Benson Hill, Inc. · OTC:BHILQ
Benson Hill — Star Peak Corp II — SPAC Merger (June 2021)
71 slides from Benson Hill's SPAC merger presentation, Jun 23, 2021
Slide 1: June 22, 2021 Analyst Meeting
June 22, 2021 Analyst Meeting
Slide 2: Disclaimer
This presentation is provided for informational purposes only and has been prepared to assist interested parties in making their own evaluation with respect to the proposed business combination (the “Business Combination”) between Star Peak Corp II (“Star Peak II”) and Benson Hill, Inc. (“Benson Hil
Slide 3: Use of Projections and Financial Information
Use of Projections and Financial Information This presentation contains financial forecasts relating to the anticipated future financial performance of Benson Hill, the proposed acquiror and the combined company. For example, projections of future EBITDA and Adjusted EBITDA and other metrics are for
Slide 4: Disclaimer (Cont'd)
Disclaimer (Cont’d) This presentation provides summary information only and is being delivered solely for informational purposes. The recipient of this presentation acknowledges that: 1. Star Peak II and Benson Hill do not provide legal, tax or accounting advice of any kind. 2. It is not relying on
Slide 5: Risk Factors
Risk Factors 5 Investing in the business combination involves a high degree of risk. Below is a summary of certain risk factors that make an investment in the proxy solicitation/consent solicitation statement/proxy statement speculative or risk. This summary is not comprehensive. Additional discussi
Slide 6: Opening - Evolution Video
6 Opening - Evolution Video • This video will run in its entirety (approx 5min)
Slide 7: Star Peak II Has Identified Benson Hill as the Leading Food Technology Platform
Star Peak II has Identified Benson Hill as the Leading Food Technology Platform Driving the Plant-Based Revolution Leadership Matt Crisp President & CEO DeAnn Brunts CFO Eric Scheyer CEO Mike C. Morgan Chairman • Consumer-centric approach driving crop innovation to improve food by unlocking the natu
Slide 8: Star Peak's Extensive Due Diligence Process Validates Benson Hill
Star Peak’s Extensive Due Diligence Process Validates Benson Hill as an Exceptional Investment Opportunity Due Diligence Summary Full Scope Diligence and Market Landscape Global Plant Protein Market and Facility Diligence Technology Infrastructure for CropOS ® Environmental, Legal & Corporate ◼ Dili
Slide 9: Current Food System Must Evolve to Improve Human Health and the Planet
HUMAN HEALTH IMPACT ENVIRONMENTAL IMPACT CONSUMERS WANT CHANGE 1.7tn Amount Americans spend annually on food(1) Annual economic cost of diet-related illness in America (2) 27 of total GHG emissions are caused by agriculture(3) 8 of GHG emissions caused by cattle and dairy, equivalent to U.S. emissio
Slide 10: Unlocking the Full Potential of the Plant-Based Revolution
Unlocking the Full Potential of the Plant-Based Revolution Requires… …A Better Seed… …and an Integrated Solution Breeder & Seed Producer Farmer Processor / Wholesale Supplier Food/Beverage Company Food Service Retail Consumer Benson Hill’s model spans the value chain, linking consumer trends back to
Slide 11: An Innovative Food Technology Company
An Innovative Food Technology Company 11
Slide 12: Building a Modern Food Company with a Consumer-Centric Approach
Building a Modern Food Company with a Consumer-Centric Approach Across the Food System ~ 46%(1) Projected Revenue CAGR from 2020 to 2027 $102mm (1) Revenue in 2020 2012 Founded 200+ Granted and pending patents Headquarters: St. Louis, MO An Integrated Approach to Innovation Plant Science Cutting-Edg
Slide 13: A Food Technology Leader Supplying the 'Picks and Shovels' of the Plant-Based Revolution
