Canoo Inc. · OTC:GOEVQ
Canoo — Hennessy Capital Acquisition Corp IV — SPAC Merger (September 2020)
43 slides from Canoo's SPAC merger presentation, Sep 24, 2020
Slide 1: Canoo Analyst Day Presentation September 2020
CANOO 1 CANOO ANALYST DAY PRESENTATION SEPTEMBER 2020
Slide 2: Disclaimer and additional information about the proposed business combination
CANOO 2 This presentation is provided for informational purposes only and has been prepared to assist interested parties in making th eir own evaluation with respect to a potential business combination (the “proposed business combination”) between Canoo Holdings Ltd. (“Canoo”) and Hennessy Capital A
Slide 3: Use of Projections and Description of Key Partnerships
CANOO 3 Use of Projections and Description of Key Partnerships This presentation contains projected financial information with respect to Canoo, namely revenue, gross profit, operating cap ita l expenditures, EBITDA,EBIT, cash flow from operations, and free cash flow for 2020 - 2026. Such projected
Slide 4: Who We Are
CANOO 4 Canoo is a mobility technology company, leading a transformation in the way electric vehicles (EVs) are designed, engineered, and manufactured to capitalize on the true value proposition of an EV . We have developed a breakthrough EV platform, the “skateboard”, which is purposefully built to
Slide 5: Crash tests, driving prototypes and Beta vehicles
CANOO 5 50+ CRASH TESTS COMPLETED 19 MONTHS TO ACHIEVE BETA PHASE 13 DRIVING PROTOTYPES 32 BETA VEHICLE PROPERTIES
Slide 6: What Canoo Achieved in Two Years
CANOO 6 WHAT CANOO ACHIEVED IN TWO YEARS EFFICIENT CAPITAL DEPLOYMENT $250 million investment to reach Beta vs. the market standard, typically measured in billions of dollars 1 PROPRIETARY TECHNOLOGY Develops and owns proprietary technology , and therefore not dependent on external licensing NEAR -
Slide 7: Management Team
CANOO 7 MANAGEMENT TEAM World - class management team with record of success designing, engineering, and launching vehicles and technology products at scale Richard Kim / Head of Vehicle Design and Brand Lead Exterior Designer of i3 production vehicle, i3 and i8 concepts, and i8 Spyder concept at BM
Slide 8: Investment Highlights
CANOO 8 INVESTMENT HIGHLIGHTS 1 Advanced Near - Term Revenue Generating Business ▪ Canoo capitalizes on dual - pronged go - to - market strategy (B2C + B2B) that significantly increases TAM and provides substantial growth opportunities ▪ Significant growth potential through new products and technolo
Slide 9: Canoo Vehicle Offerings & Revenue Streams
CANOO 9 CANOO VEHICLE OFFERINGS & REVENUE STREAMS Engineering & Technology B2B B2C Vehicles Revenue Streams ▪ EV concept design and engineering services for auto OEMs and other Strategics ▪ Canoo delivery vehicles ▪ Consumer subscription program Launch Date ▪ Launched ▪ 2023 – Delivery Vehicle (DV)
Slide 10: Canoo Capitalizes on Vast and Growing Markets
CANOO 10 320 351 421 558 776 1,105 1,576 2,222 3,079 4,170 0.5% 0.5% 0.6% 0.8% 1.1% 1.5% 2.1% 2.9% 4.0% 5.3% 2019 2020E 2021E 2022E 2023E 2024E 2025E 2026E 2027E 2028E CANOO CAPITALIZES ON VAST AND GROWING MARKETS Canoo’s dual - pronged B2B / B2C strategy targets large markets that are primed for ex
Slide 11: Canoo's Foundation: The Skateboard
CANOO 11 CANOO CANOO’S FOUNDATION: THE SKATEBOARD
Slide 12: Canoo Skateboard Technology
CANOO 12 ▪ First true s teer - by - wire platform coming to market ▪ C omposite leaf spring suspension ▪ Majority of c rash structure incorporated into skateboard design ▪ Battery modules incorporated directly in to skateboard structure ▪ In - house designed ECUs and battery management system (BMS)
Slide 13: Faster, Smarter, Better
CANOO 13 FASTER, SMARTER, BETTER Enables new vehicle development in as little as 18 to 24 months at a lower cost vs. competitors by leveraging modular core skateboard technology
Slide 14: Multiple Potential Vehicle Options
CANOO 14 MULTIPLE POTENTIAL VEHICLE OPTIONS Versatility of Canoo's skateboard allows for a wide range of potential products and use cases at minimal additional expense ONE SKATEBOARD MULTIPLE CABINS
Slide 15: Autonomous-Ready Platform
CANOO 15 AUTONOMOUS - READY PLATFORM Canoo’s platform is autonomous ready – designed to integrate the best of what’s to come, while capitalizing on the best tech available today ▪ Canoo developed in - house ECUs for the vehicles, enabling the engineers to control the backend for future vehicle capab
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Slide 17: Why Partner with Canoo?
