Adslot Ltd · ASX:ADS
Adslot — Investor Presentation (April 2022)
40 slides from Adslot's investor presentation, Apr 11, 2022
Slide 1: Equity Raising Presentation
Equity Raising Presentation April 2022 1
Slide 2: Executive Summary
Executive Summary AN OPPORTUNITY TO INVEST AT HISTORICALLY LOW PRICES. ✔ We have built smart tech; validated by the biggest global players at a time when the flight to quality across the media industry is accelerating ✔ Key projects are in activation that have the potential to change the scale of our
Slide 3: Realising True Value
Realising True Value THE BOARD BELIEVE THE CURRENT SHARE PRICE DOES NOT REFLECT THE TRUE VALUE OF THE COMPANY. ✔ ADS has 2 market-leading and validated technology solutions ✔ The hard work of securing commercial agreements with the global media organisations has been done ✔ Key client activations wi
Slide 4: Strategic Review
Strategic Review FOLLOWING RECEIPT OF UNSOLICITED INTEREST, THE BOARD HAS ANNOUNCED A STRATEGIC REVIEW PROCESS WITH THE OBJECTIVE OF MAXIMISING SHAREHOLDER VALUE. ✔ The board believes the value of the underlying business units may be worth substantially more the current market capitalisation ✔ US ba
Slide 5: Equity Raising
Equity Raising THE COMPANY IS SEEKING TO RAISE CAPITAL THAT WILL SEE THE BUSINESS THROUGH THE COMPLETION AND EXECUTION This is an OF ITS STRATEGIC REVIEW TO UNLOCK SIGNIFICANT opportunity to invest SHAREHOLDER VALUE. at historically low ✔ A total of A$3.8M to be raised from new and existing investor
Slide 6: Investment Highlights
INVESTMENT HIGHLIGHTS 6
Slide 7: Overview: Our Business Units & Revenue Models
Overview: Our Business Units & Revenue Models Product Description Primary Revenue Model A global digital media marketplace, enabling media buyers and sellers to trade premium display advertising on a targeted, Trading Fees forward-guaranteed basis (direct buys). A global enterprise SaaS platform, pr
Slide 8: Adslot Is At An Inflection Point
THE BIG SIX Adslot Is At An Inflection Point CONSIDERABLE PROGRESS HAS BEEN MADE IN SETTING UP THE BUSINESS FOR LONG TERM SUCCESS. ✔ Commercial agreements have been secured with 5 of the 6 largest media buying organisations in the world ✔ Approximately 50% of the Comscore Top 50* publishers (i.e. sel
Slide 9: Business Performance Is Improving
Business Performance Is Improving THE FIRST HALF OF FY 2022 SAW IMPROVEMENT IN FINANCIAL PERFORMANCE ACROSS THE COMPANY. ✔ Trading Fee revenue up 16% HoH and 2% vs PCP ✔ License Fee revenue up 7% HoH and 18% vs PCP ✔ Total Trading Technology revenue up 9% HoH and 14% vs PCP ✔ Continued reductions in
Slide 10: Industry Trends Are Moving Strongly In Our Favour
Industry Trends Are Moving Strongly In Our Favour INDUSTRY DEVELOPMENTS ARE ALIGNED WITH OUR STRATEGY TO CONNECT LARGE BUYERS AND SELLERS OF MEDIA RATHER THAN DISINTERMEDIATING THEM. ✔ A flight to quality where media buyers are seeking to trade with an increasingly finite set of premium publishers ✔ A
Slide 11: We Have Strong Product Validation
We Have Strong Product Validation OUR PRODUCTS HAVE BEEN RIGOROUSLY TESTED AND The adoption of our DEPLOYED BY THE LARGEST PLAYERS IN THE MEDIA INDUSTRY. products by the largest buyers of media globally, ✔ Over $86M has been traded via the Adslot Media platform since its inception places us at the c
Slide 12: Key Commercial Projects
KEY COMMERCIAL PROJECTS 12
Slide 13: Key Project 1: GroupM Premium Supply
Key Project 1: groupM Premium Supply IN JULY 2021 THE COMPANY LAUNCHED A PARTNER MARKETPLACE AS A COMPONENT OF GROUPM’S GLOBAL PREMIUM SUPPLY INITIATIVE. ✔ Initial active market is UK with opportunity to expand to additional active markets globally ✔ December 2021 quarter trading saw a significant in
