Sports Ventures Acquisition Corp
Sports Ventures Acquisition — SPAC Merger (April 2022)
39 slides from Sports Ventures Acquisition's SPAC merger presentation, Apr 5, 2022
Slide 1: Investor Presentation April 2022
INVESTOR'’PRESENTATION ° APRIL 2022
Slide 2: Disclaimer
DISCLAIMER About this Presentation This investor presentation (this “Presentation” is for informational purposes only to assist interested parties in making their own evaluation with respect to a possible transaction (the “Business Combination”) involving Prime Focus World NV (the “Company”). The in
Slide 3: Disclaimer (cont.)
DISCLAIMER (CONT.) Use of Projections This Presentation contains financial forecasts for the Company with respect to certain financial results for the Company's fiscal years FY2022 through FY2026. The Company's independent auditors have not audited, studied, reviewed, compiled or performed any proce
Slide 4: Disclaimer (cont.)
DISCLAIMER (CONT.) Trademarks This Presentation may contain trademarks, service marks, trade names and copyrights of other companies, which are the property of their respective owners. Solely for convenience, some of the trademarks, service marks, trade names and copyrights referred to in this Prese
Slide 5: Today's Presenters
TODAY'S PRESEN TERS PAUL SALVINI Chief Technology Officer (since 2020) + Former CEO of the Accelerator Centre where he helped launch ‘over 120 technology start-ups + Previously CTO at SideFXand Christie Digital VIKAS RATHEE Chief Financial Officer (since 2015) + Joined PFL in Oct 208, and was CFO th
Slide 6: Global Leader in Tech-Enabled Creative Solutions to the Entertainment Industry
GLOBAL LEADER|N TECH-ENABLED CREATIVE SOLUTIONS TO THE ENTERTAINMENT INDUSTRY © Deep relationships with content creators around the world © Full suite of screen-agnostic solutions spanning from script to screen © Significant competitive advantage from state-of-the-art technology platform enabling pr
Slide 7: Why Go Public Now Through This Business Combination
WHY GO PUBLIC NOW THOUGH THIS BUSINESS COME aan nae e 4 = Attract and retain top talent © DNEG aims to hire premier talent, and the prominence and resources (e.g., stock options) of a public company will give DNEG a competitive advantage Further invest in technology and increase capacity © DNEG typi
Slide 8: Streaming Fueled by Subscriber Growth Driving Massive Demand for Content
STREAMING FUELED BY SUBSCRIBER GROWTH DRIVING FYI9-24E MASSIVE DEMAND FOR CONTENT CAGR 1131 om @tv+ 137 ~~ (oi Bianep (on, primevideo Global OTT subscribers of major streaming players (m) (, NETFLIX 2019 20208 20246
Slide 9: DNEG Is Unique in Scale and Capabilities Amongst Its Competitors
DNEG IS UNIQUE IN SCALE AND CAPABILITIES AMONGST ITS COMPETITORS ONEG | = 9 | Bibreniets 7 wonarion 2): ‘(Owned by Sony) ‘(Owned by Universal) Tier 1- y ie, eee \/ Fully embedded into content ecosystem Tiedto INDUSTRIAL 3% imageworks, ae SCE! i cy f po ie i Truly global integrated platform ' _ ~7,40
Slide 10: Recurring Revenue Streams from the World's Largest Content Creators
RECURRING REVENUE STREAMS FR‘ IM THE WORLD'S LARGEST CONTENT CREATORS 4 @ LEGENDARY NETFLIX 5 years $95m 18 years 14 years $400m $150m Client tenure; Last 6 years approx. revenue 94% 96% 7% % Revenue from recurring customers 1 Other 1 Top 7 studios” Fy2019 FY2020 Fy2021 Selected (| 4 ; ‘ ] t Os marq
Slide 11: Strong Organic Growth Driven by a Robust & Recurring Order Book and Pipeline
STRONG ORGANIC GROWTH DRIVEN BY A ROBUST & RECURRING ORDER BOOK AND PIPELINE Total Revenue ($m) High Revenue Visibility ($m) ‘Order book and pipeline at 12/31/21 FY2022 FYISA FY20A, FY2IA FY22E FY23E FY24E FY2SE FY26E Adjusted EBITDA ($m) 286 0 26% $384 2019) FY2023+ $289 $201 $150 CE 979 $92 $100 ~