A Food Technology Leader Supplying the ‘Picks and Shovels’ of the Plant-Based Revolution Significant and Growing Addressable Market Capitalized for Growth Unique and Proprietary Innovation Engine: CropOS ® Rapidly Growing Revenue at Commercial Inflection • $140bn near-term TAM opportunity in plant-b
Slide 14: Our Robust Pipeline of Products Targeting Large and Rapidly Expanding Markets
Our Robust Pipeline of Products Targeting Large and Rapidly Expanding Markets Product Description Value Proposition Producing/ Commercial(1) Market Target Customer Base Textured plant protein Low cost, sustainable 2021/2022 Plant-Based Foods Next-Generation Protein Ingredient Product Textured plant
Slide 15: Recent Highlights and Upcoming Milestones
15 Recent Highlights and Upcoming Milestones Recent Successes ✓Ultra-High Protein commercial launch accelerated to 2021/2022 ✓5 MOUs with top global AgriFood companies ✓Strategic collaboration to expand soybean production and grower relationships ✓Added industry-leading experience to Board of Direct
Slide 16: Positioned to Capitalize on Massive Growth Opportunity
Positioned to Capitalize on Massive Growth Opportunity Gross Proceeds Available for Growth Working Capital and Supply Chain Extend leadership position and commercial scale in plant-based ingredients ~$625mm(1) Debt on Balance Sheet $0(1) Geographic Expansion Expansion into rapidly growing internatio
Slide 17: Technology Required to Meet Evolving Consumer Demands
17 QUALITY HAS BEEN SACRIFICED Technology Required to Meet Evolving Consumer Demands …but 4% reduction in protein content(2) 60% yield increase…(1) CONSUMER DEMAND FUELING MASSIVE MARKET OPPORTUNITY >50% Consumers willing to reduce meat intake(4) >50% CPG category growth driven by sustainably market
Slide 18: Existing Food System Not Equipped to Meet Evolving Consumer Demands
Existing Food System Not Equipped to Meet Evolving Consumer Demands Breeder & Seed Producer Farmer Processor/ Wholesale Supplier Food/Beverage Company Consumer Source: Benson Hill. Created b hree Six ive from the oun Pro ect 18
Slide 19: We Enable Better from the Beginning Through an Integrated Model
We Enable“Better from the Beginning” Through an Integrated Model To Create a More Responsive, Healthy Food System Breeder & Seed Producer Farmer Processor/ Wholesale Supplier Food/ Beverage Company Consumer • Acreage • Grower relationships • Data library • Simulation • Crop genetics • Removal of ste
Slide 20: How We Provide Value to the Supply Chain & Consumers
How We Provide Value to the Supply Chain & Consumers Benson ill’s echnolog Leverages Seeds’ Genetic Diversit to: • Increase Protein Content • Enhance Flavor Profile • Reduce Agricultural Resource Intensity • Reduce Processing Steps and Costs • Result in Simpler Ingredient Mix • Unlock Genetic Divers
Slide 21: CropOS Food Innovation Engine
CropOS® Food Innovation Engine 21
Slide 22: Introduction to CropOS Food Innovation Engine
Introduction to CropOS® Food Innovation Engine Driven by a Robust, Proprietary and Ever-Expanding Data Library Benson Hill has the ability to shorten product development timeline and decrease development costs Source: Benson Hill. 22 • Genomics • Artificial intelligence / machine learning • Computat
Slide 23: Employs Diverse Approaches to Optimize Product Development
Employs Diverse Approaches to Optimize Product Development Source: Benson Hill. 23 Multiple genomic approaches available to fit different targets and markets Predictive Breeding Genome Editing GMO/Transgenic Method Leverages AI/ML and natural variation in plants Two parent plants are crossed to crea
Slide 24: CropOS Combines Data Across Multiple Domains to Enable Simulation
20 Of high-performance soy breeding data Years 120k+ Unique genomes across 27 species 6.5bn+ Environmental observations 312bn SNP variants and 474mm SNP Loci CropOS® Combines Data Across Multiple Domains to Enable Simulation Predictive and Prescriptive AI/ML Enables exploration and optimization Pipe
