Nuscale Power Corporation · NYSE:SMR
Nuscale Power — Spring Valley Acquisition — SPAC Merger (March 2021)
39 slides from Nuscale Power's SPAC merger presentation, Mar 26, 2021
Slide 1: Investor Presentation March 2021
INVESTOR PRESENTATION March 2021 Bringing agriculture to new heights through technology and innovation
Slide 2: Disclaimer
2 Disclaimer This presentation (this “Presentation”) is provided for informational purposes only and has been prepared to assist intereste d p arties in making their own evaluation with respect to a potential business combination between Dream Holdings, Inc. (“Dream”) and Spring Valley Acquisition C
Slide 3: Disclaimer (cont'd)
3 Disclaimer (cont’d) Important Information and Where to Find It In connection with the Proposed Business Combination, Spring Valley intends to file a registration statement on Form S - 4, includ ing a proxy statement/prospectus (the “Registration Statement”), with the SEC, which will include a prel
Slide 4: Transaction Overview
4 Transaction Overview KEY HIGHLIGHTS 1 Assumes no redemptions from Spring Valley Acquisition Corp.; includes cash to balance sheet from convertible note; assumes $4 0mm in transaction expenses 2 Multiples based off pro forma implied enterprise value; 2025E Revenue $329.9mm and 2025E EBITDA $82.0mm
Slide 5: Spring Valley Acquisition Corp. Leadership
5 $3,092 $18,323 2006 IPO Current Market Cap $289 $3,678 2012 IPO Current Market Cap Spring Valley Acquisition Corp. Leadership STRONG HISTORY OF VALUE CREATION In 2006, Sorrells lead an investment in Renewable Energy Group, Inc. while the company was beginning operations in a developing, but promis
Slide 6: AeroFarms is bringing agriculture to new heights through technology and innovation
6 6 AeroFarms is bringing agriculture to new heights through technology and innovation
Slide 7: Champion for Plants, People and the Planet
7 Champion for Plants, People and the Planet Grow the best plants possible for the betterment of humanity MISSION VISION Understand plant biology to be great farmers and solve broader problems in agriculture Serve communities by leading with brand and providing access to high - quality, consistent,
Slide 8: AeroFarms Leads the Industry in Vertical Farming and More
8 AeroFarms Leads the Industry in Vertical Farming and More AeroFarms Has Been Recognized With Over 50 Awards Since 2011: AeroFarms built and operates the largest vertical farm in the world and sells great tasting leafy greens. To date, the company has grown over 550 different varieties of fruits an
Slide 9: World Class Leadership Team with Decades of Experience
9 World Class Leadership Team with Decades of Experience Stacy Kimmel, Ph.D. VP of R&D 9 BACKED BY A STRONG INVESTOR BASE Guy Blanchard Chief Financial Officer David Rosenberg Chief Executive Officer and Co - Founder ▪ Successful serial entrepreneur, 14+ years leading Silicon Valley VC backed compan
Slide 10: Innovating Vertical Farming at Scale for Years
10 Innovating Vertical Farming at Scale for 15 Years Understanding how innovation in vertical farming scales is important. Since its founding in 2004, AeroFarms has differentiate d from the industry, proving its technology, testing innovation and evolving its design through five generations of farm
Slide 11: AeroFarms Vision and the Future of Farming
11 AeroFarms Vision and the Future of Farming Addressing social and environmental macro trends through science and innovation AeroFarms leads in vertical farming through a history of innovation, proprietary technology and strategic partnerships 01 With this platform, AeroFarms drives its leafy green
Slide 12: The AeroFarms Opportunity
12 The AeroFarms Opportunity 01
Slide 13: Helping Solve the Global Sustainability and Food Challenges
13 POPULATION GROWTH Food production will need to increase by 69% by 2035 1 to feed the growing population and expanding middle class WATER SCARCITY Global water demand is set to increase by 55% from 2000 to 2050 2 ARABLE LAND LOSS The world has lost 1/3 of its arable land in the last 40 years 3 due
