Slide 1: Investor Presentation
Investor Presentation The world’s leading carbon negative materials company February 2021
Slide 2: Forward Looking Statements and Disclaimers
Forward Looking Statements and Disclaimers DISCLAIMER This presentation is for informational purposes only. It shall not constitute an offer to sell, or the solicitation of an offer to buy, any securities, nor shall there be any sale of securities in any states or jurisdictions in which such offer,
Slide 3: Risk Factors Summary
Risk Factors Summary Investing in this transaction involves a high degree of risk. Below is a summary of certain factors that make an investment in this transaction speculative or risky. This summary is not comprehensive. Additional discussion of the risks and uncertainties summarized in this risk f
Slide 4: Transaction Overview
Transaction Overview Founded in 2008, Origin is the world’s leading carbon negative materials company with a mission to enable the world’s transition to sustainable materials Overview Artius is a publicly listed special purpose acquisition company with $725Mn cash in trust Closing is subject t
Slide 5: Visionary leadership team with long history of creating shareholder value
Visionary leadership team with long history of creating shareholder value John Bissell Rich Riley Nate Whaley Charles Drucker Boon Sim Founder & Co-CEO Co-CEO CFO Executive Chairman CEO & CFO • Founded Origin Materials in 2008 • Former CEO Shazam and senior • 20 years C-Suite experience scaling • Fo
Slide 6: Artius Acquisition Inc. Overview
Artius Acquisition Inc. Overview Overview Value-Add Artius Acquisition Inc. (“Artius”) was founded in July 2020 by Charles Seasoned executives with expertise in investing, operating and Drucker and Boon Sim to invest in disruptive platform technologies transforming disruptive companies and helpi
Slide 7: Investment Highlights
Investment Highlights 1 Addressing Enormous and Growing Materials Economy Core products are carbon negative drop-in replacements serving a ~$1Trn+ market – with diverse applications expected to deliver growth for years to come 2 Industry Disrupting Technology Supported by Deep Competitive Advantage
Slide 8: 1. Introduction to Origin
JRIGIN 1. Introduction to Origin
Slide 9: Origin Materials – At a Glance
O O Origin Materials – At a Glance H Cl The world’s leading carbon negative materials company Disruptive Materials Decarbonizing Platform Enormous TAM Cost advantaged Technology Company Technology C ~$1+ Trillion $390Bn near-term focus in Timber feedstocks are Origin produces low and Enables custome
Slide 10: The world is drowning in carbon – it needs rapid solutions
The world is drowning in carbon – it needs rapid solutions Pathways of global carbon dioxide emissions1 Select national net-zero commitments NOT EXHAUSTIVE Gt CO2 per year Sweden Japan France UK South Korea China 2045 2050 2060 Select investment community reactions “We are asking companies to disclo
Slide 11: Leading institutions are committing to a net zero future
Leading institutions are committing to a net zero future The global industrial complex is committed to decarbonization 2030 2030-2040 2040 - 2050 Patagonia AT&T Michelin Carbon neutral by 2025 Net zero by 2035 Net zero by 2050 Proctor & Gamble Walmart BP Net zero between 2020 – 2030 Net zero by 2040
Slide 12: Nearly half of all global emissions come from making products
Nearly half of all global emissions Origin’s mission is to enable the world’s come from making products transition to sustainable materials Total global emissions, 2016 Fossil-based Sustainable-based Energy for Road Transportation Chemicals1 10.6Mn <1% Daily barrels of oil consumed Of annually avail
Slide 13: Ubiquitous plastics are a prime target to begin reducing carbon emissions
Ubiquitous plastics are a prime target to begin reducing carbon emissions Plastics enable modern life… … but we need better, scalable solutions Million tons Drop-in ready – change only happens at scale Transforming the materials economy won’t happen in niche markets. Plastics 546 permeate every sect
Slide 14: The Origin platform: 'Once in a planet' shift from fossil to decarbonized materials
The Origin platform: ‘Once in a planet’ shift from fossil to decarbonized materials Abundant, low-cost, Countless products can be manufactured Origin Core Technology bio-feedstocks using Origin’s carbon negative materials... NOT EXHAUSTIVE Textiles and fabrics “CMF” 5-Chloro- wood chips methyl- furf
Slide 15: Origin's CMF is a carbon negative solution with a pathway to degradability
Origin’s CMF is a carbon negative solution with a pathway to degradability Today Near-term (2022-25+) Mid-term: PET/F Blend Long-term (2027+) Future PET (2025-27+) PEF PET Production Life Cycle Analysis, kg-CO2 / kg-PET1 High-Performance 2.78 Strong Gas Barrier Properties High Heat Resistance -101%
Slide 16: Origin's HTC is a diverse, high-potential carbon negative platform material
