Investor Presentation May 2016

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Investor Presentation

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DISCLAIMER

This Confidential Presentation (the “Document”) on the proposed financing (“the Transaction”) by Mettrum Ltd. (“Mettrum” or the “Company”) has been compiled by management of the Company solely for information purposes. The Document has been prepared and dated as of October 3, 2014 and the information contained herein is current as of such date only. The Document is for the confidential use by the recipient in order to assist such recipient in deciding whether to proceed with an in-depth investigation of the Transaction contemplated herein. The Document is not, and under no circumstances is to be construed to be, an offering of securities. Neither this Document, nor its delivery to the recipient shall constitute an offer to sell, or the solicitation of an offer to buy the assets described herein. It is provided solely for use by prospective investors in considering their interest.

The information contained herein has been prepared to assist interested parties in making their own evaluation of the Company and its business and does not purport to contain all the information that prospective investors may require. Prospective investors should conduct their own investigation and analysis of the Company and its business and the information contained in this Document as well as any additional information provided by the Company.

This Document includes forward-looking statements within the meaning of certain securities laws, including the “safe harbour” provisions of the Securities Act (Ontario) and other provincial securities law in Canada. These forward-looking statements include, among others, statements with respect to our objectives, goals and strategies to achieve those objectives and goals, as well as statements with respect to our beliefs, plans, objectives, expectations, anticipations, estimates and intentions. The words “may”, “will”, “could”, “should”, “would”, “suspect”, “outlook”, “believe”, “plan”, “anticipate”, “estimate”, “expect”, “intend”, “forecast”, “objective” and “continue” (or the negative thereof), and words and expressions of similar import, are intended to identify forward-looking statements.

By their very nature, forward-looking statements involve inherent risks and uncertainties, both general and specific, which give rise to the possibility that predictions, forecasts, projections and other forward-looking statements will not be achieved. Certain material factors or assumptions are applied in making forward-looking statements and actual results may differ materially from those expressed or implied in such statements. The Company strongly cautions readers not to place undue reliance on these statements, as a number of important factors, many of which are beyond our control, could cause the Company’s actual results to differ materially from the beliefs, plans, objectives, expectations, anticipations, estimates and intentions expressed in such forward-looking statements. These factors include, but are not limited to: general economic conditions; pending and proposed legislative or regulatory developments in Canada including the impact of changes in laws, regulations and the enforcement thereof; reliance on funding models in Canada; operational and infrastructure risks including possible equipment failure and performance of information technology systems; intensifying competition resulting from established competitors and new entrants in the businesses in which the Company operates; insurance coverage of sufficient scope to satisfy any liability claims; fluctuations in total patients and customers; technological change and obsolescence; loss of services of key senior management personnel; privacy laws; structural subordination of common shares; leverage and restrictive covenants; fluctuations in cash timing and amount of capital expenditures; tax-related risks; unpredictability and volatility of the price of the Company’s securities; dilution; and future sales of the Company’s securities.

The foregoing list of important factors that may affect future results is not exhaustive. When reviewing the Company’s forward-looking statements, investors and others should carefully consider the foregoing factors and other uncertainties and potential events. Except as required by Canadian securities law, the Company does not undertake to update any forward-looking statements, whether written or oral, that may be made from time to time by the Company or on the Company’s behalf. Such statements speak only as of the date made.

The forward-looking statements contained in this Document should not be relied upon as representing the view of the Company or its management as of any date subsequent to the date of this Document. Neither the Company nor its management is under any obligation, and neither undertakes, to update any of this information at any particular time. Neither the Company nor its management assumes any obligation to update or revise forward-looking statements should circumstances or estimates or opinions changes.

None of the Company or its affiliated or related partnerships and corporations or their respective directors, officers, partners, employees, agents or representatives makes any representation or warranty as to the accuracy or completeness of the Document or any statements, estimates or projections, and none will assume any liability for any representations (express or implied) contained in, or for any omissions from, the Document, or for any other written or oral communications transmitted to prospective investors in the course of their evaluation of the Company and its business. An investor will only be entitled to rely on those representations and warranties contained in the definitive agreement or agreements which constitute the financing.

Use of this Document is restricted to parties to whom the Company delivers the Document and the recipient and its representatives shall keep confidential all information contained herein or otherwise provided in connection with the proposed financing which is not already public or which is not subsequently made public, and will use the Document only for the purpose set forth above. In addition, each recipient will not copy, reproduce or distribute the Document in whole or in part to others, at any time, without the prior express written consent of the Company.

