Luna Innovations, Inc. · OTC:LUNA
Luna Innovations — Merger or Acquisition (December 2020)
21 slides from Luna Innovations's merger presentation, Dec 3, 2020
Slide 1: Transformative acquisition creates global fiber optic leader and distributed fiber sensing powerhouse
December 3, 2020 Transformative acquisition creates global fiber optic leader and distributed fiber sensing powerhouse
Slide 2: Safe Harbor Statement
NASDAQ: LUNA Luna Innovations Incorporated© 2020 2 Safe Harbor Safe Harbor Statement Under the Private Securities Litigation Reform Act of 1995 This presentation includes information that constitutes “forward-looking statements” made pursuant to the safe harbor provision of the Private Securities Li
Slide 3: Strong Strategic Fit: Transaction Highlights
Strong Strategic Fit: Transaction Highlights
Slide 4: Luna and OptaSense create a global market leader in distributed fiber sensing
NASDAQ: LUNA Luna Innovations Incorporated© 2020 4 The combination of Luna and OptaSense creates a global market leader in distributed fiber sensing (DFOS) technology Luna is already a global leader in fiber sensing with market leading products ODiSI – short range, high resolution (fully distribut
Slide 5: Summary Transaction Highlights
NASDAQ: LUNA Luna Innovations Incorporated© 2020 5 Summary Transaction Highlights Transformative, strategic acquisition allows Luna to enhance product / solution portfolio, adding access to larger, high-growth markets Adds to existing U.S. leadership position; cost-effectively establishes strong o
Slide 6: About OptaSense and Market Opportunity
About OptaSense and Market Opportunity
Slide 7: Introduction to OptaSense
NASDAQ: LUNA Luna Innovations Incorporated© 2020 Introduction to OptaSense OptaSense Ltd. manufactures, installs, maintains, and operates distributed acoustic sensing systems worldwide. Its advanced solutions enable data collection and management to deliver security, tracking, protection and other a
Slide 8: About OptaSense
NASDAQ: LUNA Luna Innovations Incorporated© 2020 About OptaSense OptaSense is a global technology leader in distributed fiber optic sensing solutions Founded in 2007 as R&D group within QinetiQ, OptaSense has transformed into a vertically integrated provider of fiber optic systems In 2014, Qinet
Slide 9: OptaSense is organized in three business units
NASDAQ: LUNA Luna Innovations Incorporated© 2020 9 OptaSense is organized in three business units, all of which have strong synergy with Luna’s Lightwave Division Infrastructure and Security Monitoring (ISM) and Transport Oilfield Services (OFS) RIO (Lasers) End Markets Pipeline Monitoring Perimeter
Slide 10: Global DAS Market
NASDAQ: LUNA Luna Innovations Incorporated© 2020 10 $- $100 $200 $300 $400 $500 $600 $700 $800 $900 2020 2025 DAS Global Market ($M) DAS is significant portion of total market for distributed fiber optic sensing; significantly expands Luna’s addressable market Global DAS market expected to experienc
Slide 11: Geographic Reach
NASDAQ: LUNA Luna Innovations Incorporated© 2020 Geographic Reach Corporate Headquarters Other Offices Overlapping Sales Coverage – OptaSense Strength Roanoke, VA Farnborough, UK Corporate Headquarters Other Offices Overlapping Sales Coverage – LUNA Strength
Slide 12: Strong Cultural Fit with Luna's Values
NASDAQ: LUNA Luna Innovations Incorporated© 2020 12 Strong Cultural Fit with Luna’s Values Ownership – Dedicated to every customer’s success through personal accountability to meet business goals, improve systems and ultimately solve problems. Integrity – Do the right thing by stressing honesty,
Slide 13: Transaction Highlights and Financials
Transaction Highlights and Financials
Slide 14: Financial Highlights and Financing Details
NASDAQ: LUNA Luna Innovations Incorporated© 2020 14 Financial Highlights and Financing Details Financial Highlights Sign and close simultaneous; Luna Board of Director approval; no regulatory approvals required Acquisition expected to be accretive in 2021 Revenue synergies included; no expense syner
Slide 15: Reaffirming 2020 Financial Outlook
NASDAQ: LUNA Luna Innovations Incorporated© 2020 15 Reaffirming 2020 Financial Outlook Maintaining FY2020 outlook: Total revenues of $81M to $83M Adjusted EBITDA1 of $10M to $12M Luna expects to provide further guidance as well as additional qualitative detail on its fourth quarter and year-end
Slide 16: Conclusion: Acquisition of OptaSense is highly attractive and transformative
NASDAQ: LUNA Luna Innovations Incorporated© 2020 16 Conclusion: Acquisition of OptaSense is highly attractive and transformative for Luna Innovations • Highly complementary businesses; creates global fiber optic sensing leader with broad offerings for short- and long-range • Establishes strong prese
Slide 17: Luna – Enabling the Future with Fiber
NASDAQ: LUNA Luna Innovations Incorporated© 2020 17 Luna – Enabling the Future with Fiber Proprietary, measurement technology, offering unprecedented combination of resolution, accuracy and speed Customers in attractive markets: Military and Defense, Communications, Infrastructure, Energy and Automo
Slide 18: Appendix: More about OptaSense
Appendix: More about OptaSense
Slide 19: Filling the strategic product/technology gap
NASDAQ: LUNA Luna Innovations Incorporated© 2020 19 Filling the strategic product/technology gap Hyperion Interrogator Multiple, Discrete Sensor Points Per Fiber • Best when specific, known locations need to be monitored Hyperion: Luna’s Long Range, High-Speed Distributed Sensing Solution OptaSense
Slide 20: Products/Technology
NASDAQ: LUNA Luna Innovations Incorporated© 2020 20 Products/Technology
Slide 21: Markets and Applications
NASDAQ: LUNA Luna Innovations Incorporated© 2020 21 Markets and Applications Pipelines Oil & Gas Transportation Borders Perimeters Power & Utility End Market Applications Select Customers Real-time pipeline monitoring preventing disruption of flow — Pipeline leakage — Theft — Accidental damage A
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