Camplify Holdings Ltd. · ASX:CHL
Camplify — Investor Presentation (October 2022)
46 slides from Camplify's investor presentation, Oct 19, 2022
Slide 1: Camplify a True Global Player
Camplify a True Global Player Camplify AU | NZ | UK | ES April 2021 October 2022
Slide 2: Disclaimer & Important Notices
Disclaimer & Important Notices This presentation has been prepared by Camplify Holdings Limited (ACN 603 217 287) (Company) and is provided to the recipients on the terms Past performance and conditions set out in this notice (Disclaimer). This presentation has been prepared solely for the use and b
Slide 3: Disclaimer & Important Notices (ctd.)
Disclaimer & Important Notices (ctd.) To the maximum extent permitted by law, each of the Company and the Other Persons make no representation or warranty, express or implied, not to place undue reliance on any non-IFRS financial information / non-GAAP financial measures included in this presentatio
Slide 4: Today’s Presenters
Today’s Presenters Justin Hales Andrea MacDougall Dirk Fehse John Myler Camplify Founder & Chief Camplify Chief Financial Officer PaulCamper Founder and Chief Strategic Advisor to Camplify Executive Officer Executive Officer • Founder of Camplify • Andrea is an experienced CFO for • Founder of PaulC
Slide 5: PaulCamper Highlights
PaulCamper Highlights Doubles the size of the existing Camplify business – fleet size, bookings, gross profit, and customers. Camplify becomes a key leading European P2P business with critical mass and scalability. Securing the largest market in Europe, Germany. Creates a significant beachhead in Eu
Slide 6: Acquisition Acceleration to Profitability and Scalability
Acquisition Acceleration to Profitability and Scalability This acquisition is a strategic acquisition that accelerates Camplify’s pathway to cashflow positive position and profitability– on a pro-forma FY23 basis. On a pro-forma basis pre-synergies this acquisition provides an EBITDA Accretion of 28
Slide 7: PaulCamper acquisition summary
PaulCamper acquisition summary Acquisition Camplify Holdings Limited (“Camplify”) has entered into a binding agreement to acquire 100% of the shares in PaulCamper GmbH (“PaulCamper”) (the “Acquisition). The consideration payable by Camplify for the Acquisition is A$47.6m1 (€30.88m) (“Purchase Price”
Slide 8: Expansion Program Highlights
Expansion Program Highlights Enables Camplify to setup and build an insurance Managing General Agency (MGA) Building towards a global insurance product with a focus on the EU and UK markets. Provides capital to expand our Temporary Accommodation Program nationally Accelerates pathway to cashflow pos
Slide 9: Transaction Summary
Transaction Summary Strategic • Provides Camplify with the opportunity to enhance insurance services and expand insurance division. Allows for higher margin in-house insurance products globally Rationale • Improves insurance position enabling a clear pathway to create an insurance product in all Cam
Slide 10: About PaulCamper
About PaulCamper Camplify 10
Slide 11: About PaulCamper
1. 2. PaulCamper Details Market Share by • Market leader in Germany and Country established in 3 other markets About PaulCamper • Germany – 92% • Scalable and capital light PaulCamper was founded in 2013 out of CEO Dirk Fehse’s personal experience of exploring business • Netherlands – 6% Australia i
Slide 12: Strategic Rationale
Strategic Rationale The Acquisition accelerates Camplify’s expansion into Europe and transforms the Company into a leading global player in the RV rental market Acceleration to Makes Camplify a True Global Transformational Combination Cementing of Europe Profitability via Insurance Enhancement Playe
Slide 13: PaulCamper has experienced robust growth across all operating metrics
PaulCamper has Total Fleet Return Customers 14,000 25% experienced robust growth 12,000 across all operating metrics 20% 10,000 15% Throughout the Covid-19 pandemic PaulCamper has seen 8,000 increases in numbers of bookings, new owners, new RVs listed on the website and new hirers, with a steady num
Slide 14: PaulCamper Insurance
PaulCamper Insurance Insurance Overview PaulCamper has a subsidiary to act as an insurance broker; “PaulCamper Insurance Broker GmbH (“PCIB”). PCIB allows PaulCamper to operate as an insurance broker to customers in its current European markets. PCIB has been granted an Appointed Representative lice
Slide 15: A Significant Marketplace Operator Globally and in Europe
