Slide 1: Investor Presentation – October 2023
INVESTOR PRESENTATION – OCTOBER 2023
Slide 2: A unique low-carbon position in a booming market
A UNIQUE LOW-CARBON POSITION IN A BOOMING MARKET 1
Slide 3: Our mission: water everywhere, for everyone, in a sustainable manner
WATER EVERYWHERE, FOR EVERYONE, IN A SUSTAINABLE MANNER OUR MISSION Making drinking water accessible to everyone through solar desalination 1.1 billion people suffer from water scarcity and 3.9 billion will lack water by 2050 (source: OECD) WATER SCARCITY OUR GOAL IS A GLOBAL CHALLENGE Becoming a ke
Slide 4: Desalination: the preferred solution, but still too carbon intensive
DESALINATION: THE PREFERRED SOLUTION, BUT STILL TOO CARBON INTENSIVE Desalination is an obvious ….but it must be made eco- and popular solution… friendly − Desalination plants consume a lot of Already We have an abundance of energy, primarily fossil fuels production of both salt and brackish* water
Slide 5: At Osmosun, we specialise in low carbon desalination
AT OSMOSUN, WE SPECIALISE IN “LOW CARBON” DESALINATION We design and supply innovative desalination units 100% solar Unique and (independent units) patented Solar + network mix technology (hybrid energy units) for intelligent management of available energy ELECTRICITY USED CO2 EMISSIONS Units rangin
Slide 6: A complete solar desalination plant made by Osmosun
A COMPLETE SOLAR DESALINATION PLANT “made by Osmosun” Takes salt Post-treatment or brackish water Osmosun® units 1 to 50,000 m3 / day Distribution Pre-treatment Solar generator Brine management 5
Slide 7: A unique and patented technology at the heart of our solutions
A UNIQUE AND PATENTED TECHNOLOGY AT THE HEART OF OUR SOLUTIONS An innovative and patented solution… …capable of handling unpredictable changes in available energy Solar energy 100% Remote monitoring converter 1,2 control panel 90% Drinking water production Solar production of 80% 1 chlorine and dosa
Slide 8: Strong growth outlook, particularly in the small and medium unit segment
STRONG GROWTH OUTLOOK, PARTICULARLY IN THE SMALL AND MEDIUM UNIT SEGMENT Units <50,000 m3 – target market €3.4bn +12.3% CAGR 2022-2027 €1.9bn Units <50,000 m3 GLOBAL SEAWATER REVERSE OSMOSIS* €7.8bn €5.4bn DESALINATION in 2027 in 2022 MARKET +4.5% €3.5bn CAGR 2022-2027 Units €4.4bn >50,000 m3 Units
Slide 9: Cost price comparison for desalinated water
COST PRICE COMPARISON FOR DESALINATED WATER LOW-FLOW HIGH-FLOW UNIT UNIT 90 M3 / DAY 1000 M3 / DAY HYBRID HYBRID (DIRECT SOLAR DIRECT SOLAR WITH DIRECT SOLAR AND (DIRECT SOLAR DIESEL GENERATOR ENERGY SOURCE GRID BATTERY-FREE + LITHIUM BATTERIES BATTERY-FREE BATTERY-FREE + NETWORK) NETWORK) INITIAL 1
Slide 10: Osmosun: a unique offer
OSMOSUN: A UNIQUE OFFER LOW-FLOW HIGH-FLOW UNIT UNIT 90 M3 / DAY 1000 M3 / DAY HYBRID DIRECT SOLAR WITH DIRECT SOLAR AND DIESEL GENERATOR ENERGY SOURCE (DIRECT SOLAR BATTERY- GRID LITHIUM BATTERIES BATTERY-FREE FREE + NETWORK) + ROBUSTNESS (membrane preservation) + COMPETITION (minimising energy cos
Slide 11: Development underway, supported by IPO
DEVELOPMENT UNDERWAY …SUPPORTED BY IPO 10
Slide 12: Osmosun at June 2023
OSMOSUN AT 30 JUNE 2023 2020-June 2023 Total ×4.3 − 65 units sold units sold 62+3 − 3,000,000 m3 of drinking water produced 56+3 Low flow (< 500 m3 / day) − ~4,821 tonnes of CO2 avoided* High flow (> 500 m3 / day) 39+1 − 26 ETP 13 15 1 2 8 − €8.4m invested before IPO (40% capital / 60% borrowings an