Slide 12: Multiple Pillars for Continued Growth
MULTIPLE PILLARS FOR CONTINUED GROWTH © Organic Growth © Inorganic Growth © Emerging Markets/ReDefine © Gaming & Adjacencies 12
Slide 13: Organic Growth: Enhance Scale and Increase Capacity
ORGANIC GROWTH: ENHANCE SCALE AND INCREASE CAPACITY © Increase global headcount to 10,000+ over medium term and recruit and retain top talent © Establish new global studios © Invest in technology with continued innovation in creatures, animation, and real-time capabilities © Strategic industry partn
Slide 14: Strategic M&A Catalyze Growth
an STRATEGIC M&A 10 CATALYZE GROWTH siants Prime Focus World, © Highly fragmented animation, VFX, and gaming market provides significant opportunity to capture greater share of demand and realize synergies © Proven history of successful M&A and global integration © With new capital, DNEG can pursue
Slide 15: Well Positioned to Capitalize on Growth in Emerging Markets Including China and India
WELL POSITIONED TO CAPITALIZE ON TREMENDOUS GROWTH IN EMERGING MARKETS INCLUDING CHINA AND INDIA * Provides VFX and animation services for mid-range, higher volume project work in the West®), India, and China * Leverages DNEG’s existing technology and tools RE D E f i Nn E EN ereiee etter irech larg
Slide 16: Gaming Industry Creating New Demand for Our High-End Content Solutions
GAMING INDUSTRY CREATING NEW DEMAND FOR OUR HIGH-END CONTENT SOLUTIONS © Already being tapped to produce high-quality movie content based on gaming IP including Uncharted and Assassin's Creed © Unreal Engine is now being used by DNEG to create content for animation @® & live-action projects such as
Slide 17: Significant Value in Proprietary Tools with Applicability
SIGNIFICANT VALUE IN PROPRIETARY TOOLS WI7Hq APPLICABILITY 1 VEX, GAMING, AND BEYOND Complex asset sets from trees to Photorealistic people & animals; complex | Computational-heavy process of Live photography, workflow full cityscapes physical processes like fire & rain generating photorealistic ima
Slide 18: Our Key Barriers to Entry
OUR KEY BARRIERS TO ENTRY Deep industry relationships Award-winning track record Global footprint & scale Technology 18
Slide 19: Global Locations and Headcount
Toronto & Montréal ) Headcount:866 Vancouver oe aed | Headcount: 55 & Bulgaria Headcount: 53 Los Angeles Headcount: 51
Slide 20: Technology Is the Key to Our Success
TECHNOLOGY IS THE KEY 1O OUR SUCCESS Global technology backbone and decades of experience not easily replicated ~100,0G@5=700 TB © Cutting edge, globally distributed tech infrastructure built over 20 years computing cores content written globally each day _—- ~30TB =2eIPB ¢ Substantial R&D investmen
Slide 21: Key Investment Highlights
KEY INVESTMENT HIGHLIGHTS © Benefits from massive content creation industry tailwinds across the globe 7 FE (e) U N > AT | On LO ) © Long-term and well-established relationships with the major content creators, all of which have increasing demand © Highly visible, recurring revenue streams coupled w
Slide 22: Transaction Overview
TRANSACTION OVERVIEW (Sports Ventures Acquisition Corp (NASDAQ: AKIC) is a publicly listed special purpose acquisition outers ons company with $230m cash held in trust New debt financing” $325 ( SVAChas agreed to combine with DNEG in a transaction that values the pro forma enterprise SPAC cash 20 va
Slide 23: Compelling Valuation Relative to Public Comparables
COMPELLING VALUATION RELATIVE TO PUBLIC COMPARABLES AND SIGNIFICANT OPPORTUNITY FOR MULTIPLE EXPANSION OVER TIME TEV / CY22E Revenue = Overall avg:3.6x 35% TEV ($6) TEV / CY22E Adj. EBITDA. coeecee ‘Overall avg 18.0 cyaze EBITDA ($m) Growth Adjusted TEV / CY22E Adj. EBITDA 19% 20%