CANOO 17 WHY PARTNER WITH CANOO? Tailor - made for electric vehicles: crash tested; multiple battery configurations and load capabilities Timing: Saves approximately 2 years of development time Risk: Drastically reduced execution risk by licensing platform Cost: Reduced investment needed to bring ve
Slide 18: Hyundai Chose Canoo as Its EV Partner
CANOO 18 HYUNDAI CHOSE CANOO AS ITS EV PARTNER… “We were highly impressed by the speed and efficiency in which Canoo developed their innovative EV architecture, making them the perfect engineering partner for us as we transition to become a frontrunner in the future mobility industry” - Albert Bierm
Slide 19: Contract Engineering & Licensing Opportunities
CANOO 19 CONTRACT ENGINEERING & LICENSING OPPORTUNITIES Contract engineering partnerships validate Canoo’s technology and generate revenue that reduces the Company’s overall execution risk Technology Companies Passenger Vehicle OEMs Autonomous Vehicle Technology Suppliers Delivery Vehicle OEMs ▪ $12
Slide 20: Canoo Delivery Vehicle
CANOO 20 CANOO CANOO DELIVERY VEHICLE DELIVERING THE LOWEST TOTAL COST OF OWNERSHIP WITH UNIQUE PLATFORM FLEXIBILITY 1 B2B 1. Among comparison vehicles, including Nissan E - NV200, Ford Transit Custom L2H2, Ford Transit L2 H2 290, Mercedes Sprinter L1H1 RW D, Mercedes e - Vito L3, and Mercedes e - S
Slide 21: Key Delivery Vehicle Drivers
CANOO 21 CANOO KEY DELIVERY VEHICLE DRIVERS Source: Publically available information 2018: Commercial truck trips of 100 miles or fewer have grown by 7% , fueled by the growth of e - commerce and last mile delivery 2020: UPS has committed that 25% of its vehicles purchased annually will be alternati
Slide 22: Delivery Vehicle Development Strategy
CANOO 22 DELIVERY VEHICLE DEVELOPMENT STRATEGY 1. Direct carryover content from core skateboard technology o Includes powertrain, battery, electrical architecture, and thermal system o Only minor modification and repackaging required 2. Utilize experience from LV platform to accelerate commercializa
Slide 23: Advantages of Canoo Delivery Vehicle
CANOO 23 Range Efficiency Drive further with a smaller, cheaper battery than other EV offerings currently on the market Space Efficiency Maximum cargo for minimum vehicle footprint Durability Electric drivetrain reliability + Canoo proprietary design Design Flexibility Tophat tailored to customer re
Slide 24: The Result = Attractive TCO for Our Customers
CANOO 24 THE RESULT = ATTRACTIVE TCO FOR OUR CUSTOMERS Canoo offers lowest total overall ownership costs, while providing greater cargo capacity on a smaller, more efficient footprint 1 . This analysis is without factoring in EV incentives / subsidies Note: Delivery Vehicle specifications and perfor
Slide 25: Canoo Lifestyle Vehicle
CANOO 25 CANOO LIFESTYLE VEHICLE B2C
Slide 26: Top Vehicle Specifications
CANOO 26 TOP VEHICLE SPECIFICATIONS The Canoo 250 miles Est. EPA Range 28 min 20% to 80% Charge time 7 Seat Capacity 125 mph Top Speed 7 C ameras 5 Millimeter wave r adars 6 Ultra - short - range sensors Level 2.5 ADAS
Slide 27: Interior
CANOO 27 INTERIOR A loft on wheels with everything you need and nothing you don’t
Slide 28: The Option to Make It Your Own
CANOO 28 THE OPTION TO MAKE IT YOUR OWN Canoo members will get the chance to “wrap” their vehicle in custom skins to personalize the experience and keep every vehicle looking and feeling fresh Pegboards Customize the Canoo sidewall with various options Exterior Wraps 1 Numerous custom skins availabl
Slide 29: Canoo Sport Vehicle
CANOO 29 CANOO CANOO SPORT VEHICLE Note: Directional Image B2C
Slide 30: Sport Vehicle Overview
