Bubs Australia Ltd. · ASX:BUB
Bubs Australia — Investor Presentation (June 2018)
22 slides from Bubs Australia's investor presentation, Jun 18, 2018
Slide 1: Investor Capital Raising
For personal use only INVESTOR CAPITAL RAISING 18 June 2018
Slide 2: Disclaimer
DISCLAIMER For personal use only This presentation and any materials provided (materials) have been prepared by Bubs Australia Limited (Bubs) and contains general information about Bubs activities. By accepting the Materials you agree to be bound by the below terms and conditions. Terms and Conditio
Slide 3: Our vision is to inspire generations of happy, healthy bubs
Our vision is to inspire generations of For personal use only happy, healthy bubs
Slide 4: Executive Summary
EXECUTIVE SUMMARY For personal use only A Placement of $40m at $0.75 per share The business is seeing a strong growth trend, and capital will be used to: 1) Further increase working capital and inventory management $13.9m Capital raise of $40 million 2) Support growth in market development, brand ma
Slide 5: Continued Momentum
CONTINUED MOMENTUM (ASX: BUB) For personal use only “Our dominance in Australia’s goat dairy landscape and strategic partnerships with Australia Deloraine Dairy, New Times Asia and QianJiaWanPu provide a strong foundation to advance our international expansion strategy, particularly China.” Dennis L
Slide 6: Strategic Priorities
STRATEGIC PRIORITIES For personal use only Four key pillars critical to delivering the future growth of the business: Increased Enhanced Domestic Asian Market Focus Penetration Brand Innovation Awareness & Product & Impact Development
Slide 7: Increased Domestic Market Penetration
INCREASED DOMESTIC MARKET PENETRATION For personal use only Since listing on ASX incremental ranging of Bubs® products has been secured in Coles, Woolworths, Chemist Warehouse, Costco, Big W and leading pharmacies. Continued growth in Bubs domestic footprint has more than doubled availability of Bub
Slide 8: Brand Awareness and Impact
BRAND AWARENESS AND IMPACT For personal use only Bubs® resonating with consumers growing expectations around food safety, environmental and sustainability standards – traceability / transparency / organic. Continues to evolve its highly effective digitally led marketing campaigns and communications
Slide 9: Product Innovation and Development
PRODUCT INNOVATION AND DEVELOPMENT For personal use only Pipeline of new products in development catering to all stages of a child’s development. New product launches include Bubs Organic® infant cereals and teething rusks, now ranged in Woolworths, Chemist Warehouse, and most Chinese cross-border e
Slide 10: Enhanced Asian Focus
ENHANCED ASIAN FOCUS For personal use only Strategic partnership with China’s largest nationwide distributor of infant formula, supplying up to 80,000 Mother and Baby stores. Distribution Agreement with QianJiaWanPu Co. Ltd., China’s largest distributor of infant nutrition products. $1M+ opening ord
Slide 11: China E-Commerce Development
CHINA E-COMMERCE DEVELOPMENT For personal use only Strategic alliances now in place with all major e-Commerce platforms to build brand awareness and significantly drive sales volume via B2C cross-border channel in F19. Agreement with Hangzhou based New Times Asia, to supply Bubs® and CapriLac® produ
Slide 12: Vertical Integration
VERTICAL INTEGRATION For personal use only Bubs is Australia’s leading goat dairy producer and has transparency across the entire supply chain integration and quality assets to balance key ingredients supply. AUSTRALIA/NEW ZEALAND AUSTRALIA/NEW ZEALAN AUSTRALIA/NEW ZEALAND Infant Formula Domestic Bu
Slide 13: Supply Chain Security
SUPPLY CHAIN SECURITY For personal use only Exclusive milk supply with Australia’s largest milking goat herd, combined with our New Zealand and independent partner farms, produce 13 million litres of milk annually. Exclusive long-term milk supply agreement with Australia’s largest milking goat herd.
Slide 14: Operational Capability
OPERATIONAL CAPABILITY For personal use only Australia’s largest producer of goat dairy products, producing over 65% of all goat milk products in the country. 49.9% stake in CNCA registered dairy facility in Victoria with spray dryer to convert our milk to powder, plus fresh milk pasteurisation and
Slide 15: Nulac Foods Integration
NULAC FOODS INTEGRATION For personal use only Bubs Australia now has a ‘pathway to provenance’ to become the only vertically integrated producer of goat milk infant formula in Australia. Since the completion of the acquisition of NuLac Foods in December 2017, the major focus for 2H FY18 has been on
Slide 16: Financial Performance
FINANCIAL PERFORMANCE For personal use only Focus on our four pillar strategy, combined with underlying investments in supply chain and capabilities continues to deliver controlled and measured growth. GROSS SALES - GEOGRAPHIC KEY DRIVERS A$5.455m Q3 gross sales up 361% to $5.455 million on same per
Slide 17: Capital Raise Overview
CAPITAL RAISE OVERVIEW For personal use only PLACEMENT • Approximately $40m to be raised through a Capital Raising comprising a fixed price Institutional Placement • The Placement will be conducted under the 15% placement in accordance with ASX Listing Rule 7.1 OFFER OFFER PRICE • The Institutional
Slide 18: Use of Funds
USE OF FUNDS For personal use only With solid foundations in place, the Company is poised for sustainable growth. Capex investment in whey processing facility on existing site Further enhanced The processed whey will become a key ingredient in Bubs products and further enhance the provenance Vertica
Slide 19: Indicative Timetable
INDICATIVE TIMETABLE* For personal use only Thursday, 14th June 2018 – Friday 15th June 2018 Tuesday, 26th June 2018 *The above timetable is subject to change without notice.
Slide 20: Team and Shareholders
TEAM AND SHAREHOLDERS For personal use only BOARD MEMBERS KEY SHAREHOLDERS Dennis Lin – Non-Executive Chairman Carr Family Pty Limited 20.8m shares 5.40% Chairman since 16th July 2017. A Partner at BDO, where he leads the firm’s China Advisory Services, specialising in commercial transactions, merge
Slide 21: Contact Details
CONTACT DETAILS For personal use only COMPANY JOINT LEAD MANAGER JOINT LEAD MANAGER Bubs Australia Limited (ASX: BUB) Bell Potter Securities Limited Morgans Corporate Limited 2-4/6 Tilley Lane Level 29, 101 Collins Street Level 29, Riverside Centre, 123 Eagle Street Frenchs Forest NSW 2086 Melbourne
Slide 22: For personal use only
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