Airjoule Technologies Corporation · NASDAQ:AIRJ
Airjoule Technologies — Montana Technologies — SPAC Merger (June 2023)
35 slides from Airjoule Technologies's SPAC merger presentation, Jun 5, 2023
Slide 1: Sustainably Meeting the Challenges of Water Supply and Comfort Cooling
SUSTAINABLY MEETING THE CHALLENGES OF WATER SUPPLY AND COMFORT COOLING
Slide 2: Basis of Presentation
Basis of Presentation These presentation materials (“Presentation Materials”) are provided for informational purposes only and have been prepared to assist interested parties in a proposed private placement in making their own evaluation with respect to an investment in connection with a potential b
Slide 3: Forward Looking Statements
Forward Looking Statements Certain statements in these Presentation Materials may be considered “forward - looking statements” as defined in the Private Securities Litigation Reform Act of 1995 and within the meaning of the federal securities laws with respect to the proposed business combination be
Slide 4: Trademarks
Trademarks These Presentation Materials contain trademarks, service marks, trade names and copyrights of third parties, which are the property of their respective owners . The use or display of third parties' trademarks, service marks, trade names or products in these Presentation Materials are not
Slide 5: Risk Factors and Additional Information
Risk Factors For a non - exhaustive description of the risks relating to an investment in a private placement in connection with the Potential Business Combination please review "Risk Factors" at the end of this presentation . Changes and Additional Information in Connection with SEC Filings The inf
Slide 6: Summary of Proposed Transaction
Slide 6 Montana Technologies | June 2023 SUMMARY OF PROPOSED TRANSACTION TRANSACTION SUMMARY • Montana Technologies has created a transformational technology that provides significant energy efficiency gains in heating, ven tilation, and air conditioning (“HVAC”) applications while also generating p
Slide 7: Investment Highlights
Slide 7 Montana Technologies | June 2023 INVESTMENT HIGHLIGHTS • Transformational Technology: 5 - 10x energy reduction, air - to - water and HVAC solutions – Applications across dehumidification, atmospheric water generation and evaporative cooling help solve two of the world’s most problematic issu
Slide 8: Montana Technologies Experienced Team with Strong Track Record
Slide 8 Montana Technologies | June 2023 • Over 30 years of experience successfully founding and leading innovative product - based companies • Founded Core Innovation, predecessor to Montana Technologies • Previously founded Jore Corporation, a power tool and accessories manufacturer that exceeded
Slide 9: Strategic Partnerships: BASF and PNNL
Slide 9 Montana Technologies | June 2023 B adische Anilin und Sodafabrik ("BASF") is the world’s largest chemical producer with facilities around the world • Montana Technologies and BASF have implemented a development agreement for the production of engineered super - porous materials that are appl
Slide 10: Solving Demand for Air Conditioning & Water Stress
Slide 10 Montana Technologies | June 2023 Water Stress (2) Demand for Air Conditioning (1) SOLVING DEMAND FOR AIR CONDITIONING & WATER STRESS 1. Solving the Global Cooling Challenge; https://rmi.org/wp - content/uploads/2018/11/Global_Cooling_Challenge_Report_2018.pdf 2. https://www.statista.com/cha
Slide 11: What AirJoule Does
Slide 11 Montana Technologies | June 2023 AirJoule tm enables the atmosphere to become an energy efficient water resource around the clock , providing clean drinking water at up to ½ cent per liter (1) AirJoule tm efficiently harvests water vapor from the air, with a coefficient of performance (“ CO
Slide 12: The Technology Breakthrough: Metal Organic Frameworks
