Novatti Group Ltd. · ASX:NOV

Novatti — Merger or Acquisition (April 2020)

15 slides from Novatti's merger presentation, Apr 2, 2020

  1. Slide 1: Emersion Software Systems Acquisition

    For personal use only I N N O VAT I O N FOR PAY M E N T S Emersion Software Systems Acquisition NOVATTI GROUP LIMITED (ASX:NOV) 02 APRIL 2020

  2. Slide 2: Disclaimer – Important Notice

    For personal use only Disclaimer – Important Notice This document has been prepared by the management of Novatti Group Limited (Company). The information is based on publicly available information, internally developed data and other sources. Where any opinion is expressed in this document, it is ba

  3. Slide 3: Acquisition Rationale

    For personal use only ACQUISITION RATIONALE Emersion is a leading provider of Customer Engagement, Payment, Provisioning and Subscription Billing solutions. Emersion empowers teams to work remotely and securely, helping them Engage their customers, Integrate their systems and Automate their billing

  4. Slide 4: Opportunity Overview

    For personal use only OPPORTUNITY OVERVIEW Seller Emersion Software Systems Pty Ltd Nature of operations • Real Time – Subscription billing, provisioning, payments and business support software platform • Partnerships with leading international software vendors - Salesforce, Xero and ConnectWise • D

  5. Slide 5: Market Segment Definition

    For personal use only MARKET SEGMENT DEFINITION Emersion provides subscription billing, payments and provisioning capability to Managed services providers (MSP's), Independent software vendors (ISV's), System integrators (SI's), Utilities and Telco's, with integration to CRM, professional services a

  6. Slide 6: Emersion Overview

    For personal use only EMERSION OVERVIEW Emersion integrates diverse business systems (e.g. Accounting, Payment Gateways, Suppliers, Vendors and Internal Systems). This means that manual and time consuming processes like subscription billing, invoicing, payment processing, collections and reporting c

  7. Slide 7: Engagement to Support a Post COVID-19 World

    For personal use only ENGAGEMENT TO SUPPORT DETAILED INVOICES A POST COVID-19 WORLD Detailed invoices make it clear exactly what products and services a customer is paying for. SELF-SERVICE PORTALS Self service portals make it easy for customers to view and pay their bills, and make changes to their

  8. Slide 8: Online Payment, Billing & Payments

    For personal use only ONLINE PAYMENT BILLING & PAYMENTS Emersion supports online payment methods including one off payment methods (Credit Card, EFT and Bpay) and subscription payment methods (Credit Card, Direct Debit) PAYMENT GATEWAY AGGREGATION Emersion supports Payment Gateways in multiple count

  9. Slide 9: Growth Model

    For personal use only GROWTH MODEL Solution suitable for all • Unique industry and product agnostic products, all markets, multi- • Subscription billing, service management, provisioning • Single portal, delivered by AWS Cloud service tier • Key part of client’s new digital economy offerings • Align

  10. Slide 10: Highly Synergistic Acquisition

    For personal use only HIGHLY SYNERGISTIC ACQUISITION Sales & Distribution • Bolsters both the Novatti and Emersion platform sales capacity • Expands Novatti subscription billing and payments sales operations and reach • Leverages current efforts of management to build billing revenues • Cost efficie

  11. Slide 11: Payments Capability

    For personal use only PAYMENTS CAPABILITY Emersion Payment System • Specific synergies for Novatti from Emersion payment capability • Interfaces with various banks, card providers and other payment services providing a Payment Gateway facility • Allows for storage of payment information and collecti

  12. Slide 12: Financials FY19 Actual

    For personal use only FINANCIALS FY19 ACTUAL Revenue $1.71m $1.43m recurring revenue (>80%) EBITDA $0.3m Cashflow Cashflow positive Head office Bourke St Melbourne location and territory Clients in Australia, New Zealand and Singapore No of staff 13 FINTECH BANKING SERVICES PAYMENTS SUBSCRIBER BILLI

  13. Slide 13: Transaction Overview

    For personal use only TRANSACTION OVERVIEW Enterprise value: Multiple: Transaction type: $2.6m 2 x ARR Asset purchase Consideration Transition & Integration Savings and Growth • Shares – 16,725,000 shares • Bolt on acquisition • Strong technology and staffing synergies • Cash – $1,000,000 in monthly

  14. Slide 14: Compelling Value Acquisition

    For personal use only COMPELLING VALUE ACQUISITON Recurring revenue Revenue Cashflow >80% of revenue is recurring Circa $2m with significant Positive cash flow. potential for further growth APAC presence Novatti Revenue Synergy Savings Local Melbourne based Enhances ongoing revenue Low and to be rei

  15. Slide 15: Contact

    For personal use only CONTACT Peter Cook Chief Executive Officer & Managing Director peter.cook@novatti.com | +61 411 111 153 Peter Pawlowitsch Chairman peter.pawlowitsch@novatti.com | +61 419 299 302 www.novattigroup.com FINTECH BANKING SERVICES PAYMENTS SUBSCRIBER BILLING

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