A Significant Marketplace Operator Globally and in Europe Total Fleet EU Fleet Camplify PaulCamper Combined Camplify PaulCamper Combined 25,048 15,432 12,786 12,262 12,786 2,646 Total Fleet EU Fleet Total Bookings EU Bookings Camplify PaulCamper Combined Camplify PaulCamper Combined 47,307 83,575 43
Slide 16: Insuring our Future
Insuring our Future Camplify AU | NZ | UK | ES April 2021
Slide 17: Strategic Priorities
Strategic Priorities 1. 2. 3. Development of MGA Dedicated TAP Team Integrate and Automate • Camplify intend to leverage AER • Build on the momentum and • Centralising business services and Premium Membership government contracts Camplify (e.g. marketing, accounting, and products to increase revenue
Slide 18: Key Objectives; Insurance
Key Objectives; Insurance 1. Provide a single global insurance product Developing a Global Insurance Solution across all markets The current insurance solution for Camplify and it’s customers is fragmented and 2. Provide a simple fully integrated approach requires multiple products in a Varity of co
Slide 19: Temporary Accommodation Expansion
Temporary Accommodation Key Objectives; Expansion 1. Implement a dedicated TAP team into Camplify 2. Provide improved booking and invoicing Developing a dedicated division capabilities to government agencies and Over the past 12 months Camplify has dramatically expanded it’s Temporary Accommodation
Slide 20: PaulCamper Integration and Optimisation
Cost Synergies - A$0.5m EBITDA Benefit PaulCamper Integration and Optimisation 1. Centralising core business functions to eliminate duplication. Achieving Synergies and Increase Revenue 2. Enhanced scale should enable the Company to With the recent acquisition of PaulCamper Camplify will invest in a
Slide 21: A Powerful Single Global Platform
A Powerful Single Global Platform Camplify 21
Slide 22: Powered by Proprietary Tech
Powered by The Owner Preparedness Journey is identified as one of the key processes and differentiators for Camplify, recruiting and Proprietary Tech empowering owners on the platform as quickly as possible Camplify will leverage its investment in technology to achieve further scale 99% of listings
Slide 23: Integration and Development to a Single Platform
Integration and Completed Development to a Project Single Platform Camplify completed the Camplify’s go to market acquisition of Mighway and SHAREaCAMPER in April 2022. strategy is to have a simple and seamless approach for Within 4 weeks the SHAREaCAMPER platform was fully migrated to the customers
Slide 24: Vision for the Future
Vision for the Future Camplify Holdings Limited Camplify & PaulCamper combined will provide a scalable global platform primed for future growth. It is anticipated that platform unification Scale and efficiencies through single entity would: • Create an end to end platform for the 4 marketplaces unde
Slide 25: Financial Overview
Financial Overview Camplify AU | NZ | UK | ES April 2021
Slide 26: Marketplace Performance
Marketplace Performance PaulCamper CY22 Paul Camper CY22 Key Points RV's 12,786 Bookings 43,458 • PaulCamper has been growing, and profitable in AUD $M CY22 GTV (incl. Van Sales) 58.0 GTV (excl. Van Sales) 58.0 • Take rate increased in FY22 due to introduction of a Take Rate (exc van sales) 19% comm
Slide 27: Expand Insurance Capabilities
Expand Insurance Capabilities Capital Contribution to Performance Gross Margin Revenue Increase Timing Increase Key Points Insurance; +4.5% ~A$3.3m FY24 • Implementation of additional commission due to Increase to 66% migration to MGA increased commission and gross margin • Ability to provide additi
Slide 28: Proforma Capital structure
Proforma Capital Proforma Camplify Shares on Issue 30 June 2022 structure Management Shareholders Escrow Breakdown Free float 1,838,604 Escrowed Shares (til 28/6/23) 12,610,520 PaulCamper Non-Management • 15% released 2 weeks after H1FY23 results Non-Management Shareholders • 30% released 2 weeks af
Slide 29: Proforma Balance sheet
Proforma Balance sheet Placement/ Camplify PaulCamper Consolidation Combined $ Millions FY22 FY22 FY22 FY22 Assets • Strong balance sheet post-transaction with $23.7m Current Assets in cash and no debt finance Cash & equivalents 15.0 4.5 4.2 23.7 • Camplify and PaulCamper both operate under an Total
Slide 30: Equity Raising Overview
Equity Raising Overview Camplify AU | NZ | UK | ES April 2021
Slide 31: Equity Raising summary
