Trendlines Group Ltd. · SGX:42T
Trendlines — The Trendlines Group — Investor Presentation (August 2020)
29 slides from Trendlines's investor presentation, August 2020
Slide 1: The Trendlines Group Investor presentation
The Trendlines Group Investor presentation Steve Rhodes Todd Dollinger Haim Brosh Chairman and CEO Chairman and CEO Chief Financial Officer August 2020 SGX:42T OTCQX: TRNLY
Slide 2: Legal disclaimer
Legal disclaimer Important notice This presentation is for informational purposes only and does not constitute or form any part of any offer for sale or subscription of, or solicitation of, any offer to buy or subscribe for any securities of The Trendlines Group Ltd. (“Company”) or any of its portfo
Slide 3: Trendlines: building companies, creating value, impacting people
Trendlines: building companies, creating value, impacting people • Trendlines invests in medical and agrifood companies to transform industries and create value for all. 3
Slide 4: Trendlines' investment arms
Trendlines’ investment arms No. of portfolio companies Agrifood Medical Trendlines Agrifood – Israel • Agrifood incubator • Licensed by Israel Innovation Authority 19 Trendlines Agrifood Innovation Centre – Singapore • Agrifood incubator and accelerator 1 • Supported by Enterprise Singapore Trendlin
Slide 5: Trendlines' venture funds
Trendlines’ venture funds Portfolio Trendlines Agrifood Fund Pte. Ltd. • Singapore-based, agrifood tech fund • Committed capital US$23 million; Fund target US$40 million • Established 2019 Portfolio Bayer Trendlines Ag Innovation Fund L.P. • US$10 million fund • 3 of 5 investments completed • Establ
Slide 6: Portfolio value expansion
Portfolio value expansion US$ millions Portfolio value with exit proceeds - total US$122.9 million 140 120 Portfolio value (excluding 11 Singapore consolidated subsidiaries) 100 Cumulative exit proceeds 80 60 40 20 0 31.12.08 31.12.09 31.12.10 31.12.11 31.12.12 31.12.13 31.12.14 31.12.15 31.12.16 31
Slide 7: Exits: estimated returns and IRR
Exits: estimated returns and IRR Exit Company/Description Acquirer Estimated Return* IRR (%) 2020 ApiFix OrthoPediatrics Corp. 15 X 37 2017 MitrAssist Wai Tech (Hong Kong) Holding Ltd. 2.1 X 12 2017 BioSight Arkin Bio Ventures LP 216.7 X 71 2016 E.T.View Medical Ambu A/S 1.2 X 5 2014 Stimatix GI B.
Slide 8: Carrying value on eve of exit vs. exit value
Carrying value on eve of exit vs. exit value US$ millions Total exits through 30 June 2020 60 56.2 50 40 30 Cash invested 21.1 Total investment (cash + in-kind) 20 Pre-exit carrying value Exit value* 10 6.8 4.3 0 *Includes present value of Stimatix GI estimated royalties; not including earnout from
Slide 9: The Trendlines model
The Trendlines model
Slide 10: Trendlines' model: hands-on support
Trendlines’ model: hands-on support Business development Financial structuring Customer, partner, investor relationships Raising capital Market research In-house support G&A support Marketing communications Bookkeeping, accounting, legal, operations, purchasing Facilities & infrastructure Companies
Slide 11: Trendlines' model: strategic partnerships
Trendlines’ model: strategic partnerships Government Government of Israel of Singapore 11
Slide 12: Trendlines' investment record
Trendlines’ investment record 55 Current companies 9 exits 15 revenue stage 36 follow-on funding 33 clinical or field trials IRR* ROI* 44 technology proven 83% 8.4X *Weighted average IRR and ROI 12
Slide 13: Management team
Management team Steve Rhodes Haim Brosh Todd Dollinger Chairman & CEO CFO & Chairman & CEO Joint Co. Sec’y. Barak Singer Nitza Kardish, Ph.D. Eric Loh Nir Goldenberg CEO Trendlines Incubators CEO Trendlines Agrifood CEO Trendlines Medical CEO Trendlines Labs Israel Fund Singapore 13
Slide 14: Expanding portfolio value
Expanding portfolio value
Slide 15: Companies achieving milestones to create value
Companies* achieving milestones to create value *55 portfolio companies as at 30 June 2020; 37 written-off portfolio companies not included; exited companies on the right 15
Slide 16: 10 most valuable portfolio companies