Slide 25: CropOS Data Creates Actionable Insights for Plant Breeding
PROPRIETARY APPLICATIONS DATA FUSION DATA ANALYTICS • Genomics • Environmental • Phenotypic Proprietary Data- Fused to Enable AI / ML • Simulation Platform for millions of genomes • AI-driven predictive product development platform including: Prediction Engine • Breeding • Genome editing • Product o
Slide 26: Proprietary Portfolio of CRISPR Nucleases
BENSON HILL HAS DISCOVERED AND VALIDATED A LARGE PROPRIETARY PORTFOLIO OF CRISPR NUCLEASES CRISPR Nuclease scans genome for target site and makes a precise cut in DNA DNA reattaches at target site with intended edit, leveraging native genetic code Build Proprietary Gene Editing and Speed Breeding En
Slide 27: Results Identify Fields with Protein Lift
Test RESULTS IDENTIFY FIELDS WITH PROTEIN LIFT CropOS® fuses important information from drone and satellite imagery, farmer- contributed data, agronomist sampling and batch sampling at processing plant 110 Research Sites 268 Production Sites Environmental and Genetic Models Optimize Field-Specific P
Slide 28: Past Investments Provide a Competitive Lead in Plant Innovation
Past Investments Provide a Competitive Lead in Plant Innovation The commodity food system can take approximately 6-10 years to improve crops with quality attributes and requires: 1 Genetic synergy to create the right germplasm 2 Technology synergy for reliable data to enable breeding 3 Breeding at s
Slide 29: It's More Than a Job – It's a Mission
Plant Science Cutting-Edge Plant Genomics Food Science Consumer-Centric Approach Data Science Data Analytics & AI / ML It’s More han a Job – It’s a Mission Unlocking the natural genetic diversity of plants is an untapped resource to improve the food system Innovation occurs at the boundaries of inte
Slide 30: Case Studies and Innovative Go-to-Market Strategy
Case Studies and Innovative Go-to-Market Strategy 30
Slide 31: Demand for Plant-Based Protein Cannot be Met by Existing Food System
0.0 0.2 0.4 0.6 0.8 1.0 1.2 1.4 1.6 Soy Protein Concentrate (million tons) DEMAND FOR PLANT-BASED PROTEIN IS GROWING RAPIDLY… …BUT CAN’T BE SATISFIED USING CURRENT TECHNOLOGY(3) Value of meat substitute market expected to reach $140bn by 2029 (vs. $14bn today), growing at a ~26% CAGR(2) Demand for P
Slide 32: Case Study: Ultra High Protein Soybean Ingredient
1. Case Study: Ultra High Protein (UHP) Soybean Ingredient ~6-8 Year Head Start ROBUST PRODUCTION AND RESEARCH FOOTPRINT UHP opportunity identified through big data fusion and CropOS® : Phenotypic, Soil Health, Microbiome 2. CropOS® evaluated 970 data layers, across 20 years of climate data, and in
Slide 33: Case Study: Yellow Pea
1. Genomic data used to understand and optimize diversity of parents and crosses Case Study: Yellow Pea (In Development, Medium Term) ~2-3 Year Head Start 2. Proprietary data and models identify flavor genes "like a needle in a ha stack” 3. Speed breeding has the potential to shorten product develop
Slide 34: We Enable Better from the Beginning Through an Integrated Model
We Enable “Better from the Beginning” hrough an Integrated Model To Create a More Responsive, Healthy Food System Breeder & Seed Producer Farmer Processor/ Wholesale Supplier Food/ Beverage Company Consumer • Acreage • Grower relationships • Data library • Simulation • Crop genetics • Removal of ste
Slide 35: Built Organizational Infrastructure and Leadership Team for Future Scale
Built Organizational Infrastructure and Leadership Team for Future Scale Source: Benson Hill. 35 • Top-tier talent from across the value chain with 350+ years of AgriFood experience • Business Unit infrastructure to capitalize on go-to- market plans • Independent Board Member experience and leadersh
