Aquabounty Technologies, Inc. · NASDAQ:AQB
Aquabounty Technologies — Investor Presentation (August 2022)
28 slides from Aquabounty Technologies's investor presentation, Aug 11, 2022
Slide 1: Investor Presentation
Exhibit 99.1 I N V E S T O R P R E S E N T A T I O N AquaBounty Technologies, Inc. NASDAQ: AQB August 2022 AquaBounty.com 1
Slide 2: Forward-Looking Statements Safe Harbor Statement
Forward-Looking Statements Safe Harbor Statement This presentation contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements other than statements of historical f
Slide 3: Company And Market Overview
Company And Market Overview AquaBounty.com 3
Slide 4: AquaBounty: Leaders in Aquaculture and Biotechnology
AquaBounty: Leaders in Aquaculture and Biotechnology Key Milestones Company Profile 1989 First genetically engineered (“GE”) Atlantic salmon line created Headquarters: Maynard, MA 1995 Regulatory approval process begins for GE salmon Total Employees: 96 U.S. Food and Drug Administration (“FDA”) appr
Slide 5: Investment Highlights
Investment Highlights 1 ▪ $17 billion global salmon market driven by a massive supply-demand imbalance and AquaBounty Technologies, Inc. 2 increasing need for fresh and nutritious proteins for a growing global population (NASDAQ: AQB) ▪ Proprietary salmon genetics utilized to create genetically engi
Slide 6: Experienced Management Team
Experienced Management Team Alejandro Rojas, DVM Angela Olsen David Frank CFO and Treasurer Chief Operating Officer General Counsel Dr. Rojas is a renowned Ms. Olsen is an Mr. Frank has extensive expert in salmon farming. experienced legal advisor experience working with His areas of expertise early
Slide 7: Population Growth and Environmental Challenges Creates Need for New Solutions
Population Growth and Environmental Challenges Creates Need for New Solutions Population Growth: ▪ Global population projected to grow to more than 9 1 billion people by 2050 – 26% growth in 30 years , with a growing middle class driving increased protein demand ▪ Protein consumption is predicted to
Slide 8: Atlantic Salmon – Large Market With Inefficient Supply Chain
Atlantic Salmon – Large Market With Inefficient Supply Chain Land-Based RAS Farming Has Potential to Disrupt The Industry Market Dynamics 3-6 Days NORWAY, FAROE IS. kt Demand Drivers: ICELAND 1 Harvest 1,333 ▪ Salmon is widely known to be healthy & nutritious RUSSIA kt Market 42 Harvest 10 NORTH AME
Slide 9: Farmed Salmon Competitive Landscape
Farmed Salmon Competitive Landscape ▪ Salmon farming competition is primarily in sea cages and to a lesser extent land-based farming ▪ Growing momentum in land-based salmon farming projects has the potential to further disrupt the industry Growth in Land-Based Salmon Farming International Sea-Cage O
Slide 10: AquaBounty is Well Poised to Take Advantage of Fragmented State of Aquaculture Market
AquaBounty is Well Poised to Take Advantage of Fragmented State of Aquaculture 4 Market fragmentation plus favorable industry tailwinds Well-positioned over competitors to produce safe, ideally position AquaBounty to take market share secure, and sustainable salmon without premium pricing ▪ Aquacult
Slide 11: AquaBounty's GE Salmon: Better for the Environment. More for Consumers.
