Cloudberry Clean Energy Asa · OSL:CLOUD
Cloudberry Clean Energy Asa — Investor Presentation (June 2020)
36 slides from Cloudberry Clean Energy Asa's investor presentation, Jun 24, 2020
Slide 1: Cloudberry Company Presentation
Q Cloudberry Company Presentation 24 June 2020
Slide 2: Important information
Important information + This company presentation (the "Presentation") has been prepared by Cloudberry Clean Energy AS (the "Company") and its subsidiaries (together the "Group" and is made solely for information purposes. This Presentation does not constitute any recommendation to buy, sell or othe
Slide 3: Key investment highlights
Key investment highlights 1 Hydro and wind power company focused on the Nordics Cloudberry 2 Unique exposure to long term renewable assets gy ‘2 Develop 3 Scalable and efficient platform for growth, benefitting * Production (Equity IRR > 18% p.a.) from 10 years’ in-house development capability (Equi
Slide 4: Introduction to Cloudberry
Slide 5: We are Cloudberry
We K a ov aay are Cloudberry . . Portfoli M&A i Nordic renewable energy company listed on Euronext Oslo Merkur Market (Ticker: CLOUD-ME) GWh p.. om Owns, develops and operates primarily within an Norwegian hydro and Swedish wind power assets Solid development track record - 10 projects v0 delivered
Slide 6: Our portfolio
Our portfolio Bjorgelva Power Plant”, Hydro, 7.4 GWh Nesbyen, Viken Location: Sorreisa, Troms Production start: 2011 Production start: Q4 2020 Date acquired: June 2019 Date acquired: June 2019 Royrmyra Wind Park, 8.4 GWh Nessakraft, Hydro 34 GWh Location: Hd, Rogaland Location: Balestrand, Vestland
Slide 7: Cloudberry's two most recent development projects
Cloudberry’s two most recent development projects Developed, constructed and sold * 24MW + Sold to Prime Capital, Germany * Final takeover in October 2018 * Cloudberry developed and sold the project pre-construction in 2017 for NOK ~2m per MW © Preconstruction equity IRR = ~30% * Full life-cycle equ
Slide 8: Highly experienced management team
Highly experienced management team Anders J. Lenborg Christian A. Helland Suna F. Alkan Tor Arne Pedersen Chief Executive Officer Chief Value Officer (CFO) Chief Operating Officer Chief Sustainability Officer Chief Development Officer + Founder of Cloudberry + Former Partner and Head of Energy Secto
Slide 9: Backed by active Board of Directors and supportive shareholders
Backed by active Board of Directors and supportive shareholders Board of Directors Selected key shareholders JOHAN JOHANNSON Joh. " ; , Johannson Significant investor in real estate Eiendom AS and renewable energy. venaom. = w™ Chairman Board member Board member Board member Board member THE BERGESE
Slide 10: Acquisition overview
Slide 11: Cloudberry acquires a truly unique and attractive portfolio
Cloudberry acquires a truly unique and attractive portfolio Portfolio overview Transaction background Portfolio production # of assets Attractive portfolio Further potential n 85 GWh (net production to Cloudberry) 18 hydro power plants and 1 long-term PPA offtake, all located in Norway (geographical
Slide 12: The acquired portfolio
The acquired portfolio™ Location: Production start: Kvitno kraftverk, 11.1 GWh | Production start: 2018 Svardela kraftverk, 10 GWh Location: Luster )DUCTION ‘Tverrdalselvi kraftverk, 5.8 GWh Location: Fjeerland Production start: 2020 Location: Production start: Strupen kraftverk, 2 GWh Eldao kraftve
Slide 13: Additional upsides and value drivers not yet reflected in valuation
Additional upsides and value drivers not yet reflected in Cloudberry’s valuation assessment * Increased purchasing power — reduced operating costs . + Sale of power - larger portfolio Economies of scale . . _. ae - oo. . 7 + Reduced operational risk - both on local annual fluctuations in precipitati
Slide 14: A transformative transaction
A transformative transaction Current portfolio GWh p.a. Under construction Current portfolio In production Portfolio post transaction GWhp.a. 138 85 : Current portfolio Portfolio post transaction Acquisition portfolio Technology mix (production) + Portfolio of 4 production assets (1 wind and Thydro
Slide 15: Strong transaction rationale
Strong transaction rationale 5 Significantly growing Cloudberry’s portfolio - expected 2021 production increased from 53 to 138 GWh “Sweet-spot” portfolio, significantly and efficiently scaling the company Diversifying the production portfolio geographically and on an asset level Unique exposure to
Slide 16: The market
The market
Slide 17: Increased power demand in the Nordics...
