Amaero Ltd · ASX:3DA
Amaero — Amaero International — Investor Presentation (September 2024)
37 slides from Amaero's investor presentation, Sep 17, 2024
Slide 1: September 2024 Capital Raise Investor Presentation
ASX ANNOUNCEMENT: 17 September 2024 September 2024 Capital Raise Investor Presentation ………………..………………………………………………………………………………………………………………………. Amaero International Limited (ASX:3DA) (“Amaero” or “the Company”) provides a copy of the investor presentation used for the capital raising that the Company
Slide 2: Equity Capital Raising Presentation
For personal use only AMAERO INTERNATIONAL LIMITED (ASX:3DA) Equity Capital Raising Presentation | 17 September 2024 Not for release to US wire service or distribution in the United States
Slide 3: Important notice and disclaimer
Important notice and disclaimer This investor presentation (Presentation) is dated 17 September 2024 and has been prepared by Amaero International Ltd (ACN 633 541 634) (Amaero) in relation to a non-underwritten institutional placement of new fully paid ordinary shares in Amaero (New Shares) which i
Slide 4: Important notice and disclaimer
Important notice and disclaimer Future performance and forward-looking statements This Presentation contains certain forward-looking statements. The words “expect”, “anticipate”, “estimate”, “intend”, “believe”, “guidance”, “should”, “could”, “may”, “will”, “predict”, “plan” and other similar expres
Slide 5: Important notice and disclaimer
Important notice and disclaimer You acknowledge and agree that by accessing this Presentation: • you expressly disclaim any fiduciary, agency, custodial or other legal relationship with the Joint Lead Managers and their Limited Parties, and agree that you are responsible for making your own independ
Slide 6: Table of Contents
Table of Contents Section For personal use only 1 C103 Qualification Announcement 2 Amaero Today 3 Capital Raising 4 Make More in America Again 4 Planned Capital Investments
Slide 7: C103 Qualification Announcement
For personal use only 1 C103 Qualification Announcement
Slide 8: Completes Qualification of C103 with ADDMAN Group
Completes Qualification of C103 with ADDMAN Group For personal use only • Amaero completes qualification of C103 AM powder to “ ADDMAN Group and its subsidiary Castheon’s technical specifications Achieving qualification of C103 with • Positions Amaero as the largest capacity and most ADDMAN Group an
Slide 9: Milestones Achieved Ahead of Guidance
Milestones Achieved Ahead of Guidance Q4 FY2024 Q1 FY2025 Q2 FY2025 For personal use only A M J J A S O N D Offtake and Preferred Supplier Agreement and A$20M Institutional Capital Raise Key Milestones 1 Atomizer Commissioning 2 Delivery of C103 Powder for Testing 3 Completion of C103 Qualification
Slide 10: FY2025 Anticipated Milestones
FY2025 Anticipated Milestones Commercialization and Scaling • Commence powder sales of C103, specialty and titanium alloys; pursue additional refractory alloy development • Secure selectively targeted offtake and commercial agreements For personal use only • Deliver first commercial revenues and mul
Slide 11: Amaero Addresses Critical Gap in the Supply Chain
Amaero Addresses Critical Gap in the Supply Chain Raw Material C103 Powder Tier 1 Supplier End Customer Provider Provider For personal use only Additive Manufacturing AM IPP Manufacturing Mining Melt Cast / Refractory & Defense Prime Military Feedstock Specialty Powder Contractors Branches Productio
Slide 12: Demand Signals
Demand Signals Estimated Manufacturing Powder Demand in U.S. (Figures in Kg) Verticals CAGR Hypersonics ’23E–’28E • Harsh environment protection for rocket nozzle 203,779 For personal use only 15% stages • Urgent U.S. national security priority to field 184,932 leading offensive and defensive capabi
Slide 13: Amaero Today
For personal use only 2 Amaero Today
Slide 14: Who is Amaero?
Who is Amaero? For personal use only Amaero is a producer of high-value refractory, specialty and titanium alloy powder for additive and advanced manufacturing of mission-critical components utilized by the defense, space and aviation industries 6
Slide 15: Three Pillars of Amaero's Business
Three Pillars of Amaero’s Business Specialty Metal Powders Production of refractory, specialty and titanium powders for the defense, aerospace For personal use only and industrial manufacturing sectors IPP- AMAERO Manufactured Near Net Shape Parts Leveraging the Amaero team’s decades of PM IPP Speci
Slide 16: Amaero's Strategic Direction
Amaero’s Strategic Direction For personal use only 1 U.S. Domestic Manufacturer Established corporate and manufacturing headquarters in Tennessee 2 Experienced Leadership Attracted seasoned technical and operating team 3 Specialty Focus Expertise in specialty alloy powder production 8
Slide 17: Amaero Locates Manufacturing and Corporate Headquarters in Tennessee
1 Amaero Locates Manufacturing and Corporate Headquarters in Tennessee For personal use only 100,000 Square Feet – Option to Purchase 10-year agreement with Tennessee Valley Authority provides subsidized electricity at ~A$0.09 / kWh National average: ~A$0.28 / kWh ________________________ Source: U.
