Gratifii Ltd · ASX:GTI
Gratifii — Investor Presentation (September 2024)
28 slides from Gratifii's investor presentation, Sep 9, 2024
Slide 1: Gratifii to acquire Club Connect & Rapport (NZ)
GRATIFII To acquire Club Connect & Rapport (NZ) Gratifii (ASX:GTI) is an ASX-listed technology & services company transforming the way that loyalty and rewards are delivered
Slide 2: Disclaimer
Disclaimer All currency amounts in this presentation are in Australian Dollars (AUD). This presentation has been prepared by Gratifii Limited (ABN 47 125 688 940) (“Gratifii”). Each recipient of this presentation is deemed to have agreed to accept the qualifications, limitations and disclaimers set
Slide 3: Powering Loyalty Success
POWERING LOYALTY SUCCESS ✓Leading domestic B2B loyalty management platform in ANZ by number of accounts1 • Currently 17 million user accounts; trusted by major brands e.g. RACV, Cornerstone Health, Schneider Electric, HBF, Coles, Mitsubishi and Alinta Energy ✓Highly scalable platform: able to suppor
Slide 4: 1. Transaction Summary
1. Transaction Summary 4
Slide 5: Executive Summary
Executive Summary Gratifii to acquire Club Connect, merging two of Australia's largest loyalty and rewards platform providers, and also acquiring Rapport (NZ) to expand its footprint in New Zealand (together, referred to as the "Acquisitions") Club Connect 1. Binding share sale agreement signed, sub
Slide 6: Acquisition Highlights
Acquisition Highlights The merger of two of Australia’s largest loyalty & rewards platform providers plus Rapport (NZ) will deliver: $84m+ ~$3.15m 23m+ Scale Combined Underlying Individual to improve margins Revenue EBITDA accounts 2 & accelerate growth (unaudited)1 (post synergies) 1. Based on 30 J
Slide 7: Acquisitions to Provide Greater Reach & Scale
Acquisitions to Provide Greater Reach & Scale The combination of the Gratifii, Club Connect & Rapport platforms will: • Access to over 23 million individual accounts in AUS/NZ1 • Reach over 70% of all Australian households1 • Offer over 5,000 additional reward products • Have a combined proforma rev
Slide 8: Acquisitions to deliver scale, improved profitability and accelerated tech
Acquisitions to deliver scale, improved profitability and accelerated tech Combined • Between $17.6m and Valuation • $10.4m1 • $8.0m2 • AU$0.45m2 ~$22.0 m before synergies3 • Loyalty Tech & Services • Loyalty Tech & Services • Loyalty Services • Loyalty Tech & Services Core Business • Loyalty Platfo
Slide 9: 2. Overview of Club Connect
2. Overview of Club Connect 9
Slide 10: Club Connect
Club Connect A dedicated platform exclusively for all the Australian Auto Clubs that integrates both transactional & non-transactional member rewards and offers. Provides a critical set of support tools for Auto Club staff and delivers a seamless user experience for over 8 million auto club members
Slide 11: Club Connect Acquisition Rationale
CLUB CONNECT ACQUISITION RATIONALE • The acquisition will enable Gratifii to offer an improved rewards solution, which together with our Mosaic Loyalty platform, will accelerate the Provides scale, Complementary Substantial delivery of our end-to-end solution. improved technology margin financials w
Slide 12: Loyalty value proposition
Creating the best of both worlds leverages the assets and the relationships held by each current entity, creating a ‘one-stop shop’ for current and new clients Products & capability Gratifii core offering Client requirements Experiences Benefits & Rewards, integrating Travel Pet Hotels directly to o
Slide 13: 3. Overview of Rapport (NZ)
3. Overview of Rapport (NZ) 13
Slide 14: Rapport Acquisition Rationale
