Oriental Culture Holding Ltd · NASDAQ:OCG
Oriental Culture — IPO Roadshow (November 2020)
25 slides from Oriental Culture's IPO roadshow presentation, Nov 18, 2020
Slide 1: Issuer Free Writing Prospectus
Oriental Culture Holding LTD Issuer Free Writing Prospectus Dated November 12, 2020 Filed Pursuant to Rule 433 Relating to Preliminary Prospectus Dated November 9, 2020 Registration Statement No. 333 - 234654 VIEWTRADE SECURITIES, INC. PRIME NUMBER CAPITAL
Slide 2: Forward-Looking Statements
Oriental Culture Holding LTD Forward - Looking Statements This presentation includes statements that are, or may be deemed, “forward - looking statements” . In some cases these forward - looking statements can be identified by the use of forward - looking terminology, including the terms “believes,”
Slide 3: Free Writing Prospectus Statement
Oriental Culture Holding LTD Free Writing Prospectus Statement This free writing prospectus relates to the proposed initial public offering of ordinary shares of Oriental Culture Holding LTD (the “ Company ” ), which are being registered on the Registration Statement and should be read together with
Slide 4: Contents
01 02 03 04 05 COMPANY OVERVIEW CONTENTS 06 COMPANY SERVICES INDUSTRY OVERVIEW INVESTMENT HIGHLIGHTS KEY METRICS & FINANCIAL HIGHLIGHTS PROPOSED OFFERING TERMS ＊ Numbers and amounts reflect approximations 07 RECENT DEVELOPMENTS RELATED TO THE COVID - 19 OUTBREAK
Slide 5: Company Overview
Oriental Culture Holding LTD • We are an online provider of collectibles and artwork e - commerce services, which allow collectors, artists and art dealers and owners to access a much bigger art trading market with a wider range of collectibles and artwork investors • We commenced operations in Marc
Slide 6: Company Overview - Transactions and Values
Oriental Culture Holding LTD Company Overview - 2 15 56 33 17 FY2018 FY2019 1H FY2019 1H FY2020 Number of Transactions Facilitated and Completed (million) 400 1,500 981 847 FY2018 FY2019 1H FY2019 1H FY2020 Total Transaction Value (million in US$) 0.01 0.02 0.02 0.03 FY2018 FY2019 1H FY2019 1H FY202
Slide 7: Collectibles and Artworks Listed on Our Platform
Oriental Culture Holding LTD Collectibles and Artworks Listed on Our Platform • Paintings • Stamps • Coins • Postage Seals • Collectible Cards • Clay teapots • Jade sculptures • Teas A total of 140 and 115 types of collectibles and artworks were listed on our platforms during the six months ended Ju
Slide 8: Senior Leadership
Oriental Culture Holding LTD Senior Leadership
Slide 9: Independent Directors
Oriental Culture Holding LTD Independent Directors
Slide 10: Our Services
Oriental Culture Holding LTD Our Services Offering and Trading of Collectibles and Artwork on Our Platform Our Trading Platform Technology Infrastructure Market Information Provision Investor Education Customer Support
Slide 11: Listing Process
Oriental Culture Holding LTD Listing Process Identification and Evaluation Storage Listing Submit Application The C ompany conducts a preliminary review of the application and related documents. After passing company review, the listing products will be reviewed and appraised by a third - party firm
Slide 12: Customer Transaction Process (Deposit & Withdrawal)
Oriental Culture Holding LTD Customer Transaction Process (Deposit & Withdrawal) A customer can link his or her personal bank account to his or her trading deposit account, which is an independent depository account under his/her trading account. We can monitor their trading activities and account b
Slide 13: Customer Transaction Process (Physical Settlement)
Oriental Culture Holding LTD Customer Transaction Process (Physical Settlement) Member Customers can apply for delivery or voluntarily deposit the collection in a cooperative third - party storage company System Application Warehouse Delivery Settlement Pick up the goods from the relevant storage co
