NEXE Innovations Inc · TSXV:NEXE
NEXE Innovations — Investor Presentation (December 2020)
25 slides from NEXE Innovations's investor presentation, Dec 29, 2020
Slide 1: Investor Presentation | Winter 2020
Investor Presentation | Winter 2020 December 29 2020 TSX.V: NEXE
Slide 2: Disclaimer
Disclaimer This presentation contains forward-looking statements; including forward-looking statements The Company disclaims any responsibility to update the forward-looking statements or any regarding expected growth in the global single serve hot beverage market and global coffee risks, uncertaint
Slide 3: We create disruptive innovations through partnerships
We create disruptive innovations through partnerships, leveraging a deep understanding of advanced materials and manufacturing technologies to support a circular economy. © NEXE Innovations Inc. 3
Slide 4: A History of Commitment
A History of Commitment Fully Compostable Pilot -> Automation However, it was only the emergence of new As pilot equipment was tested, considerable new plant-based materials and forming technologies challenges emerged. It would take a whole new (like 3D printing) that propelled Footz to pursue a pro
Slide 5: Global Coffee Consumption Market
Global Coffee Consumption Market $155B $15.6B $29.2B 2026 44% Global coffee market was US at-home coffee market 44% of the US coffee Global Coffee Pod and valued at ~ USD $102.15bn is set to grow by 4.9% in demand comes from Capsule Market is in 2019 and is expected to 2020 to reach $15.6bn the mill
Slide 6: Consumer Demand Driving Innovation for Sustainable Alternatives
Consumer Demand Driving Innovation for Sustainable Alternatives Advancements in Sustainable Materials Technology has created a Generational Opportunity for Product Innovators. Advanced Materials Manufacturing Technology NEXE is at the forefront of the convergence of advanced materials science with m
Slide 7: Global Plastic Crisis
Global Plastic Crisis LESS THAN 9% * 500+ ** YEARS 365+ 79% RECYCLED * 500-10,000 YEARS FOR PLASTIC PODS ENDS UP IN THE TO BREAK DOWN MILLION TONS OF * ENVIRONMENT PLASTIC PRODUCED (LAND AND OCEANS) YOY * https://www.nationalgeographic.com/news/2017/07/plastic-produced-recycling-waste-ocean-trash-de
Slide 8: Circular Economy
Circular Economy • A global R&D initiative for alternative materials to PLASTIC WASTE replace plastic IN LOCAL LANDFILLS • Increased need for new industrial facilities to IS OVERFLOWING! provide quick digestion solutions for waste • Industrial compost facilities struggle with material acceptance NEW
Slide 9: Single-Serve Coffee Pods
Single-Serve Coffee Pods Coffee maintains high ethical requirements and consumers are 50%+ 8.5%+ demanding a solution. OF ALL COFFEE COMPOUNDED CONSUMED GROWTH PER YEAR PROBLEM: Why hasn’t there been a smart, non-plastic coffee pod that has emerged as the category killer? CHALLENGING COMPROMISED TOX
Slide 10: The Solution
THE SOLUTION 1 Plant-based 2 Science-Backed 3 5 Years R&D Lessons Learned Plant-based, fully Our ecotoxicity and After 5 Years of R&D, The lessons learned compostable, no compostability results are NEXE mastered ‘barrier’ from the creation of the compromise! backed by scientific and without compromi
Slide 11: State-of-the-Art Commercial Facility
State-of-the-Art Commercial Facility Our 100% owned facility allows NEXE to begin to address the rapidly growing demand for plant-based alternatives to plastic. 11
Slide 12: Scientific & Commercial Validation
Scientific & Commercial Validation Carrots (left) and onions (right) after 3 weeks of growth in soil containing Post-shredded coffee pods. Fine/compost pod particles after 10 wt% NEXE POD compost. “composting cycle 3”. “Soil containing NEXE POD compost had no “In optimum conditions the pods can be f
