Xplora Technologies As · OSL:XPLRA
Xplora Technologies As — Merger or Acquisition (September 2024)
23 slides from Xplora Technologies As's merger presentation, Sep 26, 2024
Slide 1: Disclaimer
Disclaimer The presentation (the “Presentation”) has been produced by Xplora Technologies AS (the “Company”) for information purposes only and does not in itself constitute, and should not be construed as, an offer to sell or a solicitation of an offer to buy any securities of the Company in any jur
Slide 2: Xplora Technologies: Strategic acquisition of Doro AB
Xplora Technologies Strategic acquisition Doro AB Held by: Sten Kirkbak 27. September 2024 Strictly Confidential 2
Slide 3: About Xplora
About Xplora Fast Xplora is the category leader within Smartwatches for kids. A large, untapped market with low penetration. facts: A highly scalable business model with recurring revenues. Nordics • 1.5 million Smartwatches sold 2 million N.America Kids • NOK +650m revenue (LTM) 30 million Kids Eur
Slide 4: Monetizing
Monetizing Watch sales Service Subscriptions B2B Services 9 MVNO Nordics Setups + US ✓ Prices from € 149 ✓ Basic and Premium Service ✓ % of telco Sim revenue ✓ Target 30% margin ✓ Target 80% margin ✓ X4 improved margin
Slide 5: Introducing an Accelerated Growth Strategy
Introducing an Accelerated Growth Strategy 1 million subscriptions Leveraging our unique market position Kids Your first phone Youth Addressing churn & societal problem Senior Safe and active senior years 5
Slide 6: From Capital Markets Day
From Capital Markets Day CMD Q1 2023 CMD Q2 2024
Slide 7: M&A Strategy
M&A Strategy Accelerating our growth strategy by strategic acquisition of Doro AB Xplora is a leading pioneer in offering innovative smart devices and services for children Creating a leading Doro is a leading European player within European producer of consumer electronics for consumer electronics
Slide 8: M&A Strategy
M&A Strategy Accelerating our growth strategy by strategic acquisition of Doro AB Xplora is a leading pioneer in offering innovative smart devices and services for children Doro is a leading European producer of consumer electronics for seniors
Slide 9: Doro - Company overview
Doro - Company overview KEY HIGHLIGHTS KPI HIGHLIGHTS 2023 Revenues 2023 Gross profit 2023 EBITDA Units sold # of markets Gross margin 1 billion 380m 120m SEK 970m reported in 2023 Only HW revenue and no service revenue With positive EBIT 1,5m 26 40% Doro is currently only selling HW products and no
Slide 10: Doro products and markets
Doro products and markets All devices come with award winning Doro features, such as loud and clear sound that is specifically tuned to seniors’ hearing needs, easy to pick up and hold ergonomics, well- separated keys with high contrast colors and an assistance button for getting help quickly and ea
Slide 11: The Opportunity
The Opportunity A profitable business that can accelerate our Service Revenues
Slide 12: Strategy to accelerate our service revenue
Strategy to 1,500,000 annual accelerate our unit sales service revenue Xplora Today Opportunity • 467,000 unit annual sales • X3 Sales • Avg. 25% SIM activations • Same margins • 300k Subscriptions • 60m est. LTV
Slide 13: Point of Sale
Point of Sale Who are the Doro customers, and how do they buy?
Slide 14: Doro customer personas
• Primary Audience: Jens Agnete Senior Aged 65 and above • Secondary Audience: Family members and caregivers • Gender Distribution: Slightly female Majority due to higher life expectancy Why do you like Doro? What do you like most about Doro? • Customer Personas: I am impressed that Doro has been in
Slide 15: We will pre-install SIM in all phones
We will pre-install SIM in all phones Post Acquisition, Doro mobile phones will come with a pre-installed Xplora Jens Agnete SIM-card. Same technical platform as current Xplora proposition. • Easy setup • Compelling price • Extra services A B The customer already has The customer does not a SIM from
Slide 16: SIM onboarding/activation process
SIM onboarding/activation process Post Acquisition, Doro mobile phones The customer does not A The customer has a SIM B will come with a pre-installed Xplora have a SIM card card from another provider SIM-card. Same technical platform as current Xplora proposition. Enter the mobile no. you want to p
Slide 17: Strategy to accelerate our service revenue
Strategy to 1,500,000 annual accelerate our unit sales service revenue Xplora Today Opportunity • 467,000 annual sales • X3 Sales • Avg. 25% SIM activations • Same SIM margins • 300k Subscriptions • 60m est. LTV
Slide 18: Business Case
Business Case The business «as is» and the synergy effect by adding our SIMs
Slide 19: Investment highlights
Investment highlights 2023 CombinedCo EBITDA effect of SIM activations
Slide 20: Investment Timeline
Investment Timeline
Slide 21: Investment timeline
Investment timeline September October November The transaction is fully funded • Target timeline Mid • Target timeline mid based on the loan providers October November assessment of the combined • Offer issued to Doro • Acceptance of offer by company’s existing cash flow Shareholders Doro Shareholde
Slide 22: M&A Rationale
M&A Rationale Accelerating our growth strategy by • Accelerating SIM growth strategic acquisition of Doro AB and Service Revenues based on Doros existing Xplora is a leading pioneer in offering device sales innovative smart devices and services for children • Fast track the route to Doro is a leadin
Slide 23: Q&A
Q&A
Xplora Technologies — Merger or Acquisition (September 2024) on 6ix