Slide 1: GCT Semiconductor Investor Presentation November 2023
GCT Semiconductor, Inc. GCT Semiconductor, Inc. Investor Presentation November 2023
Slide 2: Legal Disclaimer
GCT Semiconductor, Inc. 2 Legal Disclaimer The information contained in this presentation is provided solely to assist interested parties in making their own evaluation wi th respect to a potential business combination between GCT Semiconductor, Inc. (“GCT”) and Concord Acquisition Corp III (“Concor
Slide 3: Legal Disclaimer (cont.)
GCT Semiconductor, Inc. 3 Legal Disclaimer (cont.) Cautionary Note Regarding Forward - Looking Statements This press release contains certain forward - looking statements within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1955. These forward - looki
Slide 4: Introduction
GCT Semiconductor, Inc. 4 Introduction Introduction • Market Opportunity • Business Overview • Transaction Overview and Peer Benchmarking
Slide 5: What Attracted Concord to GCT?
GCT Semiconductor, Inc. Concord Acquisition Corp III overview 5 What Attracted Concord to GCT? Concord Seeks a Long - Term Partnership Concord/Sponsor Management Differentiated sponsor alignment structure to deliver a significant value to all stakeholders over time x Sponsor group committed to the c
Slide 6: Management and Board of Directors
GCT Semiconductor, Inc. shareholder Management Mr. John Schlaefer CEO & President Dr. Jeongmin ‘Jeemee’ Kim CTO Mr. Youngdae ‘David’ Yoon CFO International Finance; Treasurer Board of Directors Dr. Kyeongho ‘KH’ Lee Chairman of the Board; Representing the largest Founder of GCT Semiconductor Mr. Joh
Slide 7: GCT at a glance
GCT Semiconductor, Inc. 7 GCT at a glance We are a leading supplier of highly - integrated 4G LTE and 5G semiconductor solutions, currently developing a competitive and cost - effective full - band 5G chipset portfolio for global markets What do we offer? SoC (1) solutions and chipsets integrating R
Slide 8: GCT's long-standing industry relationships
GCT Semiconductor, Inc. 8 GCT’s long - standing industry relationships Strategic Shareholders Global Customer Base Additional Shareholders Yuanta VC Yuanta Securities Wi Harper Group Mustang Capital Bokwang Investment Global Growth Inv. Titan Multi - Asset Fund SPC Aon 21 LLC Introduction • Market O
Slide 9: Key investment highlights
GCT Semiconductor, Inc. 9 Key investment highlights Scarcity value and high barriers to entry GCT is one of only a handful of remaining companies worldwide with commercially - proven 4G LTE & 5G solutions, leveraging leading - edge multi - antenna modem tech to provide differentiated solutions to op
Slide 10: Market Opportunity
GCT Semiconductor, Inc. 10 Market Opportunity Introduction • Market Opportunity • Business Overview • Transaction Overview and Peer Benchmarking
Slide 11: A $23 billion global silicon market opportunity for GCT
GCT Semiconductor, Inc. 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 10 11 A $23 billion global silicon market opportunity for GCT (1) Mobile Subscriptions by Technology Generation (billion) (2) 5G LTE (4G) 8.3B Industrial M2M 1.3B connection s ↑ 18% CAGR 2022 - 2028 Cellular IoT 500M
Slide 12: Powerful market forces favor GCT's strategic positioning
GCT Semiconductor, Inc. 12 Powerful market forces favor GCT’s strategic positioning GCT’s full - stack technology platform and market neutrality coincide with 5G market tailwinds: Emerging use cases requiring 5G’s low - latency Streaming, AR/VR, industrial automation, Artificial Intelligence Structu
Slide 13: GCT is a differentiated asset
GCT Semiconductor, Inc. 13 GCT is a differentiated asset GCT believes we are one of only a handful of remaining suppliers with a credible full - featured 5G platform 1. Wireless modem algorithm development & verification 2. RF transceiver IC development & optimization 3. Wireless modem IC developmen
Slide 14: Fixed wireless access is the rising star of 5G
GCT Semiconductor, Inc. 68 79 87 97 100 97 84 71 63 22 36 61 100 147 195 238 2021 2022 2023E 2024E 2025E 2026E 2027E 2028E 2020 2021 2022 2023E 2024E 2025E 2026E 14 Fixed wireless access (FWA) is the rising star of 5G, accounting for a projected 30% of all mobile network traffic by 2028 (1) Global F
Slide 15: GCT's multi-antenna technology relieves carriers' network overloads
GCT Semiconductor, Inc. 8A 15 GCT’s proprietary multi - antenna technology is uniquely suited to relieve carriers’ looming network overloads arising from rapid FWA adoption Traditional 2 - Antenna CPE Advanced Multi - Antenna CPE CPE Performance 100% ~ 200% speed improvement, more than 2x better cov
Slide 16: Vital to Verizon
GCT Semiconductor, Inc. 16 Vital to Verizon GCT is one of only a few 5G chipset suppliers supporting Verizon’s data - centric device business (1) ▪ Verizon has been a GCT end - customer for over 12 years ▪ Verizon & GCT entered into a JDA agreement in 2020 covering the design and production of 5G ch
