Saga Pure Asa · OSL:SAGA
Saga Pure Asa — Q2 2021 Earnings Presentation
35 slides from Saga Pure Asa's earnings presentation, Aug 29, 2021
Slide 1: Second quarter 2021 presentation
SPNCPM PURE | second quarter 2021 presentation Bjorn Simonsen, CEO August 80, 2021
Slide 2: Our mission: pure growth
Our mission: pure growth ~10,000 Menke eas Number of of August 27, shareholders 2021 Unparalleled deal flow Industry and financial expertise Leveraging Ferncliff group's capabilities Listed on Oslo Stock Exchange (main list) SAGA
Slide 3: Combining industrial and financial expertise
Combining industrial and financial expertise Bjorn Simonsen Espen Lundaas Esc! pe ale eT TAL Chief Executive Officer Chief Financial Officer Martin Nes Tore Jakob Berg Chairman of the Board Chief Accounting Officer @ystein Stray Spetalen Jan Frode Andersen Florian Melcher Board Member Investment Man
Slide 4: Our investment approach
Our investment approach Private, early-stage companies Active ownership, help develop companies to success Listed companies Strategic investments (e.g. IPOs) Shorter term trades & portfolio management Flexible ticket size From NOK 10-100 million S Global reach Significant international network, coll
Slide 5: Q2 highlights
Q2 highlights ] 3.5 MNOK 16.5% 796 MNOK Strategic investment Net profit from : Return on equity YTD Cash balance operations SAGA @Rauis
Slide 6: Developments during and after the quarter
Developments during and after the quarter Subsequent events Exercised options in Bergen Carbon Solutions, subscribing ~5 million shares at NOK ~6/ share Listing of Bergen Carbon Solutions on April 19 Completed investment in IC Technology after company received approval in principle (AIP) from DNV fo
Slide 7: Influencing factors
Influencing factors SPNeyS PURE
Slide 8: Megatrends driving market opportunities
Megatrends driving market opportunities RX G ofl Renewable Electrification Digitalization Urbanization energy (> os rN | J LY) $ Circular Hydrogen Green economy finance SAGA (aU
Slide 9: EU Taxonomy
EU Taxonomy + The EU taxonomy is a classification system being established to ensure more accurate and transparent information on the Climate change Climate change environmental performance of companies, preventing mitigation adaptation “greenwashing” + Provides companies, investors and policymakers
Slide 10: EU's "Fit for 55" package speeds up change towards a green transition
EUs “Fit for 55” package speeds up change towards a green transition + Raising 2030 target from 40 to 55% reduction of GHG- EU ETS cap development emissions compared to 1990 levels + EU ETSis tightened, inclusion of maritime and establishment of separate ETS for buildings and road transport 2.000 oh
Slide 11: IPCEI supercharging Europe's hydrogen position
IPCE] supercharging Europe’s hydrogen position + Important Projects of Common European Interest is one of EU's strongest tool to ensure competitiveness of European companies * Allowing for up to 100% public support, both capex and opex * Current IPCEI is focused on hydrogen value chain projects, inc
Slide 12: IPCC 6th assessment adds certainty around human induced climate change
IPCC 6" assessment adds certainty around human induced climate change “It is unequivocal that human influence has warmed the atmosphere, ocean and land. Widespread and rapid changes in the atmosphere, ocean, cryosphere and biosphere have occurred.” - IPCC + We may surpass 1.5 °C already by 2030, one
Slide 13: Investment space
Investment SOaCe SPNeyS PURE
Slide 14: Renewable energy
Renewable energy + Global investments in renewable energy production hit an all-time high for the H1-21 of USD 174 billion + Need to grow to USD 760 - 1800 billion/year by 2030 depending on scenario + US Senate's Infrastructure bill including USD 65 billion to improve the reliability and resiliency
Slide 15: Key 2030-milestones for renewable technology
Key 2030-milestones for renewable technology in order to reach net-zero by 2050 4t Wind Solar Batteries EVs 5,2X 3,2X 26x 8x 505 GW/yr (2020) 455 GWiyr (2020) 245 GWiyr (2020) 4,4 mlyr (2021e) Bloomberg NEF's Green Scenario: Electrification and renewable energy with “green” hydrogen Sources: Bloombe
Slide 16: Hydrogen sector continues to build strong momentum globally
Hydrogen sector continues to build strong momentum globally + Hydrogen has the potential to replace most of the world’s usage of coal, oil and natural gas - this is naturally not happening overnight * >130 additional large-scale projects announced only since Feb ‘21, bringing the total announced cap
