Tigo Energy, Inc. · NASDAQ:TYGO
Tigo Energy — Roth CH Acquisition IV — SPAC Merger (May 2023)
36 slides from Tigo Energy's SPAC merger presentation, May 11, 2023
Slide 1: Intelligent Solar and Energy Storage Solutions Investor Presentation
Intelligent Solar and Energy Storage Solutions May 2023 Investor Presentation 1
Slide 2: Disclaimer
Disclaimer 2 Basis of Presentation 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 an investment decision related a potential business combination between Ti go Ene
Slide 3: Disclaimer (cont'd)
Disclaimer (cont’d) 3 Forward Looking Statements Certain statements included in this Presentation are not historical facts but are forward - looking statements, including for purp oses of the safe harbor provisions under the United States Private Securities Litigation Reform Act of 1995. Forward - l
Slide 4: Disclaimer (cont'd) Additional Information and Where to Find It
Disclaimer (cont’d) 4 Additional Information and Where to Find It In connection with the Potential Business Combination, Roth filed a registration statement on Form S - 4 (File No. 333 - 269095) (th e “Registration Statement”), which includes a preliminary proxy statement/prospectus, with the SEC. T
Slide 5: Proposed Transaction Summary
Proposed Transaction Summary 5 The Business • Tigo Energy, Inc. (“ Tigo ”) is a leading provider of critical solar solutions that improve safety, energy yield, & operating costs for solar . Product offerings include Module - Level Power Electronics (“MLPE”), inverter, energy storage, and integrated
Slide 6: Tigo's Mission
Tigo’s Mission Tigo ’s mission is to deliver smart hard ware and software solutions that enhance safety , increase energy yield , and lower operating costs of residential, commercial, and utility - scale solar systems Energy Intelligence (EI) ATS EI Inverter TS4 Flex MLPE EI Battery Energy Intellige
Slide 7: Investment Highlights
Growing Share Solar Optimizer & Inverter space is serviced predominantly by two suppliers; customers are seeking multiple suppliers 400+ Customers Diverse and expanding global customer base with substantial new wins 30% Gross Margin (2) Optimized architecture with low component count reduces cost ba
Slide 8: Market Overview
Tigo Market Overview
Slide 9: TAM is Estimated to Be $124 Billion by 2025
TAM is Estimated to Be $124 Billion by 2025 $110B (2) Global cumulative TAM for battery storage + inverters $14B (1) Residential, C&I, and Utility MLPE TAM $124 B illion Market Opportunity for Tigo EI Solution MLPE 9 1) Source: IHS PV Inverter Market Tracker – Second Quarter 2021 2) Source: Wood Mac
Slide 10: Tigo Business Overview
Tigo Tigo Business Overview
Slide 11: Tigo at a Glance
Tigo at a Glance Select Customers & Partners Key Highlights $81M 2022A Revenue Tigo Makes Solar Energy Better Tigo’s Module - Level Power Electronics (“MLPE”) and Energy Intelligence (“EI”) Solution improve the safety, energy yield, and cost of solar across all three end markets (Residential, C&I, a
Slide 12: Tigo MLPE and Energy Storage Solutions
Solar Module Not made by Tigo EI Software Energy Management Inverter Battery Automatic Transfer Switch (“ATS”) MLPE / Optimizer Tigo offers a one - stop shop solution Energy Intelligence “EI” Offering Tigo B undles Proprietary Hardware and Software Into an E asy - to - U se Platform Tigo MLPE and En
Slide 13: Illustrative Diagram of Tigo Solutions
Illustrative Diagram of Tigo Solutions 13 • MLPE / Optimizer • Battery • Inverter • ATS • EI Software • Energy Management • Solar Panel (not made by Tigo) • Grid Tigo Energy Intelligence “EI” Offering Tigo offers a one - stop shop solution
Slide 14: Tigo's Family of MLPE Solutions
Tigo’s Family of MLPE Solutions Five MLPE Features Cater to All Solar End Markets MLPE Energy Intelligence Price & Functionality TS4 - A - M TS4 - A - F TS4 - A - 2F TS4 - A - S TS4 - A - O Equipment Required • CCA + TAP (1) Functions • Monitoring Equipment Required • RSS Transmitter (1) Functions •
Slide 15: Tigo MLPE Serves All Three Solar Markets
Tigo MLPE Serves All Three Solar Markets • 13 kW • Residential • Australia Commercial • 531 kW • Commercial rooftop • California, USA Residential Utility • 16 MW • Floating PV • Israel 15 MLPE Energy Intelligence Performance Optimization | Increase E nergy O utput Tigo optimizers increase energy out
Slide 16: Tigo's Energy Intelligence Solution
Tigo’s Energy Intelligence Solution System Monitoring Building Loads • Tigo MLPE and Tigo cloud - enabled inverter with proprietary technology • Tigo DC - coupled battery system • Provides energy savings over traditional AC - coupled storage systems (1) • Integrated energy management system • Expand
Slide 17: Tigo's Software and Analytics Offering
Tigo’s Software and Analytics Offering Software and Analytics platform provides a holistic energy management capability, powered by module - level monitoring and machine learning Software: Origination/Design • Site Assessment • Design / Proposal • Permitting / Code Compliance • Construction Document
Slide 18: Technology Advantages
Technology Advantages 18 Tigo possesses key competitive advantages on price, performance, and flexibility 138 Patents (1) Patent - protected technology moat driven by strong R&D and culture of innovation Selective Optimization & Deployment Selective optimization uses less energy and increases reliab
