ARC Funds Limited · ASX:ARC
ARC Funds — Australian Rural Capital — Shareholder Meeting (October 2015)
10 slides from ARC Funds's shareholder meeting presentation, Oct 16, 2015
Slide 1: Chairman's Address AGM Brisbane
Australian Rural Capital: Chairman’s Address AGM Brisbane, October 16, 2015 Good morning, I am James Jackson the Executive Chairman of Australian Rural Capital, which I will refer to as ARC. I wish to welcome shareholders to our Annual General Meeting for 2015, and thank you for taking the interest
Slide 2: Fund Opportunity, Loyalty Options and Macro Landscape
This reduces the volumes of cotton to process and market and will limit profitability for the 2015 and 2016 years. However, notwithstanding this weather induced setback , we believe our Namoi Investment is now moving in the right direction. Fund Opportunity For personal use only As we seek to grow A
Slide 3: Directors and Closing
Directors This year we welcome Darren Anderson as a new director, and we are already benefitting from his contribution and counsel and we recommend Darren for your election to the board at this meeting. I also wish to thank our existing hard working director and Company Secretary, Andy Brown particu
Slide 4: Australian Rural Capital Annual General Meeting: The Vision
For personal use only Australian Rural Capital Limited ANNUAL GENERAL MEETING Brisbane 16 October 2015 The Vision “To become the leading specialist agribusiness investment manager in Australia delivering superior returns for our investors and our shareholders ”
Slide 5: The Opportunity
The Opportunity For personal use only • Australian agricultural output is approximately $60 billion per annum, a significant business sector. • $45 billion is exported - enough to feed and clothe 80 million people • Currently 136,000 farm businesses are rapidly consolidating into corporate and large
Slide 6: Direct investment opportunities remain limited
Direct investment opportunities remain limited... For personal use only • The sector remains primarily privately owned with limited investment options • Those existing listed investments contain high implied volatility as they are generally single commodity focussed ( e.g beef, dairy, nuts etc) and
Slide 7: The Investment Approach
The Investment Approach For personal use only • Proactive investment style • Portfolio of 5 to 10 holdings • Position size $10m to $20m • Strategic Stakes of 10% to 50% • Board position if required • Public and Private enterprises • Industry, Climate, Commodity diversification • Value Based • Income
Slide 8: The Investment Themes
The Investment Themes For personal use only • Ownership of strategic real assets at discount to replacement costs • Consolidation opportunities both horizontal and vertically in the supply chain - actions to drive full capacity utilisation • Understanding and recognition of the deep and pronounced c
Slide 9: Investment Types and Expected Returns
Investment Types For personal use only • Equity in listed public companies and co-operatives • Equity or shares in unlisted public companies & co-operatives • Convertible Bonds or Notes • Direct Asset Ownership • Equity in private companies with public company governance standards Expected Returns •
Slide 10: Competitive Advantage & Unique Opportunities available to ARCM
Competitive Advantage & Unique Opportunities available to ARCM For personal use only • Specific Sector knowledge • Experience from asset valuation anomalies and unusual and complex capital structure and ownership structures. • Track record in creating value for shareholders in Agribusiness and this
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