Slide 17: Maritime
Maritime + IMO are expanding the «green toolbox» to monitor and control the carbon intensity of shipping to support the emission reduction targets from international shipping by at least 50% by 2050 compared to 2008 levels! + Energy Efficiency Ship Index (EEX!), Carbon Intensity Indicator (Cll), Shi
Slide 18: Ammonia
Ammonia * Existing market 180 million tons NH3 of which 160 is captive use and 20 is traded (40 out of 180 non-fertilizer)! * Toreach goal of 5% zero emission maritime fuel by 2030 ammonia demand for maritime sector alone can reach ~15 million tons if 50% market share is assumed? * Announced green a
Slide 19: Green market turbulence
Green market turoulence SPNeyS PURE
Slide 20: Current status: We are in a green correction
Current status: We are ina green correction 1600 1400 1200 1 Sold 1000 NolHycrogen 800 600 400 200 aga Pure and Bloomberg SAGA (ua
Slide 21: Hydrogen - bubble bursting in midst of unprecedented industry momentum
Hydrogen - bubble bursting in midst of unprecedented industry momentum SAGA (URE Source Sega Pure and loomberg
Slide 22: MSCI World vs S&P Global Clean YTD
MSCI World vs S&P Global Clean YTD 25,0 % 20,0 % 15,0 % 10,0 % 5,0% 0,0 % 01.01.2021 5,0 % 01.05.2021 01.06.2021 01.07.2021 01.08.2021 01.03.2021 01.02.2021 01.04.2021 -10,0% -15,0 % -20,0% -25,0 % -30,0 % —MSCI World ——S&P Global Clean S A G A Pp U R E Source: Saga Pure and Bloomberg
Slide 23: MSCI World vs S&P Global Clean 2Y
MSCI World vs S&P Global Clean 2Y 250,0 % 200,0 % 150,0 % 100,0 % 50,0 % 0,0 % 06.08.2019 06.11.2019 06.02.2020 06.08.2020 06.11.2020 06.02.2021 06.05.2021 06.08.2021 -50,0 % —MSCI World ——S&P Global Clean S A G A Pp U R E Source: Saga Pure and Bloomberg
Slide 24: Bumpy, green Q2 after steep drop in Q1 - what now?
Bumpy, green Q2 after steep drop in Q1 - what now? 1. Renewable energy is here to stay - and will cover our future energy needs 2. Although hundreds of billions are invested annually, the transition has just begun - and lots more is needed 3. Public funds are being channeled into the sector, and pol
Slide 25: Investment highlights
Investment highlights SPNeyS PURE
Slide 26: Horisont Energi
Horisont Energi Horisont energi Horisont Energiis a Norwegian clean energy company focused on developing clean (Blue and green) ammonia for energy export; and innovative carbon storage solutions, also for third parties. INVESTMENT & INVOLVEMENT NOK 35 million (IPO Jan’21) , Board position STATUS Mar
Slide 27: Bergen Carbon Solutions
BERGEN CARBON SOLUTIONS Bergen Carbon Solutions Bergen Carbon Solutions (BCS) uses innovative technology to produce carbon nanofibers from CO, at a fraction of the energy consumption of conventional production methods and without any associated emissions. INVESTMENT & INVOLVEMENT NOK 75 million. Rea
Slide 28: Pryme
Pryme Pryme is using a modified pyrolysis process which converts waste plastics into pyrolysis oil which will be further refined downstream for production of new plastics. INVESTMENT & INVOLVEMENT NOK 30 million (IPO Feb‘21) STATUS Market value of Saga Pure position of NOK 27 million per 27. August
Slide 29: Heimdall Power
Heimdall Power HEIMDALL Heimdall Power offers a rapid transition to fully digitized electric grid assets with sensors and software, enabling increased power transfer and safer, more predictable operation. INVESTMENT & INVOLVEMENT NOK 75 million. Actively involved through board position. STATUS Owner
Slide 30: ICT
ICT IC Technologies is developing advanced storage and distribution solutions for cryogenic gases with initial focus on liquid hydrogen. INVESTMENT & INVOLVEMENT Subscribed NOK 30 million in a NOK 35 million private placement, option to invest another NOK 30 million. Actively involved through board
Slide 31: Featured investment: Hyon
Featured investment: Hyon SAGA Ue
Slide 32: Summary and outlook
summary and outlook SPNeyS PURE
Slide 33: Outlook: bumpy, green road continues
Outlook: bumpy, green road continues J it Renewable energy Increasing consciousness Strong policy measures are deployment expected to and focus around eco- being put into place to further continue to grow friendly solutions stimulate green growth Ay yi Currently evaluating a Maintaining a solid cash
Slide 34: SAGA PURE
SAGA (URI seek and undestroy www.sagapure.com
Slide 35: Q&A
SVNCPe PURE | Q&A