10 most valuable portfolio companies Fair market value of 10 most valuable portfolio companies ~US$52.5 million, 59% of total portfolio value of ~US$88.5 million.* Company name Initial investment % owned (fully diluted) Arcuro Medical Ltd. 2013 21.10 BioFishency Ltd. 2013 30.93 ElastiMed 2015 33.07
Slide 17: Minimally invasive scoliosis treatment system
Minimally invasive scoliosis treatment system Minimally invasive non-fusion surgical system for treating progressive adolescent idiopathic scoliosis Achievements 2011 Founded 2020 Exited • Sales in Canada, Europe, Israel, Asia, U.S. • Completed >360 successful surgical procedures • First patients >7
Slide 18: Nanobody-based biological insect control
Nanobody-based biological insect control Developing new types of biological solutions for Control Nanobody treatment insect control that utilize novel nanobody technology to uniquely target the insect gut Founded 2017 Achievements Co-Founder & CTO • Proven POC in target insect testing and plant Rony
Slide 19: Remote early detection of pests & diseases in field crops
Remote early detection of pests & diseases in field crops Integrates external data collected by drones (together with AI software, deep learning and computer vision) to accurately and Founded 2017 autonomously detect, identify, and monitor CEO Simcha Shore diseases, pests, and other agronomic proble
Slide 20: Novel system for meniscus repair
Novel system for meniscus repair An all-suture, knotless meniscus repair system Achievements Founded 2013 • Initial sales in the United States • FDA and CE regulatory approvals CEO Lee Ranon • Distributors in the US; LATAM and APAC IP U.S. and Chinese countries patents Funding ~US$6.6 million Invest
Slide 21: Digital dialysis clinic
Digital dialysis clinic A technological solution that provides patients with end stage renal dialysis the option of at- home, user-friendly peritoneal dialysis. Founded 2016 CEO Hezkiah Tsoory Achievements Funding ~US$2.6 • Successful FIH clinical study million, €2.2 million • Completed alpha produc
Slide 22: Smart external fixation with real-time feedback
Smart external fixation with real-time feedback A smart external fixation system that allows real- time physician follow-up and reduces dependency on patient compliance Founded 2014 Achievements CEO Oren Cohen • Successful FIH in US and Israel Chair Assaf Dekel, MD • Received FDA clearance IP 1 Nati
Slide 23: Precision irrigation system
Precision irrigation system Advanced decision support system for optimal irrigation through a miniature sensor embedded in the trunks of trees, vines, and plants 2013 Achievements CEO Anat Halgoa • 2020: Sales in California, Spain, Israel, Italy Solomon and China • Installed ~500 sensors in 3 experi
Slide 24: Financial highlights
Financial highlights
Slide 25: Key value components
Key value components Change in portfolio value during H1 2020 Balance sheet as at 30 June 2020 (US$ millions) (3.3) (1.4) 9.6 27.8 (14.5) (1.2) (23.8) 102.8 88.5 95.9 Net portfolio Investments and Fair value Net portfolio Cash, short & Fair value of Deferred Deferred tax*** Payables & Total equity v
Slide 26: Stock overview
Stock overview As at SGX: 42T OTCQX: TRNLY Trendlines’ SGX share price movement: Aug 2019 - Aug 2020 (S$) 6 Aug 2020 S$ US$ Share price S$ 0.111 US$ 3.88 IPO price S$ 0.33 – 52-wk high S$ 0.138 US$ 4.5 52-wk low S$ 0.054 US$ 2.33 Market cap S$ 87.82 million US$ 61.39 million Shares Each OTCQX ADR =
Slide 27: Stock performance: Net Asset Value (NAV)
Stock performance: Net Asset Value (NAV) SGD USD NAV per share/ADR* S$ 0.17 US$ 6.0 Price per share/ADR** S$ 0.111 US$ 3.88 % discount to NAV 34% 29% *As at 30 June 2020 **Market close as at 6 Aug 2020 27
Slide 28: Looking ahead
Looking ahead Our quality of life is inextricably linked to our health and our food. More than ever, we believe that our investment focus on medical and agrifood sectors has the potential to impact people’s lives and provides a significant opportunity in value creation for our stakeholders. 28
Slide 29: SGX: 42T OTCQX: TRNLY www.trendlines.com
SGX: 42T Steve Rhodes, Chairman & CEO OTCQX: TRNLY steve@trendlines.com Todd Dollinger, Chairman & CEO +972.72.260.7000 todd@trendlines.com www.trendlines.com Haim Brosh, Chief Financial Officer haim@trendlines.com August 2020
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