Slide 17: Business Overview
GCT Semiconductor, Inc. 17 Business Overview Introduction • Market Opportunity • Business Overview • Transaction Overview and Peer Benchmarking
Slide 18: Established wireless silicon vendor with a history of commercializations
GCT Semiconductor, Inc. 18 An established wireless silicon vendor with a long history of successful commercializations 4G CAT3 4G CAT4 4G CAT4 + AP 4.5G CAT6 4.75G CAT12 USB dongle CAT3 Smartphone Mobile router Module CAT4 Outdoor CPE Smart meter eMBMS tablet Mobile router CAT4 Mobile router WX04 CA
Slide 19: Current traction and key 5G milestones
GCT Semiconductor, Inc. 19 Current traction and key 5G milestones Designed in x Certified x Qualified x Shipped in volume x Select 4G Certifications Completed 5G shipped in volume 2023 1H 2024E 2H 2024E 2025E+ x GCT Today: Key 4G Chipset Supplier Path to 5G Mass Production Complete 5G chipset develo
Slide 20: 4G portfolio and anticipated 5G roadmap
GCT Semiconductor, Inc. In Production 2024E 2025E Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Low cost eMBB, URLLC NR Ultra GDM7259X Rel16/17 8CA 5G Modem + 4G CAT19 Octa Core CPU – 8nm High performance eMBB, URLLC NR Standard GDM7265X Rel16/17 4CA 5G Modem + 4G CAT15 Octa Core CPU – 8nm Main stream eMBB, URLLC 20 4G p
Slide 21: Highly differentiated and innovative modem architecture
GCT Semiconductor, Inc. 21 Highly differentiated & innovative modem architecture Unlike traditional DSP - based modem solutions, GCT employs a scalable modular modem design based on optimized data - flow dedicated hardware engines d GDM7259X NR Ultra c GDM7265X NR Standard b GDM7262X NR Lite a GDM72
Slide 22: 5G lineup provides cost advantages in addition to performance
GCT Semiconductor, Inc. 22 GCT’s 5G lineup with innovative leading - edge technology provides cost advantages in addition to full performance Multi - antenna modem with scalable and dedicated hardware architecture supports GCT’s cost - competitive positioning Scalable product lines with real cost op
Slide 23: Go-to-market strategy relies on OEM/ODM customers and operators
GCT Semiconductor, Inc. Original Equipment Manufacturer (OEM) 23 Go - to - market strategy relies on mix of OEM/ODM customers and wireless operators globally Mature customer eco - system is essential to GCT’s 4G base business and 5G ramp 4.5G GDM7243Q/QT 4.75G GDM7243A/A+ 5G GDM7259X/65X mmWave + su
Slide 24: Transaction Overview and Peer Benchmarking
GCT Semiconductor, Inc. 24 Transaction Overview and Peer Benchmarking Introduction • Market Opportunity • Business Overview • Transaction Overview and Peer Benchmarking
Slide 25: Transaction overview
GCT Semiconductor, Inc. 25 Transaction overview Pro Forma Ownership Transaction Highlights Sources and Uses (e) PF Shares Ownership GCT Rollover Equity Shareholders (b)(c) 31.0 64.3% PIPE Investors (g) 7.9 16.3% CNDB Initial Stockholders (f) 5.3 11.0% CNDB Public Shareholders (d) 4.0 8.4% Pro Forma
Slide 26: GCT selected public companies and peer benchmarking
GCT Semiconductor, Inc. GCT selected public companies (1) 26 Introduction • Market Opportunity • Business Overview • Transaction Overview and Peer Benchmarking GCT Semiconductor, Inc. (1) CapitalIQ and public company filings as of November 2, 2023. Negative multiples, negative margins, and multiples
Slide 27: Selected public company valuation benchmarking
GCT Semiconductor, Inc. NM NM 35.1x 21.9x 11.0x 8.9x 11.2x 7.5x 24.5x NM 33.2x 22.1x 18.5x 9.3x 7.9x 9.9x 6.5x 14.9x 19.7x Selected public company valuation benchmarking 27 Enterprise Value Benchmarking 2024 and 2025 Enterprise Value / Sales (1) 2024 and 2025 Enterprise Value / EBITDA (1) Precedent
Slide 28: Selected public company financial benchmarking
GCT Semiconductor, Inc. Selected public company valuation benchmarking 28 Financial Benchmarking 2024E and 2025E EBITDA Margin (1) 2022 – 2025E Revenue CAGR (1) Introduction • Market Opportunity • Business Overview • Transaction Overview and Peer Benchmarking NM NM Precedent Semi De - SPACs Wireless
Slide 29: Summary Risk Factors: Risks Related to GCT
GCT Semiconductor, Inc. 29 Summary Risk Factors Risks Related to GCT If the 5G market does not develop or develops more slowly than expected, or if GCT fails to accurately predict market require men ts or market demand for 5G solutions, GCT’s financial performance will be adversely affected. GCT’s p
Slide 30: Summary Risk Factors: Risks Related to Concord and the Business Combination
GCT Semiconductor, Inc. 30 Summary Risk Factors Risks Related to Concord and the Business Combination Directors and officers of Concord have potential conflicts of interest in recommending that stockholders vote in favor of app rov al of the Business Combination. Concord stockholders will have a red
Slide 31: GCT Semiconductor, Inc. 31 GCT Semiconductor, Inc. Investor Presentation November 2023
GCT Semiconductor, Inc. 31 GCT Semiconductor, Inc. Investor Presentation November 2023