Navitas Semiconductor Corporation · NASDAQ:NVTS
Navitas Semiconductor — SPAC Merger (July 2021)
27 slides from Navitas Semiconductor's SPAC merger presentation, Jul 26, 2021
Slide 1: Investor Meeting
Investor Meeting TM Electrify Our World NASDAQ NY, July 2021 7-26-21 10am EDT
Slide 2: Disclaimer
Disclaimer FORWARD-LOOKING STATEMENTS This presentation (this “Presentation”) includes “forward-looking statements” within the meaning of the “safe harbor” provisions of the United States Private Securities Litigation Reform Act of 1995. Forward-looking statements may be identified by the use of wor
Slide 3: Disclaimer (Cont'd)
Disclaimer (Cont’d) FINANCIAL INFORMATION; NON-GAAP FINANCIAL MEASURES The financial information and data contained in this Presentation is unaudited and does not conform to Regulation S-X promulgated under the Securities Act of 1933, as amended. Accordingly, such information and data may not be inc
Slide 4: Investment Highlights
Investment Highlights Next-generation power semiconductor platform, with up to 3x smaller, 3x lighter, 3x faster charging and 1 40% energy savings(1) Differentiated GaN power integrated circuit (IC) platform, with #1 market position, over 140 GaN 2 chargers in production(2), over 24Mu in volume(3),
Slide 5: GaN Expected To Replace Silicon In Power Applications
GaN Expected To Replace Silicon In Power Applications Up To Up To 20x 3x 40% 3x 3x 20% Faster Smaller & Energy Higher Faster Lower Switching Lighter Savings Power Density Charging System Cost Navitas GaN Is Empowering Efficiency In Industries Where Power Is Key(1) Note: Statistical data is based on
Slide 6: Speed and Efficiency Drive Value
Speed and Efficiency Drive Value Size, Weight Energy Savings 1.0x 40% Silicon GaN IC 0.6x GaN Discrete GaN 20% Discrete GaN IC Silicon 0.35x 100 kHz 1 MHz 85-90% 88-92% 90-95% (Switching Frequency) Speed Energy Efficiency GaN power ICs enable up to 3x smaller, lighter (1) GaN ICs save 40% energy (2)
Slide 7: GaN Integration is Critical
GaN Integration is Critical Driver Parasitics Power Device Speed Power Density Drive, control & protection Limit speed & efficiency Si or GaN Switching Frequency Faster Charging, Smaller Size Silicon Discrete < 100 kHz <0.5 W/cc (in system controller) GaN Discrete, < 200 kHz <1 W/cc MCM (complex cir
Slide 8: Critical Integration: IC vs. Multi-Chip Module (MCM)
Critical Integration: IC vs. Multi-Chip Module (MCM) Passive Components System GaN IC GaN MCM Passive ICs 45W Speed Components 50W Shrinks Passives System GaN IC MCM GaN ICs 65 kHz 400 kHz Bobbin Transformer (23 mm thick) 6x Faster Planar Transformer (8 mm thin) Electrolytic Capacitors No Electrolyt
Slide 9: Industry-Leading IP Position
Industry-Leading IP Position Mature and Comprehensive GaN Integrated Circuit Process Design Kit (PDK) Device Development / Library Circuit Development / Library 650 eMode power FET Logic gates and latch 12-40V eMode power FET Linear regulators Patents 130+ Issued / Pending 650V dMode power
Slide 10: High-Volume, Low-Cost, High-Reliability Manufacturing
High-Volume, Low-Cost, High-Reliability Manufacturing Navitas’ 20+ years of GaN experience Solved complex issues with: GaNFast Power ICs • Manufacturing • Reliability • Materials • Capacity • Cost Tier-1, Low-Cost Packaging Standard, high-capacity GaN Epi Layer Low-cost, available Multi-sourced reac
Slide 11: System-Cost Tipping Point
System-Cost Tipping Point Mobile served as a pioneer and other markets are expected to reap the benefits at lower cost points Navitas GaN vs Silicon – $ Dollar Per Watt(1) How Navitas Enables Lower Cost $0.120 Navitas GaN $ / W Si $ / W Early Mover Advantage High yields and low manufacturing cost(2)
Slide 12: Accelerating Major Customers' NetZero Goals
Accelerating Major Customers’ NetZero Goals GaN Power ICs Reduce CO2 Emissions 4x-10x lower component CO2 footprint than silicon(1) Every GaN power IC shipped saves(3) 28% lower lifetime CO2 footprint for chargers / adapters(2) 4 kg CO2 Accelerate transition from ICE to EV by 3 years, saving 20%/yr
Slide 13: GaN is Positioned To Be The Future Of Mobile Charging
GaN is Positioned To Be The Future Of Mobile Charging Larger Mobile Screens And Batteries Need More Power Fast Mobile Universal Up to 3x more power Half the size and weight One charger for ALL your devices Up to 3x faster charging of traditional chargers One and Done!! Screen Size and Battery Size C
