Splash Beverage Group, Inc. (nv) · AMEX:SBEV
Splash Beverage Group, Inc. (nv) — Investor Presentation (July 2021)
29 slides from Splash Beverage Group, Inc. (nv)'s investor presentation, Jul 1, 2021
Slide 1: Investor Presentation June 2021
INVESTOR PRESENTATION June 2021
Slide 2: Forward-Looking Statements
FORWARD - LOOKING STATEMENTS This presentation contains forward - looking statements . Forward - looking statements give our current expectations or forecasts of future events . You can identify these statements by the fact that they do not relate strictly to historical or current facts . Forward -
Slide 3: Splash Beverage Group overview
Splash Beverage Group (NYSE American : SBEV ) owns a growing portfolio of successful alcoholic and non - alcoholic beverage brands . The Company’s strategy is to rapidly develop new brands as well as acquire and accelerate preexisting brands that have high visibility or are innovators in their respe
Slide 4: Current Brand Line Up
CURRENT BRAND LINE UP P ortfolio maximize s manufacturing & distribution efficiencies and minimizes risk over multiple channels Licensing deal with The World Wrestling Entertainment (the “WWE”) SALT Naturally Flavored Tequila 4 Believed to be the First F lavored Hand Crafted 100% Agave 80 - proof T
Slide 5: Investment Highlights
INVESTMENT HIGHLIGHTS Management Team & Board are Leaders in the Beverage Industry Robust Distribution in Place and Growing Preexisting Brand Awareness & Pure Innovation Industry Growth Opportunities / Timing & Acquisition ▪ Products are on retail shelves in multiple channels ▪ Chains are coming abo
Slide 6: Equity Profile
NYSE American : SBEV Stock Price : $ 3 . 40 Trading Volume ( 9 0 day av g . ) : ~ 50 , 000 Market Cap : ~ $ 92 M Shares Outstanding : 26 . 74 Cash on Hand : ~ $ 15 M SBEV 6 EQUITY PROFILE Revenues (TTM): $5.3 M 2058% growth Q1 2020 to Q1 2021 Quarterly Revenue Growth (millions) SBEV
Slide 7: Global beverage market growth and exits
▪ Global beverage market valued at $1.5 trillion in 2018 and projected to grow to $1.8 trillion by 2024 1 ▪ Recent growth has taken place in the emerging Functional Beverage Category as ignited by Vitamin Water’s $4.2 billion sale to Coke 2 ▪ V aluation multiples for acquisitions and spin - off tran
Slide 8: M&A Transactions of Comparable Companies
M&A TRANSACTIONS OF COMPARABLE COMPANIES CONFIDENTIAL - Splash Beverage Group, Inc. Year Target Acquirer EV/Sales Price 2017 2017 2016 2013 $1.7 B $1.0 B $475 M $1.6 B 6.7x 20.0x 5 .1x 6 .1x 2007 $4.2 B 9.5x 8 2. Beverage Information & Insights Group – 2020 Liquor Handbook 1. Beverage Digest Fact Bo
Slide 9: Company Leadership: Led Billions in Sales
COMPANY LEADERSHIP: LED BILLIONS IN SALES 9 SBEV
Slide 10: Management
MANAGEMENT Robert Nistico Chief Executive Officer & Managing Partner ▪ 27 years experience in the Beverage Industry ▪ Executive management experience in all 3 Tiers of Beverage system ; sales, marketing, distribution and brand development for beer, wine, spirits and nonalcoholic beverage s ▪ 5 th Em
Slide 11: Board of Directors
BOARD OF DIRECTORS Peter McDonough Former President & CMO, Diageo Americas from 2008 to 2017 Robert Nistico, CEO & Founder Co - Founder of Splash, Former Red Bull SVP&GM Justin Yorke, McGrain Financial Partner Candace Crawford Built and Sold Brands to COKE, Tropicana & Others Pete Carr President of
Slide 12: Global Distribution: Relationships with Distributors & Retailers
12 GLOBAL DISTRIBUTION: RELATIONSHIPS WITH DISTRIBUTORS & RETAILERS SBEV
Slide 13: Hybrid Distribution Model Leverages 3 Routes to Market
DIRECT WAREH O USE DIRECT STORE DELIVERY “DSD” WITH CLASS A DISTRIBUTORS BROADLINE DISTRIBUTORS National chains Independent local markets & regional chains National & Regional chains, specialty food & C - Stores 13 Key strategic alliance with b roadline distributors which gives Splash the ability to
Slide 14: Splash Brands across U.S.
