Nuscale Power Corporation · NYSE:SMR
Nuscale Power — Spring Valley Acquisition — SPAC Merger (May 2021)
61 slides from Nuscale Power's SPAC merger presentation, May 25, 2021
Slide 1: AeroFarms Analyst Day | May 24, 2021
™ AeroFarms Analyst Day | May 24, 2021
Slide 2: Disclaimer
Disclaimer Holdings, Inc. (“Dream”) and Spring Valley Acquisition Corp. (“Spring Valley”) and related transactions (the “Proposed Business Combination”) and for no other purpose. No representations or warranties, express or implied are given in, or in respect of, this Presentation. To the fullest ex
Slide 3: Important Information and Where to Find It
Important Information and Where to Find It Disclaimer (cont’d) No Offer or Solicitation This communication does not constitute an offer to sell or a solicitation of an offer to buy, or the solicitation of any vote or approval in any jurisdiction in connection with the Proposed Business Combination a
Slide 4: AeroFarms is bringing agriculture to new heights through technology and innovation
AeroFarms is bringing agriculture to new heights through technology and innovation 4
Slide 5: Transaction Overview
Transaction Overview ▪ In March 2021, AeroFarms entered into an agreement to merge with Spring Valley Acquisition Corp. (Nasdaq: SV) TRANSACTION SIZE ▪ ▪ ▪ The business combination fully funds the equity for the business plan as presented in the projections – constructing 16 farms, developing future
Slide 6: Today's Agenda
Today’s Agenda COMPANY OVERVIEW David Rosenberg (CEO and Co-Founder) and Gary Cohen (CRO) TECHNOLOGY PLATFORM Roger Buelow (CTO) and Stacy Kimmel, PhD (VP of R&D) LEAFY GREENS PRODUCTS Marc Oshima (CMO and Co-Founder) and Dane Almassy (VP of Sales) LEAFY GREENS FARMS Andreas Sokollek (COO) and Gary
Slide 7: AeroFarms Vision and the Future of Farming
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 AeroFarms data science driven and fully-controlled proprie
Slide 8: Company Overview
COMPANY OVERVIEW David Rosenberg (CEO and Co-Founder)
Slide 9: AeroFarms Leads the Industry in Vertical Farming and More
AeroFarms Leads the Industry in Vertical Farming and More FARM OPERATIONS TECHNOLOGY INNOVATION DATA SCIENCESTRATEGIC PARTNERSHIPS 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
Slide 10: Champion for Plants, People and the Planet
Champion for Plants, People and the Planet Stewarding Sustainability AeroFarms was the first and only agriculture company honored by the Ellen MacArthur Foundation as one of the Circular Economy 100 Inaugural Winners Proud to be a B Corporation AeroFarms has been a B Corporation since 2017, certifie
Slide 11: World Class Leadership Team with Decades of Experience
World Class Leadership Team with Decades of Experience David Rosenberg Chief Executive Officer and Co-Founder ▪ Successful serial entrepreneur, 14+ years leading Silicon Valley VC backed companies Member of World Economic Forum (WEF) and WEF Global Internet of Things Council Co-founded and co-chaire
Slide 12: Backed by a Strong Board and Investor Base
Backed by a Strong Board and Investor Base INVESTOR BASE David Rosenberg Chief Executive Officer and Co-Founder Stephan Dolezalek Non-Executive Chairman Audit Committee Compensation Committee Jim Borel Compensation Committee Chair Alastair Cooper Audit Committee Deborah Frodl Compensation Committee
Slide 13: Helping Solve the Global Sustainability and Food Crisis
Helping Solve the Global Sustainability and Food Crisis Macrotrend AeroFarms Solution 1 World Resources Group: The Future of Fresh Water; 2 Environmental Outlook to 2050: The consequences of Inaction; 3 The Guardian: Earth has lost a third of arable land in past 40 years; 4 US FDA: Metals and Your F
Slide 14: Unrivaled Sustainability and Productivity