RAPPORT ACQUISITION RATIONALE Gratifii will acquire the Rapport Group (NZ), Provides Significantly Substantial cross- a digital loyalty marketing agency. additional scale, expands our New sell and up-sell with positive Zealand presence opportunities • It has two main enterprise clients in, normalise
Slide 15: 4. Financials
4. Financials 15
Slide 16: Improved Financial Metrics: Combined Proforma P&L
Improved Financial Metrics Combined Proforma P&L GTI Club Connect Rapport Synergies Consolidated 30 June 2024 FY24 (Management) FY24 (Management) (Exit Rate) Group $ Revenue Rewards 21,441,254 48,028,796 3,226,856 400,000 73,096,906 Loyalty Services 7,697,976 896,035 8,594,011 Platform/Development S
Slide 17: Improved Financial Metrics: Combined Proforma Balance Sheet
Improved Financial Metrics Combined Proforma Balance Sheet SUBJECT TO AUDIT FY24 FY24 FY24 (end March) FY24 FY24 FY24 Consol Group Post Assets Notes GTI Club Connect Rapport Consolidated Transaction Adj Transaction Current Assets Cash and cash equivalents 1 324,105 2,370,873 240,221 2,935,199 -122,9
Slide 18: Gratifii's Proforma Capital Structure
Gratifii’s Proforma Capital Structure Current Capital Structure Proforma Capital Structure Share Price (issue price) $0.004 Share Price^ $0.005 Shares on issue 4,365,078,544 Shares on Issue 1,756,047,663 Options on issue 382,064,633 Options on issue 382,064,633 Performance Rights on Issue 92,609,917
Slide 19: Awards and Certifications
Awards and Certifications AFR Fast Deloitte SECURITY Carbon neutral 100 list Tech Fast 50 ISO/IEC 27001 certified business 3 place in rd 2023 Finalist certified operations 2023
Slide 20: 5. Equity Raising Overview
5. Equity Raising Overview 20
Slide 21: Overview Of Equity Raising
Overview Of Equity Raising To fund the Acquisitions, Gratifii is seeking to raise up to approximately A$9.0 million via the issuance of up to approximately 2.25 billion fully paid ordinary shares Offer Structure & Size (New Shares), through an institutional placement to raise up to approximately A$3
Slide 22: Transaction funding
Transaction funding Sources and uses of funds SOURCES $m 1. Placement 3.50 2. Entitlement Issue 5.50 Total sources 9.00 USES $m 1. Acquisition of Club Connect 6.00 2. Acquisition of Rapport 0.35 3. Repayment of Convertible Notes 0.65 4. Integration / redundancy 0.50 5. Working capital 0.75 6. Approx
Slide 23: Indicative timetable
Indicative timetable EVENT DATE Trading Halt Thursday, 5 September 2024 Announcement of Acquisition, Announcement of Offer, Monday, 9 September 2024 Lodgement of Prospectus Announcement of results of Offer Tuesday, 10 September 2024 Trading Halt lifted & GTI resumes trading on ASX Tuesday, 10 Septem
Slide 24: International offer restrictions
International offer 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 such securities may not be offered or sold, in an
Slide 25: Key risks
Key risks This section sets out s o m e of the potential risks associated with Gratifii’s business, the industry in which it operates, a n d the risks associated with a n investment in its shares. Gratifii is subject to risk factors that are both specific a n d those that are more general in nature.
Slide 26: Key risks
Key risks OPERATIONAL RISKS Acquisition of Club Connect and Gratifii intends to use part of the funds raised from the Offers to finance the acquisition of Club Connect and Rapport, which Rapport is expected to provide significant benefits to the Company, such as increased customer base, revenue dive
Slide 27: Key risks
Key risks OPERATIONAL RISKS (CONTINUED) Reliance on third parties and The operation of the Gratifii platform is reliant on the performance and availability of its technology and communication the internet systems and that of its suppliers and other third parties. In addition, the Gratiffi platforms
Slide 28: Fully Integrated Solutions
FULLY INTEGRATED SOLUTIONS 28