Verve Group Se Class A · OMXSTO:VER
Verve Group Se Class A — Media and Games Invest — Merger or Acquisition (April 2022)
23 slides from Verve Group Se Class A's merger presentation, April 2022
Slide 1: AxesInMotion Acquisition
AxesInMotion Acquisition April 2022
Slide 2: Disclaimer (1/2)
Disclaimer (1/2) THIS PRESENTATION AND THE INFORMATION CONTAINED HEREIN IS CONFIDENTIAL AND MAY NOT BE REFERRED TO, QUOTED OR OTHERWISE DISCLOSED BY YOU NOR WHOLLY OR PARTLY. BY REVIEWING THIS INFORMATION, YOU ARE ACKNOWLEDGING THE CONFIDENTIAL NATURE OF THIS INFORMATION AND ARE AGREEING TO ABIDE BY
Slide 3: Disclaimer (2/2)
Disclaimer (2/2) The Investor Presentation does not constitute and should not be considered as any form of financial opinion or recommendation. The Investor Presentation does not constitute a prospectus within the meaning of the Regulation (EU) 2017/1129 of the European Parliament and of the Council
Slide 4: Today's Presenters and Ownership Structure
Today’s Presenters and Ownership Structure Shareholdings (149,679,980 shares issued) 1 Shares listed on Frankfurt Stock Exchange and 28% Remco Westermann Nasdaq First North Premier Stockholm Remco Westermann holds his MGI shares via the German holding company Bodhivas GmbH. Bodhivas GmbH is based in
Slide 5: MGI acquires AxesInMotion
MGI acquires AxesInMotion Leading mobile racing game developer with +700 million downloads • Perfect strategic fit to achieve MGI’s Vision 2025 by adding first party data from own mobile games content • Exceptional revenue synergy potential with MGI’s Ad-Software-Platform as 87% of the revenues are
Slide 6: Agenda
Agenda Introduction to AxesInMotion Games Overview Growth Strategy Financial Performance
Slide 7: Introduction to AxesInMotion
1. Introduction to AxesInMotion
Slide 8: AxesInMotion Key facts at a Glance
AxesInMotion Key facts at a Glance +700M 30 Employees Total Downloads HQ in Spain A leading mobile developer and €7.9M 2021 Revenues1 publisher based in Seville, Spain 3 Mobile racing games (own IP) €5.1M Adj. EBITDA1 36% Organic Revenue Growth2 64% 87% monetization via Adj. EBITDA Margin1 advertise
Slide 9: AxesInMotion Milestones
AxesInMotion Milestones Company development from inception to 2021 Cumulative downloads, in million Downloads 23 107 181 255 348 448 589 735 Growth 365% 69% 41% 36% 29% 31% 25% 2014 2015 2016 2017 2018 2019 2020 2021 AxesInMotion is New strategy adopted: Release of “Extreme Car Driving established S
Slide 10: Games Overview
Invest I< Media and Games @ 2. Games Overview
Slide 11: Strong IP beyond Flagship Game ECDS
Strong IP beyond Flagship Game ECDS Portfolio Of High-Quality Racing Games Extreme Car Driving Simulator Car Stunt Races: Mega Ramps Extreme SUV Driving Simulator Launch in 2014 Launch in 2019 Launch in 2014 Flagship title and main revenue driver Stunt racing games identified as an attractive Recogn
Slide 12: Extreme Car Driving Simulator: Strong Games KPIs
Extreme Car Driving Simulator: Strong Games KPIs Top-10 Countries Account For 66% Of Total Revenues 2021 Total Revenues, in % Monetization Model Platform Mix IAP Ad revenues Google Play iOS USA 33% 18% 82% 57% 43% Germany 5% 14% 86% 86% 14% Brazil 5% 3% 97% 98% 2% India 5% 3% 97% 96% 4% UK 4% 16% 84
Slide 13: Growth Strategy
i, Media and Games Invest @ 3. Growth Strategy
Slide 14: The Acceleration of the MGI Flywheel
The Acceleration of the MGI Flywheel AxesInMotion is a perfect strategic fit to spin our Flywheel Served more relevant ads to users DSP World class Up to 30% more efficient games UA SSP Up to 50% more ad- revenues +700M Consumers power our Data Engine Strong insights and more data Improving targetin
Slide 15: AxesInMotion's Games offer significant organic growth opportunities
AxesInMotion’s Games offer significant organic growth opportunities Organic growth based on scaled and cost efficient UA, keeping full ad value chain in house • Company is not yet investing in User Acquisition at scale User • Vast synergy potential via (cost-) efficient User Acquisition via own tech
Slide 16: Games Pipeline
Games Pipeline New great first party content filling the pipeline 18 months 36 months Release Release Tech Soft Global Launch & Prototype BETA Launch Liveops Nitro Clash Card-based gameplay: Build your deck from a broad variety of vehicles, upgrade the cards to be more Release Soft Prototype Launch
Slide 17: Financial Performance
i, Media and Games Invest & 9. Financial Performance
Slide 18: MGI & AxesInMotion - Combined Financials 2021
MGI & AxesInMotion - Combined Financials 2021 Highly value accretive acquisition adding nicely to Group EBITDA margin Combined Group Financials – EXCLUDING Synergies1 Comments 260 252 • 36% organic revenue growth CAGR2 underscored by 64% growth 76 CAGR3 in player base represented 71 by downloads in
Slide 19: MGI & AxesInMotion - Combined Synergies
MGI & AxesInMotion - Combined Synergies Highly value accreditive adding significantly to Group EBITDA while leveraging vast synergetic potentials Combined Group Financials – INCLUDING synergies1 Comments 277 252 • Highly accretive transaction with a 88 very strong +23% contribution to the Buyer-spec
Slide 20: AxesInMotion Synergetic Potential
AxesInMotion Synergetic Potential A one in a kind opportunity leveraged by excpetional buyer-specific synergies Mid-Term Potential of AxesInMotion1 Comments • Synergetic potential driven by: +165% • Ad Monetization: better fill- rates and higher CPM’s by 24 integrating to Ad Software Revenues Platfo
Slide 21: Transaction Structure
Transaction Structure ● FY 2022 Guidance for AxesInMotion: Revenues of EUR 9.2 million; EBITDA of EUR 6.0 million Purchase price table EURm EV/EBITDA Closing Consideration Payment 50 8.3x1 ● The fixed Consideration represents an EV/EBITDA multiple of 9.1x1 Deferred cash consideration 5 9.1x1 (i) Def
Slide 22: Updated Guidance 2022
Updated Guidance 2022 Strong EBITDA growth fueled by AxesInMotion Updated Guidance 2022 FY 2021 Guidance 2022 incl. AxesInMotion2 Revenue 252 290 – 3101 295 – 315 (in €m) Growth 80% 15-23% 17-25% Adj. EBITDA 71 80 – 90 83 – 93 (in €m) Growth 143% 13-27% 17-31% Notes: (1) Includes Affiliate and Influ
Slide 23: Headlines Vision 2025
BEING ONE OF THE MOST DESIRED GLOBAL COMPANIES TO WORK FOR embracing diversity, global, no politics, professional, engaged, innovative, strong drive BECOMING ONE OF THE TOP 5 WORLDWIDE LEADING AD-SOFTWARE PLATFORMS transparent, open source, innovative, multi-format, omni- Headlines Vision 2025 platf
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