Slide 13: Home Composting Study
Home Composting Study NEXE’ Compostability test that took place at the UBC Chemical and Biological Engineering Lab in Vancouver. Involved two 120-liter backyard-style composters were used for the compostability test. Two layers of fibreglass insulation were wrapped around the composter. Forced aerat
Slide 14: Competitors
Competitors The single-use capsule industry is NEXE POD expected to reach annual consumption of 50+ billion units in 2020! 14
Slide 15: Pod Comparison
Pod Comparison 6 -2 MONTHS COMPOSTABILITY YEARS 500 COFFEE POD YEARS * 35 DAYS (6 months to 2 years) PLASTIC DECOMPOSITION COMPOSTABILITY BARRIER LIMITED VOLUME MORE OF COFFEE VOLUME NO ADHESIVES SOY BASED INK Soft Bottom Rigid Cup NEXE POD Conventional EXTREMELY HOT TO COOL TO HOT TO THE TOUCH THE
Slide 16: Funded Capacity (Annual)
Funded Capacity (Annual) TOTAL 250 220M 200 150 100 170M 80 60 50M 40 20 10 0 Millions Q3 2020 Q4 2020 Q1 2021 Q2 2021 Q3 2021 Q4 2021 KCup Nespresso Total 16
Slide 17: Leveraging IP to Create New Innovations
Leveraging IP to Create New Innovations 1 2 3 IP FIRST PROCESS 20+ PATENT FINDINGS IN LAB APPLICATIONS TO DATE SUGGEST NEXE has a two-pronged This process will Firm has identified at least 20 WE CAN CREATE approach to IP with a strengthen our competitive patent applications giving NEW PRODUCTS IN le
Slide 18: An Existing Platform for New Innovations
An Existing Platform for New Innovations Process Gather Rapid Prototyping Operational Customer Sales Customer Testing Validation Requirements Lab Selection, modification, and utilization of sustainable polymers 18
Slide 19: Collaborations & Partnerships
Collaborations & Partnerships Government / Academic Partnerships Government of Gouvernement du Canada Canada Awards Government of Gouvernement du Government of Gouvernement du Canada Canada Canada Canada IRAP Innovation Assistance Program (IAP) WINN - Western Innovation Initiative Wall Solutions Awa
Slide 20: Value Creation
Value Creation 220,000,000+ 1,000,000,000+ LAB SCALE FLAGSHIP PLANT INDUSTRIAL SCALE BUSINESS MODEL/ PLATFORM PROCESS/ SALES OF PRODUCTS LICENSING EARNINGS METHODOLOGY LICENSING STRATEGIC CHOICES STAND-ALONE STRATEGIC PARTNERING CHOICES SELL TECHNOLOGY 20
Slide 21: Capital Table
December 18 2020 Capital Table 47,387,337 65,087,488 Current Cash Total Shares Number of Common Issued Shares $13.5M Available Cash (Aug 31 2020) $3.7M Warrants 16,795,468 Financing (Dec 2020) $14.16M Performance Warrants 3,250,000 Stock Options 5,500,000 Total $17.86M Fully Diluted Share Capital 90
Slide 22: Leadership Team
Leadership Team Darren Footz Ash Guglani Steve Lockhart Dr. Zac Hudson CEO President, Co-Founder VP Business Development Chief Science Officer A serial entrepreneur, Darren is the past President Ash spent 12 years in capital markets with a Steve has over 20 years of experience in Dr. Zac Hudson is th
Slide 23: Summary
Summary Explosive Growth in the sustainable and global anti-plastic movement NEXE POD Commercialization in Q4 2020 (K-Cup format) Significant K-Cup Production Capacity Growth up to potential 170 million units annually by end of 2021 New Innovation Product Testing to be completed by mid 2021 (NEXE PO
Slide 24: © NEXE Innovations Inc.
© NEXE Innovations Inc. 24
Slide 25: nexe.ca
nexe.ca For more information please contact investors@nexe.ca Ash Guglani Kelsey Letham investors@nexe.ca kelsey.letham@nexeinnovations.com #109 - 19353 22nd Avenue Surrey, BC V3Z 3S6
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