: Splash Brands across U.S. 1 Copa divino 1 Pulpoloco msar © Copa di Vino, Pulpoloco, SALT 1 Copa di Vino, SALT, Tapout I Copa di Vino, Pulpoloco, SALT, Tapout Copa di Vino, Pulpoloco, Wl Copa di Vino, SALT 1 Copa di Vino, Pulpoloco, Tapout
Slide 15: Online & Direct-to-Consumer Platform
▪ Currently building out Qplash ecommerce B2B and B2C platform ▪ Industry distribution landscape is changing rapidly with online and direct to consumer sales projected to increase significantly ▪ Regulatory environment shifting in the U.S. for alcohol delivery within and across state borders ▪ Highe
Slide 16: Brand Portfolio: Preexisting Brand Recognition & Innovator
16 BRAND PORTFOLIO: PREEXISTING BRAND RECOGNITION & INNOVATOR IN ITS CATEGORY SBEV
Slide 17: Brand Portfolio Strategy
BRAND PORTFOLIO STRATEGY Required (Minimum) Brand Attributes Incorporated that Reduce & Dilute Risk ▪ Believed to be the f irst f lavored 100 % agave 80 proof t equila l ine ▪ Outstanding t aste , especially given that it is 80 proof ▪ Flavoring has influenced sales growth of Rum, Vodka , and now ,
Slide 18: Tequila
TEQUILA 10x Growth of Flavored Spirits vs. Unflavored 14% Annual Growth of Tequila Consumption in the US, driven by 100% Agave varieties. Second highest next to whiskey.* 1. Distilled Spirits Council 2020 2. Beverage Information & Insights Group – 2020 Liquor Handbook IN THE LAST 10 YEARS, TEQUILA V
Slide 19: SALT Tequila Activation & Marketing
SALT TEQUILA ACTIVATION & MARKETING SBEV 19
Slide 20: TapouT Hydration and Recovery Drink
TAPOUT HYDRATION AND RECOVERY DRINK PREEXISTING BRAND AWARENESS ▪ 2 3 Years of Operating History selling Brand ed Merchandise ▪ License Agreement with the Core Brand Leverages Sales of Splash’s TapouT Beverages ▪ Efforts and investments by other affiliates broaden brand appeal to both male and femal
Slide 21: Expanding the Category: The White Space
Strong Heritage Iconic Value Advanced Formula Premium Price Lack of Heritage Iconic Value Basic Formula Value Price 21 CONFIDENTIAL – SPLASH BEVERAGE GROUP, INC. SBEV EXPANDING THE CATEGORY “THE WHITE SPACE” 21
Slide 22: TapouT's WWE Partnership
TAPOUT’S WWE PARTNERSHIP WWE Talent WWE Events Music Original releases Home Video WWE Studios 40+ films 8 - 10 new releases per year Digital and Social Media 450+ million fans Consumer Products WWE Network Television Programming *Source: WWE World Wrestling Entertainment SBEV 22
Slide 23: Affinity for WWE & Its Brand Partners
A FFINITY FOR WWE & ITS BRAND PARTNERS INCLUDING TapouT IN POTENTIALLY MORE THAN 50% OF U . S . TV HOMES 116M TOTAL U.S. TV HOMES 62M WWE FAN HOMES 13M P A SSION A TE FANS 2 8 M C A S U AL FANS 2 1 M LAPSED FANS 23 *Source: WWE World Wrestling Entertainment SBEV
Slide 24: Marketing Integration with Splash's TapouT
MARKETING INTEGRATION WITH SPLASH’S TapouT WWE HAS 739 MILLION FOLLOWS ON SOCIAL MEDIA TO LEVERAGE DIGITAL MEDIA Developed c ustomized digital media content for social media and in store promoting TapouT as the official fitness and training partner of the WWE: • Integration on WWE YouTube Channel •
Slide 25: Illustrative Examples of Splash's Execution
ILLUSTRATIVE EXAMPLES OF SPLASH’S EXECUTION
Slide 26: Copa Di Vino acquisition
▪ Copa Di Vino » Completed December 2020 » “Born” on Shark Tank » 100% owned » Distribution to 13,000 retailers » 82 Anheuser Busch distributors ▪ Acquisition Selection Strategy » Segment Analysis and Relevance » Portfolio and Personnel Synergies » Route to Market - Assistance or Challenges » Distri
Slide 27: Pulpoloco: Proprietary Biodegradable Packaging
▪ Pulpoloco » Produced by Copa di Vino » Sangria made in Spain; Proprietary family recipe » 4 flavors » Encased in 100% biodegradable can made from paper PULPOLOCO: PROPRIETARY BIODEGRADABLE PACKAGING COMMITMENT TO BRAND INTEGRITY SBEV 27
Slide 28: Splash Formula for Success
Replicate CEO’s success at RedBull : Splash’s core strength is flexibility & speed to action ▪ Bring selected opportunities into the wheelhouse ▪ Utilize management’s industry strength and branding partners ▪ Accelerate the reach of Splash brands through global sales channels ▪ Leverage the quality
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