Energy Vault Holdings, Inc. · NYSE:NRGV

Energy Vault — SPAC Merger (November 2021)

52 slides from Energy Vault's SPAC merger presentation, November 2021

  1. Slide 1: Energy Vault Investor Presentation November 2021

    Energy Vault Clean Energy on Demand Investor Presentation | November 2021 ENERGY VAULT, INC. ALL RIGHTS RESERVED Enabling a Renewable World

  2. Slide 2: Disclaimer

    2 Disclaimer This presentation (together with oral statements made in connection herewith, this “Presentation”) is for informational purposes only. This Presentation shall not constitute an offer to sell, or the solicitation of an offer to buy, any securities, nor shall there be any sale of securiti

  3. Slide 3: Disclaimer (cont.)

    3 Disclaimer (cont.) If any of these risks materialize or Novus’s or Energy Vault’s assumptions prove incorrect, actual results could differ materially from the results implied by these forward-looking statements. There may be additional risks that neither Novus nor Energy Vault presently know or th

  4. Slide 4: Risk Factors

    4 Risk Factors Unless the context requires otherwise, all references to the “Company,” "we” “us” or “our" refer to the business of Energy Vault, Inc. and its consolidated subsidiaries. The risks presented below are certain of the general risks related to the business of the Company, and such list is

  5. Slide 5: Risk Factors (cont.)

    5 Risk Factors (cont.) Business and Operating Risks; Projections (cont.) – The performance of our systems may be affected by factors outside of our control, which could result in harm to our business and financial results. – If we are not able to continue to reduce our cost structure in the future,

  6. Slide 6: Risk Factors (cont.)

    6 Risk Factors (cont.) Other Risks (cont.) – We do not intend to pay dividends for the foreseeable future. – We will have broad discretion in the use of the net proceeds to us from this offering and may not use them effectively. – Provisions in our charter documents and under Delaware law could make

  7. Slide 7: Transaction Summary

    7 Transaction Summary Key Highlights Pro Forma Capital Structure Leadership Energy storage momentum is one of the largest  Energy Vault stockholders rolling 100% of their equity and most compelling new market opportunities  ~$458mm cash on balance sheet after proceeds and Significant TAM with ~$64

  8. Slide 8: The Global Energy Transition Has Significant Momentum

    The Global Energy Transition Has Significant Momentum from Society, 8 Investors, Corporations and Governments Investor Demand Corporate Demand ...by 2030, to finance and facilitate $2.5T to address climate change J.P. Morgan and advance sustainable development Microsoft Alphabet Walmart By 2050, rem

  9. Slide 9: Energy Vault is the creator of gravity-based, grid-scale energy storage solutions

    99 Energy Vault is the creator of gravity-based, grid-scale energy storage solutions that are critical to power resiliency and the world’s transition to renewable energy Mohammed Bin Rashid Al Maktoum Solar Park Proposed Energy Vault ERC 1.05 GW expanding to 5 GW by 2030 (Dubai) Energy Resiliency Ce

  10. Slide 10: Our Vision, Our Mission

    10 Our Vision To be the preeminent energy storage company of the 21st century Our Mission To accelerate the decarbonization of our planet by introducing the most advanced, environmentally sound and economical energy storage technologies Novus Capital Corporation II ENERGY VAULT, INC. ALL RIGHTS RESE

  11. Slide 11: Experienced Management Team & Board of Directors

    11 Experienced Management Team & Board of Directors Management Team Board of Directors Bill Gross Robert Piconi Robert Piconi Andrea Pedretti Andrea Wuttke Chris Wiese Gonca Icoren Laurence Alexander Marco Terruzzin John G. Jung Co-Founder Co-Founder Co-Founder Co-Founder Chief Financial Chief Opera

  12. Slide 12: Contents

    12 Contents 1. Market Opportunity 2. Company and Technology 3. Customers and Growth Visibility 4. Financial Profile 5. Transaction Overview 6. Appendix ENERGY VAULT, INC. ALL RIGHTS RESERVED Enabling a Renewable World

