Devvstream Corp. · NASDAQ:DEVS
Devvstream — Focus Impact Acquisition — SPAC Merger (August 2024)
35 slides from Devvstream's SPAC merger presentation, Aug 30, 2024
Slide 1: Investor Presentation August 2024
I n v e s t o r P r e s e n t a t i o n A u g u s t 2 0 2 4 Highly confidential and proprietary. Unauthorized distribution without prior consent f rom Cohen & Company Capital Markets i s strictly prohibited.
Slide 2: Important notice
This presentation (this “Presentation”) is provided for informational purposes only and has been prepared to assist interested parties in making their own evaluation with respect to a potential financing transaction (the “Transaction”) to be consummated in connection with the potential business comb
Slide 3: Forward-Looking Statements
Forward-Looking Statements This Presentation includes “forward-looking statements” within the meaning of the “safe harbor” provisions of the United States Private Securities Litigation Reform Act of 1995. In some cases, you can identify forward-looking statements by terminology such as “may”, “shoul
Slide 4: Financial Outlook
Financial Outlook This Presentation contains statements that are considered financial outlook within the meaning of applicable Canadian securities laws (“Financial Outlook”), including statements regarding EBITDA margins on DevvStream’s Carbon Management and Carbon Investment segments, revenue and E
Slide 5: Additional Information and Where to Find It
Additional Information and Where to Find It In connection with the Contemplated Business Combination, FIAC and DevvStream have prepared, and FIAC has filed a Registration Statement on Form S-4 (the “Registration Statement”) containing a prospectus with respect to the securities to be issued in conne
Slide 6: Contents
Executive summary Introduction to DevvStream Financial overview Appendix - Supplementary information & risk factors C O P Y R I G H T © D E V V S T R E A M , I N C W W W . D E V V S T R E A M . C O M 2 C O N T E N T S
Slide 7: Executive Summary
EXECUTIVE SUMMARY Q Dewstrear
Slide 8: Focus Impact is the socially forward SPAC
F O C U S I M P A C T I S T H E S O C I A L L Y F O R W A R D S P A C DevvStream is the perfect fit for Focus Impact’s mission. Focus Impact Partners has created a social-forward vehicle as a response to stakeholders' demands for companies to deliver both financial and societal value. The Focus Impa
Slide 9: DevvStream's Leadership
~25 years experience in business development and operations. Held various senior-level business development roles at Avnet (NASDAQ: AVT) and Arrow Electronics (NYSE: ARW). Chris Merkel CHIEF OPERATING OFFICER D E V V S T R E A M ’ S L E A D E R S H I P DevvStream CEO and Founder Sunny Trinh speaks
Slide 10: Transaction Summary
T R A N S A C T I O N S U M M A R Y ILLUSTRATIVE KEY TRANSACTION HIGHLIGHTS Pre-money equity value of DevvStream of ~$145M. ~$211M enterprise value of the combined company to market. Pro-forma equity value of the combined company of ~$216M. Assumes 50% redemptions, leaves ~$10M of cash in trust, and
Slide 11: Introduction to DevvStream
11 I N T R O D U C T I O N T O D E V V S T R E A M
Slide 12: Carbon is already a $1 trillion market
C A R B O N I S A L R E A D Y A $ 1 T R I L L I O N M A R K E T SIGNIFICANT & GROWING MARKET 1) 2) 3) Equal to one metric ton of carbon dioxide removed Barclays Voluntary Carbon Markets Report American University School of International Service, “Fact Sheet: Nature-Based Solutions to Climate Change”
Slide 13: Restoring trust and integrity in carbon markets
“The speakers emphasized the need for high-integrity approaches to carbon crediting to ensure the credits reflect real greenhouse gas reductions and do not displace other investments in reducing companies’ emissions.” R E S T O R I N G T R U S T A N D I N T E G R I T Y I N C A R B O N M A R K E T S
Slide 14: The pillars of DevvStream's business
T H E 3 P I L L A R S O F D E V V S T R E A M ’ S B U S I N E S S ENVIRONMENTAL ASSET GENERATION Carbon credits, water credits and international renewable energy certificates (I- RECs) Project manager for eligible technologies and activities DevvStream generally retains 25% of the asset stream with
Slide 15: A scalable and defensible approach
OFFSET PROJECT Unlimited number of activities Multiple locations Multiple project owners Development cost $75k – $150k1 Annual maintenance costs $25k – $60k1 Pros: Cost efficiency, scalability, unlimited number of activities, partners, adaptability to jurisdictional credit programs, data tracking vi
Slide 16: Advantages of technology-based projects
Given the ease with which the projects are measured, annual audits are straightforward for technology-based projects when compared to legacy projects—particularly when technology-based projects are on a blockchain. Can provide more accurate quantification Designed to provide straightforward, verifia
Slide 17: Large and diversified pipeline
L A R G E A N D D I V E R S I F I E D P I P E L I N E 140+ 16 ACTIVE PROJECTS Multiple opportunities for expansion exist for each contract. Total pipeline represents an opportunity to generate 30M+ credits/year ($450M+/year) across 140+ projects. Select nature- based C O P Y R I G H T © D E V V S T
Slide 18: Program example: EV charging