Slide 13: An industrial site scaled to ensure growth until 2025
AN INDUSTRIAL SITE SCALED TO ENSURE GROWTH UNTIL 2025 PRODUCTION CAPACITY PER YEAR 4 to 5 “high flow” units PRODUCTION >20 “low flow” units WORKSHOP 2,100 m2 VERSATILE TEAM: 8 FTEs SMART INTEGRATION Metalwork (2022), variable frequency drive integrating the MPPT solar controller (in progress) DUAL S
Slide 14: Units already deployed everywhere and for everyone
UNITS ALREADY DEPLOYED EVERYWHERE AND FOR EVERYONE Geographical distribution 2 of units North Africa, Middle East, 16 Europe 23 South and East Africa, Indian Ocean Asia Pacific LATAM 24 Distribution of units 4 Local authorities 3 by sector 4 Industry A sales team of Farming 4 regional managers 32 co
Slide 15: Desalination plant in Cape Verde
DESALINATION PLANT IN CAPE VERDE Location Source Brava, Cape Verde Seawater Solar power Daily production 450 kWp 1,000 m3 / day Type of unit Equivalent consumption* 2 × OSMOSUN® 25 SW 20,000 residents Financed by Project time frame LuxDev 12 months Client Revenues AguaBrava €1.5m *Based on 50 litres
Slide 16: Desalination plant in France
DESALINATION PLANT IN FRANCE Location Type of unit Saint Cyprien OSMOSUN® 0.2 SW Financed by Daily production Saint Cyprien port 4.8 m3 / day Client Delivery G&G Boatwash August 2023 Brine salinity management approved by Brine salinity 41g DREAL 15 15
Slide 17: Partnership with OKwind: technological and commercial objectives
PARTNERSHIP WITH OKWIND: TECHNOLOGICAL AND COMMERCIAL OBJECTIVES Technical and commercial cooperation agreement Brackish water desalination Special treatment of water (PFAS) EXPERT IN SOLAR POWER CONNECTED SOLAR €1.5 million contribution to OSMOSUN fundraising TRACKERS FRENCH LISTED COMPANY 2022 REV
Slide 18: Successful July 2023 IPO
SUCCESSFUL JULY 2023 IPO 45% 20% 35% ORGANIC EXTERNAL INNOVATION GROWTH GROWTH Maintain Recruitement technological lead Vertical integration Deployment of in water Penetrate related local structures treatment markets Finance working capital €9.8m funding to support OSMOSUN’s development 17
Slide 19: First half results
FIRST HALF RESULTS 18
Slide 20: Tight control of operating costs
TIGHT CONTROL OF OPERATING COSTS The Company does not have comparative financial statements for H1 2022 €000 – Data currently being audited, French H1 2023 GAAP Revenue 1,288 Revenue non-material due to contract phasing (recognition on percentage-of- completion basis) Total production 1,370 Gross ma
Slide 21: Ability to finance business
ABILITY TO FINANCE BUSINESS Post-IPO cash and equity strengthened €000 - Data currently being audited, French GAAP ASSETS 12/22 06/23 12/22 06/23 EQUITY & LIABILITIES Fixed assets 2,314 2,049 811 88 Shareholders’ equity 1 o/w property, plant and Other shareholders’ equity 2 2,155 1,902 359 359 1 Inc
Slide 22: Positive operating free cash-flow
POSITIVE OPERATING FREE CASH-FLOW The Company does not have comparative financial statements for H1 2022 €000 - Data currently being audited, French GAAP H1 2023 Net income/(loss) 1,132 Cash flow from operations (271) Change in working capital 638 Effective management of working capital Cash flow fr
Slide 23: Advanced maturity according to ESG criteria
ADVANCED MATURITY ACCORDING TO ESG CRITERIA ESG MATURITY MATURE AREAS Limited Moderate Advanced Exemplary • Governance: integration of independent members to the Board of Directors 25 Benchmark 72 OSMOSUN • Social: advanced social policy with profit-sharing scheme, except for legal frameworks, and o