Unrivaled Sustainability and Productivity High-tech GreenhouseConventional Farming FASTER Up to 26 Crop turns 12Crop turns 1 - 3Crop turns CROP TURNS ¹ YIELD HIGHER OUTPUT Up to 390x lbs/sqft1 12xlbs/sqft 1xlbs/sqft MORE EFFICIENT Up to 95% Water savings 90%Water savings0%Water savings WATER USE BET
Slide 15: Growing Market Opportunity in Vertical Farming
Growing Market Opportunity in Vertical Farming ✓ The Controlled Environment Agriculture (CEA) sector has gained market share over the last several decades ✓ High-tech greenhouses are limited in their capabilities compared to vertical farms ✓ Vertical farms have emerged as an alternative to greenhous
Slide 16: Fresh Produce is a $1.4 Trillion Industry
Fresh Produce is a $1.4 Trillion Industry Global fresh produce breakdown (2019) ² Leafy greens Leafy greens, baby greens, microgreens, herbs, and niche 2 From 2019 to 2023, fresh produce is projected to From 2019 to 2023, leafy greens is projected to Other¹ vegetables varieties: $78 BILLION ³ Berrie
Slide 17: Innovating Vertical Farming at Scale for Years
Innovating Vertical Farming at Scale for 15 Years Understanding how innovation in vertical farming scales is important. Since its founding in 2004, AeroFarms has differentiated from the industry, proving its technology, testing innovation and evolving its design through five generations of farm mode
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Slide 19: Market Leader with Vertical Integration Across All Disciplines
Market Leader with Vertical Integration Across All Disciplines of vironme Controlled E Deep understanding of plant biology Data science enabling fully-connected agriculture Mechanical design of grow towers and ancillary equipment Optimizing plant performance enables: ✓ New varieties Higher quality ✓
Slide 20: Key Components of AeroFarms' Technology Platform
Key Components of AeroFarms’ Technology Platform Advanced grow towers ▪ Aeroponic technology to allow plant roots to receive the optimal amount of nutrients at the optimal time ▪ Proprietary cloth um Expertise in HVAC and building design Unique horticulture luminaire and LED technology Extensive lib
Slide 21: Understanding Plant Biology at Unprecedented Levels
Understanding Plant Biology at Unprecedented Levels ▪ AeroFarms has grown over 550 varieties of leafy greens and other fruits and vegetables ▪ Team of plant scientists develop custom algorithms to precisely define the conditions each plant needs to thrive ▪ This understanding allows AeroFarms to opt
Slide 22: Precision Control Enabling Unparalleled Performance for Plants
Precision Control Enabling Unparalleled Performance for Plants Influencing Genetics and Their Expression through Environmental Inputs… …Improves Plant Outputs and Farm Economics AIR SPEED LIGHT SPECTRUM TEMPERATURE RELATIVE HUMIDITY Taste Texture Nutrition LIGHT INTENSITY CO2 LEVELS WATER LEVELS Yie
Slide 23: Integrating Mechanical Design to Optimize Performance
Integrating Mechanical Design to Optimize Performance Examples of integrated components include: LED LIGHTING: By managing its supply chain and controlling design, AeroFarms sources lights that it believes are 5 – 25% more efficient and as little as half the cost as those from today’s largest indust
Slide 24: Innovating in Lighting for Cost Savings and Greater Efficiency
Innovating in Lighting for Cost Savings and Greater Efficiency Greater Efficiency Performing at what AeroFarms believes is 5 to 25% more efficient than LEDs from today’s largest industry suppliers, resulting in lower operating expenses Adaptable Design lighting to be agnostic of LED die sources and
Slide 25: agSTACK System Powers a Fully-Connected Farm