  13. Slide 13: 1. Clear Market Need for Energy Vault

    1. Clear Market Need for Energy Vault ENERGY VAULT, INC. ALL RIGHTS RESERVED Enabling a Renewable World

  14. Slide 14: Renewables as Percent of Total Production to Substantially Increase after 2020

    Renewables as Percent of Total Production to Substantially 14 Increase after 2020 As renewable energy production increases, renewable energy storage must keep pace to prevent intermittent power outages Renewables % of Renewables % of total 2020: total 2050: 80,000 80,000 12% 90% 70,000 70,000 Total

  15. Slide 15: The Increase in Renewables is Driving Demand for Energy Storage

    15 The Increase in Renewables is Driving Demand for Energy Storage Global grid-scale energy storage projects are projected to increase more than 6x in capacity over the next 10 years Global Projected Grid-Related Annual Storage Deployments ~$270 Billion¹ ~150GWh projected grid- 180 related storage d

  16. Slide 16: Available Energy Storage Today

    16 Available Energy Storage Today Significant drawbacks in scalability, economics and environmental risks limit deployment options Tech Category Pumped Hydro Chemical Other % of Global Storage 90% 5% 5% Capacity Today Thermal / Flow Batteries Other Mechanical Lithium-ion batteries Open Loop (Linked

  17. Slide 17: Energy Vault's Technology Meets Customer Needs and Outperforms Other Alternatives

    17 Energy Vault’s Technology Meets Customer Needs and Outperforms Other Alternatives Pumped Other Mech. Energy Vault Solves Utilities’ Lithium¹ Needs Hydro / Thermal Capex, opex and end-of-life 1. Low cost - levelized (Capex, Opex, EoL) Cost   Degradation 2. Highly scalable (GWh+); local supply ch

  18. Slide 18: Technology Aligns with Primary Market Demand for 2-12+ Hour Discharge Duration

    18 Energy Vault’s Technology Aligns with the Primary Market Demand for 2-12+ Hour Discharge Duration 90% of grid-scale energy storage investment over the next 20 years 100% Lithium-ion With gravity and potential energy at height, flexible to extend Round-trip Efficiency (RTE) (%) duration as require

  19. Slide 19: 2. Energy Vault Overview

    2. Energy Vault Overview ENERGY VAULT, INC. ALL RIGHTS RESERVED Enabling a Renewable World

  20. Slide 20: Company Evolution: Years of Testing and Validation

    20 Company Evolution: 5 Years of Testing and Validation Technology Principles Concept Design and ¼ Computer AI & Machine Commercial CDU Construction 35 MWh CDU EVx Validation Scale Prototype Vision Software Demonstration Unit (CDU) & Testing Commissioning Product Launch Design & Mobile Masses Techno

  21. Slide 21: Energy Vault: Unmatched Energy Storage Breakthrough

    21 Energy Vault: Unmatched Energy Storage Breakthrough Combining conventional physics with 21st century software and material science Crane Industry Shipping Industry Industry Innovations for a Competitive Advantage Energy Vault synthesized four established industries and added advanced computer con

  22. Slide 22: EVx: Core Proven Technology In a Box

    22 EVx: Core Proven Technology “In a Box” soil bottom ash glass fibers Simplified “Building Design” Modular and Flexible Fully Recyclable (compliant with all international (duration and size) (waste material) building codes) ENERGY VAULT, INC. ALL RIGHTS RESERVED Enabling a Renewable World

  23. Slide 23: Patent Portfolio and Key Intellectual Property Overview

    23 Patent Portfolio and Key Intellectual Property Overview Energy Vault has taken a deliberate and thoughtful approach to protecting its IP and trade secrets Our patents and pending patent Patents focus on four primary aspects applications provide a competitive of our technology and process: advanta