Slide 36: Accessing the Most Critical Elements Across the Value Chain
Accessing the Most Critical Elements Across The Value Chain Source: Benson Hill. 36 The right people, relationships and infrastructure are enabling an integrated model for efficient execution and commercialization Farmer Established and new grower relationships built on attractive market opportuniti
Slide 37: Our Playbook for Growth Accelerates Commercialization
Our Pla book for Growth Accelerates Commercialization… • Market entry • Build relationships across the value chain • Low capital investment Step 1 Create the Foundation • Prove product concept • Ensure traceability • Capital investment and strategic partnerships Step 2 Integrated Route to Market • M
Slide 38: Drives Accelerated Growth While Mitigating Scale-up Risk
…And Drives Accelerated Growth While Mitigating Scale-up Risk Step 1 Create the Foundation Step 2 Integrated Route to Market Step 3 Broad Adoption Value-add service Product sold to customer Purchase of product prior to value-add Provide seed and purchase agreement to farmer, sell final product Produ
Slide 39: Our Business Today
Our Business Today • Ingredients provider to fast growing end markets • 10+ year grower relationships • Human food grade, including non-GMO & Kosher certified options, and animal feed • ~150,000 acres in 2021 (providing revenue visibility into 2022) Products (Proprietary Pipeline*) Current Customers
Slide 40: Advancing the Food System with Purpose (ESG)
Advancing the Food System with Purpose (Environmental, Social and Governance) 40
Slide 41: ESG is Embedded in Product Impact, Culture and Long-term Value
41 ESG is Embedded in Product Impact, Culture and Long-term Value Source: Benson Hill. Benson Hill believes in impacting our community and our environment in a positive manner, advancing our food system with the purpose of enriching the lives of producers and consumers through a strong connection to
Slide 42: Internal Strategic Framework Prioritizes Critical ESG Issues
Internal Strategic Framework Creates Focus and Prioritizes Critical ESG Issues within Key Functions 42 Source: Benson Hill. Strategic Impact Table Stakes Products Processors Farm People Footprint Management
Slide 43: Unlocking Sustainability Benefits at Each Step of the Value Chain
Product Impacts Processing Impacts On-Farm Impacts 43 Unlocking Sustainability Benefits at Each Step of the Value Chain • Optimizing resource use and soil health • Increasing farm profitability • Providing more climate resilient and nutritious seeds • Displacing energy and water intensive processing
Slide 44: Building Internal Processes to Collect and Validate Material ESG Data
Building Internal Processes to Collect and Validate Material ESG Data to Inform Strategic Decision Making and Stakeholder Reporting Source: Benson Hill. 44 Our business strategy aligns with ESG outcomes Robust Data Collection Comparative Metrics Aligned with Industry Frameworks Reporting Tools for S
Slide 45: Inflection Point for Growth
Inflection Point for Growth 45
Slide 46: Introduction to Benson Hill's Economic Model
Introduction to Benson ill’s Economic Model Production Partnership and Royalties • Providing proprietary products to market participants in exchange for revenue share or royalty • Asset light approach with high margins and strong free cash flow conversion • End state economic model for highly penetr
Slide 47: Robust Growth Driven by Existing Products
$ 56 $ 64 $ 66 $ 68 $ 71 $ 74 $ 77 $ 80 $ 41 $ 60 $ 91 $ 146 $ 195 $ 313 $ 422 $ 666 $ 6 $ 4 $ 5 $ 36 $ 83 $ 174 $ 363 $ 726 $ 102 $ 127 $ 161 $ 251 $ 348 $ 561 $ 862 $ 1,472 2020A 2021E 2022E 2023E 2024E 2025E 2026E 2027E Fresh Ingredients Partnerships/Royalties Robust Growth Driven by Existing Pro
Slide 48: Expect Significant Gross Margin Expansion Over Time
