Powerhouse Ventures Ltd. · ASX:PVL
Powerhouse Ventures — Investor Presentation (April 2018)
34 slides from Powerhouse Ventures's investor presentation, Apr 11, 2018
Slide 1: Rights Issue April 2018
For personal use only ASX C ode: "PVL" Powerhouse Ventures Limited Rights Issue April 2018 “We find great science and build global companies” 11 April 2018
Slide 2: Disclaimer
Disclaimer For personal use only The information contained in this presentation ("Presentation") has been prepared by Powerhouse Ventures Limited ("Powerhouse" or the "Company"). This Presentation provides general background information about the Company which is current at the date this Presentatio
Slide 3: Powerhouse — at a glance
Powerhouse — at a glance For personal use only Corporate Key Board and Management Contacts ASX Code PVL Russell Yardley Chairman Share price* A$0.22 Paul Viney Chief Executive Officer Ordinary Shares 28,986,363 Andy Matheson Chief Investment Officer Market Capitalisation* A$6,377,000 Stuart Whitham
Slide 4: Business model
Business model For personal use only Powerhouse champions outstanding science by commercialising innovative research and creating the next generation of world-leading technology companies PVL shareholder value is generated through: portfolio liquidity events (recent examples - ArcActive 4x, Syft 1
Slide 5: 1H18 period of stabilisation and building a platform for growth
For personal use only Company Update 1H18 has been a period of stabilisation and building a platform for growth. Powerhouse Board Changes Mr Russell Yardley appointed as Director on 28 February 2017 and Chairman on 14 June 2017 Dr Stephen Hampson resigned as Managing Director on 29 August 2017
Slide 6: The Australian Opportunity
The Australian Opportunity For personal use only In Australia, the Government is pursuing an innovation and 'ideas' boom Government research spend per annum: There is strong interest from Australian universities in the New Zealand $0.8 billion Powerhouse model with letters of intent received from: A
Slide 7: Net assets 1H18
For personal use only Net assets 1H18 Net Assets Breakout Analysis (NZ$'m) NTA/share A$0.48 Current share price A$0.22* Investments are carried at cost, price of last round, (POLR), mark to market or written down value. Uplifted POLR is recognised where capital round is validated by independent capi
Slide 8: Powerhouse strategic journey
Powerhouse strategic journey For personal use only
Slide 9: Star performers and fair value uplifts
Star performers and fair value uplifts For personal use only Invert Robotics Tiro • Robot inspections in dairy, petro-chem, aircraft • Breast cancer screening technology • $7.8m capital-raise complete • Capital-raising in 2018 • Sales contracts, licensing and joint venture being • Value uplift antic
Slide 10: Cash utilisation in new and existing ventures since July 2017
Cash utilisation in new and existing For personal use only ventures since 1 July 2017 New Ventures NZ$ 2.2gForce 25,000 Hapai 25,000 Hot Lime Labs 25,000 Orbis 34,000 Silventum 70,000 179,000 Existing NZ$ Avalia 113,262 CertusBio 30,000 Cirrus 37,500 Ferronova 121,670 Fluent Scientific 80,000* Inhib
Slide 11: Pathway to Restoring Shareholder Value
Pathway to Restoring Shareholder Value For personal use only NZ team restructuring completed Operating costs reduced Board reduced in size from 7 Directors to 4 Model refined to include potential for licensing/royalty deals, trade sales with regular recycling of capital Strong focus on ‘off model’ r
Slide 12: Powerhouse operating costs
Powerhouse operating costs For personal use only The company has restructured to reduce operating costs and improve the focus of the team Leaner structure and faster decision making Headcount Staff cash costs run rate $180,000 $160,000 $140,000 Cash costs $120,000 )7( $100,000 $80,000 $60,000 -XQ $S
Slide 13: Outlook
Outlook For personal use only Strong return to profitability anticipated in 2H18 driven by potential uplifts*: Upstream Invert Robotics Motim Avalia Tiro Photonic Focus on ‘off model’ investment realisations Significant cost control focus Increased focus on Australian investment
Slide 14: Offer Overview
Offer Overview For personal use only Offer size and structure 1 for 1 pro-rata accelerated non-renounceable entitlement offer A$0.20 per New Share To raise a maximum of A$5.8m Offer price A$0.20 per New Share representing: • 18.6% discount to 30 day VWAP of A$0.246 • 15.6% discount to 10 day
Slide 15: Key dates
Key dates For personal use only Key event Date Announcement of the Entitlement Offer 11 April 2018 Record date for Retail Entitlement Offer Re 13 April 2018, 7pm* Letter to ineligible shareholders despatched 18 April 2018 Retail Offer Booklet and Entitlement and Acceptance Form despatched to Eligibl
Slide 16: Key Risks
Key Risks For personal use only 1 Overview intellectual property. Any such lack of funding could The Company also provides Portfolio Companies ongoing This Section identifies the key specific and general risks result in a Portfolio Company being forced to sell its financial support through partici
Slide 17: Key Risks: strategy and company risks
Strategy risk Industry sector concentration risk or Chief Financial Officer), the Company might not be able For personal use only The Company’s success and profitability is reliant upon the There are no limits on the Company’s exposure to any to replace them easily or at all. The Company’s business
Slide 18: Key Risks: new investment opportunities
