Trendlines Group Ltd. · SGX:42T
Trendlines — The Trendlines Group — H1 2020 Earnings Presentation
19 slides from Trendlines's earnings presentation, Aug 12, 2020
Slide 1: The Trendlines Group Earnings & updates H1 2020
The Trendlines Group Earnings & updates H1 2020 Steve Rhodes Todd Dollinger Haim Brosh Chairman and CEO Chairman and CEO Chief Financial Officer 12 August 2020 SGX:42T OTCQX: TRNLY
Slide 2: Agenda
Agenda • Corporate highlights • Covid-19 impact • Financial highlights • Post H1 2020 developments 2
Slide 3: Legal disclaimer
Legal disclaimer Important notice This presentation is for informational purposes only and does not constitute or form any part of any offer for sale or subscription of, or solicitation of, any offer to buy or subscribe for any securities of The Trendlines Group Ltd. (“Company”) or any of its portfo
Slide 4: Corporate highlights
Corporate highlights
Slide 5: Portfolio value expansion
Portfolio value expansion US$ millions Portfolio value with exit proceeds - total US$122.9 million 140 120 Portfolio value (excluding 11 Singapore consolidated subsidiaries) 100 Cumulative exit proceeds 80 60 40 20 0 31.12.08 31.12.09 31.12.10 31.12.11 31.12.12 31.12.13 31.12.14 31.12.15 31.12.16 31
Slide 6: Key corporate developments H1 2020
Key corporate developments H1 2020 • 9th Exit - sale of ApiFix Ltd. • Trendlines Agrifood Fund Pte. Ltd. invested in three companies – Equinom Ltd., Insectta Ltd. and Saturas Ltd. • Establishment of two new medical portfolio companies – Senter Care Ltd. (Israel) and STEP Pte. Ltd. (Singapore) • 27 p
Slide 7: Portfolio company achievements
Portfolio company achievements • ApiFix Ltd. acquired by OrthoPediatrics Corp. • Johnson & Johnson Innovation led investment for a 2nd time in US$5 million OrthoSpin Ltd. round • Hargol Foodtech Ltd. raised US$3 million & started sales of their Biblical Protein product • AgroScout Ltd. raised US$3 m
Slide 8: ApiFix acquisition terms
ApiFix acquisition terms Milestones Total consideration Trendlines’ consideration At closing 934,783 new common OP shares 187,257 shares + US$150,000 + US$2.0 million in cash Earlier of 150 US$13 million (at least 25% in ~ US$2,420,600 surgeries or 2nd cash) anniversary of closing date 3rd anniversa
Slide 9: Impact of Covid-19
Impact of Covid-19 • Implementation and monitoring of work practices in Israel and Singapore to ensure safety and health of employees • Updating budgets and plans for portfolio companies to extend cash runway • Travel restrictions, lockdowns and postponement of medical procedures impacts some compan
Slide 10: Financial highlights
Financial highlights
Slide 11: Key financial developments
Key financial developments 30 June 2020 31 December 2019 Portfolio value US$88.5 million US$102.8 million Total assets US$119.9 million US$125.5 million Cash, short- & long-term deposits and receivables US$27.8 million US$19.4 million H1 2020 H1 2019 Net loss (US$4.1 million) (US$2.2 million) 11
Slide 12: Consolidated condensed report of income
Consolidated condensed report of income CONSOLIDATED STATEMENTS OF PROFIT OR LOSS U.S. dollars in thousands, except share data 6 months ended 30 June 2020 2019 Income Loss from change in fair value of investments in Portfolio (3,626) (1,395) Companies Income from services to Portfolio Companies 1,79
Slide 13: Consolidated condensed report of income
Consolidated condensed report of income CONSOLIDATED STATEMENTS OF PROFIT OR LOSS U.S. dollars in thousands, except share data 6 months ended 30 June 2020 2019 Expenses Operating, general and administrative expenses 3,373 3,128 Marketing expenses 96 88 R&D expenses, net 493 653 Financial expenses 40
Slide 14: Key value components
Key value components Change in portfolio value during H1 2020 Balance sheet as at 30 June 2020 (US$ millions) (3.3) (1.4) 9.6 27.8 (14.5) (1.2) (23.8) 102.8 88.5 95.9 Net portfolio Investments and Fair value Net portfolio Cash, short & Fair value of Deferred Deferred tax*** Payables & Total equity v
Slide 15: Stock performance: Net Asset Value (NAV)
Stock performance: Net Asset Value (NAV) SGD USD NAV per share/ADR* S$ 0.17 US$ 6.0 Price per share/ADR** S$ 0.111 US$ 3.88 % discount to NAV 34% 29% *As at 30 June 2020 **Market close as at 6 Aug 2020 15
Slide 16: Post H1 2020 developments
Post H1 2020 developments
Slide 17: Post H1 2020 developments
Post H1 2020 developments • Trendlines’ in-house innovation center (Labs) expands to Singapore • Trendlines expands activities in China with the opening of Trendlines Medical Shanghai Innovation Center 17
Slide 18: Looking ahead
Looking ahead Our quality of life is inextricably linked to our health and our food. More than ever, we believe that our investment focus on medical and agrifood sectors has the potential to impact people’s lives and provides a significant opportunity in value creation for our stakeholders. 18
Slide 19: SGX: 42T OTCQX: TRNLY www.trendlines.com
SGX: 42T Steve Rhodes, Chairman & CEO OTCQX: TRNLY steve@trendlines.com Todd Dollinger, Chairman & CEO +972.72.260.7000 todd@trendlines.com www.trendlines.com Haim Brosh, Chief Financial Officer haim@trendlines.com August 2020