agSTACK System Powers a Fully-Connected Farm HARDWARE AeroFarms hardware includes a combination of proprietary grow tower components and AeroFarms customized systems, sensors, valves and pumps INTELLIGENT agSTACK Custom control systems are engineered in-house and use AeroFarms programming code libra
Slide 26: Vast Library of Data Enables a Networking Effect Across Farms
Vast Library of Data Enables a Networking Effect Across Farms GROW THE BEST PLANTS POSSIBLE Sensors, controls and multi-spectral imaging allow AeroFarms to deliver the right light, water, nutrients, oxygen, DATA COLLECTION CO2 and temperature most suited for each plant variety throughout its farms A
Slide 27: Harnessing Machine Vision to Capture Plant Insights
Harnessing Machine Vision to Capture Plant Insights Leaf size segmentation to inform plant health and potential yields Machine learning used to detect health of plants Pixel-based analysis used to detect plant health Note: plants in selected images are intended to represent a variety of plant condit
Slide 28: Applying the AeroFarms Platform to Innovate Plant Genetics
Applying the AeroFarms Platform to Innovate Plant Genetics SAMPLE GENETICS PARTNERSHIPS AeroFarms has partnered with Hortifrut, the largest global blueberry grower, to jointly research and develop blueberry and caneberry production optimized for indoor growing AeroFarms is a Founding Member of the P
Slide 29: AeroFarms Innovation Drives Improvements Across the Farm
AeroFarms Innovation Drives Improvements Across the Farm LIGHTING EFFICIENCY AeroFarms’ LED efficiency has increased 59% over the last five years YIELD IMPROVEMENT From January to December 2020, AeroFarms saw a 23% increase in yield1 IMPROVED GENETICS Improving plant genetics by isolating variables
Slide 30: Dedication to Investment in Technology and IP
Dedication to Investment in Technology and IP A WORLD CLASS INNOVATION TEAM……FUELS A ROBUST AND GROWING IP PORTFOLIO1 Technological innovation is driven by AeroFarms’ world-class team of 45 INNOVATORS, who make up 50% of all corporate employees, including: 290 invention disclosures 64 active inventi
Slide 31: Bringing R&D to the UAE and the Middle East Region
Bringing R&D to the UAE and the Middle East Region ▪ AeroFarms expects to break ground on its Abu Dhabi Research Center (AgX) in June 2021 ▪ R&D at AgX is expected to enable new business lines, technologies and the growth of the AeroFarms platform, while serving as a hub for regional expansion ▪ AgX
Slide 32: Leafy Green Products
LEAFY GREEN PRODUCTS 03 32
Slide 33: Leafy Greens are the Ideal Initial Category for Disruption
Leafy Greens are the Ideal Initial Category for Disruption AEROFARMS provid ❑ Less spoilage ❑ No food contamination ❑ Less variability in quality ❑ No supply seasonality ❑ Fewer risks due to centralized production ❑ Less pesticide use ❑ Lower supply chain / transportation costs ✓ Superior flavor and
Slide 34: Winning at Retail with Great Tasting Leafy Green Products
Winning at Retail with Great Tasting Leafy Green Products In 2020 AeroFarms products performed on average 50% better than the a¹verage velocity per SKU of the indoor farming industry AeroFarms received a best-in-class Net Promoter Score of 55; 57% higher than the indoor vertical farming segment aver
Slide 35: Top Tastemakers Applaud AeroFarms Products
Top Tastemakers Applaud AeroFarms Products “An exquisite culinary experience” Edmund LaMacchia, VP of Procurement – Perishables, Whole Foods Market (former) “This is what I love about AeroFarms – that it's technology that's allowing people to farm better and smarter – and it makes really delicious f
Slide 36: Representative Customer Mix Aligns with Expansion Strategy
Representative Customer Mix Aligns with Expansion Strategy NATURAL AeroFarms has sold to Whole Foods Market since 2017 and partnered to introduce two microgreen SKUs in Q4 2019 ECOMMERCE AeroFarms sells a portfolio of SKUs to strategic ecommerce partners with the ability to scale regionally and nati
