------------
1999 3 Cerezyme(R)
Renagel(R)
Thyrogen(R)
-----------------------------------------------------------------------------------------------------------------
2000 4 Fabrazyme(TM)
-----------------------------------------------------------------------------------------------------------------
2001 6-7 ATIII
AVONEX(R)/Japan
2002 8-10 Aldurazyme(TM)
alpha-glucosidase (Pompe disease)
DX88 (HAE)
Niemann-Pick B
-----------------------------------------------------------------------------------------------------------------
Beyond 16+ Lumarel(TM)
NeuroCell-PD(TM)
PV
LSD-GT
MS
Scleroderma
-----------------------------------------------------------------------------------------------------------------
</TABLE>
genzyme
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<PAGE>
Cerezyme(R) Revenues
[The following table was depicted as a bar chart in the printed material.]
---------------------------
In millions
Year US/International
1991 $0/40
1992 $0/93
1993 $31/93
1994 $59/113
1995 $88/127
1996 $119/146
1997 $157/176
1998 $207/204
1999 $239/238
YTD 2000 $200/200
<PAGE>
[PHOTO]
GENZYME
GENERAL
ACCELERATING MOMENTUM ...
<PAGE>
NEAR-TERM PIPELINE:
FABRAZYME-TM- FOR FABRY DISEASE
- Alpha-galactosidase enzyme deficiency
- Kidney failure, cardiac disease, pain/numbness
- 2,000-4,000 patients worldwide
- Pivotal trial completed ON TIME
- Positive Phase 3 results announced at ASHG Oct. 2000
- Target filing
- BLA accepted (U.S.); MAA validated (Europe)
genzyme
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<PAGE>
FABRAZYME-TM- PHASE 3 RESULTS
- Adverse events included transient mild to moderate infusion reactions
- Easily managed
- No significant safety concern for continued therapy
- lgG antibodies detected in 24/29 treated patients
- Expected since 80% Fabry patients are missing enzyme
- Antibody formation did not effect efficacy
genzyme
general
<PAGE>
-------------------------------------------------------------------------------
CAPILLARY ENDOTHELIUM SCORE - KIDNEY
-------------------------------------------------------------------------------
SCORE AT WEEK 20
POPULATION AS TREATED
-------------------------------------------------------------------------------
0 (NONE) >0 ODDS RATIO P-VALUE
-------------------------------------------------------------------------------
Placebo 0 29
(n=29) (0%) (100%)
0.008 LESS THAN 0.0001
r-h (alpha)GAL 20 9
(n=29) (69%) (31%)
genzyme
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<PAGE>
-------------------------------------------------------------------------------
PHASE III EXTENSION - EFFICACY RESULTS
-------------------------------------------------------------------------------
KIDNEY
-------------------------------------------------------------------------------
<TABLE>
<CAPTION>
ORIGINAL NO. OF NO. OF MONTHS ON %ZERO
TREATMENT PATIENTS ZEROS r-h (alpha)GAL
<S> <C> <C> <C> <C>
PLACEBO 22 22 6 100%
r-h (alpha)GAL 21 20 12 95%
TOTAL 43 42 98%
</TABLE>
genzyme
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<PAGE>
-------------------------------------------------------------------------------
CONCLUSIONS
- Highly statistically significant results in primary endpoint
- Safe and well-tolerated
- Infusion rates declined in 12-month extension
- Placebo crossover in extension study strongly confirms
double-blind results
- Long-term efficacy maintained
genzyme
general
<PAGE>
NEAR-TERM PIPELINE:
ALDURAZYME-TM- FOR MPS-I DISEASE
- Alpha-L-iduronidase enzyme deficiency
- 2,000 - 3,000 patients worldwide
[PHOTO]
- Joint venture with BioMarin
- Begin confirmatory trial: H2 2000
genzyme
general
<PAGE>
NEAR-TERM PIPELINE:
TRANSGENIC ANTITHROMBIN III (ATIII)
- Joint venture with Genzyme Transgenics
- Control blood clotting during CABG surgery
[PHOTO]
- Two Phase III trials completed
- Positive results from both trials
- Target BLA filing early 2001
genzyme
general
<PAGE>
MEDIUM-TERM PIPELINE:
ALPHA-GLUCOSIDASE FOR POMPE DISEASE
- Worldwide license from Synpac/collaboration with Pharming
- Estimated 5,000 patients worldwide
- Pivotal trial to begin: H2 2000
NIEMANN-PICK B DISEASE
- Collaboration with Mt. Sinai School of Medicine
- Estimated 1,000 patients worldwide
- File IND: H1 2001
AVONEX-Registered Trademark- IN JAPAN
- Collaboration with Biogen
- Genzyme Japan to manage clinical/regulatory/reimbursement
marketing & sales
- Target launch: H2 2001
genzyme
general
<PAGE>
MEDIUM-TERM PIPELINE
LUMAREL-TM- FOR CYSTIC FIBROSIS
- Collaboration with Beth Israel, CF Foundation
- Compound corrects lipid imbalance
- Estimated 30,000 U.S. patients
- File IND by early 2001
DX-88 FOR HEREDITARY ANGIOEDEMA
- Collaboration with Dyax
- Repeated attacks of swelling, often fatal with no effective
therapy
- Estimated 5-10,000 patients worldwide
- Initiate phase II clinical trial: H2 2000
genzyme
general
<PAGE>
NEW LONGER-TERM CANDIDATES
MULTIPLE SCLEROSIS
- GENZ-29155 SMALL MOLECULE CANDIDATE
- PROGRESSIVE LOSS OF MOBILITY, VISION, AND NEUROLOGIC FUNCTIONS
- APPROXIMATELY 350,000 U.S. PATIENTS
- LATE PRECLINICAL STAGE
SYSTEMIC SCLERODERMA
- TGF-BETA ANTAGONIST CANDIDATE
- FIBROTIC TISSUE HARDENING OF MAJOR INTERNAL ORGANS, OFTEN FATAL
- APPROXIMATELY 70,000 U.S. PATIENTS
- LATE PRECLINICAL STAGE
genzyme
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<PAGE>
OUR EMPLOYEES ARE CREATING
VALUE WORLDWIDE
[The following table was depicted as a graphic in the printed material.]
<TABLE>
<CAPTION>
-----------------------------------------------------------------------------------------
Represents percentage of Number of
employees outside United States employees
------------------------------- ------------------
<S> <C> <C>
Research & Development 5% GREATER THAN 500
Manufacturing/Operations 20% GREATER THAN 1200
Medical/Clinical/Regulatory 35% GREATER THAN 250
Marketing/Sales/Reimbursement 50% GREATER THAN 500
-----------------------------------------------------------------------------------------
</TABLE>
genzyme
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<PAGE>
[PHOTO]
GENZYME
GENERAL
ACCELERATING MOMENTUM...