NON-IFRS MEASURES

There are a number of non-IFRS measures used in this Document, including EBITDA (earnings before interest, taxes, depreciation and amortization). For the purposes of this Document, EBITDA is calculated as revenue less cost of sales and operating expenses. The Company believes that these non-IFRS measures are appropriate measures of the operating performance of the Company. The Company’s calculation of these measures may differ from the methodology used by other issuers and, accordingly, may not be comparable to such other issuers. The Company believes that these measures are appropriate measures of the Company’s operating performance because they facilitate an understanding of operating performance without giving effect to certain non-cash and overhead expenses. None of these measures are equivalent to net income or cash flow from operating activities determined in accordance with IFRS

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METTRUM – AT A GLANCE

LISTED

TSXV-MT

Established

October 2012

Facilities

3 Facilities Licensed Under MMPR – Bowmanville (2), Creemore

1 Facility Licensed to Produce and Sell Industrial Hemp Products – Barrie

Licensed Capacity

Current licensed production capacity of 3,500 kg per annum

License to produce and sell cannabis oil

Potential for expansion to 12,000 kg in current facilities

Number of Clients

6,145

Continued robust referral and patient registration growth

Over 1,400 physicians have referred their patients to Mettrum

Recent Share Price

$1.53 (May 25, 2016)

Shares Outstanding

39,561,275 (Basic)

43,174,795 (Fully Diluted)

Market Capitalization

~$61 MM (Basic)

~$66 MM (Fully Diluted)

Insider Ownership

~30%

Cash & Cash Equivalents

~$11 MM (as at December 31, 2015)

Debt Capacity

~$3.5 MM (~$3.5 MM drawn as at December 31, 2015)

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MILESTONES ACHIEVED TO DATE

Oct. 2, 2014

Commences trading on TSXV

650

Dec. 12, 2014

Receives production license for

Creemore

1,150

Jan. 15, 2015

Increase in licensed sale capacity

to 1,200 kg

1,150

Feb. 4 , 2015

Enters hemp cannabis based

functional foods market (Oilseed

Works)

1,150

Mar. 16, 2015

Launch of physician / client

portal & online store

1,150

Jul. 20, 2015

Increase to production capacity

at Creemore

2,350

Licensed

Production

Capacity (kg)

Event

Aug. 31, 2015

Receives cannabis extraction

license

2,350

Sep 23, 2015

Launch of Mettrum Originals

2,350

Dec. 17, 2015

Receives license for Bowmanville

South facility

2,350

Dec. 24, 2015

Receives license to sell cannabis

extracts

3,500

Jan. 26, 2016

Launch of premium cannabis oils

product line

3,500

May 10, 2016

Share offering raised $8.6M

3,500

Licensed

Production

Capacity (kg)

Event

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2016 OBJECTIVES

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Achieve cash flow break-even

Stabilize cost of sales in the $2.00 - $2.25 / gram range

Pursue recreational / retail strategy pending legislation

Leverage Mettrum Originals brand for increased retail sales

Rapidly expand client growth now that all facilities are licensed

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15,54516,632 17,046 18,512 20,277 22,004 23,930 26,010 27,928 30,537 33,838 36,594 12,000 20,000 28,000 36,000 Dec. 14 Jan. 15 Feb. 15 Mar. 15 Apr. 15 May 15 Jun. 15 July 15 Aug. 15 Sep. 15 Oct. 15 Nov. 15 P a ti e n t C o u n t 313 292 374 415 430 526 577 599 696 761 797 200 300 400 500 600 700 800

Jan. 15 Feb. 15 Mar. 15 Apr. 15 May 15 Jun. 15 July 15 Aug. 15Sep. 15 Oct. 15 Nov. 15

K

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THE INDUSTRY IS GROWING RAPIDLY

29 licensed producers; ~1,300 applications received

5 licensed for production + sale of extracts

Already grown to ~$70 MM market

Patient Growth (2015)

Kg Sold (2015)

Patients growing on average at

8.2% month-over-month

Up 135% year-over-year

Product sales growing at

10.2% month-over-month

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10,000 565 1,591 1,644 1,915 2,514 3,036 4,331 5,032 6,145 0 1,000 2,000 3,000 4,000 5,000 6,000