Slide 14: Leading Customers Adopting Navitas GaN
Leading Customers Adopting Navitas GaN Tier 1 OEMs Aftermarket Examples 140+ 150+ 90%+ GaN Chargers In GaN Chargers Mobile OEMs Designing 24M+ Zero In Development GaN ICs Shipped GaN Field-Failures(1) Mass Production With Navitas GaN ICs (MP 2021-2022) © Navitas Semiconductor 2021 Note: Metrics as o
Slide 15: Leading the Way in GaN Chargers
Leading the Way in GaN Chargers Navitas Enables More GaN Chargers than All The Future of Chargers is GaN, and GaN ICs Competitors Combined (1) are Used in 8 of 10 Leading-edge Designs 160 Charger Power(2) 140 120 100 80 60 40 20 0 Company Company Others A B (1) Estimated based on known Navitas desig
Slide 16: Broad Adoption Of GaN In Consumer Electronics
Broad Adoption Of GaN In Consumer Electronics Devices need higher power in smaller, slimmer sizes • Ultra-thin LED TVs • Gaming systems • All-in-one PCs • Smart home GaN ICs make it possible • Up to 3x higher power density in the same form factor • 3x smaller and lighter • Up to 40% energy savings S
Slide 17: GaN ICs Could Save Data Centers $1.9B/Yr In Electricity
GaN ICs Could Save Data Centers $1.9B/Yr In Electricity(1) 44% of Data Center costs related to power (electricity, power & cooling) Typical TCO Structure of a Data Center(3) • We estimate GaN ICs can reduce electricity use by up to 10%(2) • Across all data centers, we estimate this could save >15 TW
Slide 18: GaN Is Positioned For The Future Of Solar
GaN Is Positioned For The Future Of Solar Solar energy adoption is driven by $ per watt Micro-inverters • Solar adoption driven by reducing hardware costs, increasing energy savings Opportunity • GaN ICs reduce solar inverter costs while increasing energy savings • Typical solar payback is in range
Slide 19: GaN Is Positioned For The Future Of Electric Vehicles
GaN Is Positioned For The Future Of Electric Vehicles EV demands faster charging and extended range DC/DC On-Board • Existing silicon on-board chargers are SLOW (up to ten hours for full charge) LV Battery Opportunity HV Battery Charger • Range anxiety is #1 limitation for EV adoption(1) Opportunity
Slide 20: GaN ICs Can Potentially Displace A $13B Market
GaN ICs Can Potentially Displace A $13B Market GaN Opportunity Within Total Power Semiconductor TAM(1,2) GaN Power Semiconductor TAM(2) GaN Other $2.1B (3) $13.1B $150M Other 6% CAGR $724M EV / eMobility $9.0B $189M Renewables / Solar $139M Enterprise $293M Consumer $2.1B (3) 117% $575M Mobile CAGR
Slide 21: Diversified End Markets Drive 94% CAGR
Diversified End Markets Drive 94% CAGR $640 Other(1) EV / eMobility $454 Renewables / Solar Enterprise $308 Consumer $182 Mobile $69 $27 $12 2020 2021 2022 2023 2024 2025 2026 © Navitas Semiconductor 2021 Source: Company projections. (1) Reflects additional end-market opportunities for industrial an
Slide 22: Strong Revenue Visibility and Customer Pipeline
Strong Revenue Visibility and Customer Pipeline Notable Announced Customers Awarded(1) Qualified (2) $100M $580M $12M $27M $69M Q1'20 Q2 Q3 Q4 Q1'21 Q2 Q3 Q4 Q1'22 Q2 Q3 Q4 $12M $27M $69M (1) Based on design wins in production or committed to production through to end 2026 © Navitas Semiconductor 20
Slide 23: Summary Historical Financials and Projections
Summary Historical Financials and Projections Gross margin (%) EBITDA ($mm) (146%) (84%) (28%) 7% 16% 22% 25% Fast transition to new generation of products is driving 20%+ YoY cost reductions in 2021. $162 53% 55% 55% 50% 51% $102 44% 46% Q1’ 21 $50 31% $12 ($17) ($23) ($19) FY2020 FY2021 FY2022 FY2
Slide 24: Transaction Summary
Transaction Summary Transaction Overview Pro Forma Valuation ($mm, except per share data) – Total purchase price of $950mm Total shares outstanding(2) 139.9 – Implied purchase multiple of 5.2x 2023E revenue – Purchase multiple assumes 2023E revenue of ~$182.4mm – Transaction will be funded by $145mm
Slide 25: Valuation Summary
Valuation Summary - Trading multiples based on power semiconductor comparable players(1) at 9.0x – 13.0x 2022E projected revenue. We apply the 2023 projected revenue metric and discount at a 20% rate - For reference, recent early stage / high growth semiconductor deSPACs(2) are trading at a median o
Slide 26: Q&A
Q&A 25
Slide 27: Thank You
Thank You 26