Equity Structure and Size • Camplify is conducting an equity raising targeting to raise A$8.5 million (the “Offer”), comprising: - An A$8.5 million institutional placement to sophisticated and professional investors via a two- Raising tranche (“Placement”), comprising: - a $3.6m initial placement (“
Slide 32: Transaction Funding
Transaction Funding Sources of funds A$M Uses of funds A$M Institutional Placement – Tranche 1 3.5 Insurance Expansion 3.0 Institutional Placement – Tranche 2 5.0 TAP Expansion 1.5 Total Sources 1 8.5 Achieving Synergies 1.5 Working Capital and Growth Investment (incl. Transaction 2.5 costs) Total U
Slide 33: Equity Raising Timetable
Equity Event Date Raising Record Date for SPP 7:00pm Tuesday, 18 October 2022 Timetable Trading halt lifted and announcement Acquisition, completion of Placement and SPP Wednesday, 19 October 2022 Settlement of New Shares issued under Tranche 1 of the Placement Wednesday, 26 October 2022 Allotment a
Slide 34: Appendices
Appendices 1. Overview of Material Acquisition Terms 2. European Market Entry 3. Key Risks 4. Foreign Selling Restrictions 34
Slide 35: Overview of Material Acquisition Terms
Overview of Material Acquisition Terms Key Points • Camplify has entered into a Share Purchase Agreement with the shareholders of PaulCamper to acquire 100% of the shares of PaulCamper • Comprehensive warranties/indemnities obtained, with the majority of those covered by W&I insurance on European ma
Slide 36: Entry into a Significant European Market
Entry into a Significant European Market Camplify AU | NZ | UK | ES April 2021
Slide 37: The European Market Opportunity
Active by Camplify and PaulCamper The European Market Potential Expansion # Represents no. of RVs Opportunity 127k 174k 394k 5.6M privately owned RVs in Europe 3 133k 345 days per year private RVs remain unutilised 4 806k 570k 0.4% of all RVs are on RV rental 1,397k 103k platforms today >70% Market
Slide 38: German travellers frequent Australia and New Zealand
German travellers frequent Australia and New Zealand Camplify will cross-sell Australian RV rental to PaulCamper’s existing client base German visitors to NZ 1 +101k annually German visitors to Australia 2 +545k annually Tourism Australia Germany Traveller to Australia Summary • PaulCamper is the ma
Slide 39: Key Risks
Key Risks Platform risks As the Company operates a two-sided platform, the Company’s future growth and profitability is dependent on that platform being vibrant and active. The Company’s business relies on both Hirers utilising the platform and on Owners listing RV’s on the platform. The growth of t
Slide 40: Key Risks (cont’d)
Key Risks Competition The Company recognises the potential risk that existing competitors or new entrants to the market may increase the competitive landscape and have an adverse impact on the financial performance of the Company which in turn, would erode the Company’s revenue and market share. (co
Slide 41: Key Risks (cont’d)
Key Risks Compliance with laws and regulations The Company operates in a sector where the laws and regulations around its operations are evolving. There is a risk that new laws or regulations may be enacted, or existing laws and regulations may be amended in such a way that impose obligations on the
Slide 42: Key Risks (cont’d)
Vendor’s interests in the The consideration payable by the Company for PaulCamper includes the issue of ordinary shares in the Company to the vendors of the shares in Company PaulCamper (“Vendors”). This will result in the Vendors together holding a total of approximately 37.07% of the issued share
Slide 43: Key Risks (cont’d)
Key Risks Assumed liabilities: Following the acquisition of PaulCamper, the Company will be required to account for any outstanding liabilities that PaulCamper has incurred in the past, including any liabilities which were not identified during its due diligence or which are greater than expected, f
Slide 44: Foreign Selling Restrictions
Foreign Selling Restrictions Camplify AU | NZ | UK | ES April 2021
Slide 45: Foreign Selling Restrictions
Foreign Selling European Union This document has not been, and will not be, registered with or approved by any securities regulator in the European Union. Accordingly, this document may not be made available, nor may the New Shares be offered for sale, in the European Union except in circumstances t
Slide 46: Camplify AU | NZ | UK | ES April 2021
Camplify AU | NZ | UK | ES April 2021
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