12 % 9 % 1 % 13 % 21 % 38 % 43 % 48 % 2020A 2021E 2022E 2023E 2024E 2025E 2026E 2027E $12 $12 $2 $32 $74 $212 $372 $703 2020A 2021E 2022E 2023E 2024E 2025E 2026E 2027E Fresh Ingredients Partnerships/Royalties 30% 15% 30% 100% 25% 2022 UHP Cost ($/st) White Flake Capital Investment Texturization Capi
Slide 49: Ingredients and Partnerships/Royalties Key Performance Indicators
Ingredients and Partnerships/Royalties Key Performance Indicators Percentage of Total Revenue Ingredients Partnerships/Royalties Revenue per Acre ($) Acreage Gross Profit per Acre ($) Source: Benson Hill. (1) Excludes contribution from a business divested in 2020. 49 (1) 101,740 205,868 410,818 795,
Slide 50: Financial Summary Projections
($mm) 2020A 2021E 2022E 2023E 2024E 2025E 2026E 2027E Revenue $ 102 $ 127 $ 161 $ 251 $ 348 $ 561 $ 862 $ 1,472 YoY Growth 24 % 27 % 55 % 39 % 61 % 54 % 71 % Gross Profit $ 12 $ 12 $ 2 $ 32 $ 74 $ 212 $ 372 $ 703 Gross Margin 12 % 9 % 1 % 13 % 21 % 38 % 43 % 48 % Research Expenses NA $ 20 $ 22 $ 23
Slide 51: In Conclusion: Building a Modern Food Company
In Conclusion: Building a Modern Food Company 51
Slide 52: Expansive Platform Opportunity
Expansive Platform Opportunity 52 Food technology company: A category-defining company unlocking the natural genetic diversity of plants to lead the plant-based food revolution for healthier and more sustainable food and ingredient choices Proprietary CropOS® technology platform: Uses artificial int
Slide 53: Investment Thesis
Investment Thesis Significant and Growing Addressable Market 1. 53 Source: Benson Hill. Unique and Proprietary Innovation Engine: CropOS ® 2. Capitalized for Growth 3. Rapidly Growing Revenue at Commercial Inflection 4. Pure Play ESG Opportunity 5.
Slide 54: Appendix
Appendix 54
Slide 55: Star Peak: Focused on Sustainability
Mike C. Morgan Chairman Co-founding Partner, Chairman, and CEO of Triangle Peak Partners, LP Eric Scheyer CEO Head of Magnetar Energy and Infrastructure Group since its inception Benson Hill fits Star Peak’s mission to provide growth capital to market-leading businesses focused on improving sustaina
Slide 56: Serviceable Addressable Market Overview
Serviceable Addressable Market Overview ($ in billions) UHP Soy for Plant-Based Meat UHP Pea for Plant-Based Meat UHP Soy for Aquaculture Feed Healthy Soybean Oil Total SAM UHP Soy for Starter Feed Source: Context analysis based on internal resources, expert analysis, and third party research. 56 4.
Slide 57: Sources and Uses
Sources and Uses Sources $mm % Uses $mm % Committed Equity PIPE $ 225 11.7 % Stock to Benson Hill Shareholders $ 1,300 67.4 % Star Peak Trust 403 20.9 Estimated Fees and Expenses 48 2.5 Benson Hill Shareholder Equity Rollover 1,300 67.4 Estimated Repayment of Debt 33 1.7 Cash to Benson Hill Balance
Slide 58: Public References for Benson Hill
Public References for Benson Hill Public Market References Relevance to Benson Hill Ag / Specialty Ingredients Biotech Food Tech Ag Tech Beyond Meat AppHarvest ✓ High growth ✓ Serving same consumer demand trends ✓ ESG solution ✓ Proprietary technological platforms ✓ Food / nutrition and health & wel
Slide 59: Public Market References Comparison
Growth Trajectory Technology ESG Footprint 2022 EV / Sales 2022 EV / EBITDA Source: Benson Hill, Bloomberg, CapIQ, IBES consensus estimates and company disclosures; market data as of 1-Jun-2021. (1) Other Ingredients reflects average for AAK, Givaudan, IFF, Kerry, Sensient, and Symrise. (2) AppHarve
Slide 60: Revenue Growth and Gross Margin Benchmarking
0% 39% 6% 11% 20% 0% 26% 33% 34% 51% 4% 4% 5% 8% Peer Median: 95% Peer Median: 33% Peer Median: 11% 151% NM Peer Median: 5% NM 51 % 0% 19% 34% 47% 62% 68% 0% 44% 47% 73% 79% 38% 42% 57% 59% Peer Median: 27% Peer Median: 47% Peer Median: 62% Peer Median: 49% NA NA Other Ingredients(1) Source: Benson
