Lion Selection Group Ltd. · ASX:LSX
Lion Selection — Investor Presentation (April 2025)
23 slides from Lion Selection's investor presentation, Apr 8, 2025
Slide 1: Lion Selection Group
For personal use only Lion Selection Group ASX : LSX April 2025 www.lionselection.com.au
Slide 2: Disclaimer
Disclaimer For personal use only This presentation does not constitute investment advice. Neither this presentation nor the information contained in it constitutes an offer, invitation, solicitation or recommendation in relation to the purchase or sale of shares in any jurisdiction. This presentatio
Slide 3: Micro-Cap Resources Focussed Specialist
Lion Selection Group Micro-Cap Resources Focussed Specialist • US$ Gold rear record levels: +93% since Sep 2022 For personal use only 1. Leveraged to GOLD • Gold juniors beginning to perform • Lion portfolio predominantly gold oriented 2. Investment strategy PERFORMING • +53% Performance of Lion’s A
Slide 4: Micro-Capitalisation Resources: Lion's investing focus
Micro-Capitalisation Resources Lion is well funded, experiencing high volume deal flow, filters on Lion’s investing focus people and undertakes detailed technical assessment For personal use only $43.2M Many investors are seriously Lion has natural advantages to disadvantaged by typical risks: overc
Slide 5: Cycle Timing: Crucial
Cycle Timing: Crucial Central to Lion investment strategy For personal use only • Characteristic market patterns define cycles for resources stocks • Cyclic volatility is particularly pronounced for micro- capitalisation stocks • Lion aligns investment behaviours to the cycle • The mining boom hasn’
Slide 6: Micro-Cap Resources: Once-in-a-cycle opportunity
Micro-Cap Resources Once-in-a-cycle opportunity ASX100 Industrials For personal use only Much of the market is up +16% (record highs) ASX100 Resources Large cap resources -23% companies are following weakening commodities Micro 19 April 2022 Resources* Resources micro-caps -75% have been smashed Jan
Slide 7: Investor interest moving into Gold Juniors
And… Investor interest moving into Gold Juniors Plenty of catching up to do US$ Gold Price For personal use only 26 September 2022# +262% performance since Sep 2022 Weak 2020-2022, then almost doubled in just over two years Gold Producers Followed gold price lead And then a strong rebound… Gold Micr
Slide 8: Commodities VS Equities
Commodities VS Equities 1. Expected rotation of the long-term Commodities / Equities ratio back to commodities How will history describe the present…? Historically, this has created the most substantial mining booms For personal use only Probably as “under-prepared” 2. Coincidence of strong commodit
Slide 9: Lion Investing Process
Lion Investing Process Deal Flow People Valuation Risk assessment For personal use only ! • Listed and unlisted • Competence • Funding / dilution • Identify and avoid companies • Integrity • Geological upside existential risks • 1,000+ to assess and filter ASX:LSX lionselection.com.au 9
Slide 10: Investing at cyclical low prices
Investing at cyclical low prices $43.2M cash to invest 1 Pre-discovery Definition Assessment Development Production Precious, base and Pre-development For personal use only Australia focus strategic materials stage Brightstar Resources Low capex, cash flow funds growth, 3.0Moz / growing gold invento
Slide 11: Valuation March 2025
Valuation 1 31 March 2025 Cash $43.2M 30.6cps Sum of the parts Legacy Investments $17.2M For personal use only 51.4cps New Investments * $55.3M Tax -$3.0M Total Value $112.8M 79.9cps Market Capitalisation $89.6M 63.5cps Lion’s investment strategy since January 2022*: $36.3M $55.3M +53% Invested Valu
Slide 12: Investing in high growth Resources via Lion
Investing in high growth Resources via Lion 1. 5. Investing in a deeply discounted market Research driven process For personal use only Micro-capitalisation Resources fell heavily 2022-2024 In house due diligence, underpinned by deep experience and broad networks 2. Targeting highest growth sector B
Slide 13: LSX:ASX
LSX:ASX For personal use only Lion Selection Group | Well funded | Investing at cyclical low Powerful contrarian play in a weakened market Subscribe for Lion Announcements http://www.lionselection.com.au Level 2/175 Flinders Lane Melbourne VIC 3000 T +61 3 9614 8008 E info@lsg.com.au
Slide 14: Appendices: References
Appendices For personal use only References 1. Refer to Lion Selection Group announcement to ASX on 4 April 2025 2. Total Shareholder Return (TSR) for Lion Selection Group as at 31 January 2025 since inception in July 1997 was 8.9%pa, versus the ASX Small Resources Accumulation Index 4.5%pa Investme
Slide 15: The Lion Story
Founded in 1997 by Robin Widdup, Lion Selection Group has built a track record as a The Lion Story successful investor in mining assets and interpreter of the cycles of mining. In a 27-year history, Lion has been an early shareholder and contributed to the success of a long list of successful mining
Slide 16: Deal Flow
Deal Flow • LISTED: Metals and Mining classified micro-caps Huge largest group on ASX. >600 (of >1900 listed Extremely broad access to investment companies)* opportunities universe • UNLISTED: Large community of startup, For personal use only explorers and deal makers • Extensive relationship networ
Slide 17: Investment Process
• High deal flow (1,000’s per year) Investment Process Highly • Highly selective conversion to investment (targeting 10-20 portfolio stocks) 27 years of deployment selective • 100% in-house due diligence, specialist mining investment team For personal use only • Growth target: Multiples Long term ho
Slide 18: Investment Objective
Investment Objective Valuation Risk Avoid high Multiples Multiples on probability, price available terminal outcomes For personal use only People Highly Capable & Sincere Micro Capitalisation Leverage to most attractive High capability, growth- commodities oriented teams Resources Essential to be ab
Slide 19: Board & Management
Board & Management Strong Foundation MANAGEMENT TEAM BOARD For personal use only Peter Maloney Chris Melloy Robin Widdup Hedley Widdup Craig Smyth Non-Executive Director Non-Executive Director Executive Chairman Managing Director Chief Financial Officer Peter has commercial Chris is a mining Robin’s
Slide 20: Commodities: Degrees of difficulty
Commodities Degrees of difficulty Difficulty Diamonds Hard to find & Diamond mafia For personal use only • Process risk • Off-site capex requirements Technically complex Mineral Sands, Industrial Minerals, for transport infrastructure Nickel / Cobalt laterites, Graphite • Transparency / liquidity of
Slide 21: Commodities: When the sky is the limit
Commodities When the sky is the limit, and when it isn’t Gold: For personal use only • One of the best performing assets over multi-decades Return on minimum price in 1970 (MULTIPLES) • Priced influenced more by buyer urgency than value in use Copper: • Bellwether of the global economy • Price pract
Slide 22: Gold: Supply VS Demand
Gold: Supply VS Demand Bull markets start when annual production flattens For personal use only Gold (log scale) and Gold Production (tonnes per year) 18x 7x ? ASX:LSX lionselection.com.au 25 2 Source: IRESS DATA, USGS 5
Slide 23: Mining Investor Landscape
Mining Investor Landscape Funds ETF Retail Lion Selection Group ASX100 Resources Index For personal use only 19 companies Capitalisations >$2.4B Index Inclusion Large Capitalisation ASX Small Resources Index & Liquidity 53 companies Capitalisations $150M-$4B • Management external to • Listed company
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