Slide 14: Our Growth Strategy
Oriental Culture Holding LTD Our Growth Strategy Explore small and mini - account business Develop new markets Strengthen our brand and market position Introduce new collectibles and artwork products Selectively explore acquisition opportunities Continue to attract, cultivate and retain talent
Slide 15: Sales and Marketing
Oriental Culture Holding LTD Sales and Marketing
Slide 16: Competition
Oriental Culture Holding LTD • The art e - commerce market is highly competitive - There were over 60 active art e - commerce platforms operating nationwide in China and over 20 active trading service providers in Hong Kong as of September 30, 2020 • Many traditional art galleries and auction houses
Slide 17: Industry Overview
Oriental Culture Holding LTD Industry Overview - 1 • China’s e - commerce continued to grow in 2019. The national e - commerce transaction volume reached RMB 34.81 trillion (approximately $5.02 trillion) in 2019, an increase of 6.7% year - on - year. The national online retail sales reached RMB10.63
Slide 18: Industry Overview - Sales in the Global Art Markets
Oriental Culture Holding LTD Industry Overview - 2 Sales in the Global Art Markets 2009 - 2019 Source: China Post Group Corporation The Average Circulation Volume for New Stamps Issued by the China Post Group Corporation 1990 to 2019 Source: “The Art Market 2020” released by Art Basel and UBS in Mar
Slide 19: Investment Highlights
Oriental Culture Holding LTD Investment Highlights Investment Highlights Becoming a Market Leader with Strong Brand Recognition Our total transaction value reached approximately $981 million in 1H FY2019, $847 million in 1H FY2020, $400 million in FY2018 and $1.5 billion in FY2019 Comprehensive and
Slide 20: Key Metrics
Oriental Culture Holding LTD Key Metrics 19% 55% 16% 10% 1H FY2020 ＊ Operating Revenues Breakdown 1.25 4.74 2.92 1.35 0.00 1.00 2.00 3.00 4.00 5.00 FY2018 FY2019 1H FY2019 1H FY2020 Transaction Fees (US$ million) 3.73 6.73 4.08 0.39 0.00 1.00 2.00 3.00 4.00 5.00 6.00 7.00 8.00 FY2018 FY2019 1H FY201
Slide 21: Financial Highlights
Oriental Culture Holding LTD Financial Highlights 1H FY2020: First half of fiscal year 2020 – six months ended June 30, 2020 (unaudited) 1H FY2019: First half of fiscal year 2019 – six months ended June 30, 2019 FY2019: Fiscal year 2019 ended December 31, 2019 FY2018: Fiscal year 2018 ended December
Slide 22: Recent Developments Related to the COVID-19 Outbreak
Oriental Culture Holding LTD Recent Developments Related to the COVID - 19 Outbreak (1) • COVID - 19 has caused significant negative impact on our business, financial condition, and results of operations as our revenues and net income decreased significantly during the first half of 2020, compared t
Slide 23: Recent Developments Related to the COVID-19 Outbreak (2)
Oriental Culture Holding LTD • Our unaudited net revenues for the six months ended June 30, 2020 were approximately $2.5 million, as compared to approximately $7.9 million for the same period in 2019, a decrease of approximately 69%. Our unaudited net income for the six months ended June 30, 2020 wa
Slide 24: Proposed Offering Terms
Oriental Culture Holding LTD Proposed Offering Terms Issuer Oriental Culture Holding LTD Securities Ordinary Shares Ticker Nasdaq: OCG Pre - Offering Shares Outstanding 15,190,000 Number of Shares Offered 5,065,000 * Post - Offering Shares Outstanding 20,255,000* Offering Price per Share $4.00 Proce
Slide 25: Contacts
Oriental Culture Holding LTD Representative of the Underwriters: Douglas Aguililla ViewTrade Securities, Inc. dougagui@viewtrade.com + 1 561 - 620 - 0306 Investor Relations: Janice Wang EverGreen CQ Consulting Inc. IR@changqingconsulting.com +1 - 908 - 510 - 2351 +86 13811768559 Company: Lijia Ni, C
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