Slide 37: Powerful Brand Messaging Resonates with Shoppers
Powerful Brand Messaging Resonates with Shoppers In 2021, AeroFarms refreshed its consumer brand; rather than lead with product attributes alone, AeroFarms’ brand today aligns with shoppers who more than ever are embracing technology (the how) and sustainability (the why). Leading with purpose: Aero
Slide 38: AeroFarms Products Represent a Spectrum of Flavor
AeroFarms Products Represent a Spectrum of Flavor ™ The FlavorSpectrum represents the breadth of flavors and varieties grown by AeroFarms. Across the leafy greens packaging line, each color is paired with a specific tasting note: cool blue colors represent sweet and mellow notes, while intense reds
Slide 39: Strong Brand Presence Brings Value to the AeroFarms Story
Strong Brand Presence Brings Value to the AeroFarms Story 2018 - 2020 MEDIA SHARE OF VOICE1 TOP TIER EARNED MEDIA AeroFarms innovation and expertise has been featured in leading international media outlets and publications PARTNERSHIPS WITH TOP TASTEMAKERS AeroFarms has a flavor halo with some of th
Slide 40: Leafy Green Farms
40 LEAFY GREEN FARMS 04Andreas Sokollek (COO) and Gary Cohen (CRO)
Slide 41: Operating at Scale at Target KPI Levels
Operating at Scale at Target KPI Levels With its experienced team and a robust set of over 200 standard operating procedures, AeroFarms has operated its Newark farm at target KPI levels and is ready to scale to new farms across the US. PROCUREMENT AeroFarms procurement team strategically sources key
Slide 42: AeroFarms has Broken Ground on its Next Farm in Danville, VA
AeroFarms has Broken Ground on its Next Farm in Danville, VA AeroFarms began construction on its Danville, Virginia, farm in April 2021 and expects to begin commercial operations in mid-2022. 50mm+ people within 1 day’s drive1 representing unmet market potential 1,000+ food retailers in the region a
Slide 43: Farm Pipeline
FARM PIPELINE DANVILLE, VIRGINIA NTEarXgeTt loFcaAtioRnMs Partial list oFfUloTcaUtioRnsEtoFsAervRe MtarSget markets SITE SELECTION METHODOLOGY April 2021 Model 5, 48-tower farm Q1 20221 48-tower farm Q2 20221 48-tower farm Q3 20221 48-tower farm Newark, NJ Prioritize locations for new farms consider
Slide 44: Growth Opportunities
GROWTH OPPORTUNITIES 05 44
Slide 45: Leveraging Growth through Strategic Partners Across Sectors
Leveraging Growth through Strategic Partners Across Sectors SAMPLE COMPANIES Largest global blueberry grower Israeli lighting company Communications and technology research arm of Nokia Plant nutrition and fertigation company Agricultural biotechnology company Multinational computer technology compa
Slide 46: Steering over $15M in Federal and State Funding
Steering over $15M in Federal and State Funding at the World’s Top Agriculture Universities Greenhouse Lighting and Systems Engineering (GLASE) AeroFarms is on the Industry Advisory Board member recommending research on controlled environment agriculture OptimIA AeroFarms is a member of the economic
Slide 47: Accessing $1.8 Trillion Market Opportunity
Accessing $1.8 Trillion Market Opportunity Strategic Partnerships Expansion into Berries and Other Markets Pharmaceuticals, Nutraceuticals and Cosmeceuticals Advanced Genetics Products and Services Technology Components Fresh produce market opportunity: $1.3tn1 Producing higher-quality berries and o
Slide 48: The Strawberry Market is Ripe for Disruption
The Strawberry Market is Ripe for Disruption Large Market Each year Americans eat an average of approximately 8 lbs. of fresh strawberries per person1 Seasonal Supply Strawberries today are subject to a seasonal supply chain, with most US fresh strawberries grown in California1 High Pesticide Use™ S