Origin’s HTC is a diverse, high-potential carbon negative platform material Today Near-term (2022-25+) Mid-term (2025-27+) Long-term (2027+) Future Fuel pellets/Activated Carbon (~$20Bn) Carbon Black (~$20Bn) Agriculture (~$40Bn) A drop-in ready, energy dense, A carbon negative carbon black replacem
Slide 17: Origin's platform technology decarbonization impact
Origin’s platform technology decarbonization impact By 2030, Origin’s operating plants are expected to annually avoid ~8.3MMT1 CO2 equivalent to approximately… ~960,000 ~1,800,000 ~19,000,000 homes' electricity use for 1 year passenger vehicles driven for 1 year barrels of oil consumed 1. Million Me
Slide 18: Estimated total addressable market for Origin products is more than $1Trn
Estimated total addressable market for Origin products is more than $1Trn Origin addresses a growing market with broad applications HTC market CMF market Markets | Market Size Cumulative TAM = >$1Trn $ Near term focus pre-2030 PET Fiber | ~$175Bn >$390Bn market Apparel Carpet PET Resin | ~$145Bn Foo
Slide 19: Estimated total addressable market for Origin products is more than $1Trn
Estimated total addressable market for Origin products is more than $1Trn Origin addresses a growing market with broad applications HTC market CMF market Select Markets | Market Size Cumulative TAM = >$1Trn $ Long term focus post-2030 Paints & Coatings | ~$30Bn >$750Bn market Colorants Soil Additive
Slide 20: Origin's use of timber and forest residues as feedstock is a potential game changer
Origin’s use of timber and forest residues as feedstock is a potential game changer 8x-14x cheaper than Decoupled from supply Leverages waste, cleans competing renewable volatility of the oil markets forests, and lets food be food feedstocks Feedstock price Indexed price (1 = Q1 2016 value) ~$700/to
Slide 21: Origin has meaningful advantages over bioplastics companies
Origin has meaningful advantages over bioplastics companies Origin advantaged category vs. non-fossil competitors Company A Company B Company C Fossil Origin… PHA PEF / FDCA PLA $1,960 TAM $1,000 $ Bn $0.1 - $0.5 $250 $1.5 - $5.0 Carbon footprint1, ~0.7 0.3 0.3 1.0 Larger TAM <0 indexed to fossil Fe
Slide 22: Origin is supported by Global Fortune companies
Origin is supported by Global Fortune 500 companies We believe total estimated plastics demand from these three customers represents… 4.75Mn Tons ~20 Commercial facilities required to meet PET demand1 2017 22 1. Illustrative opportunity from fulfilling estimated PET portion of PepsiCo, Danone, and N
Slide 23: Origin has generated ~$1.4Bn in customer demand
Origin has generated ~$1.4Bn in customer demand ~$1Bn in either offtake agreements or capacity reservations1 Customer demand, $Mn cumulative Select Origin Customers Contracted $359Mn ~$1.4Bn $243Mn $779Mn Offtake Capacity In Total Agreement1 Reservation Negotiations 23 1. Includes $264Mn specified a
Slide 24: Origin is building on a strong foundation toward rapid growth
Origin is building on a strong foundation toward rapid growth… 2008-2009 2014 2017 2019 2022 2025 2027 2028-2029 Proof of 1st bioplastics concept bottle created Established Pilot Partnerships Construction Production Commercial Expansion Growth Origin founded by Demonstrated Initial investor Detailed
Slide 25: Origin 1 (Sarnia, Ontario, Canada)
Origin 1 (Sarnia, Ontario, Canada) Construction site in Sarnia, Ontario (Canada) Origin 1 construction is advanced and is expected to be operating by year end 2022 17 large, complex equipment modules were fabricated by Koch Modular Process Systems (along with other equipment) and are now sitti
Slide 26: Origin 1 (Sarnia, Ontario, Canada)
Origin 1 (Sarnia, Ontario, Canada) Tanks in construction yard Core process modules awaiting installation 26
Slide 27: 3D diagram of the Origin 1 Plant Site in Sarnia, Ontario
3D diagram of the Origin 1 Plant Site in Sarnia, Ontario 27
Slide 28: Origin is delivering transformational chemistry through mature, industry-standard equipment
Origin is delivering transformational chemistry through mature, industry- standard equipment, materials, and technical processes Origin IP, chemistry, and Material recycling and reuse production processes Liquid phase reactors Decantation Distillation Wood yard transport Filtration Used in existing
Slide 29: Origin is pursuing a capital efficient strategy to optimize CAPEX
Origin is pursuing a capital efficient strategy to optimize CAPEX Origin’s strategy: Origin is keenly aware that capital >40 efficiency will be the major driver of its long term profitability. #1 Work with partners to identify suitable aging / Identify & For this reason, Origin is pursuing a defunct
Slide 30: Origin brings an unrivaled set of industry veterans, leaders, and visionaries
Origin brings an unrivaled set of industry veterans, leaders, and visionaries John Bissell Rich Riley Nate Whaley Stephen Galowitz Co-Founder Co-CEO CFO CCO & Co-CEO Former CEO Shazam 20 years C-Suite Co-founder / Chief Founded Origin and senior executive experience scaling Development Offic
Slide 31: 2. Financial Overview
2. Financial Overview
