Dragonfly Energy Holdings Corp · NASDAQ:DFLI
Dragonfly Energy — Chardan NexTech Acquisition 2 — SPAC Merger (August 2022)
43 slides from Dragonfly Energy's SPAC merger presentation, Aug 8, 2022
Slide 1: Analyst & Investor Day
~” SOOT ANALYST & INVESTOR DAY , 08.05.2022 For More Information: DragonttyEnergy com/Investors, on, %e, weanny
Slide 2: Legal Disclaimer
Legal Disclaimer This presentation (this "Presentation") has been prepared for use by Dragonfly Energy Corp. ("Dragonfly" or the "Company") and Chardan NexTech Acquisition 2 Corp . (''CNTQ") in connection with their proposed business combination. This Presentation is for information purposes only an
Slide 3: Forward-Looking Statements (Cont'd)
Forward - Looking Statements (Cont'd) completed by CNTQ's business combination deadline (as may be extended pursuant to CNTQ's governing documents); 21) the impact of the novel coronavirus disease pandemic, including any mutations or variants thereof and the Russian/Ukrainian conflict, and any resul
Slide 4: Industry and Market Data
Industry and Mcrrket Data This Presentation contains certain information obtained from third - party sources and the Company's internal sources. This information involves many assumptions and limitations; therefore, there can be no guarantee as to the accuracy or reliability of such assumptions and
Slide 5: Dragonfly Energy Corp. and Chardan NexTech Acquisition 2 Corp.
CHARDAN NEXTECH ACQ 2 Dragonfly Energy Corp. (Chardan NexTech Acquisition 2 Corp. MAY 16", 2022 Dragonily and Chardan NexTech Acquistion 2 Corp. entered into a definitive merger agreement. CURRENT TICKER SYMBOL - ReXiSW) (asda) UPON CLOSING OF TRANSACTION - NEW TICKER SYMBOL - [BSSgA@) (Nasciag) [DR
Slide 6: Agenda
AGENDA INTRODUCTION TO DRAGONFLY ENE.RGY VIDEO PRESENTATION WELCOME I DR. DENIS PHARES, CEO OF DRAGONFLY ENERGY COMPANY OVERVIEW I JONAS GROSSMAN, CEO AND DIRECTOR OF CHARDAN RETAIL BUSINESS VIDEO PRESENTATION WHO IS DRAGONFLY ENERGY? I DR. DENIS PHARES, CEO OF DRAGONFLY ENERGY OEM BUSINESS VIDEO PR
Slide 7: Presenters
dragonfly • Dr. Denis Phares ••••• Ƈ • Chief Executive Officer Dragonfly Energy, Corp. dragonfl • y Sean Nichols ••••• \ Chief Operating Officer Dragonfly Energy, Corp. ( drogonfly' John Marchetti ·· - · · Ƈ • Chief Financial Officer Dragonfly Energy, Corp. s Jonas Grossman Chief Executive Officer C
Slide 8: 12V LiFePO4 Battery
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Slide 9: Revolutionizing Smart Storage to Enable a Clean, Renewable Future
REVOLUTIONIZING SMART STORAGE TO ENABLE A > CLEAN, RENEWABLE FUTURE
Slide 10: Announced to publicly list on Nasdaq through business combination
announced to publicly list on Nasdaq through a business combination with: Charda r1 NexTech AcqL1isition 2 Coip. CHARDAN NEXTECH ACQ 2 DRAGONFL Y ENERG Y ANALYS T & INVESTOR DA Y I 2022
Slide 11: Analyst Day
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Slide 12: Chardan NexTech Overview
CHARDAN NexTscu 2 OVERVIEW _ eR CHARDAN NEXTECH ACQ 2 * Chardon NexTech Acquistion 2 Corp! (NASDAQ: CNTO) + 80 years of combined experience, including public 4s «$127 million SPAC focused on merging with a ‘offering and transaction experience clsruptive technology company + Beard is comprised of ded
Slide 13: Profitable Growth, Attractive Valuation, Large Markets
PROFITABLE GROWTH $255M $76M ~ cl a * 2023 Estimated $255 Milion in Revenue / ‘Adjusted EBITDA of $41 Million ATTRACTIVE VALUATION elo 2023 projected revenue and EBITDA at approximately 20% cand 40% respective discounts to comps" LARGE ADDRESSABLE MARKETS $85B $85 Billion Market Opportunity by 2025
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Slide 15: Sustainability
SUSTAINABILITY =~ Ta
Slide 16: Visionary Leadership
=a VISIONARY LEADERSHIP
Slide 17: THOR Makes $15M Investment in Dragonfly Energy
THOR MAKES $15M INVESTMENT IN DRAGONFLY ENERGY — GG 11 the proven successiof the products in the field and synergistic vatliie-add relationship made this investment an important one {6.us. Our alignment with Dragonfly is & natural fit to the evolution? of our product lines that empower the owners of
Slide 18: Transaction Overview
TRANSACTIO N OVERVIEW SUMMARY TRANSACTION TERMS Pro Forma Valuation at aose $MM Share Price $10.00 Pro Forma Shares Outstanding (MM)0)< 9 ) $57.4 Pro Forma Equity Value $574.3 Less: Pro Forma Net Cash< 10 ) ( $72.9 ) Dragonfly Enterprise Value $501.4 Estimated Sources $:tviM: Dragonfly Shareholder E
Slide 19: Transaction Overview (Cont'd)
TRANSACTION OVERVIEW (CONT'D) TRANSACTIO N HIGHLIGHTS TRANSACTION OVERVIEW VA t UATION EARN - OUT CASH SOURCES CAPITAL STRUCTURE • Dragonfly E nergy , Corp . ("Dragonfly") is expected to combine with Chardan NexTech Acquisition 2 Corp . ("CN T Q") to create a publicly - lis t ed energy storage techn