3.5 New investment opportunities Consequently, it may take longer for the Company to expect that the Company will generally be considered to The Company may consider acquisitions and realise value from equity holdings in Portfolio Companies hold its investments on capital account. As such, the Board
Slide 19: Key Risks: foreign exchange and dividends
There can be no guarantee that the government 4.5 Foreign exchange risk of the tax relevant country’s (Australian or New Zealand) The Company has most revenues, costs and expenses legislation to your investment in the Company. For personal use only regulations in Australia and New Zealand, in partic
Slide 20: Thank you
Thank you For personal use only Contact details: Russell Yardley Chairman +61 41 858 6364 +64 27 573 5144 russell.yardley@powerhouse-ventures.co.nz Paul Viney Chief Executive Officer +64 21 084 72029 paul.viney@powerhouse-ventures.co.nz Stuart Whitham Chief Financial Officer +64 224 202 404 stuart.w
Slide 21: Appendix
For personal use only Powerhouse Ventures Limited Appendix
Slide 22: An actively managed, diversified portfolio
An actively managed, Valuations have been externally reviewed For personal use only Independent review of valuation diversified portfolio methodologies completed Valuations are at cost, price of recent sophisticated third party investment, (as at 31 December 2017) written down value, or mark to mark
Slide 23: An actively managed, diversified portfolio by stage and sector
An actively managed, For personal use only diversified portfolio (as at 31 December 2017) By Stage of Growth By Sector IT & Communications $1.8m 13% Pre-Seed $3.1m 22% Cleantech & Engineering $2.4m 17% Seed $3.5m 24% Medical & Healthcare $3.2m 22% Post-Seed $7.7m 54% Agritech & Environmental $6.9m 4
Slide 24: Board of Directors
Board of Directors For personal use only Russell Yardley Rick Christie Dianne McCarthy John Hunter Chairman Non-Executive Non-Executive Non-Executive Non-Executive Independent Director Independent Director Independent Director Independent Director Rick is a professional Director and Di is a former p
Slide 25: Key Management
Key Management For personal use only Paul Viney Andy Matheson Stuart Whitham Rachel Triplow Chief Executive Officer Chief Investment Officer Chief Financial Officer and General Counsel and Joint Company Secretary Joint Company Secretary As a career finance and governance Andy has held senior executi
Slide 26: Post-seed companies
Post-seed companies For personal use only Within the food-processing industry, food-safety is MARS Bioimaging has developed a small animal Modlar’s core product is a network which connects driven by eliminating bacterial contamination which x-ray molecular imaging system that has spectral architects
Slide 27: Post-seed companies: CropLogic
Post-seed companies For personal use only High-volume crop growers and processors have significant challenges ahead in order to meet rising food-demand. Growers need to optimise resources and processors need to plan to ensure efficient processing. CropLogic delivers specialist agronomy services to g
Slide 28: Seed companies
Seed companies For personal use only The global mobile marketing sector is a high-growth SolarBright is positioned to capitalise on the LED and The food industry is driven by food-safety. Detection area that is seeing innovation as technology and Solar LED lighting phenomena that are changing the of
Slide 29: Seed companies
Seed companies For personal use only Many industrial and commercial operations manage Fluent is combining new linguistic science with “big Mammography is the dominant method of breast cancer controlled environments, where variables such as data” and machine learning to build an artificial screening
Slide 30: Pre-seed companies
Pre-seed companies For personal use only AuramerBio is a custom sensor development Avalia lmmunotherapies' first vaccine product is CertusBio’s flagship biosensor technologies combined company. Its novel technologies allow accurate a cancer vaccine to treat patients suffering from HPV with process c
Slide 31: Pre-seed companies
Pre-seed companies For personal use only Cirrus is an easily adopted process technology that Hi-Aspect provides topical formulations using its Coatings that self clean, destroy bacteria and viruses significantly improves the mechanical properties of proprietary natural protein scaffolds to deliver a
Slide 32: Pre-seed companies
Pre-seed companies For personal use only A large number of patients present in Emergency Ferronova is a medical device company, bringing Silventum is a dental materials business that is Departments (ED) each year with chest pain. One in together patented magnetic probe technology commercialising a n
Slide 33: Pre-seed companies
Pre-seed companies For personal use only Orbis Diagnostics provides a platform technology for EdPotential delivers software-as-a-service products Objective Acuity is a breakthrough digital health the analysis of fluids in agricultural and industrial based on advanced algorithms and data analysis com
Slide 34: Pre-seed companies
Pre-seed companies For personal use only The marine and aquaculture industries face significant 2.2gForce has been established to commercialise Hot Lime Labs is developing CO2 capture technology fouling issues, resulting in decreased yield, increased energy dampers developed by University of for the
Powerhouse Ventures — Investor Presentation (April 2018) on 6ix