CANOO 30 SPORT VEHICLE OVERVIEW ▪ Expected to be available to customers in 2025 ▪ Utilizes same core skateboard platform as the Lifestyle and Delivery Vehicles, reducing cost to develop and launch ▪ Applies proprietary technology to a traditional, sedan - like vehicle, enabling Canoo to penetrate a
Slide 31: Canoo Subscription
CANOO 31 CANOO SUBSCRIPTION B2C
Slide 32: Not a Car Swapping Model or a Ridesharing Model
CANOO 32 NOT A CAR SWAPPING MODEL …Which requires high penetration rates and complex logistics OR A RIDESHARING MODEL …Which has challenging unit economics Lease Time commitment Down payment Customer pays maintenance No insurance - Time commitment No down payment Routine maintenance at no extra cost
Slide 33: How It Works
CANOO 33 HOW IT WORKS Subscription is a direct - to - consumer, no commitment, and transparent alternative to leasing / buying a vehicle 01 Apply For Subscription 02 Receive Your Canoo 03 Drive As If It’s Yours 04 Enjoy The Subscription 05 Return When Ready Download the Canoo app and apply to be a m
Slide 34: Canoo Delivers Outsized Value at Cost Equivalence
CANOO 34 CANOO DELIVERS OUTSIZED VALUE AT COST EQUIVALENCE Note: Bar charts represent illustrative costs. 1. All - in costs include lease down payments, registration / renewal fees, maintenance / repair costs, charging, and title / deliver y fees. $ $$$ Lease Payment Down Payment Maintenance R
Slide 35: Subscription vs. Sale
CANOO 35 SUBSCRIPTION VS. SALE A subscription model can generate an estimated ~ 4x margin on each vehicle compared to a direct sale Note: All figures indexed to 100. 1. Analysis is representative and does not necessarily reflect Canoo’s specific subscription economics. 100 ONE - TIME SALE REVENUE 80
Slide 36: Canoo Manufacturing
CANOO 36 CANOO MANUFACTURING
Slide 37: Manufacturing Relationship
CANOO 37 MANUFACTURING RELATIONSHIP Canoo has an asset - light model through a strategic relationship with a world - class contract manufacturer, which has allowed Canoo to reach Beta faster and with less capital deployed vs. EV competitors STRATEGIC RELATIONSHIP: CANOO VEHICLES DESIGNED FOR MANUFAC
Slide 38: Manufacturing Plan
CANOO 38 MANUFACTURING PLAN Vehicle production will be outsourced, reducing complexity and required CapEx, allowing Canoo to focus on core competencies and benefit from a leading contract manufacturer’s expertise Attributes ▪ Body shop and full assembly ▪ No paint shop needed ▪ Flexible production v
Slide 39: Canoo Financials
CANOO 39 CANOO FINANCIALS
Slide 40: Advanced Near-Term Revenue Generating Business
CANOO 40 10 25 50 50 50 5 10 20 50 25 50 10 30 60 95 150 2022E 2023E 2024E 2025E 2026E ADVANCED NEAR - TERM REVENUE GENERATING BUSINESS (in thousands) ($ in millions) Subscription 1 Engineering & B2B 2 122.4% 100.9% CAGR Volumes Revenue 2020E - 2026E 79 265 630 1,191 1,927 120 250 575 800 1,150 2,20
Slide 41: Strong Estimated Operating Leverage
CANOO 41 ($349) ($245) ($69) $188 $522 $964 (8%) 13% 22% 23% 2021E 2022E 2023E 2024E 2025E 2026E ($372) ($287) ($118) $127 $461 $903 (14%) 9% 20% 22% 2021E 2022E 2023E 2024E 2025E 2026E EBIT 1 STRONG ESTIMATED OPERATING LEVERAGE 1. Includes vehicle depreciation in COGS. Margin ($ in millions) EBITDA
Slide 42: Enhanced Expected Profitability
CANOO 42 ($128) ($175) ($56) ($91) ($16) ($16) 7% 6% 1% 0% 2021E 2022E 2023E 2024E 2025E 2026E ($349) ($226) ($20) $316 $781 $1,403 (2%) 22% 33% 34% 2021E 2022E 2023E 2024E 2025E 2026E ($477) ($401) ($76) $225 $765 $1,387 (9%) 16% 33% 34% 2021E 2022E 2023E 2024E 2025E 2026E 1. Excludes vehicle fleet
Slide 43: Open for Q&A
CANOO 43 CANOO OPEN FOR Q&A Note: Directional Image
Hennessy Capital Acquisition Corp IV — SPAC Merger (September 2020) on 6ix