Slide 14: UPDATE: GroupM Premium Supply
UPDATE: groupM ”The initial deployment of the Premium Supply Adslot Media platform has ON MARCH 28, 2022 THE COMPANY ANNOUNCED A been a great success, TWO-YEAR EXTENSION OF ITS PARTNER MARKETPLACE AGREEMENT WITH GROUPM IN THE UNITED KINGDOM. providing streamlined access to premium publishers and ✔ U
Slide 15: Key Initiative 2: IPG Kinesso Health & Wellness
Key Initiative 2: IPG Kinesso Health & Wellness THE COMPANY HAS RECENTLY LAUNCHED A WHITE-LABELED MARKETPLACE FOR KINESSO, THE INNOVATION DIVISION OF THE INTERPUBLIC GROUP OF COMPANIES (IPG). ✔ Marketplace customised for the valuable and fast-growing Health and Wellness sector with a focus on pharma
Slide 16: Key Initiative 2: IPG Kinesso Health & Wellness
Key Initiative 2: IPG Kinesso Health & Wellness THE HEALTH & WELLNESS SECTOR (INCL PHARMA) REPRESENTS A SIGNIFICANT OPPORTUNITY FOR HIGH-VOLUME TRADING ON ADSLOT MEDIA. ✔ IPG / Kinesso clients to be onboarded to the Health & Wellness Marketplace include the largest pharmaceutical advertisers in the
Slide 17: Key Initiative 3: Growing Publisher Coverage in Key Markets
Key Initiative 3: Growing Publisher Coverage in Key Markets * PARTIAL LIST = Recently signed 17
Slide 18: Our Client Validation Is Scalable and Replicable
Our Client Validation Is Scalable and Replicable THE SUCCESSFUL DELIVERY OF KEY PROJECTS FOR IPG KINESSO AND GROUPM PROVIDES A BLUEPRINT FOR CONTINUED SCALING OF TRADING: ✔ Extension of white-labelled marketplaces to new industry specific verticals following Health & Wellness (ie Automotive, Travel e
Slide 19: Recent Updates
RECENT UPDATES 19
Slide 20: Appointment of East Wind Advisors
Appointment of East Wind Advisors THE COMPANY HAS RECENTLY APPOINTED US-BASED INVESTMENT BANKING FIRM EAST WIND ADVISORS TO ASSIST WITH ASPECTS OF ITS PREVIOUSLY ANNOUNCED STRATEGIC REVIEW. ✔ East Wind will assist in the assessment of Assets and Business Units with the belief that the sum of the par
Slide 21: Executive Team Update
Executive Team Update THE COMPANY HAS ANNOUNCED A NUMBER OF CHANGES TO THE EXECUTIVE LEADERSHIP TEAM. ✔ US-based director Mr Tom Triscari has been appointed Head of Corporate Development and interim CFO. In this role Mr Triscari will pursue partnership and corporate development opportunities in the
Slide 22: March Quarter Trading
March Quarter Trading TOTAL TRANSACTION VALUE (TTV) ON THE ADSLOT MEDIA PLATFORM FOR THE MARCH QUARTER WAS $5.23M The Company anticipates that the continued ✔ The March quarter is traditionally the lowest quarter activation of both the seasonally for media trading in all major markets GroupM and IPG
Slide 23: Details of Offer
DETAILS OF OFFER 23
Slide 24: Offer Details
Offer Details Offer • $3.8M capital raising comprising a placement and entitlement offer Overview • Entitlement offer underwritten by Venturian Pty Ltd, an entity controlled by Chairman, Mr Andrew Barlow • Placement of 105,882,353 shares to raise $1.8M offered to new and existing sophisticated and i
Slide 25: Sources and Use of Funds
Sources and Use of Funds Source of funds $m (approx.) Placement 1.8 FUNDS WILL BE USED AS FOLLOWS: Rights Issue 2.0 ✔ To strengthen the balance sheet while the Company TOTAL 3.8 conducts its previously announced strategic review and to provide additional working capital in order to maintain $m Uses
Slide 26: Indicative Timetable
Indicative Timetable Event Date Trading halt Before 9.30am (Sydney time), Thursday, 7 April 2022 Trading halt lifted Before 9.30am (Sydney time), Monday, 11 April 2022 Announcement of results of Placement, announce Entitlement Offer, Investor Presentation, s708AA(2)(f) cleansing notice and Appendix