Slide 14: Fresh Produce is a $1.4 Trillion Industry
14 Fresh Produce is a $1.4 Trillion Industry Global fresh produce Local produce market From 2019 to 2023, fresh produce is projected to grow 7% CAGR to be a $1.8 trillion industry 1 58% of shoppers prefer to buy local produce 4 93% of shoppers say they would buy more local food if it was available 4
Slide 15: Unrivaled Sustainability and Productivity
15 Unrivaled Sustainability and Productivity 90% Water savings 0% Water savings Water savings Up to 95% WATER USE High - tech Greenhouse Conventional Farming 12 Crop turns CROP TURNS Crop turns Up to 26 1 - 3 Crop turns 1x lbs / sqft lbs /sqft 1 Up to 390x 12x lbs / sqft YIELD¹ FASTER HIGHER OUTPUT
Slide 16: Technology Platform
Technology Platform t)) AeroFarms:
Slide 17: Market Leader with Vertical Integration Across Controlled Environment Agriculture
17 Optimizing plant performance enables: x New varieties x Higher quality x Lower costs Market Leader with Vertical Integration Across All Disciplines of Controlled Environment Agriculture Optimized plant genetics Data science enabling fully - connected agriculture Tightly controlled environment Dee
Slide 18: Key Components of AeroFarms' Technology Platform
18 Key Components of AeroFarms’ Technology Platform Plant genetics , optimized for indoor plant growing Digital controls , including: Integrated algorithm for every stage of grow cycle (including custom lighting) agSTACK software with integrated PLC and SCADA systems Automated nutrient delivery syst
Slide 19: The agSTACK System Enables a Fully-Connected Farm
19 The agSTACK System Enables a Fully - Connected Farm agSTACK powers integration, traceability, data insights and machine learning HARDWARE INTELLIGENT CONTROL SYSTEMS SUPERVISORY CONTROL AND DATA ACQUISITION (SCADA) MANUFACTURING EXECUTION SYSTEM (MES) agSTACK 19 19 19 19 19 Partnered to support s
Slide 20: Precision Control Enables Unparalleled Performance for Plants
20 Precision Control Enables Unparalleled Performance for Plants Influencing Genetics and Their Expression through Environmental Inputs… NUTRIENT / MICRONUTRIENT MIX LIGHT FREQUENCY LIGHT INTENSITY LIGHT SPECTRUM AIR SPEED CO 2 LEVELS RELATIVE HUMIDITY TEMPERATURE WATER LEVELS …Improves Plant Output
Slide 21: AeroFarms Innovation Drives Improvements Across the Farm
21 TIME COST AeroFarms Innovation Drives Improvements Across the Farm YIELD IMPROVEMENT Over the last 12 months, AeroFarms has seen a 23% increase in yield QUALITY Tight control of light, water, nutrients, oxygen, CO 2 and temperature results in high - quality, flavorful plants AeroFarms economics a
Slide 22: Extensive Investments in Technology and IP
22 Technological innovation is driven by AeroFarms’ world - class team of 45 INNOVATORS , who make up 50% of all corporate employees, including: ▪ Engineers ▪ Plant scientists ▪ Computer programmers Extensive Investments in Technology and IP 1 Snapshot as of January 2021 A WORLD CLASS INNOVATION TEA
Slide 23: Scaling the Leafy Greens Opportunity
23 23 Scaling the Leafy Greens Opportunity 03
Slide 24: Leafy Greens are the Ideal Initial Category for Disruption
24 Leafy Greens are the Ideal Initial Category for Disruption AEROFARMS provides leafy greens with: x Superior flavor and quality x Production closer to the consumer x New standard for food safety x Consistency x Year - round growing x Democratized production x Zero pesticides x Strong unit economic
Slide 25: AeroFarms Wins at Retail with Great Tasting Leafy Green Products
25 In 2020 AeroFarms products performed on average 50% better than the average velocity per SKU of the indoor farming industry¹ 1 Nielsen W/E 12/5/20 latest 52 weeks (collection of 5 leading grocery retailers in New York Metropolitan Area), combined with Nie lsen FY2020 latest 52 weeks (1 leading gr
Slide 26: Top Tastemakers Applaud AeroFarms Products