Slide 49: Preparing for Future Commercial Expansion into New Markets like Berries
Preparing for Future Commercial Expansion into New Markets like Berries AeroFarms’ grows better berries, measured by sweetness, all year round, using zero pesticides AeroFarms has grown over 50 varieties of strawberries to date, each with a unique size, shape and flavor profile AeroFarms has a co-de
Slide 50: Financial Overview
50 FINANCIAL OVERVIEW 06Guy Blanchard (CFO)
Slide 51: Future Farm Development Is Enabled by Demonstrated Performance of Core KPIs
Future Farm Development Is Enabled by Demonstrated Performance of Core KPIs that Drive Unit Economics at Scale Core KPIs tracked at Model 4 farm (Newark commercial farm) are shown where 100% represents 100% of business plan target for a Model 5 farm1 HARVEST YIELD Harvest yield measures how much pla
Slide 52: Projected Farm Unit Economics Summary
Projected Farm Unit Economics Summary AeroFarms has estimated future farm unit-level economics based on current farm performance and improvements enabled by continuing development of technology. Model 5 has estimated economics based on AeroFarms’ April 2021 design for new farms Model 6 is “performan
Slide 53: Achieving Model and Financial Performance
Achieving Model 6 and 7 Financial Performance Model 6 Alpha Prototype in Newark has demonstrated sustained yields 26% above the Model 5 target, and peak yields of more than 75% above the Model 5 target — more than the gains that are needed to achieve future modeled financial performance. Equivalent
Slide 54: Models & Financial Performance Pathways: COGS
Models 6 & 7 Financial Performance Pathways: COGS Higher yields, as illustrated on the prior slide, create meaningful operational leverage in AeroFarms’ cost structure. Additionally, COGS savings over time are expected to drive higher margins, cash flows and returns on capital. % Total COGS →me Cost
Slide 55: Models & Financial Performance Pathways: CapEx, Revenue
Models 6 & 7 Financial Performance Pathways: CapEx, Revenue Capital savings over time are expected to reduce capital costs and drive capital efficiency from Model 5 to Models 6 & 7. Beyond yield, revenue gains are achievable through price, to achieve Models 6 & 7 financial performance. 55
Slide 56: AeroFarms Financial Overview
AeroFarm¹ s Financial Overview FARM COUNT # of towers REVENUE ($mm) 144 grow tower farms 48 grow tower farms 768 1,008 13 1,248 16 1,248 16 192 48 432104 55 $825 4191111 $553 1467 $4$13$54$163$330 % growth of towers 300% 125% 78% 31% 24% NM% growth 226% 305%201%102% 67%NM GROSS PROFIT ($mm) EBITDA (
Slide 57: Transaction Summary
Transaction Summary AeroFarms Equity Rollover All values in $mm $800 Cash to Merged Company Balance Sheet 347 Estimated Transaction Expenses 40 Total Uses $1,187 PRO-FORMA CAPITALIZATION (at $10.00) Pro-Forma Shares Outstanding1 123.1 Post-Money Equity Value $1,231 (-) Net Cash 375 Pro-Forma Implied
Slide 58: Valuation Benchmarking
Valuation Benchmarking ENTERPRISE VALUE / REVENUE Sustainable High-growth Food Overall Median: 6.3x 2.6x 4.2x 6.0x 3.6x 8.0x 10.1x 4.6x 2.4x Monster BeverageFevertree DrinksTattooed ChefVital Farms 2025E2026E Corporation ENTERPRISE VALUE / EBITDA Sustainable High-growth Food High-growth Food and Bev
Slide 59: AeroFarms Company Highlights
AeroFarms Company Highlights AeroFarms has a 15+ year track record of vertical farming at scale and an expert management team that is revolutionizing the farming industry Technology and data are a competitive differentiator and moat for AeroFarms AeroFarms sells leafy greens commercially with a bran
Slide 60: AeroFarms
AcROFARMS
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