Avantium N.V. · EURONEXT:AVTX
Avantium — Shareholder Meeting (June 2017)
28 slides from Avantium's shareholder meeting presentation, Jun 14, 2017
Slide 1: Avantium General meeting of Shareholders
Avantium General meeting of Shareholders Amsterdam, 14 June 2017
Slide 2: Opening
1 OPENING 2
Slide 3: Report of the Management Board for Financial Year 2016
2 REPORT OF THE MANAGEMENT BOARD FOR FINANCIAL YEAR 2016 3
Slide 4: Disclaimer
Disclaimer This presentation has been prepared by Avantium N.V. (the “Company”). For the purposes of this notice, the presentation that follows (the “Presentation”) shall mean and include the slides that follow, the oral presentation of the slides by the Company, the question-and-answer session that
Slide 5: Content
Content Company Strategy Progress made in 2016 Financial Results 2016 Update 2017 5
Slide 6: Company strategy
1 Company strategy 6
Slide 7: Company Strategy
1 Company Strategy Objective is to be a leader in the transition of the chemical industry to renewable chemicals and plastics By developing breakthrough technologies to make sustainable, biobased products that compete on performance and price By commercializing these technologies in partnershi
Slide 8: Company activities
1 Company activities YXY: ─ Furthest advanced technology to catalytically convert plant-based sugars (fructose) into biobased chemicals, such as FDCA and polymers, such as PEF Renewable Chemistries: ─ Development division of Avantium with a portfolio of projects focusing on the conversion of bio
Slide 9: Progress in 2016
2 Progress in 2016 9
Slide 10: Highlights 2016
2 Highlights 2016 We have recorded no safety accidents; safety remains our number 1 priority We have formed a Joint-Venture with BASF – incorporated under the name Synvina – for the commercialization of YXY, including the construction and operation of a reference plant for FDCA in Antwerp and li
Slide 11: Avantium structure 2016
2 Avantium structure 2016 Synvina: Joint Venture with BASF Renewable Chemistries 100% biobased, recyclable PEF with superior properties Zambezi: sugar from non-food biomass Major market potential in packaging materials and fibers Mekong: 1-step conversion to bio-MEG Volta: CO2 to chemicals
Slide 12: YXY: Joint-Venture formed with BASF
2 YXY: Joint-Venture formed with BASF, to build and operate a commercial scale plant with a production capacity up to 50kta Strategic rationale Accelerate FDCA & PEF market leadership Commercialize the YXY technology by licensing to enable global industrial scale production of PEF Leverage com
Slide 13: JV with BASF - Main terms and clauses
2 Day-to-day operations will be run by JV management and all strategic and material events will be decided unanimously JV with BASF - Main terms and clauses The participation in the Joint Venture is accounted for using the equity method. No consolidation (49% stake). Accounting Reported at net ass
Slide 14: JV with BASF - Main terms and clauses (cont'd)
2 Day-to-day operations will be run by JV management and all strategic and material events will be decided unanimously (cont’d) JV with BASF - Main terms and clauses Termination In case of termination of the JV, the YXY technology will return to Avantium For the following matters any shareholder w
Slide 15: JV with BASF - Distributions from the JV to Avantium
2 JV with BASF - Distributions from the JV to Avantium Description Comments 20% of the license income (revenue) until 2035 If Avantium‟s stake in the JV is reduced BASF is entitled to a sharp discount on the 1st ever license of under 40%, the earn-out % will decrease the JV within a certain ti
Slide 16: Renewable Chemistry – developing the next YXYs
2 Renewable Chemistry – developing the next YXYs Coherent portfolio, each targeting blockbuster markets ZAMBEZI YXY FDCA Glucose PEF MEKONG MEG Pursuing the most attractive opportunities through rigorous project management Gate Review Gate Review Gate Review YXY Zambezi Mekong 6 projects Volta Conce
Slide 17: Zambezi – biorefinery process for high purity glucose
2 Zambezi – biorefinery process for high purity glucose from non- food biomass Technology Benefits 2G feedstock Biomass: Reduce land use and environmental impact of 1G sugars forestry or agricultural Cascading the use of biomass for chemicals, materials and waste Acid energy Hemicellulose Cellul
Slide 18: Mekong – catalytic process for making biobased MEG
2 Mekong – catalytic process for making biobased (MEG) Technology Market MEG market: $25 billion1 Applications: polyester fiber, PET film, bottles, solvents, de- Glucose icing fluids. PET consists for approximately 30% of MEG1 Currently, approximately 1% of the MEG production (250,000 ton) i
Slide 19: Volta – CO2 to chemicals via electrochemistry
2 Confidential Volta – CO2 to chemicals via electrochemistry Opportunity of Electrochemistry Volta technology Renewable electricity is expected to become cheaper and increasingly important in chemical processes Avantium is working on electrochemistry since 2013, funded by €2.3m of subsidy Elec
Slide 20: Catalysis: Cash flow generating business
2 Catalysis: Cash flow generating business, maintaining technological leadership in advanced catalysis R&D Flowrence XD Refinery Catalyst Testing Launched new Catalyst Testing System for Early- Expanded testing Stage Discovery services to more refining processes. Strategy Execution Stable cash f
Slide 21: Financial Results 2016
3 Financial Results 2016 21
Slide 22: Cash and cash equivalents
3 Cash and cash equivalents € million 25 20 (0,4) (1,3) (4,2) 15 10 20,0 2,6 (2,2) 14,2 5 7,0 (7,3) 0 31-dec-15 Catalysis (1) Renewable YXY (2) Convertible Innovation Liquid Light Other (3) 31-dec-16 Chemistries Loan Loan acquisition (1) repayment Cash position improved with € 7.2 million 1. 2. 3. R
Slide 23: Segment information – revenues (excluding YXY)
3 Segment information – revenues (excluding YXY) Catalysis Renewable Chemistries € million € million 12 12 -0,2% 10 10 8 8 6 10,3 10,2 6 4 4 2 2 0,0 0,3 0 0 2015 2016 2015 2016 Catalysis performance in 2016 in line with 2015 Renewable Chemistries income from MoU on project Zambezi 23
Slide 24: Net Profit for the year 2016
3 Net Profit for the year 2016 € million 60 10,5 (14,3) (3,8) (0,8) 40 (2,2) 48,8 20 38,1 0 Gain from YXY (1) Share in loss Revenues Operating Finance cost (2) Net profit 2016 transfer of JV expenses assets to JV Net profit impacted by one-off gain from JV incorporation (€ 49 million), increased inv
Slide 25: Update 2017
4 Update 2017 25
Slide 26: Events after balance sheet date
4 Events after balance sheet date 15 March 2017: ─ Avantium celebrates its Listing on Euronext Amsterdam and Euronext Brussels, raising € 103 million 13 April 2017: ─ Avantium announces partial exercise of over-allotment option bringing the gross proceeds of its IPO to € 109 million Subsequent
Slide 27: Events after balance sheet date (cont'd)
4 Events after balance sheet date (cont’d) 24 January 2017: ─ Avantium in Global Cleantech Top 100 26 April 2017: ─ Gert-Jan Gruter (CTO) named European Inventor Award 2017 finalist 22 May 2017: ─ Synvina receives interim approval from European PET Bottle Platform: PEF to be integrated in circ
Slide 28: Thank you for your attention
4 Thank you for your attention 28