  24. Slide 24: Energy Vault Solutions: Technology Neutral Energy Storage Management Platform

    Energy Vault Solutions: Technology Neutral Energy Storage Management & Integration Platform  The EVSTM division of Energy Vault was formed to provide a technology neutral energy storage management and integration platform SOFTWARE  EVSTM was formed to enable the integration of flexible energy asse

  25. Slide 25: First Commercial Scale System in Switzerland Validated the Technology

    25 The first Commercial Scale system in Switzerland validated the Foundational Technology Connected to the Swiss National Grid in July 2020 Enabling a Renewable World ENERGY VAULT, INC. ALL RIGHTS RESERVED Enabling a Renewable World

  26. Slide 26: EV1 Performance Results Above Expectations

    26 EV1 Performance Results Above Expectations Round-Trip Efficiency Above Initial Target Differentiated Brick-Making System Delivering Expected Quality Expected: 75.0% • Mechanical strength: 8 MPa (better than expected) Round-trip Efficiency (RTE): Measured: 75.3% • Pressing time: 10 minutes (as exp

  27. Slide 27: Physically Smaller Solution than Existing Energy Infrastructure

    27 Physically Smaller Solution than Existing Energy Infrastructure Illustrative Height Comparison to Existing Infrastructure 900 ft 9 MW 600 ft Proposed design 7 MW optimizes the energy / height ratio 4 MW 50MWh to multi-GWh+ 300 ft Wind Turbine EVx 2005 2010 2015 Generation (Year) (Fully Modular Sy

  28. Slide 28: Technology Significantly Outperforms New Entrants in Energy Storage

    Energy Vault’s Technology Significantly Outperforms New Entrants Into 28 the Energy Storage Space Projected LCOE¹ ($ / MWh) 2021 2025 60% of the Levelized Cost of Lithium-ion 51% of the Levelized Cost of Lithium-ion 248 185 194 149 130 128 122 119 111 115 112 104 95 85 65 2 Lithium-ion Lithium-ion S

  29. Slide 29: Cost and Performance Advantage Over Lithium-ion

    29 Cost and Performance Advantage Over Lithium-ion Third-Party Analysis From Top 3 US Utility Company¹: 10 MW / 40MWh (4 Hour System) Lithium-ion Lithium-ion 2021 Capex (initial outlay) 298.0 350.0² Total Cost of Capex (Repowering Cells)³ 0.0 76.9 Ownership O&M³ 45.8 77.5 (in $/kWh ac) Total Cost of

  30. Slide 30: Circular Economies Create Economic Value While Eliminating Environmental Liabilities

    Circular Economies Create Economic Value While Eliminating 30 Environmental Liabilities Causing Global Warming 52% Proprietary 35 ton composite bricks remediated designed in partnership with CEMEX Coal Ash Remediation (CCR) Fly ash is already being recycled in lieu of Portland cement among many othe

  31. Slide 31: Illustrative Replacement of 3 GW Coal Power Plant with Energy Vault Storage + Solar

    31 Illustrative Replacement of 3 GW Coal Power Plant with Energy Vault Storage + Solar Before: Coal-Fired Power Station After: Energy Vault Resiliency Center ~275m (900ft) ~100m (350ft) John Amos Power Plant Energy Vault Resiliency Center (EVRC) Putnam, West Virginia Size of Plant: 2,900 MW SO2 Emis

  32. Slide 32: Energy Vault is Purpose-Built to Serve the Global Energy Transition at Scale

    Energy Vault is Purpose-Built to Serve 32 the Global Energy Transition at Scale Gravity-based energy storage system offers a lower expected levelized Low Cost cost than any current technology available – capex, opex and EOL No topographical / geologic dependencies, can be built anywhere you can Scal