Slide 18: Chief Executive and Board
2 Chief Executive and Board Hank Holland Lieutenant General (Retired) H.R. McMaster c Chairman & Chief Executive Officer Special Advisor to Chairman and CEO For personal use only Background Background Mr. Holland serves as Managing Partner of Pegasus Growth Capital, Mr. McMaster will advise Mr. Holl
Slide 19: Technical and Operational Leadership
2 Technical and Operational Leadership For personal use only Eric Bono Ron Aman Fred Yolton Dave Schmidt Chris Scanlon Jay Chandran President & Vice President of Technical Fellow Director of Chief Financial Chief Operating Chief Technical Manufacturing Powder Metallurgy & Computational Officer Offic
Slide 20: Specialty Is Our Focus — Unlocking New, High-Value Market Opportunities
3 Specialty Is Our Focus — Unlocking New, High-Value Market Opportunities Estimated Manufacturing Powder Demand in U.S. by Weight (Metric tonnes in thousands, % of market) For personal use only Metric Commentary Tonnes % • Positioning as the largest 0.9 3% Material Feedstock Price Est. Powder Price
Slide 21: Capital Raising
For personal use only 3 Capital Raising
Slide 22: Equity Raising Overview
Equity Raising Overview For personal use only Amaero is raising up to approximately A$25.0 million via an institutional placement comprising: An unconditional component of approximately $19.6 million through the issuance of 56.1 million new fully paid ordinary shares (“New Shares”) under the Compa
Slide 23: Sources and Uses of Funds
Sources and Uses of Funds For personal use only Pro Forma Funding A$m Uses of Funds A$m Cash Balance (as at 30 June 2024) 12.2 Capital equipment purchases 12.8 Equipment required for commissioning of the second atomizer Capital Raised 25.0 Completion of fit out and improvements to 130 10.8 Innovatio
Slide 24: Indicative Timetable
Indicative Timetable Event1 Date Trading Halt and Bookbuild Opens Friday, 13 September 2024 For personal use only Book Closes 4:00pm Friday, 13 September 2024 Trading Halt Lifted and results of Placement announced Tuesday, 17 September 2024 Settlement of New Shares under Tranche 1 of the Placement F
Slide 25: Make More in America Again
For personal use only 4 Make More in America Again
Slide 26: Make More in America Again
Make More in America Again • We are witnessing a generational industrial For personal use only opportunity in reshoring critical industrial base capabilities to the U.S. • Amaero operates at the fulcrum of the reshoring opportunity — building secure, vertically integrated defense and industrial supp
Slide 27: Reviving the Arsenal of Democracy
Reviving the Arsenal of Democracy “ I want to make it clear that it is the purpose of the nation to build now with all possible speed every machine, every – U . S . P r e s i de nt Franklin D. For personal use only arsenal, every factory that we need to manufacture our defense Roosevelt in a Radio m
Slide 28: Shortage of Domestic Casting and Forging
Shortage of Domestic Casting and Forging Commentary • Market void exists for domestic casting and forging activities • U.S. DoD has prioritized casting and forging as one of four focus areas For personal use only posing a pressing threat to national security • National investment into casting, forgi
Slide 29: Manufacturing Has Significantly Fallen in Recent Decades
Manufacturing Has Significantly Fallen in Recent Decades Decline in U.S. Manufacturing Jobs — Jan. 2000–Dec. 2023 (In millions) % Decline 17.3 For personal use only 16.4 (25.0%) 15.3 14.5 14.3 14.2 14.2 13.9 13.4 12.7 12.8 12.8 12.9 12.2 12.3 12.4 12.4 12.2 12.4 11.8 11.9 12.0 11.5 11.7 '00 '01 '02
Slide 30: Strong Bipartisan Support to Re-establish Manufacturing Economy
Strong Bipartisan Support to Re-establish Manufacturing Economy Annual Manufacturing Job Announcements (In thousands) Commentary For personal use only 406 • 80% of North American % Growth 363 manufacturers are considering reshoring 176.5% operations, which is leading to the creation of 400K+ jobs •
Slide 31: The Case for Additive Manufacturing
The Case for Additive Manufacturing Benefits of Design for AM Multiscale Structure Design For personal use only Enables the realization of parts with multiscale complexities and provides significant design freedom to use cellular structures or lattice structures Design for Mass Customization Allows
Slide 32: Amaero High Value Specialty Focus Targets Buy-to-Fly Sensitive Applications
Amaero High Value Specialty Focus Targets Buy-to-Fly Sensitive Applications Commentary • Buy-to-Fly ratios are an important driver of total part cost, For personal use only particularly when the raw material is expensive • Additive manufacturing can reduce traditional manufacturing buy-to-fly ratios
Slide 33: Planned Capital Investments
For personal use only 6 Planned Capital Investments
Slide 34: Planned Capital Investments
Planned Capital Investments Estimated Capital Investment Detail by Year — Current Estimate vs. February 2024 Investor Presentation Budget Feb ’24 Current Estimate Estimate $71.3 $71.5 For personal use only Machinery & Equipment Facility $43.8 $48.3 Anticipate FY2026 $42.7 EBITDA Breakeven $36.3 $22.
Slide 35: Appendix A: International Offer Restrictions
For personal use only Appendix A International Offer Restrictions
Slide 36: International Offer Restrictions (1/2)
International Offer Restrictions (1/2) International Offer Restrictions This document does not constitute an offer of new ordinary shares (“New Shares”) of the Company in any jurisdiction in which it would be unlawful. In particular, this document may not be distributed to any person, and the New Sh
Slide 37: International Offer Restrictions (2/2)
International Offer Restrictions (2/2) International Offer Restrictions United Kingdom Neither this document nor any other document relating to the offer has been delivered for approval to the Financial Conduct Authority in the United Kingdom and no prospectus (within the meaning of section 85 of th
Amaero International — Investor Presentation (September 2024) on 6ix