Slide 61: Implied Revenue Multiples Are at a Discount to Public Market References
5x 8x 11x 16x 6x 10x 10x 12x 17x 23x 23x 44x 2x 3x 8x 9x Peer Median: 11x Peer Median: 20x Peer Median: 10x Peer Median: 6x 8x 11x 29x 40x 12x 13x 26x 22x 28x 30x 35x 55x 2x 4x 9x 9x Peer Median: 29x Peer Median: 29x Peer Median: 13x 66 x Peer Median: 6x 87 x Source: Benson Hill, Bloomberg, CapIQ, I
Slide 62: Benson Hill Has Significant Upside Potential
$ 4,205 $ 2,221 $ 5,606 $ 2,962 $ 1,351 7.5x - 10x 2025E Revenue Discounted 3.5 Periods at 20% Enterprise Value ($ in millions) $5,606 $4,205 $2,962 $2,221 $1,351 7.5x – 10x 2025E Revenue Discounted 3.5 Years at 20% 92% Midpoint Premium 263% Midpoint Premium Enterprise Value Implied Future Enterpris
Slide 63: Executive Leadership Team
Executive Leadership Team with Diverse Business and Technical Backgrounds Across the Food System Natalie DiNicola Chief of Staff 20+ years in the AgriFood industry with experience in business strategy, development and sustainability Adam Javan Chief Strategy Officer 25+ years of experience in busine
Slide 64: Public-Market Ready Board of Directors
Public-Market Ready Board of Directors Dan Jacobi Chairman Deanie Elsner Director David Lee Director Andy Wheeler Director Stephan Dolezalek Director DeAnn Brunts Director & CFO Linda Whitley- Taylor Director Matt Crisp Director & CEO Craig Rohr Director Alphabet Source: Benson Hill. Note: Additiona
Slide 65: Supported by Best-in-Class Scientific Experts
Supported by Best-in-Class Scientific Experts Scientific Advisory Board Todd Mockler Co-Founder and Chair, SAB Rex Bernardo SAB Member Julia Bailey-Serres SAB Member Chase Beisel SAB Member Gary Fogel SAB Member Mark Matlock SAB Member Asaph Cousins SAB Member Jon Lightner SAB Member Joyce Van Eck S
Slide 66: Glossary
Glossary Source: Benson Hill. 66 Item Definition ABCD in Ag 4 companies, ADM, Bunge, Cargill, and Louis Dreyfus, which control 70% of the grain industry Agronomy The science of soil management and crop production Constraint of Biology The constraints on innovation life cycles that come with working
Slide 67: Glossary (Cont'd)
Glossar (Cont’d) Source: Benson Hill. 67 Item Definition Pea Protein Isolate (PPI) A plant-based protein ingredient isolated from mostly yellow pea grain that is highly processed and used in human food applications. Pea Protein Isolate typically has a protein content of 80% or greater on a moisture
Slide 68: Audited GAAP Income Statement
Source: Benson Hill. Audited GAAP Income Statement 68 Year Ended December 31, ($000s) 2018 2019 2020 Revenues $ 4,269 $ 79,523 $ 114,348 Cost of sales 677 70,961 102,430 Gross profit 3,592 8,562 11,918 Operating expenses Research and development 13,373 24,810 29,457 Selling, general and administrati
Slide 69: Audited GAAP Cash Flow Statement
Source: Benson Hill. Audited GAAP Cash Flow Statement 69 Year Ended December 31, ($000s) 2018 2019 2020 Operating activities Net loss $(18,089) $(43,910) $(67,159) Adjustments to reconcile net loss to net cash used in operating activities 948 4,781 17,011 Changes in operating assets and liabilities
Slide 70: Audited GAAP Balance Sheet
Source: Benson Hill. Audited GAAP Balance Sheet 70 Year Ended December 31, ($000s) 2019 2020 Assets Current assets Cash and cash equivalents $ 2,616 $ 9,743 Marketable securities 8,315 100,334 Accounts receivable, net 15,097 14,271 Inventories, net 7,169 13,040 Prepaid expenses and other current ass
Slide 71: Audited GAAP Balance Sheet (Cont'd)
Source: Benson Hill. Audited GAAP Balance Sheet (Cont’d) 71 Year Ended December 31, ($000s) 2019 2020 Liabilities, redeemable convertible preferred stock, and stockholder's deficit Current liabilities Accounts payable $ 17,073 $ 16,128 Revolving line of credit 1,495 - Current lease liability 1,606 1