Slide 19: Years of R&D, Testing and Certification Have Created a Strong Competitive Position
Years of Research, Development, Testing and Certification Have Created a Strong Competitive Position Tigo’s 1 38 (1) patents confer a substantial competitive advantage Tigo is uniquely positioned for today’s higher - power modules • Cost effective: Decades of experience designing solutions that mini
Slide 20: Why Customers Choose Tigo
Why Customers Choose Tigo Tigo Offers Lower Cost Systems with Higher Energy Output, Resulting in More Attractive ROI 20 • Rapid Shutdown • Module - level monitoring software • Hybrid Inverter • ATS • Battery Storage • Software & Analytics • Increased energy yield through selective optimization • Hig
Slide 21: Tigo Compares Favorably Against Peers
Tigo Compares Favorably Against Peers Closed: D C - Coupled Inverter Architecture (3) Compatible w/ Lower Cost Battery Chemistries (4) Software/Analytics Offering MLPE + Inverter Price (1) >30¢/watt (2) >40¢+/watt (2) Closed : AC - Coupled MLPE x x Open : DC - Coupled <20¢/watt End Market Coverage R
Slide 22: Financial Overview
Tigo Financial Overview
Slide 23: Financial Highlights
Financial Highlights 23 $81M 2022A Revenue $2.5M 2022A Adj. EBITDA (3) 27% | 64% | 9% 2022 Revenue NA | EMEA | ROW (2) 86%+ Y/Y Revenue Growth (1) $124B Total Addressable Market 30% 2022A Gross Margin 1) 2022A Revenue Growth. 2) “NA | EMEA | ROW” refers to North America; Europe, Middle East and Afri
Slide 24: Revenue, Gross Profit and Adj. EBITDA
86% Revenue and YoY Growth $43.6 $81.3 2021A 2022A Gross Profit and Gross Margin $12.6 $24.8 2021A 2022A 30% 29% Adj. EBITDA and Adj. EBITDA Margin (1) ($3.1) $2.5 2021A 2022A 3% NM 24 Note: All figures presented in millions of US dollars. A reconciliation of non - GAAP metrics is provided in the Ap
Slide 25: Scaling with Profitable Growth
Scaling with Profitable Growth 25 - 1.4 0.7 0.4 2.7 8.6 -2 0 2 4 6 8 10 Q1 2022 Q2 2022 Q3 2022 Q4 2022 Q1 2023 Adj. EBITDA Adj. EBITDA 9.8 17.3 22.3 28.7 44.7 0.1 0.3 0.5 2.3 5.4 0 10 20 30 40 50 60 Q1 2022 Q2 2022 Q3 2022 Q4 2022 Q1 2023 Total Revenue MLPE & Other EI Solutions 2.7 5.5 6.6 9.9 18.4
Slide 26: Diverse Array of Global Customers
2022A Revenue by Customers (1) 2022A Revenue by Geography Diverse Array of Global Customers Distributors Key Accounts Tigo aims to expand business with existing and new customers / partners 11% 5% 5% 4% 4% 3% 3% 3% 3% 3% 3% 53% 26 Inverters & Panels Partners New Customers / Partners Americas 27% EME
Slide 27: Tigo's Financial Strengths
Tigo’s Financial Strengths Generating significant revenue growth today Compelling growth propelled by new products and services and new customer wins Attractive gross margin expected to expand over time through higher mix of value - added MLPEs, EI systems, and software / analytics Capital - light b
Slide 28: Transaction Summary
Tigo Transaction Summary
Slide 29: Pro Forma Ownership and Detailed Transaction Overview
Pro Forma Ownership Existing Tigo Shareholders 93.9% ROCG Public Shareholders 3.7% ROCG Sponsors 1.9% Transaction Fees 0.1% Detailed Transaction Overview 29 Sources and Uses Sources SPAC Cash in Trust (1) $24 Stock Consideration to Existing Tigo Shareholders (2) 600 Total Sources $624 Uses Stock Con
Slide 30: Risk Factors
Tigo Risk Factors
Slide 31: Risk Factors
Risk Factors 31 All references to the “Company,” “we,” “us” or “our” refer to Tigo . The risks presented below are certain of the general risks related to the business of the Company and such list is not exha ust ive. The list below has been prepared solely for purposes of inclusion in this Presenta
Slide 32: Risk Factors (cont'd) Market Opportunity Risks
Risk Factors (cont’d) 32 Market Opportunity Risks • The market for our products is highly competitive and we expect to face increased competition as new and existing competitors in troduce or develop other smart energy products, which could negatively affect our results of operations and market shar
Slide 33: Risk Factors (cont'd) Intellectual Property and Technology
Risk Factors (cont’d) 33 Risks Related to Intellectual Property and Technology • Our patent applications may not result in issued patents, and our issued patents may not provide adequate protection, which m ay have a material adverse effect on our ability to prevent others from commercially exploiti
Slide 34: Appendix
Tigo Appendix
Slide 35: EBITDA Reconciliation (Yearly)
EBITDA Reconciliation (Yearly) 35 1) 2022A Adj. EBITDA excludes stock - based compensation and M&A transaction costs. Calendar Year 2021 A 2022 A Net Income ($4.9) ($7.0) + Total other expenses, net 1.0 6.0 + Provision for income taxes 0.2 0.1 + Depreciation & Amortization 0.4 0.6 EBITDA ($3.3) ($0.
Slide 36: EBITDA Reconciliation (Quarterly)
EBITDA Reconciliation (Quarterly) 36 1) 2022A Adj. EBITDA excludes stock - based compensation and M&A transaction costs. Calendar Year Q1 2022 Q2 2022 Q3 2022 Q4 2022 Q1 2023 Net Income ($5.7) $0.2 ($2.4) $0.9 $6.9 + Total other expenses, net 4.1 0.4 0.4 1.3 0.9 + Provision for income taxes - - - 0.