  33. Slide 33: 3. Customers and Growth Visibility

    3. Customers and Growth Visibility ENERGY VAULT, INC. ALL RIGHTS RESERVED Enabling a Renewable World

  34. Slide 34: Rapidly Expanding, Global Blue-Chip Engagements

    34 Rapidly Expanding, Global Blue-Chip Engagements $32+ billion sales funnel of customer engagements under discussion over the next 5 years¹ Customer Engagements Acwa Power Essar Pattern Adani FBR Energy PPC Anglo American Ferrexpo QTM Avangrid First Solar Rand Water AWS GE Power RWE Breezy Point Gl

  35. Slide 35: Project Delivery Scope

    35 Project Delivery Scope Legend Energy Vault Scope Outsourced assembly and construction model supports rapid growth and global execution Outsourced (EPC) Scope Energy Vault Sales Funnel (Next 5 Years)¹ • Selection of pre-qualified • Energy Vault oversees initial 361 Total Engagements engineering, p

  36. Slide 36: Early-Stage Opportunities Provide Robust Visibility

    36 Early-Stage Opportunities Provide Robust Visibility | $ in millions Energy Vault Sales Funnel (Next 5 Years)¹ Energy Vault Bookings Projections (Next 5 Years)¹ Total Capacity 12 38 76 104 135 <1 2 5 11 22 (GWh): $32,471 32,471 Existing Qualified Sales Funnel $7,452 7,452 Covers Total $25,019 25,0

  37. Slide 37: Key Customer Deployments Under Discussion Q4 2021 to Q2 2022

    37 Q4 2021 to Q2 2022 Key Customer Deployments Under Discussion 7 customer projects projected to reach NTP over the next 12 months underpinned by executed agreements or letters of intent with 8 customers representing 1,223 MWh and $368 million in potential sales, and advanced commercial proposals wi

  38. Slide 38: Bookings, Deliveries, and Revenues

    38 Bookings, Deliveries, and Revenues Bookings and Deliveries (MWh) Bookings and Revenues ($mm) Bookings 2,963 Bookings $ 962 Deliveries Revenues 8 Executed 1,223 Agreements $368 and LOIs MWh 1,755 $ 535 1,155 858 $ 263 569 $ 148 320 $ 96 $ 67 0 0 $0 $0 Q42020 2021 2022 2023 Q42020 2021 2022 2023 EN

  39. Slide 39: 2024 Business Contribution

    39 2024 Business Contribution ($ in millions) Customer Owned EV Owned Total Revenues $1,460 $59 $1,519 Number of Projects 18 Cumulative Proj. up to 2024: 6 Average Project Size (MWh) 284 Average Project Size (MWh): 177 Average selling price ($/kWh) $260 Capital Invested ($ million): $354 Return on C

  40. Slide 40: 4. Financial Profile

    4. Financial Profile ENERGY VAULT, INC. ALL RIGHTS RESERVED Enabling a Renewable World

  41. Slide 41: Two Complementary Revenue Models Based on Customer Preference

    41 Two Complementary Revenue Models Based on Customer Preference Customer Customer Owned Owned Energy Vault Owned  20% at Contract Signing  10% at Site Groundbreaking  60% at Construction Milestones  Recurring Monthly Payment Payment Structure  10% at Customer Acceptance ($/kW-month) over asset

  42. Slide 42: Projected Financial Profile

    42 Projected Financial Profile | ($ in millions) Revenue Adj. EBITDA¹ Total Projects Post-NTP (MWh): 0 858 1,755 4,623 9,223 $2,764 $662 $1,519 $366 $535 $102 $0 $148 ($36) ($10) 2021 2022 2023 2024 2025 2021 2022 2023 2024 2025 Revenue Growth NM 262% 184% 82% Adj. EBITDA Margin NM (7%) 19% 24% 24%

  43. Slide 43: Projected Cash Needs To Fund Growth

    43 Projected Cash Needs To Fund Growth ($ in millions) Commentary 2021 2022 2023 2024 2025 Total Cash Flow from Operations  2021 – 2022: Initial investments in CFO Excl. Changes in Working Capital ($24) ($9) $68 $254 $464 $753 company-owned projects help drive market Net Changes in Working Capital

