Rivco Australia Limited · ASX:RIV
Rivco Australia — Duxton Water — Investor Presentation (May 2025)
25 slides from Rivco Australia's investor presentation, May 31, 2025
Slide 1: Duxton Water Limited Investor Presentation
PROUDLY SUPPORTING AUSTRALIAN IRRIGATORS AND FARMERS Duxton Water Limited | Investor Presentation DUXTON WTER LIMITED
Slide 2: Disclaimer
Disclaimer This presentation is prepared by Duxton Capital (Australia) Pty Ltd [ACN: 164 225 647; AFSL no. 450218] (“DC Australia”) as Investment Manager on behalf of Duxton Water Limited [ACN 611 976 517] (“Duxton Water” or “D2O”). The content of this presentation is intended only as a source of ge
Slide 3: Introduction to Duxton Capital (Investment Manager)
INVESTOR PRESENTATION Introduction to Duxton Capital (Investment Manager) Duxton Capital (Australia) provides specialist agricultural investment opportunities for institutional, semi-institutional, family offices, and high net-worth individuals. ~A$1.1 billion in Assets Under Management & Advice ~A$
Slide 4: Australian Water Market Fundamentals
Australian Water Market Fundamentals Water markets exist to facilitate the efficient allocation of a scarce resource. • Australian water licences are privately owned. • Operates under a cap-and-trade system to promote efficiency. • Active markets facilitate trade between water owners and users. • Ho
Slide 5: History of the Australian Water Markets
INVESTOR PRESENTATION More efficient farms will result in History of the Australian Water Markets Water markets promote efficiency and support water being used to grow higher value commodities. Australian Government Widespread drought results Unbundling of land from This led to a focus in on-farm is
Slide 6: Market Size & Geography
INVESTOR PRESENTATION Market Size & Geography The Murray Darling Basin (MDB) is known as the food bowl of Australia and is home to the most sophisticated water market in the world. Australian Agriculture • $88 billion estimated output for 2024-25.1 • Contributes c.3.3% to Australia's GDP p.a.2 • Rep
Slide 7: Introduction to the Asset Class
INVESTOR PRESENTATION Introduction to the Asset Class Water is a defensive asset class with a proven track record of strong performance, even in tough economic conditions. NAV VS SHARE PRICE (to 31 May 2025) $2.10 1. Water is a unique asset class that exhibits low to negative correlation to all othe
Slide 8: Macro Driver 1: Increasing Demand for Water
INVESTOR PRESENTATION Macro Driver 1: Increasing Demand for Water Permanent crops continue to be planted in the Murray Darling Basin, adding to the long-term demand for Australian water assets. Australian Almond Industry Growth Permanent Crops 900,000 60,000 • Any crop that is harvested from a plant
Slide 9: Macro Driver 2: Decreasing Supply of Water
INVESTOR PRESENTATION Macro Driver 2: Decreasing Supply of Water The Australian Government is committed to delivering the Basin Plan in full. Government Buybacks Water Requirements of Permanent Horticulture in the Lower Murray Region 2 • Water licences on issue are capped. • Water licences on issue
Slide 10: Low Correlation to Traditional Asset Classes
INVESTOR PRESENTATION Low Correlation to Traditional Asset Classes Long-term correlation matrix (10+ years)1 Low Correlation Water as an asset class is uncorrelated to all traditional and other alternative asset classes. Demonstrated history of low to negative correlation to indices across equities,
Slide 11: About Duxton Water (ASX:D2O)
INVESTOR PRESENTATION About Duxton Water (ASX:D2O) Australia’s only ASX listed pure water investment opportunity. Key Metrics 31 May 2025 Share Price $1.57 Market Capitalisation $245.1 million Duxton Water Limited provides investors with a Shares on Issue 156,314,057 direct and pure exposure to Aust
Slide 12: Business Model
INVESTOR PRESENTATION Business Model Water is a defensive asset class that continues to generate positive returns for our shareholders. Revenue Streams Lease Licences to Investors Receive (Targets) Farmers (70-80%) Build Portfolio of Gross Dividends1 Capital Growth2 Water Licences (5-6% p.a.) (5-7%