Slide 12 Montana Technologies | June 2023 THE TECHNOLOGY BREAKTHROUGH HOW AIRJOULE tm ENABLES COMMERCIALIZATION OF METAL ORGANIC FRAMEWORKS (“MOF S ”) • MOFs have enormous water uptake, holding more than half their weight in water • Montana Technologies has engineered a proprietary MOF (MTMOF1) that
Slide 13: The Technology Breakthrough: Engineered Super-Porous Materials
Slide 13 Montana Technologies | June 2023 THE TECHNOLOGY BREAKTHROUGH AIRJOULE tm ENABLES THE AMAZING CHARACTERISTICS OF ENGINEERED SUPER - POROUS MATERIALS TO BE REALIZED MOFs are super adsorbent materials First, when MOFs take up (adsorb) water vapor, they generate heat (heat of adsorption). This
Slide 14: How AirJoule Works: Air In, Water Out
Slide 14 Montana Technologies | June 2023 1. AirJouleTM draws humid air into the open chamber 2. Proprietary MOF Coated contactors adsorb water vapor in open chamber 3. Simultaneous with step 2, the heat of adsorption is transferred to closed chamber to assist desorption 4. Proprietary air pump draw
Slide 15: AirJoule Transformational Technology
Slide 15 Montana Technologies | June 2023 AIRJOULE tm TRANSFORMATIONAL TECHNOLOGY Conventional Systems Improvements AirJoule tm Atmospheric Water Harvesting Energy intensive vapor compression ( 450 WH/L ) 5 - 10x ENERGY REDUCTION (1) Expected 45 – 90 WH/L of water harvesting Dehumidified Air 121 - y
Slide 16: Montana Technologies' Key Components Plan
Slide 16 Montana Technologies | June 2023 MONTANA TECHNOLOGIES’ KEY COMPONENTS PLAN (1) MONTANA TECHNOLOGIES PLANS TO PROVIDE AND SELL PROPRIETARY MOF C OATED CONTACTORS IN COMBINATION WITH AIR PUMPS, VACUUM COMPRESSORS, AND WATER VAPOR CONDENSERS TO MAN UFACTURE FINISHED AIRJOULE tm UNITS MOF Mater
Slide 17: Coated Contactor Strategy
Slide 17 Montana Technologies | June 2023 MONTANA TECHNOLOGIES’ COATED CONTACTOR STRATEGY DELIVER MOF COATED AIRJOULE tm CONTACTORS TO OEMS FOR INTEGRATION INTO EXISTING HVAC SYSTEMS Source Aluminum Heat Exchangers from Wide Variety of Suppliers 1 ALUMINUM HEAT EXCHANGERS 2 MOF POWDER COATING Propri
Slide 18: Key Components Plan: Proprietary Technology Using Mature Manufacturing
Slide 18 Montana Technologies | June 2023 KEY COMPONENTS PLAN: PROPRIETARY TECHNOLOGY USING MATURE MANUFACTURING PROCESSES (1) SCALE - UP: DELIVER MOF COATED CONTACTORS, VACUUM, AND CONDENSER S YSTEMS ▪ MT/CAMT ▪ OEM ▪ OEM ▪ OEM ▪ OEM ▪ MT/CAMT Original Equipment Manufacturer (“OEM”) Assembly • Prop
Slide 19: Manufacturing Line Economics
Slide 19 Montana Technologies | June 2023 MANUFACTURING LINE ECONOMICS (1) IRRESPECTIVE OF OWNERSHIP MODEL, MONTANA TECHNOLOGIES EXPECTS TO QUICKLY ACHIEVE CAPITAL - EFFICIENT PRODUCTION THAT ALLOWS FOR THE SELF - FUNDING OF FUTURE MOF COATED CONTACTOR LINES Sole Ownership 50 / 50 Joint Venture MOF
Slide 20: Capital-Efficient Scaling of Production: Stage One
Slide 20 Montana Technologies | June 2023 CAPITAL - EFFICIENT SCALING OF PRODUCTION: STAGE ONE (1) WITH SEVERAL PARTNERSHIPS IN PLACE AND A RAPIDLY GROWING PIPELIN E OF NEW OPPORTUNITIES, MONTANA TECHNOLOGIES POSSESSES POTENTIAL FOR GLOBAL SCALABILITY AT ATTRA CTIVE MARGINS 50 /50 Joint Venture Part
Slide 21: AirJoule Comparative Analysis
Slide 21 Montana Technologies | June 2023 Cost of Water per Liter $0.005 - $0.0200 $0.0160 - $0.0630 (5) $0.3700 - $1.3200 (6) Base Cost of AirJoule tm Produced Water (4) Tanker Truck Delivery of Bulk Water Water Delivered in 3 to 5 Gallon Jugs AIRJOULE tm COMPARATIVE ANALYSIS (1)(2) AIRJOULE tm IS
Slide 22: Total Addressable Markets and Timeline
Slide 22 Montana Technologies | June 2023 TAM: >$355 billion (1) TAM: >$100 billion (2) Heating, Ventilation, and Air Conditioning (“HVAC”) Atmospheric Water Harvesting SHORT ANTICIPATED TIME TO MARKET ~$455 BILLION TOTAL ADDRESSABLE MARKETS (“TAM”) Q3 ‘19 ‘24 Q3 ‘23 Q1 ‘21 Total Addressable Markets
Slide 23: Transaction Overview
Slide 23 Montana Technologies | June 2023 TRANSACTION OVERVIEW PRELIMINARY PRO FORMA VALUATION PRELIMINARY SOURCES AND USES ($ in millions) $ % XPDB Shares at $10.00 $404 51% Cash Held in Trust at $10.00 Per Share (1) $288 36% Expected Private Placement Gross Proceeds $100 13% Total Sources $792 100