  44. Slide 44: 5. Transaction Overview

    5. Transaction Overview ENERGY VAULT, INC. ALL RIGHTS RESERVED Enabling a Renewable World

  45. Slide 45: Detailed Transaction Overview

    45 Detailed Transaction Overview ~$1.1bn Enterprise Value | $100mm PIPE Transaction Highlights Process Description Sources and Uses  Novus II Corporation has ~$288mm in cash held in the trust account Cash Sources Sources $mm Uses $mm  PIPE size of $100mm Estimated Cash Held in Trust $ 287.5 Cash t

  46. Slide 46: Operational Benchmarking

    46 Operational Benchmarking 2023E – 2024E Revenue Growth | 2023E EBITDA Margin 35% 35% Energy Storage Technology High Revenue Growth and High EBITDA Margin in 2023E Energy 30% 30% Transition Technology Disruptive 25% Technology 25% Infrastructure 2023 EBITDA Margin 20% 20% 15% 15% 10% 10% 5% 5% 1 2

  47. Slide 47: Valuation Benchmarking: EV / Revenue

    47 Valuation Benchmarking: EV / Revenue Valuation Multiples Energy Storage 45.2 x Technology 28.5 x 20.6 x 16.6 x 17.3 x 2022E Energy 10.1 x Median: 13.9x 13.7 x 14.1 x 12.9 x Transition 7.7 x 6.2 x Technology 2.9 x 2.5 x Disruptive Technology Energy Vault 1 STEM EOSE GWH Shoals ENPH ARRY SEDG ATHN

  48. Slide 48: Valuation Benchmarking: EV / EBITDA

    48 Valuation Benchmarking: EV / EBITDA Valuation Multiples Energy Storage Technology 51.3x Energy 40.6x 41.0x Transition Technology 29.5x Median: 30.4x 30.4x 2023E 26.0x Disruptive Technology 14.4x Infrastructure 11.1x NM NM NM NM NM Energy Vault1 STEM EOSE GWH Shoals ENPH ARRY SEDG ATHN CHPT EVGO F

  49. Slide 49: Fully Distributed Enterprise Value Sensitivities

    49 Fully Distributed Enterprise Value Sensitivities ($ in millions) Implied Enterprise Value $ 12,153 $ 10,252 12x – 28x 2x – 8x Midpoint Trade-up: Midpoint Trade-up: 546 % $ 6,420 570 % 26x – 34x Midpoint Trade-up: 4x – 12x 171 % Midpoint Trade-up: $ 3,481 $ 4,394 278 % $ 3,038 $ 2,662 $ 2,140 $ 1,

  50. Slide 50: Novus II Investment Thesis

    50 Novus II Investment Thesis Innovate within an Existing Market Has a Committed and Capable Management Team Leadership Position in its Industry Has the Potential to Grow Through Further Acquisition Opportunities Operating Stability with Significant Growth Potential Consideration of ESG Factors ENER

  51. Slide 51: 6. Appendix

    6. Appendix ENERGY VAULT, INC. ALL RIGHTS RESERVED Enabling a Renewable World

  52. Slide 52: Illustrative Fully Diluted Share Count and Ownership

    52 Illustrative Fully Diluted Share Count and Ownership (Share count in millions) Share Price: $ 10.00 $ 12.00 $ 14.00 $ 16.00 $ 18.00 $ 20.00 $ 25.00 $ 30.00 SPAC Shareholders¹ 29 29 29 29 29 29 29 29 SPAC Shareholder Warrants¹ - 1 3 4 5 6 6 7 SPAC Founder Shares¹ 6 6 6 6 6 6 6 6 PIPE Shareholders

Energy Vault — SPAC Merger (November 2021) on 6ix