Slide 27: Important Notice and Disclaimer
Important Notice and Disclaimer This Presentation contains summary information about Adslot Limited ABN 70 001 287 510 (ADS or the Future performance Company) and its activities as at Monday, 4 April 2022. It has been prepared in relation to a proposed This Presentation contains certain references t
Slide 28: Key Risks
KEY RISKS 28
Slide 29: Key Risks
Key Risks This section discloses some of the key risks attaching to an investment in Adslot. Before investing or increasing your investment in Adslot, you should consider whether this investment is suitable for you having regard to publicly available information and your personal circumstances and f
Slide 30: Key Risks
Key Risks Reliance on Symphony and Adslot Media trading platform and failure to adequately maintain and develop it Adslot’s business model depends on an ability to continue to ensure that customers are satisfied with the Symphony workflow software and the Adslot Media trading platform. There is a risk
Slide 31: Key Risks
Key Risks Security breach and data privacy Adslot products involve the storage and transmission of customers’ confidential and proprietary information, including intellectual property, confidential business information, information regarding their customers, and other confidential information. Adslot’s
Slide 32: Key Risks
Key Risks General risks Adslot is exposed to a number of other general business risks including risks relating to breach of third party intellectual property rights, failure to keep abreast of changes in political and regulatory environments, foreign exchange, potential litigation and certain invest
Slide 33: Key Risks
Key Risks Asset impairment As a consequence of the global financial crisis, ASIC has specifically identified impairment of assets as an issue for Australian companies. Consistent with Australian Accounting Standard AASB 136 Impairment of Assets, Adslot is periodically required to assess the carrying va
Slide 34: Foreign Selling Restrictions
FOREIGN SELLING RESTRICTIONS 34
Slide 35: Foreign Selling Restrictions
Foreign Selling Restrictions This document does not constitute an offer of new ordinary shares ("New Shares") of the Company in any jurisdiction in which it would be unlawful. In particular, this document may not be distributed to any person, and the New Shares may not be offered or sold, in any cou
Slide 36: Foreign Selling Restrictions
Foreign Selling Restrictions France This document is not being distributed in the context of a public offering of financial securities (offre au public de titres financiers) in France within the meaning of Article L.411-1 of the French Monetary and Financial Code (Code monétaire et financier) and Artic
Slide 37: Foreign Selling Restrictions
Foreign Selling Restrictions Ireland The information in this document does not constitute a prospectus under any Irish laws or regulations and this document has not been filed with or approved by any Irish regulatory authority as the information has not been prepared in the context of a public offeri
Slide 38: Appendices
APPENDICES 38
Slide 39: Industry Comparable Stocks
Industry Comparable Stocks Net Revenue Market Cap TTV FY21 FY21 Company ($ millions USD) ($ millions USD) ($ millions USD) Take-Rate % TTV Multiple Buy-side TTD The Trade Desk $35,412 $6,200 $1,200 19% 5.71x Sell-Side MGNI Magnite** $1,833 $3,343 $468 14%* 0.55x PUBM Pubmatic* $1,436 $1,621 $227 14%
Slide 40: Thank you.
Thank you. investor.relations@adslot.com Adslot.com 40