Slide 20: Reduce the Cost of Energy Storage
REDUCE THE COST OF ENERGY STORAGE G6 ‘The solution is cn energy butter that stores energy when the sun is shining or the wind is blowing, and delivers STORAGE energy when these sources are inactive. [DRAGONFLY ENERGY ANALYST &INVESTOR DAY. | 2022
Slide 21: Dragonfly's Industry Leading Business
| DRAGONFLY’S INDUSTRY LEADING BUSINESS $78M >175K te >20x ~160% >35, >$500M
Slide 22: The Battle Born Advantage
TH E BATTL E B RN Environmentally safe Efficient and reliable Innovative technology Unmatched brand recognition Exceptional customer experience Dragonfly is a full system integrator ottering batteries, cables, and accessories - - - - 1 --- ...I"" \ ..,......._ ,. -- lf ADVANTAGE DRAGONFL Y ENERG Y A
Slide 23: Partner logos
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Slide 25: Lead-Acid: A Toxic Problem
LEAD-ACID | A TOXIC PROBLEM 85% tne tal global consumption ota forthe edcton toad bate 900K Annual deaths attributed to lead exposure globally.” 33% (Of children suffer from lead poisoning worldwide® $1 Trillion [Estimated annual cost of lost productivity due to lead ‘exposure globally? DRAGONFLY EN
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Slide 29: Proven Go-To-Market Strategies
PROVEN GO - TO - MARKET STRATEGIES Dragonfly has created a continuous validation loop that begins with educating the consUiner and leads to collaboration with the manufacturer. 11 : 53 EDUCATING THE CONSUMER ■ Partnered with social media influencers and professional anglers to promote brand through
Slide 30: New Markets
NEW MARKETS Industrial Equipment Solar Integration Work Trucks Emergency & Backup Power Telecom Data Centers REVOLUTIONIZING GREEN ENERGY TECHNOLOGY. DRAGONFL Y ENERG Y ANALYST & INVESTOR DA Y I 2022
Slide 31: Robust Patent Portfolio
ROBUST PATENT PORTFOLIO TED Dragonfly Energy R&D Lab DRAGONFL Y ENERG Y ANALYS T & INVESTOR DA Y I 2022
Slide 32: Accelerating the Future with Solid State Development
ACCELERATING THE FUTURE WITH SOLID STATE DEVELOPMENT Dragonily has validated its solid state technology and is currently optimizing the cells and preparing for production Develop Dry Spraying Technique sous Dept ey
Slide 33: Solid State
SOLID STATE: mote staible power grid and encourage the widespread incorporation of renewable energy sources | Dragonfiy’s envisioned smart storage solution will allow for a
Slide 34: Solid State: Why Does It Matter?
SOLID STATE | wHy DOES IT MATTER? FOR THE ENVIRONMENT * Drives Shift from Fossil Fuels: Low levelized cost”? competes with burning coal and natural gas * Safety: Non‘lammable, which enable smart distributed energy storage FOR DRAGONFLY = Enhanced Gross Margins: Recuces material costs by >50%® * Vert
Slide 35: II ' '. \ - THEF DRAGONFLY ENERGY ANALYST & INVESTOR DAY
II ' '. \ - THEF DRAGONFLY ENERGY ANALYST & INVESTOR DAY 2022
Slide 36: Rapidly Entering into New Addressable Markets
RAPIDLY ENTERING INTO NEW ADDRESSABLE MARKETS longevity and safety are a priority and f powering and charging devices and appl
Slide 37: Existing Business Driving Future Success
EXISTING BUSINESS DRIVING FUTURE SUCCESS [REVENUE (IN MILLIONS) 2021 TO 2023 REVENUE BRIDGE 25s ont $92M, $255M 103% | 18.238 CAGR sus vu Te a zie 2019 2020202120228 20238 2020 om Dre 20038
Slide 38: Track Record of Profitable Growth
TRACK RECORD OF PROFITABLE GROWTH ADJUSTED EBITDA ($ IN MILLIONS) 2020 TO 2023 ADJUSTED EBITDA® MARGIN BRIDGE zo1e 7019 2000 2021 202at 20208 St = 420 1s Ie mk Ne OR ee DRAGONFLY ENERGY ANALYST & INVESTOR DAY | 2022
Slide 39: Financial summary table
Battery Units (000) 9 a 61 78 na 231 YoY Growth 20% «13% TRA 52% 103% ‘OEM Revenue ° 1 33 8 37 93 DIC Revenue"? 7 18 44 70 78 162 Dragonfty Revenue. 7 $18 $47 $78 sus $255 YoY Growth, 206% 148% EGR 5% 48% 121% Gross Prost $3 7 $21 $30 $44 $103 Gross Morgin 37% 38% 40% 38% 38% 40% Agi, EBITDA® $1 $2
Slide 40: Four Phases of Success
FOUR PHASES OF SUCCESS Revolutionary. Solid State DRAGONFLY ENERGY ANALYST & INVESTOR DAY | 2022
Slide 41: Solid State Battery
SOLID STATE BATTERY OUR SOLID STATE BATTERY IS THE SOLUTION THAT STORES RENEWABLE ENERGY.
Slide 42: Solving Intermittency Today for Smarter Energy Storage Tomorrow
SOLVING INTERMITTENCY TODAY FOR SMARTER ENERGY STORAGE TOMORROW
Slide 43: Question & Answer Session
QUESTION & ANSWER SESSION Participants Can Submit Questions Using The Interactive Question Box or Email Us At Dragonfly@ICRInc.com
Chardan NexTech Acquisition 2 — SPAC Merger (August 2022) on 6ix