Slide 32: Origin expects to deliver a superior financial profile for years to come
Origin expects to deliver a superior financial profile for years to come # Completed Plants 1 1 2 2 3 4 5 7 • Revenue and materials volume forecast / growth based on Revenue ($Mn) satisfying existing customer off- $4,019 take contracts and expected +48% p.a. future demand $2,759 • Pricing assumption
Slide 33: Anticipated fully funded growth plan to profitability
Anticipated fully funded growth plan to profitability # Completed Plants 1 1 2 2 3 4 5 7 Origin 8+ (outside of forecast horizon) Origin 4+ Capital Expenditures ($Mn) Origin 3 $1,583 $1,651 Total Origin 1 & 2 Origin 2 CAPEX: $1,142Mn1 Origin 1 $1,131 $957 Maintenance CAPEX $870 $557 $587 $300 $111 $1
Slide 34: Origin could see significant additional revenue potential
Origin could see significant additional revenue potential # Completed Plants (2 trains/plant) 1 1 2 2 3 4 5 7 Revenue ($Mn) • Assumes Origin is able to Additional Revenue Potential $9,090 secure moderately higher +53% p.a. prices in new customer Base Case Revenue $6,126 contracts as a result of stro
Slide 35: Detailed transaction overview
Detailed transaction overview Key Transaction Terms Pro Forma Valuation ($Mn) The transaction is subject to there being a minimum cash amount of Origin Materials Share Price $10.00 $525Mn in Artius at closing after giving effect to any shareholder redemptions Shares Outstanding (Mn) 184.3 Execut
Slide 36: Illustrative valuation references
Illustrative valuation references Biochemicals / Specialty Chemicals Disruptive technology Biomaterials Key Metrics Sustained growth outlook Low High Low High Low High Low High ESG High Low / Medium Medium / High High Tech component High Medium Medium / High High Secured revenue High Medium Medium /
Slide 37: Origin has significant upside potential
Origin has significant upside potential Implied EV based on comparable companies Approach current trading valuations ($Mn) Transaction valuation Applies a range of 20.0x – 30.0x multiples to Origin Materials 2026E EBITDA of $296 million to arrive at an Future Enterprise Value Discounted Enterprise
Slide 38: Origin as a public company
Origin as a public company We will continue to build upon our customer momentum while managing operations Origin’s business combination is estimated to support planned operations until EBITDA positive… Scale the Complete Engineer and design Fund Origin 2 site Support research & organization’s constr
Slide 39: Origin Materials – At a Glance
O O Origin Materials – At a Glance H Cl The world’s leading carbon negative materials company Disruptive Materials Decarbonizing Platform Enormous TAM Cost advantaged Technology Company Technology C ~$1+ Trillion $390Bn near-term focus in Timber feedstocks are Origin produces low and Enables custome
Slide 40: Appendix
Appendix
Slide 41: Origin is not feedstock limited
Origin is not feedstock limited Primary feedstock (forest / wood processing residues) Additional feedstock optionality Million tons annual availability 900 215 Distillers Mixed Grains Paper Wheat Wheat Straw Straw Orchard Corn Waste Waste Timber Timber 400 < 1% Almond Saw Shells Dust Acacia Wood Fru
Slide 42: Origin will look to value chain participants to complement its strengths
Origin will look to value chain participants to complement its strengths Origin’s strengths Feedstock Product (Bottles, Origin (CMF / HTC) Monomers (PX) Plastics (PET / PEF) Additives Customer (Biomass) Fibers) “Our proprietary bread and butter” “Putting it all together” “Clear market pull” Propri
Slide 43: Anticipated to be fully funded to EBITDA profitability
Anticipated to be fully funded to EBITDA profitability Origin 1 and Origin 2 Growth CAPEX Schedule3 ($Mn) Project Financed Growth CAPEX $482 Cash Flow Sources & Uses from 2021E to Origin 2 Revenue in 2025E Local, State, and Federal Government Incentives / Support4 Equity Financed Growth CAPEX Gross
Slide 44: Illustrative valuation references – operational benchmarking
Illustrative valuation references – operational benchmarking Specialty Chemicals Biochemicals / Biomaterials Disruptive technology 161% Mean: 7% Mean: 19% Mean: 45% 2020E – 2022E 61% 53% 49% 59% Revenue CAGR 43% 40% 33% 14% 19% 9% 10% 4% 7% 5% 4% ‘24-’26E ‘26-’28E Mean: 41% Mean: 51% Mean: 39% 78% 8
Slide 45: Illustrative valuation references – valuation benchmarking
Illustrative valuation references – valuation benchmarking Specialty Chemicals Biochemicals / Biomaterials Disruptive technology Mean: 5.7x 31.1x Mean: 13.4x Mean: 17.0x 2021E EV / 24.0x Revenue 17.3x 20.2x 19.2x 12.4x 9.4x 7.6x 6.4x 7.8x 7.7x 5.3x 3.5x 3.1x 1.2x 0.7x 2026E 2027E Mean: 20.6x Mean: 3
Slide 46: Glossary
Glossary Abbreviation Explanation Carbon negative activities or products go beyond achieving reduced carbon impact, or net zero carbon Carbon negative impact, to actually remove additional carbon dioxide from the atmosphere CMF 5-Chloromethylfurfural, organic compound obtained from dehydration deriv
Slide 47: We make negative carbon materials matter
We make negative carbon materials matter