Mar-14 Jun-14 Sep-14 Dec-14 Mar-15 Jun-15 Sep-15 Dec-15 Feb. 23, 2016

# o f C li e n ts

CLIENT & SALES GROWTH ACCELERATING

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Accelerating patient and sales growth with consumption figures normalizing

2016 YTD net client additions of ~29 / day vs. ~12 / day in 2015

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Ending Clients Production Capacity

Capacity: 650 kg

Capacity:1,150 kg

Capacity: 2,350 kg

Capacity: 3,500 kg

Capacity

Constrained

Capacity

Constrained

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Estimated based on number of working days since Jan. 1, 2016 (YTD) and between Jan. 1, 2015 and Dec. 31, 2015 (2015)

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PRODUCTION CAPACITY – POISED FOR GROWTH

Licensed

Built Capacity

Fully Developed

(current structures)

Expansion Potential

Production Capacity

3,500 kg

6,000 kg

12,000 kg

26,000 kg

Implied # of Clients

(1)

~14,000

~23,000

~45,000

~100,000

Implied Revenue

Potential

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$25 - $30MM

$45 – $50MM

$90 - $100 MM

$200 - $210 MM

(1)

Estimated based on 0.7 grams per client per day for 365 days per year

(2)

Estimated based on 0.7 grams per client per day for 365 days per year at a sale price of $7.90 per gram

Total potential expansion capacity of 26,000 kg at 3 licensed facilities

Currently licensed for 3,500 kg of 6,000 kg of capacity

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Mettrum is the most physician centric, research, technology

and data-driven LP.

The Mettrum Spectrum™

A simplified, responsible, dialogue

between physicians, their patients and

Mettrum

s CSR

Ranks products based on relative THC and

CBD content

Proprietary Cannabis EMR and Rsrch Tool

Simplifies paper work redundancy and

streamlines patient registration

Manage and update patient profiles for

easier collaboration

Data capture for research purposes

Mettrum CEMR

OUR APPROACH - PHYSICIANS

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OUR APPROACH - CLIENTS

Mettrum

Dried Cannabis available in both 5g and

15g bottles

Differentiated strains grown and

hand-trimmed to perfection

Vapourizers and extracts

Mettrum Extractions

If you choose cannabis for your health, Mettrum helps you

“live your way”.

July 2015: Health Canada issued guidelines

allowing licensed producers to produce and

sell cannabis oil and fresh marijuana in

addition to dried marijuana (extracts)

Mettrum received its license in December 2015

and began to produce and sell extracts in

January 2016

Implications for Mettrum:

Increase the Market

Greater Efficiency

Topline Growth

Standardization

Market Awareness

Reinforces the Mettrum

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NEW: METTRUM ORIGINALS

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30 SKU Product line launched: September 2015

Mettrum Originals is currently available in approximately 2,000 stores across

Canada / U.S.

Locally sourced, and designed with a focus on nutrition and great taste

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$110

Average Monthly

Revenue/Person/Month

$4B

Canadian Market

(3.6mm adults: ~13% of

adult population)

US$3.9B Annually

Canadian Market is 6.5x Colorado

US$50mm

Colorado Estimated July 2015 Revenue

LEGALISATION – WHAT COULD IT MEAN ?

Aggressive timeframe: two years (although interim expansion of MMPR could be sooner)

In the meantime, the medical market will continue to grow and possibly accelerate

due to greater cultural and political acceptance in the interim

Medical market will operate in parallel to the retail market when established

Mettrum is exceptionally well positioned with existing available

capacity to service a retail cannabis market

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LEGALISATION – POTENTIAL SCENARIO

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Federally regulated production and

provincially regulated sales and

distribution with a possible parallel

federal distribution system similar to the

current MMPR mail order system

Continue to be highly regulated to

ensure safety, quality, protect vulnerable

populations, educate and to prevent and

deter diversion to the illicit market

Packaged goods industry with similar

guidelines for advertising / packaging,

distribution and promotion as alcohol

Highly taxed – Greater local enforcement

of regulations. Illegal grow operations

will be shut down. Colorado will collect

over $125 mm in taxes this year; Canada

is 6.5x population

It will not be sold in corner stores

(according to Liberal Platform) or in

dispensaries as they currently exist

(however, normalisation of dispensaries

through lack of enforcement could

challenge this position)

Canada will continue to lead the way with

best practices. We think it will look more

like Washington and Oregon (LCBO

model) than Colorado (dispensary model)

given our geography and much larger

population

Grow your own? – Colorado yes (up to 5

plants) Washington no. Either way, not a

significant impact on the market

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24 100 108 95 115 161 212 231 0 50 100 150 200 250