AquaBounty’s GE Salmon: Better for the Environment. More for Consumers. Enhanced Benefits of Controlled Operations Compared To Sea-Cage Farming Faster Growth Critical during most vulnerable stages of fish lifecycle Lower Carbon Footprint Less Feed Used Greater than 95% water recycled and 25% improve
Slide 12: State of The Current Business
State of The Current Business AquaBounty.com 12
Slide 13: We Continue to Achieve Key Milestones
We Continue to Achieve Key Milestones Scaling the Ramping Bringing GE Salmon Bolstering our Business Production to Market Balance Sheet • Made strong strides against • Implemented primary • Robust communications • Completed four equity our long-term plans to scale processing capability in platform i
Slide 14: Indiana Farm Focused on Optimizing Farm Operations
Indiana Farm Focused on Optimizing Farm Operations ▪ Continuously improving KPIs while delivering solid results with a less than optimal farm design or the latest technology demonstrates operational competence ▪ Established baselines for KPI’s and work to continuously improve against them ▪ Focus on
Slide 15: Driving Growth & Expansion
Driving Growth & Expansion AquaBounty.com 15
Slide 16: Our Operating Model is designed to facilitate Growth & Expansion
Our Operating Model is designed to facilitate Growth & Expansion Our operating model allows us to seek out opportunities to grow organically through our internal expertise and inorganically through M&A, JV or investments RAS Farming Expertise ▪ Translatable to new species ▪ RAS technology improvemen
Slide 17: Expansion Plans Proceeding for Ohio Farm
Expansion Plans Proceeding for Ohio Farm Key Achievements Ohio Farm Partners ▪ Completed detailed cost estimates for our large-scale, 10,000 mt farm ▪ Selected Pioneer, OH, as the site from an initial pool of approximately 230 sites o Evaluation criteria included water/waste-water volumes, low elect
Slide 18: AquaBounty in Pioneer, Ohio
AquaBounty in Pioneer, Ohio Preliminary Rendition of Pioneer Farm Site Overview ▪ Estimated Square Footage: 479,000 sq. ft. ▪ Expected to create 100+ jobs ▪ Groundbreaking Began: Q1 2022 Status Update ▪ Major permitting, engineering and site preparation work largely complete ▪ Underground work to la
Slide 19: AquaBounty in Pioneer, Ohio – July 2022
AquaBounty in Pioneer, Ohio – July 2022 Construction Status – work continues on the site, while AQB evaluates the current cost estimate. ▪ Roads and utilities have been established to the site ▪ Completed Grubbing and Grading ▪ Started work on Geo Piers ▪ Started work on underground piping AquaBount
Slide 20: Continued Global Expansion
Continued Global Expansion Israel Two sites identified and in North America advanced discussions to form a 50/50 JV with a leading partner ▪ Continued expansion in U.S. and Canada for Farm 4 with potential for 3-5 farms by 2030 International ▪ Conversations continue with expansion partners in South
Slide 21: A Combination of Organic and Inorganic Opportunities Optimize Growth Portfolio
A Combination of Organic and Inorganic Opportunities Optimize Growth Portfolio Our focus is primarily on organic growth with a small portion dedicated towards inorganic growth opportunities Organic Growth Inorganic Growth PRIMARY SECONDARY Site Expansion Careful evaluation of 4-5 new farms operating
Slide 22: Key Financial Metrics
Key Financial Metrics AquaBounty.com 22
Slide 23: GE Salmon Economics vs. Conventional Salmon
GE Salmon Economics vs. Conventional Salmon Throughput increase leverages site infrastructure Improved feed conversion by ~25% reduces feed costs Faster growth to harvest weight (> 4kg) results in 1.7X increase in harvest Feed is the largest variable GE salmon production cost 18 vs 26 mo’s Conventio
Slide 24: Ohio Farm Expected to Generate Industry-Leading Economics
1 Ohio Farm Expected to Generate Industry-Leading Economics Profitable Land-Based Farming at Commodity Pricing Ohio Farm Projections ▪ Precision farming in conjunction with our technical points of difference ensure consistency in supply & cost Annual Output (live weight) 10,000 mt ▪ Biosecurity – pr
Slide 25: Estimate on Ohio Farm Cost of Construction
Estimate on Ohio Farm Cost of Construction Construction Cost Estimate Has Been Impacted By Current Economic Conditions ▪ Inflation is at a 40-year high ▪ Interest rates have been rising ▪ Current construction cost estimate now exceeds $320 million AQB’s Plans ▪ AQB is evaluating alternatives to redu
Slide 26: Q2'2022 Capitalization
Q2’2022 Capitalization Cash, Marketable Securities and Restricted Cash (as of June 30, 2022, $ in thousands) $149,244 Debt (as of June 30, 2022, $ in thousands) ACOA AIF Grant, 0% Interest $2,227 ACOA Term Loan, 0% Interest, Matures February 2027 $136 ACOA Term Loan, 0% Interest, Matures September 2
Slide 27: Current and Long-Term Growth Targets
1 Current and Long-Term Growth Targets Performance Metrics Projected Production Output (mt) ▪ Production output growth target = 51,000 50,000 mt by 2030 ▪ Assumes 4 to 5 new 10,000 mt farms 41,000 36,000 ▪ Targeting non-dilutive financing sources (ex: debt) to leverage cash investment 26,000 ▪ Estim
Slide 28: Let's Have a Conversation
Let’s Have a Conversation AquaBounty uses next-generation land-based aquaculture and gene-editing technology that supports ocean conservation and provides consumers with regional access to nutritious, fresh and affordable salmon with no added antibiotics. Investor Relations AquaBounty Lucas A. Zimme
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