Slide 24: Illustrative De-SPAC Valuation Framework
Slide 24 Montana Technologies | June 2023 ILLUSTRATIVE DE - SPAC VALUATION FRAMEWORK (1) ASSUMING 3 TO 6 GLOBAL LINES OF PRODUCTION Illustrative Fully Distributed EBITDA Multiple 10.0x 15.0x 20.0x 3 Production Lines – All 50/50 Joint Ventures (Annualized EBITDA) ~$150 million ~$150 million ~$150 mil
Slide 25: Peer Trading Comparables
Slide 25 Montana Technologies | June 2023 Water - Related Players Key HVAC Players Stock Price - $43.44 $20.23 $62.39 $298.23 $11.84 $173.01 - $173.10 $52.89 $168.20 $105.06 Equity Value ($million) 31,765 36,265 59,290 42,806 10,588 2,185 39,455 21,440 49,285 6,712 4,610 25,151 Enterprise Value ($mi
Slide 26: Comparison with Other De-SPAC Companies
Slide 26 Montana Technologies | June 2023 Market Atmospheric Water Harvesting and HVAC 24/7 CFE – Natural Gas 24/7 CFE – Advanced Nuclear EV Batteries EV Battery Components EV Charging Utilities & Energy Storage Utilities & Energy Storage Ticker TBD NYSE: NPWR NYSE: SMR NYSE: QS NYSE: FREY NYSE: CHP
Slide 27: Investment Highlights
Slide 27 Montana Technologies | June 2023 INVESTMENT HIGHLIGHTS • Transformational Technology: 5 - 10x energy reduction, air - to - water and HVAC solutions – Applications across dehumidification, atmospheric water generation and evaporative cooling help solve two of the world’s most problematic iss
Slide 28: Appendix
APPENDIX Appendix
Slide 29: Brief History of CATL
Slide 29 Montana Technologies | June 2023 BRIEF HISTORY OF CATL (1) CATL HAS QUICKLY BECOME THE WORLD’S LARGEST LITHIUM - ION BATTERY PRODUCER AND IS THE 10TH LARGEST COMPANY IN CHINA AS MEASURED BY MARKET CAPITALIZATION $0 $60 $120 $180 $240 $300 Jun-18 Dec-18 Jun-19 Dec-19 Jun-20 Dec-20 Jun-21 Dec
Slide 30: AirJoule Patents and Patent Applications
Slide 30 Montana Technologies | June 2023 • Atmospheric water extractor self - regenerating dehumidifier • 31655 - e application under patent cooperative treaty – all countries • United states 31655 - e • China p.R. 31655 - e cn • India 31655 - e in patent cooperation treaty 31655 - e pct • Taiwan 3
Slide 31: Water Harvesting Metrics for Nominal CFM AirJoule System
Slide 31 Montana Technologies | June 2023 WATER HARVESTING METRICS FOR NOMINAL 750 CFM AIRJOULE tm SYSTEM (1) LESS THAN HALF OF A CENT PER LITER (EXPECTED PRODUCTION) Version Status Vacuum Swing Compressor (W) Air Purge Pump (W) AirJoule tm Fan (W) Condenser Cooling Fan (W) Auxiliaries (W) Water Pro
Slide 32: Risk Factors
All references to the "company," "we," "us" or "our" refer to Montana Technologies and its consolidated subsidiaries prior to the Potential Business Combination . The risks presented below are non - exhaustive descriptions of certain of the general risks related to the business of Montana Technologi
Slide 33: Risks Relating to Montana Technologies' Business
• We lack sufficient funds to achieve our planned business objectives . Our ability to continue as a going concern is dependent on (i) continued financial support from our shareholders and other related parties, (ii) raising capital via external financing, and/or (iii) attaining profitable operation
Slide 34: Economic and External Risks
Economic and External Risks • The occurrence of significant events against which we may not be fully insured could have a material adverse effect on our business, financial condition and results of operations . • The threat of global economic, capital markets and credit disruptions pose risks to our
Slide 35: Risks Related to the Potential Business Combination
Risks Related to the Potential Business Combination • Each of XPDB and Montana Technologies will incur significant transaction costs in connection with the Potential Business Combination, and these costs may limit Montana Technologies' ability to properly invest in its business . • The process of ta