Mar-14 Jun-14 Sep-14 Dec-14 Mar-15 Jun-15 Sep-15 Dec-15

K

g

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SALES GROWTH WITH CAPACITY

Sales Growth

Accelerating sales growth with increased capacity

Capacity Increase

Capacity Increase

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REVENUE ACCELERATING; CASH FLOW IMPROVING

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Quarterly Revenue & EBITDA

~193% YoY revenue growth for quarter ending Dec. 31, 2015

Improving cash flow profile: operating leverage & lower costs

$848 $1,249 $1,711 $2,017 ($1,522) ($1,612) ($1,622) ($1,338) ($1,700) ($1,650) ($1,600) ($1,550) ($1,500) ($1,450) ($1,400) ($1,350) ($1,300) ($1,250) ($1,200) $0 $500 $1,000 $1,500 $2,000 $2,500

Mar-15 Jun-15 Sep-15 Dec-15

E B IT D A ( C $000) R ev en u e ( C $000) Revenue (C$000) EBITDA (C$000)

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COST & MARGIN PROFILE IMPROVING

Cost of Production Per Gram & Gross Margins – Last 4 Quarters

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Declining cost of sales resulting in improving gross margin profile

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Production cost per gram includes the cost of production excluding fair value gain on biological assets, amortization, laboratory testing and packaging; gross margins are on a

$3.48 $3.16 $3.21 $2.55 42% 45% 48% 55% 40% 45% 50% 55% 60% $2.40 $2.60 $2.80 $3.00 $3.20 $3.40 $3.60

Mar-15 Jun-15 Sep-15 Dec-15

G ro s s M a rg in % P ro d u c ti o n C o s t / G ra m

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PUBLIC COMPANY COMPARABLES

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(1)

Source: Company filings where available and Cormark equity research report

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Last fiscal quarter annualized

Note: Last reported quarter amounts adjusted for subsequent events

As at February 24, 2016

Total

Current

Mkt.

Net

Ent.

Registered

Production

Annualized

Company

Cap

Debt / (Cash)

Value

Licenses

Clients

Capacity

Sales

(C$000s)

(C$000s)

(C$000s)

(#)

(#)

(1)

(kg)

(1)

(C$000s)

(2)

$291,598

($15,745)

$275,853

3

~8,200

~19,000

$13,924

$76,032

($13,796)

$62,235

1

~3,800

~7,500

$8,108

$41,124

$642

$41,766

1

~2,000

~7,500

$4,118

$8,293

($72)

$8,221

1

N.A.

~2,500

$30

$56,774

($7,181)

$49,593

3

~6,145

~12,000

$8,067

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EXPERIENCED MANAGEMENT & BOARD

Senior Management

Michael Haines

CEO & Director

A founder and director, CEO of Mettrum since May 2014. Founder of HIP Interactive (1999) in which he

helped build sales to $500+ million; Chairman of Blammo Games Ltd. (2011 – 2014)

George Scorsis

President

President of Red Bull Canada Until October 2, 2015. Instrumental in restructuring the company from a

geographical and operational perspective while working closely with Health Canada on the guidelines

regulating the energy drink category. Prior to joining Red Bull, Mr. Scorsis held an executive role at Bacardi

Peter Kampian

CFO

CFO of Mettrum since May 2014. Former CFO of Algonquin Power Income Fund (TSX:AQN) and

experience with various capital market initiatives on the TSX, including a cross border income trust initiative

Trevor Fencott

Chief Legal Officer & Director

A founder and director, CLO of Mettrum since January 2014. Former IP and corporate lawyer at Goodmans

LLP and former Head of Business & Legal at Fuse Powered Inc.

Grant Koehler

EVP Sales & Marketing

EVP Sales and Marketing since January 2014. Former National Sales Manager – Pain Specialty for Valeant

Canada and Regional Sales Manager for Valeant Pharmaceuticals (TSX:VRX)

Board – Independent Directors

Don Wright (Chairman)

Former Chairman & CEO of TD Securities

Norman Inkster

Former Commissioner of the Royal Canadian Mounted Police

William Assini

Former Partner and SVP of PricewaterhouseCoopers LLP and current Director and Chair of Audit Committee

of Investors Group Investment Management Ltd.

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THANK

YOU

For more information please contact:

ALI MAHDAVI:

amahdavi@mettrum.com

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