Slide 24: A significant impact on sustainable development objectives
A SIGNIFICANT IMPACT ON SUSTAINABLE DEVELOPMENT OBJECTIVES Direct or indirect impact on 10 out of 17 United Nations SDGs Direct impact 23
Slide 25: Accelerated development post IPO
ACCELERATED DEVELOMENT POST IPO 24
Slide 26: Targeted business development
TARGETED BUSINESS DEVELOPMENT A REGIONAL BUSINESS STRUCTURE MIDDLE-EAST / AFRICA (2 regions): • Priority to countries with “desalination” master plans (e.g.: Morocco, Egypt, Mauritania) ASIA–PACIFIC • Strong potential as an insular region LATAM • References in the Caribbean 25
Slide 27: Acceleration of development strategy
ACCELERATION OF DEVELOPMENT STRATEGY HIRING RECRUITMENT PLAN: STRENGTHEN CREATION OF 9 NEW POSITIONS GROUP WORKFORCE AND LOCAL PRESENCE EXPANSION LAUNCH OF JOINT VENTURE IN MOROCCO 26
Slide 28: Workforce expanded to support operational ramp-up
WORKFORCE EXPANDED TO SUPPORT OPERATIONAL RAMP-UP 1 commissioning engineer OPERATIONS +3 1 buyer 1 operational director Total of 9 sales/ DEVELOPMENT 1 salesperson: France/Europe region pre-project staff AND PROJECTS +3 1 business manager vs 16 planned by 1 project manager 2024 year-end 1 assistant
Slide 29: Launch of joint venture in Morocco
LAUNCH OF JOINT VENTURE IN MOROCCO LOCAL PRESENCE Creation of joint venture with Moroccan industrial group PCS IN PRIORITY REGION OF Industrial and commercial partnership NORTH & Combination of OSMOSUN’s technological WEST AFRICA expertise with PCS’s local foothold Initial access to both companies’
Slide 30: Close to €40 million related to projects under advanced negotiations
CLOSE TO €40 MILLION RELATED TO PROJECTS UNDER ADVANCED NEGOTIATIONS ×3 in one year ORDER BACKLOG ADVANCED COMMERCIAL PIPELINE** NEGOTIATIONS* PIPELINE €4.4m €38m €124m >€166m 8 projects >40 projects >150 to deliver in to be achieved projects 2023 between identified TRIPLED 2023 and 2024 IN 2 YEARS
Slide 31: Financial targets
FINANCIAL TARGETS Strong and profitable growth Low flow throughout the life of the plan High flow New offers Revs Spare parts €48m Adjusted EBITDA Revs >20% €20m Adjusted EBITDA >10% 2025e 2027e 30
Slide 32: Appendices
APPENDICES
Slide 33: An open shareholding and governance structure
AN OPEN SHAREHOLDING AND GOVERNANCE STRUCTURE CAPITAL BREAKDOWN* BOARD OF DIRECTORS Quentin Ragetly Maxime Haudebourg CEO Deputy CEO Dorothée Chabredier Isabelle de Gavoty (Independent Board member) (Independent Board member) Chief Executive and Co-founder, Founder of IDGC Independents Amane Advisor
Slide 34: Economic cycle of a project
ECONOMIC CYCLE OF A PROJECT PUBLIC CLIENTS: FUNDERS: 30% 40% 30% Cash in: Order Expedition Commissioning DESIGN PURCHASE OF INTEGRATION INSTALLATION COMPONENTS Revenues recognition on a percentage PRIVATE CLIENTS: of completion basis From 0 ………………………………………………………………………………………………………………………………………………..……
Slide 35: Developing a complementary offer to solar desalination
PENETRATE RELATED MARKETS Development of our technological know-how in the area Developing a of membranes COMPLEMENTARY OFFER TO SOLAR Treatment DESALINATION − Reverse osmosis* of surface SAME Competitive advantage and increased water TECHNOLOGIES project size − Nanofiltration (limited technological
Slide 36: www.osmosun.com
osm2sun www.osmosun .com