Elys Bmg Group, Inc. · OTC:ELYS
Elys Bmg — Newgioco Group — Investor Presentation (June 2020)
20 slides from Elys Bmg's investor presentation, Jun 1, 2020
Slide 1: This preser
This preser presentat ation conta an give no described in the Company's tilir after th in forwar und from histor Securitie dat 3s with the king statements within the meaning of se forward-looking datements Although we believe that our plans, objectives, expectations an involve significe oe ons or in
Slide 2: Growing Global Market and Opportunity
Growing Global Market and Opportunity e Est. Global Market size: $450 Billion! o Gaming = . y = Sports* _ z 16% > o 0 > [2) ir S Lotteries 2 26% o Bingo 2% Global product market share By Gross Gaming revenue (2019E) rs and Krejcik Gaming. 2018 Oxford Economics U.S. population estimates. H2 Gambling
Slide 3: Massive U.S. Market and First Mover opportunity
Massive U.S. Market and First Mover opportunity Legalization of the U.S. sports betting 19MN A. Sports betting legislation accelerating in the U.’ ! + 21 states, representing approximately 36% of the U.S. population, have legalized sports betting in some form (retail, web, or both). + U.S. Supreme C
Slide 4: Existing technology challenges
Existing technology challenges Legacy architecture creates headwind for competitors against global expansion A. Typical peer framework built during early proliferation of the internet 19MN + generally based on accounting or horse race architecture + risk management normally reliant on “bet lay-off”
Slide 5: Elys technology solution
Elys technology solution Newgioco ELYS disruptive, industry leading architecture without tech debt 1. Advanced ‘from the ground up’ technology on Microsoft .Net Core framework + high-pertormance server intrastructure 19MN + efficient, low-cost betting engne + innovative and customizable + artificial
Slide 6: Our Group
OUR GROUP > NEWGIOCO
Slide 7: Cutting-edge Betting software
19MN z > o o > 2) e o 4 o i=] Cutting-edge Betting software Fully Integrated solution with built-in: A. Self-Exclusion registration and Responsible Gaming filters B. Adaptive Business Intelligence and Big Data algorithms C. Fraud Detection and Anti-Money Laundering Monitors D. Artificial Intelligenc
Slide 8: Multi-channel payment solution functionality
Multi-channel payment solution functionality + cash + e-credit + e-wallet + all credit and debit cards + bank wire / money order z = Qo z > ao i=] > (=) iF o a @ oO
Slide 9: Superior risk management
Superior risk management Innovative, proven and efficient ELYS betting Revenue conversion: Gross Gaming Revenue as % of handle (‘wagers’) Improving wagers to revenue conversion with Proactive Risk Management and Loss Prevention ISMN mmm Handle: Web-based mmm Handle: Land-based = —===NWGI GGR as % of
Slide 10: Revenue margin profile
ISMN z > oO 0 > (2) 4 gqais Revenue margin profile Gross gaming revenue (GGR) conversion Current NWGI revenue conversion mix Hande 3Q "19 @ Sportsbook (Italy) i | Casino (Italy) B Poker (italy) B C005 | lyri! (Italy) GGR3Q'19 @ Sportsbook (Italy) B Casino (Italy) @ Poker (Italy) B S206 | lybrid (Ika
Slide 11: Strong Balance sheet
19MN z > o =] > 2) a o 4 o i=] Strong Balance sheet 9/30/2019 12/31/2018 Cash and cash equivalents $4,910,994 $6,289,903 Other current assets (combined) $1,932,455, $1,251,460 Total Current Assets $6,843,449 $7,551. 363 Restricted cash $1,404,978 $1,560,539 Intangible assets (Ulisse and Multigioco a
Slide 12: Robust fundamentals: Financial overview
1O9MN z > oO 0 > i>) = o 4 o 0 Robust fundamentals Financial overview: Track record of operating results L In Thotieand (6,000) | leone 12/31/2018 12/31/2017, 12/sV2016 Total Wagers $ 352.150 $ 413.226 $ 218520 $121,952 Revenues Gaming Revenue $ 25128 $ 34575 $ 22865 $ 8.897, $4872 Cost of Revenue -
Slide 13: Capital structure
Capital structure ‘Debt Outstanding As of Sept. 30, 2019, Total Wagers $1,000,000 19 MN Bank line of credit 10% per annum, due May 2020 z > Convertible at $ 3.20 / share $ 25.128) o o Callable at $6.40 / share $6,376,410) 3 ee ee Cy Family Funds = Other long-term debt $736,650) Z| & Total debt $10,6
Slide 14: Newgioco's product roadmap for Handle
Newgioco’s product roadmap for Handle 19 MAY - JUNE 19MN Retail solution manned/assisted : GLI Submission - Place a bet - Print e-money vauchers for Auxiliary Wagering Devices (laptops, tablets etc) GLI Centtication (4-6 weeks) gs - Redeem printed e-money voucher from Kiosks and AWD SSMS HOI ES Mel
Slide 15: Growth
Growth Consolidating core market in Italy 300 operators in 2015 to 50 in 2022 Prematch represents 239 of $450bn global market 3.7 mm total players globally mm active monthly players globally only 4.8% currently play online Mobile growing exponentially 54% GAGR Exponential growth opportunity in U.S.
Slide 16: Competitive landscape
19MN z > oO i=] > 2) a 7) 4 ro) i=] Competitive landscape Acquisitive industry A. Pairings have largely been Resort Operators and Sportsbook Providers (Access Deals) B. Tribal Resort Operators have not participated in any significant pairings to date C. Tribal Resort Operators want to maintain sover
Slide 17: Management and Board
19MN iz > oO 0 > fo} = o 4 o Oo Management and Board Michele (Mike) Ciavarella CEO & Chairman Over 25 years of practical capital markets experierce in Canada, USA, Europe & Asia in a broad range of competencies including executive, financial and operational application of lean buzin, proce: leadersh
Slide 18: Management and Board
19MN iz > oO 0 > fo} = o 4 o Oo Management and Board Mark Korb CFO A profaccional certified chartered accanintant with 2A years af extensive ayperiance in GAAD, IEDS and SEC Departing in multinational business planning and analysis for high-growth companies with various private and publicly listed c
Slide 19: Engineering and Administration
19MN ra > oO 0 > i>) i o 4 Cy Oo Engineering and Administration Alessandro Alpi Software Engineer + T7 years software development experience + Platform technology leader + Microsoft MVP and Certified Professional Trainer + Regional manager of PASS SQL Forum in italy Michael Denny Software Engineer +
Slide 20: Newgioco
NEWGIOCO | NASDAQ LISTED Michele (Mike) Ciavarella Chiaitnen and ceo T: 561.838.3325 E: m.ciavarella@newgiocogroup.com www.newgiocogroup.com