Increased power demand in the Nordics... Power demand projected to significantly increase... driven by a highly power intensive technological revolution Source of power demand increase, Norway and Sweden (TWh) Selected illustrations of technological innovations to drive increased power demand ze | I
Slide 18: ..backed by favourable regulatory forces and closer integration of European power market
..backed by favourable regulatory forces and a closer integration of the European power market Demand to be met by renewables supply Grid connections to balance European prices Paris Agreement (COP21) Phasing out of nuclear power in Europe by 2030 Carbon pricing * Toensure steady supply and to even
Slide 19: • 0,55 • 0,50 0,45 • 0,40 0,35 • 0,30 0,25 0,20 • 0,15
• 0,55 • 0,50 0,45 • 0,40 0,35 • 0,30 0,25 0,20 • 0,15 0,10 0,05
Slide 20: Wattsight simulated power prices 2024-2030
Wattsight simulated power prices 2024-2030") 44 €/MWh * European power prices are estimated to ET remain in the range of EUR 44-58/MWh by Wattsight Norwegian Krone power prices of 0.45 NOK/KWh based on EURNOK 10x 58 €/MWh 49 €/MWh 20 Source: Wattsight Q Cloudberry Note: (1) Base case scenario from J
Slide 21: Slide 21
Slide 22: Ørsted Ørsted
NOR 10yr UK 10yr US 10yr GER 10yr 8 7 600 5 Arise 6 Eolus 500 Eolus 5 4 Ørsted Ørsted Scatec Solar 4 400 Scatec Solar 3 3 300 2 2 1 200 0 1 100 -1 -2 0 0 2001 2003 2005 2007 2009 2011 2013 2015 2017 2019 Jun-18 Jun-19 Jun-20 Jun-18 Jun-19 Jun-20
Slide 23: Our business model for growth and value creation
Our business model for growth and value creation Value creation The Nordic clean renewable platform Production © Holds producing wind and hydro assets © Operations and maintenance sourced externally Q Cloudberry © Source assets externally or internally (from Develop) Develop © In-house development o
Slide 24: Dual growth strategy
Dual growth strategy Organic greenfield development GWh pa. GWh pa. 427 a a7 — In production Under Construction Backlog” Pipeline® In production Under Construction Backlog" Pipeline) construction permit (for illustration) construction permit (for illustration) # of 2 projects = am xz = * Experienced
Slide 25: Active asset management secures a balanced and diversified portfolio
Active asset management secures a balanced and diversified portfolio Development strategy Track-record of developing and divesting to high quality names Production — Capacity Year (awh) (MW) realised Cloudberry will develop projects to the ready-to-build phase, and Tysveer Vindpark AS Rogaland, Norw
Slide 26: Financial summary
Financial summary Production segment Develop segment Corporate segment Target equity IRR Royrmyra and Finnesetbekken Portfolio acquisition (85 GWhp.a.) Nessakraft and Bjorgelva (41GWhp.a) Expected to generate NOK 29-39m in pre-tax cash flow2) in 26 5-8% + Royrmyra revenues: PPA agreement + Finnesetb
Slide 27: Capital structure and financing strategy
Capital structure and financing strategy Financing strategy Capital structure Enterprise value bridge (NOKm) Interest bearing debt bridge (NOKm) Market Interest Cash" Enterprise value capitalisation bearing debt Existinginterest_ _Interestbearing Adjusted interest bearingdebt?) — debtcommitments bea
Slide 28: Key investment highlights
Key investment highlights 1 Hydro and wind power company focused on the Nordics Cloudberry 2 Unique exposure to long term renewable assets gy ‘2 Develop 3 Scalable and efficient platform for growth, benefitting * Production (Equity IRR > 18% p.a.) from 10 years’ in-house development capability (Equi
Slide 29: Appendix
Appendix
Slide 30: Shareholder overview and selected corporate matters
Shareholder overview and selected corporate matters Shareholder overview Shareholders # Shares % Shares Joh Johannson Eienclom AS 10,431,495 2% Snefonn AS (Bergesen family) 4,738,036 12.31% Havfonn AS (Bergesen family) 3,216,216 8.36% CCPartner AS (Chairperson, Frank J. Berg) 2,696,957 7.01% Cloudbe
Slide 31: Group legal structure
Group legal structure Cloudberry Clean Energy AS 100% 100% Cloudoery Production SaaS 100% 100% 100% 85% 66% , Cloudberrry Wind CloudberryUtveckiing ; Royrmyra Vindpark AS Cloudberry Wind AB pucrerry ne Rewind Offshore AB 100% Finnesetbekken _100% , ; renatrere Duvhéllen Vindpork AB CloudberryProjekt
Slide 32: Sustainability in focus
Sustainability in focus Delivering renewable energy solutions, contributing to an overall reduction in emissions Highly focused on the environmental impact and a sound industrial rationale of renewable projects Contributing to local value creation and employment Focus on sustainable and circular sol
Slide 33: Outsourcing operations to tap into local presence, expertise, technology
Outsourcing operations to tap into local presence, expertise, technology and sharing in economies of scale Operational strategy perating partnerships + Technologically advanced operational platform, optimising day to day operations Why outsource operations? Cloudberry’s strategy is to own and develo
Slide 34: Strong forces pushing for the Energy Transition
Strong forces pushing for the Energy Transition Strong forces pushing for conversion to renewables Renewables projected to make up the lion’s share of power supply DeusTR nar AMO RASTRUCTRE AND PRODUCTION Cost of energy Energy security Foreign investment Employment and economic growth Paris Agreemen
Slide 35: Wind power to play a dominant role in the Energy Transition
Wind power to play a dominant role in the Energy Transition The European wind power market is growing at rapid pace... Annual wind power production in Europe (TWh) TWh 1000 900 800 700 600 500 400 300 200 100 9 2000 ..cind the cost of the technology keeps decreasing Historic global development of wi
Slide 36: Cloudberry.no
Q Cloudberry Cloudberry.no
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