26 “I had the distinct pleasure of sampling AeroFarms product – right out of the growing trays, then took a bag of greens home. Not only was the flavor density stunning and delicious , but the large bag of greens lasted a week . It likely would have lasted longer, but I ate them all. What a remarkab
Slide 27: Farm Pipeline and Site Selection Methodology
27 Southern US Greater St. Louis Texas Triangle Newark, NJ Danville, VA UNITED STATES 2 ARABIAN PENINSULA 2 Abu Dhabi, UAE Note: shown on a different scale than the map of the U.S. Prioritize locations for new farms considering: SITE SELECTION METHODOLOGY AeroFarms also won a World Wildlife Fund RFP
Slide 28: AeroFarms has Secured its Next Farm in Danville, VA
28 Top retailer distribution centers within 300 miles of Danville, VA ~12 months Site Selection Priority Market Selection Q2 2022 APRIL 2021 50mm+ people within 1 day’s drive 2 1,000+ food retailers in the region 2.5x market coverage¹ BENEFITS OF DANVILLE, VIRGINIA: <$0.06 kWh energy costs ▪ Unmet m
Slide 29: Growing Beyond Leafy Greens
29 Growing Beyond Leafy Greens 04
Slide 30: Expansion into Berries and Other Markets
30 Expansion into Berries and Other Markets Work to Date Includes: ▪ Have grown thousands of berry plants in R&D facilities since 2017 ▪ Growing capabilities yield strawberries that consistently exceed industry averages for sweetness Producing higher - quality berries and other traditionally seasona
Slide 31: Preparing for Future Commercial Expansion into New Markets like Berries
31 Preparing for Future Commercial Expansion into New Markets like Berries Harvesting berries since 2017 Grown over 6,300 berry plants to date Consistently achieving Brix 1 of 11 ~1.5x higher than the industry average of 6 - 8 1 Measure of soluble sugar content Berries today are subject to a seasona
Slide 32: Financial Projections
Financial Projections od AeroFarms'
Slide 33: Farm KPIs: Harvest Yield, Price per Pound, Overall Operating Efficiency
33 HARVEST YIELD Harvest Yield measures how much useable plant mass we grow and harvest per unit of area per unit of time vs. our long - term plan. Data represents average of every individual grow unit harvested during the period ; commonly, “champion” yields can exceed 125%+ of long - term target P
Slide 34: Farm Unit Economics Summary
34 Farm Unit Economics Summary The Model 5 Farm Design represents AeroFarms’ technology that will be deployed in early 2021. Over time, modest performance i mpr ovements are modeled for future farm generations, namely the Model 6/7 Farm Designs. Key Assumptions 1 MODEL 5 (Current) MODEL 6 (March 202
Slide 35: AeroFarms Financial Overview
35 AeroFarms Financial Overview FARM COUNT¹ 1 4 6 7 9 11 11 1 3 4 5 5 2021 2022 2023 2024 2025 2026 Run Rate 48 grow tower farms 144 grow tower farms % growth of towers NM GROSS PROFIT ($mm) $(2) $(3) $11 $57 $137 $264 $423 2021 2022 2023 2024 2025 2026 Run Rate % margin REVENUE ($mm) $4 $13 $54 $16
Slide 36: Transaction Summary – Pro Forma Equity Ownership
36 Aerofarms Equity Rollover 800 Cash to Merged Comany Balance Sheet 347 Estimated Transaction Expenses 40 Total uses $1,187 Pro Forma Shares Outstanding 123.1 Post-Money Equity Value 1,231 (-) Net Cash 375 Pro-Forma Implied Enterprise Value (Post-Money) 856 SVAC Equity 232 Convertible Note 30 Aerof
Slide 37: Valuation Benchmarking
37 FV / Revenue FV / EBITDA FV / Revenue Valuation Benchmarking 10.4x 4.4x 2025 2026 5.3x 5.9x 4.6x 2025 2025 2025 FV / EBITDA 8.0x 8.1x 4.7x 3.2x Monster Beverage Corporation Fevertree Drinks Tattooed Chef Vital Farms FV / CY2022E (CY+1) EBITDA 21.9x 35.5x 42.0x 47.7x Monster Beverage Corporation F
Slide 38: AeroFarms Company Highlights
38 A substantial pipeline of farm projects and a Total Addressable Market of $1.8T represents an enormous opportunity for expansion Technology and data are a competitive differentiator and moat for AeroFarms AeroFarms has a 15+ year track record of vertical farming at scale and an expert management
Slide 39: Thank You
39 THANK YOU Bringing agriculture to new heights through technology and innovation