Slide 24: Strong Growth and High Profitability
STRONG GROWTH AND HIGH PROFITABILITY CY21 —23E Revenue growth 5% ee eee 9.208% a _ | i ~ a |_| | | ees CY21 ~ 236 Adj. EBITDA growth 40.4% 39% Overall avg: 116% LIONSGATE i) Ons WA sao edt cased Tenet sere mpi TEV ef 82 /2SLO7IEAG ERTOA So 24
Slide 25: Appendix
APPENDIX Stve ) EQOUNDATION Yt
Slide 26: Sports Ventures Acquisition Corp. Overview
SPORTS VENTURES ACQUISITION CORP. OVERVIEW. Business overview © Sports Ventures Acquisition Corp (NASDAQ: AKIC) is a blank check company founded by leaders in the sports, media, and entertainment industries © The management team has executed over $20b in transactions, possessing an exceptional track
Slide 27: Other Supplemental Information
OTHER SUPPLEMENTAL INFORMATION
Slide 28: Visionary, Creative, and Entrepreneurial Management Team
VISIONARY, CREATIVE, AND ENTREPRENEURIAL MANAGEMENT TEAM WITH A HISTORY OF SUCCESS Namit Malhotra) remeroasian © Deep bench of 60+ creative VFX supervisors (industry leaders) globally oR iat ce Founder, Chairman & CEO. 7 / 25 yearsexperience DNEG © Proven history of successful M&A and global integra
Slide 29: Revenues Are Not Dependent on Release Date, but Project Completion
Revenues are not dependent on release date, but rather mpletion (Months before release) ~17-19 months ~13-14 months > 3 i ~14 months s 3 g € 2 e 1-3 months 8 3S it ntre rk milestone payment 1 ' wists I> seca tiaicone cn Com acatueck mlesinessynetsbsss Fal pave ! NOow era studiospacetservices fy ‘on
Slide 30: Revenue Detail
REVENUE DETAIL Growing services business with significant upside opportunity Total revenue ($m) Historical performance benefited from secular tailwinds in content m7 g creation and strong execution with top-line growth on the back of: 83 — Large scale live action VEX work Fs — Continued growth in Fe
Slide 31: 344 300 310 398 8 468 212 259 299 267 58 45 54 31
166 203 198 226 186 277 296 113 48 76 146 74 123 171 214 279 344 300 310 398 8 468 212 259 299 267 58 45 54 31 270 304 353 298
Slide 32: Order Book and Pipeline Conversion
Additional opportunities (Cat C2) Order pipeline (Cat C1) Order book (Cat A, B) % conversion
Slide 33: Adjusted EBITDA Detail
ADJUSTED EBITDA DETAIL Steady Adjusted EBITDA growth and margin expansion driven by cost-efficient global platform Adjusted EBITDA ($m) 7 FYI9A = -FY20A.—FYZIA—FY22E—FY2BE —< i ~ Noe ee a pager ded IDA recon ofan nda Roduccn svi Bs Cy elects ponte ron tomF¥/3/20510FY 320 bed oo nape sites 384 Demons
Slide 34: Capital Structure Overview
CAPITAL STRUCTURE OVERVIEW, Cash 5 as) © Business plan assumes no dividends to shareholders Revolving loan facility 164 : New RCF - & © Preservation of operating liquidity is a key financial policy, with solid free cash flow conversion throughout the projection period Term loan facility 65 New term
Slide 35: Adjusted EBITDA Reconciliation
ADJUSTED EBITDA RECONCILIATION Net income 2s 2 2 40 Add: Tax O) 7 1 9 Iremeboenconetnes Add: DBA B 30 30 oa ‘Add: Interest 16 B B W i ‘Adjustments Covid costadjustments 0) 3 ¥ 0 Capital raising costs 2 7 3 0) ‘Stock compensation expenses 1 ifs 2 1 Other one-time costs 0) 0) 3 2 Total Adjustments 3 2
Slide 36: Pro Forma Organizational Structure
PRO FORMA ORGANIZATIONAL STRUCTURE svAc (Cayman) Double Negative Holdings Ltd (UK)
Slide 37: Risk Factors
RISK FACTORS Certain factors may have a material adverse effect on our business, financial condition, and results of operations. The summary risks and uncertainties described below are not the only ones we face. Additional risks and uncertainties that we are unaware of, orthat we currently believe a
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