P R O G R A M E X A M P L E : E V C H A R G I N G C O P Y R I G H T © D E V V S T R E A M , I N C W W W . D E V V S T R E A M . C O M 12 As of May 2023, there are over 3.9 million public EV charging points worldwide. Fast Chargers with typical use can generate up to $10K per year from credits. L2 (p
Slide 19: Program example: industrial energy efficiency
Industrial and manufacturing facilities upgrading their equipment to reduce energy consumption are eligible for carbon credits. Contract signed with nonprofit in semiconductor industry and manufacturing with over 1,500 corporate members. C O P Y R I G H T © D E V V S T R E A M , I N C W W W . D E V
Slide 20: High-quality and scalable offtake agreements
H I G H - Q U A L I T Y & S C A L A B L E O F F T A K E A G R E E M E N T S Clean Water in Rural Africa Project Location: Sub-Saharan Africa Registry: Gold Standard Credit types: VER: avoided deforestation WBC (water credits): clean water delivery W+ credits: women’s empowerment Status: PDD undergoi
Slide 21: Pending opportunities: IDDHHI
P E N D I N G O P P O R T U N I T I E S : I D D H H I Status: contract signed IDDHHI has contracts with multiple large renewable energy facilities 1.3GW of solar in Macedonia (1.5M I-RECs/year) 600MW geothermal in Indonesia (4M I-RECs/year) Expected to increase to 1.3GW by 2028 Agreement with Philip
Slide 22: Pending opportunities: Green Cross UK
P E N D I N G O P P O R T U N I T I E S : G R E E N C R O S S U K Source: Management estimates C O P Y R I G H T © D E V V S T R E A M , I N C W W W . D E V V S T R E A M . C O M 21 Status: contract signed Grain storage project to eliminate 30M tons of grain lost annually Total grain lost is over 45
Slide 23: Financial Overview
FINANCIAL OVERVIEW (?) DevvStream
Slide 24: High-level financial profile
H I G H - L E V E L F I N A N C I A L P R O F I L E The underlying assumptions for the company’s financial projections can be found in its Proxy Statement, filed on August 9, 2024 and linked as follows: https://www.sec.gov/Archives/edgar/data/1854480/000114036124036478/ny20010621x15_424b3.htm Update
Slide 25: Comparable company selection
C O M P A R A B L E C O M P A N Y S E L E C T I O N No perfect public comparable is available, but an array of relevant companies exist and offer a strong basis for comparison. Relevant industries include: Proprietary cleantech manufacturers Carbon market intermediaries Renewable energy developers Y
Slide 26: Comparable benchmarking
15.3 7.4 2.1 NM 8.4 4.2 10.1 9.3 8.3 10.1 8.0 3.9 13.7 16.3 17.9 31.6 10.2 PROJECTED EV / EBITDA 2026 C O P Y R I G H T © D E V V S T R E A M , I N C W W W . D E V V S T R E A M . C O M 24 Cleantech & renewables Yields C O M P A R A B L E B E N C H M A R K I N G ILLUSTRATIVE ENTERPRISE VALUE * 7.0X
Slide 27: Appendix: Supplementary information & risk factors
27 R I S K A P P E N D I X : S U P P L E M E N T A R Y I N F O R M A T I O N & F A C T O R S
Slide 28: Leadership with experience in technology & ESG
Sunny Trinh Chief Executive Officer ~25 years experience in technology, ESG and carbon markets Led innovation, engineering and sales at Avnet (NASDAQ: AVT) and Arrow Electronics (NYSE: ARW) working with dozens of companies in renewable and energy efficiency technologies David Goertz Chief Financial
Slide 29: Board comprised of thought leaders
Tom Anderson Chairman Founder and CEO of Devvio, a leading provider of enterprise blockchain solutions for ESG markets Successful entrepreneur with multiple exits including large IP sale to Facebook B O A R D C O M P R I S E D O F T H O U G H T L E A D E R S Michael Max Buehler Director C O P Y R I
Slide 30: Select media mentions
S E L E C T M E D I A M E N T I O N S DevvStream is a recognized leader in technology-based carbon credit generation. DevvStream CEO and Founder Sunny Trinh (seated on left) speaks at the UN Science Policy-Business Forum. C O P Y R I G H T © D E V V S T R E A M , I N C W W W . D E V V S T R E A M .
Slide 31: Risk Factors
R I S K F A C T O R S C O P Y R I G H T © D E V V S T R E A M , I N C W W W . D E V V S T R E A M . C O M 28 Certain factors may have a material adverse effect on our business, financial condition and results of operations. The risks and uncertainties described below are not the only ones we face. A
Slide 32: Risk Factors
R I S K F A C T O R S C O P Y R I G H T © D E V V S T R E A M , I N C W W W . D E V V S T R E A M . C O M 28 The risks described herein are not the only ones DevvStream or FIAC face. Additional risks that are not currently known or that are currently believed to be immaterial may also impact our bus
Slide 33: Risk Factors
R I S K F A C T O R S C O P Y R I G H T © D E V V S T R E A M , I N C W W W . D E V V S T R E A M . C O M 28 Risks Related to Legal, Compliance and Regulations Our business and current and future operations are subject to liabilities and operating restrictions arising from regulatory r
Slide 34: Risk Factors
R I S K C O P Y R I G H T © D E V V S T R E A M , I N C W W W . D E V V S T R E A M . C O M 28 F A C T O R S The risks described herein are not the only ones DevvStream or FIAC face. Additional risks that are not currently known or that are currently believed to be immaterial may also impact our bus
Slide 35: Contact: Sunny Trinh, CEO
C O P Y R I G H T © D E V V S T R E A M , I N C W W W . D E V V S T R E A M . C O M S U N N Y T R I N H | C E O S U N N Y @ D E V V S T R E A M . C O M