Slide 13: Water Leases
INVESTOR PRESENTATION Water Leases Duxton Water Farmer Responsibilities Water leases enable farmers to take a multi-year approach to their water strategy. Lease Water Obtain Water to Farmer Supply (Lease) Benefits for Farmers • Promote and efficient use of capital (free up balance sheet). • Provides
Slide 14: Active Management
INVESTOR PRESENTATION Active Management Active portfolio management allows us to be efficient and flexible with how we deliver water to our customers. Southern MDB: Inter-Valley Trade (IVT) River Map1 • Australia's river systems are interconnected, which allows for the trading of water allocations b
Slide 15: Dividends
INVESTOR PRESENTATION Dividends Our portfolio diversification has allowed us to pay dividends in all parts of the climatic cycle (wet & dry years). Dividend History • On 26 April 2025, Duxton Water paid a 3.6 cent per share dividend • In FY2024 Shareholders received two fully franked dividends durin
Slide 16: Portfolio Diversification
INVESTOR PRESENTATION Portfolio Diversification Our diversification strategy of owning a mixture of water entitlements has continued to provide benefits for both our customers and our shareholders. Asset Diversification • Strategic portfolio composition continues to provide opportunity WATER PORTFOL
Slide 17: Weather Outlook
INVESTOR PRESENTATION Weather Outlook Neutral ENSO conditions and warm temperatures are likely to July 2025. • The Bureau of Meteorology’s (“BOM”) weather forecast for July to September 2025 indicates rainfall is expected to be above average for except in the south-east and west, and typical range f
Slide 18: Sale of water entitlements to the Australian Government
INVESTOR PRESENTATION Sale of water entitlements to the Australian Government On 6th March 2025, the Company announced it had executed an agreement to sell $121.3 million of water entitlements at a premium to fair market value. • $121.3 million sale – D2O has agreed to sell 30,614 megalitres of wate
Slide 19: Overview
Overview Asset Characteristics 1. Defensive and alternative asset class 2. Low to negative correlation to traditional asset classes 3. Real asset that acts as an inflationary hedge 4. An alternative to investing in Real Estate (but without CAPEX, repairs & maintenance costs, depreciation etc.) 5. Wa
Slide 20: Key Contacts
INVESTOR PRESENTATION Key Contacts The drierThe driersuggest outlook outlook by suggest rain and temperature rain and temperature by the the ENSO, forecasts. is ENSO, forecasts. is also supported also supported by sthe by the BOM’ BOM’s expected expected long-term long-term Lachlan Campbell Lachlan
Slide 21: duxtonwater.com.au
Duxton Water Limited 7 Pomona Road, Stirling SA 5152 +61 8 8130 9500 [email protected] duxtonwater.com.au
Slide 22: The Investment Manager: Duxton Capital (Australia) Pty Ltd
APPENDIX: THE INVESTMENT MANAGER Duxton Capital (Australia) Pty Ltd Leading Agribusiness Asset Manager Duxton’s Agricultural Advantage Duxton is one of the leading participants in Australian Unique Approach to Investing agricultural investments. Duxton provides specialist investment Duxton employs a
Slide 23: Duxton Water Board
APPENDIX: DUXTON WATER BOARD Duxton Water Board Ed Peter Stephen Duerden Dirk Wiedmann Dr Vivienne Brand CHAIRMAN OF THE BOARD NON-EXECUTIVE DIRECTOR INDEPENDENT NON-EXECUTIVE DIRECTOR INDEPENDENT NON-EXECUTIVE DIRECTOR Prior to forming Duxton in 2009, Ed was Head of Stephen Duerden is currently the
Slide 24: Duxton Water Board
APPENDIX: DUXTON WATER BOARD Duxton Water Board Dennis Mutton Brendan Rinaldi Katelyn Adams INDEPENDENT NON-EXECUTIVE DIRECTOR INDEPENDENT NON-EXECUTIVE DIRECTOR COMPANY SECRETARY Dennis Mutton is an independent consultant in the Brendan Rinaldi had 17 years experience in the Katelyn Adams has over
Slide 25: Investment Team
APPENDIX: DUXTON WATER INVESTMENT TEAM Investment Team Lachlan Campbell Lachlan Beech Mercedes Vera Harry Boksem PORTFOLIO MANAGER PORTFOLIO MANAGER ASSOCIATE ANALYST Lachlan Beech joined Duxton in February 2019 and is Mercedes Vera joined Duxton in June 2021 as an Harry Boksem joined Duxton in Janu