Organto Foods, Inc. · TSXV:OGO
Organto Foods — Investor Presentation (January 2021)
30 slides from Organto Foods's investor presentation, Jan 27, 2021
Slide 1: Investor Update Call
Organto Foods Inc. Investor Update Call January 27, 2021 www.organto.com TSX-V:OGO/FSE:OGF
Slide 2: Disclaimer
DISCLAIMER This presentation contains certain forward-looking statements which may not be based on historical fact, including without limitation, statements regarding Organto Foods Inc. ("Organto")’s expectations in respect of its ability to successfully execute its business plan; its in-depth knowl
Slide 3: Introductions and Today's Agenda
Introductions Today’s Agenda Steve Bromley ✓ Introductions Chair & Co-CEO • Over 35 years experience in food business, with 20 years focused on ✓ Investment Highlights and Recent News natural and organic foods businesses • Former CEO, COO & CFO of SunOpta Inc (2001-2015) (TSX/NASDAQ) ✓ Our Markets –
Slide 4: Organto Foods Inc.
Organto Foods Inc. Living our mission of “making fresh organic fruits and vegetables available for every consumer”. www.organto.com TSX-V:OGO/FSE:OGF 4
Slide 5: Investment Highlights and Recent News
Investment Highlights and Recent News TSX-V:OGO/FSE:OGF
Slide 6: Investment Highlights
Investment Highlights ✓ Fast Growing Markets - fresh, organic, plant-based foods sectors ✓ Focus on fresh organic fruits and vegetables ✓ Scalable Business Model – strategic asset-light business model ✓ Flexible, scalable, capital efficient ✓ Brand Opportunity - developing “I AM Organic” brand portf
Slide 7: Recent News
Recent News ✓ October 2021 ✓ Organization expansion with addition of commercial resources to support growth – EU and LATAM ✓ Expansion of organic ginger program with new Brazilian supply and addition of organic turmeric to portfolio ✓ November 2020 ✓ Record 3rd quarter revenues of CDN $2.7M with 10.
Slide 8: Recent News
Recent News ✓ January 2021 ✓ Closed over-subscribed convertible note financing – gross proceeds of CDN $4.63 M ✓ Finalized acquisition of Fresh Organic Choice ✓ Acceleration of CDN $1.5M warrants completed with all holder exercising ✓ Updated Q-4 revenue guidance to CDN $4.9M to $5.0M versus previou
Slide 9: Our Markets – Continued Strong Growth
Our Markets – Continued Strong Growth TSX-V:OGO/FSE:OGF
Slide 10: Growing Organic Markets
Growing Organic Markets Strong Growth of Organic Foods Driven By: ✓ Consumer focus on health and wellness ✓ Demand for sustainably produced foods ✓ Desire for clean label and tranpsarent foods Fruits & Vegetables Largest and Fastest Growing Organic Category: ✓ 55% of consumers feel organic produce i
Slide 11: Market Tailwinds Accelerating Growth
Market Tailwinds Accelerating Growth The “European Green Deal” Driving Growth: COVID -19 Further Driving Healthy Eating: ✓ Regulatory shift towards more healthy and ✓ 22% eating healthier – food for medicinal and sustainable food systems in EU immunity benefits versus calories ✓ Targeted increase in
Slide 12: Our Business Model – Delivering Strong Results
Our Business Model – Delivering Strong Results TSX-V:OGO/FSE:OGF
Slide 13: Serving fast growing organic and healthy foods markets
Serving fast Strategic asset- light growing organic business model – and healthy foods flexible, scalable and markets capital efficient Experienced and Branded and aligned leadership distributed product team offering Diverse customer base Global supply base – across numerous Europe, North and countr
Slide 14: Our Asset-Light Business Model
Our Asset-Light Business Model ”Flexible and Scalable” “Capital Efficient” ✓Strategic 3rd Party Growers, Processors & Packaging Partners ✓Multiple Revenue Streams ✓Branded and Non-Branded Product Focus ✓ Strong EBITDA growth and cash flow as ✓Efficient Cost Structure With Variable Components busines
Slide 15: Our Brand – I AM Organic
Our Brand – “I AM Organic” Our Organic Fruits ✓ Avocados ✓ Limes ✓ Blueberries ✓ Raspberries ✓ Mango ✓ Others Our Organic Vegetables ✓ Asparagus ✓ Ginger ✓ Herbs ✓ Fine green beans ✓ Snow peas ✓ Sugar snaps ✓ Others www.organto.com TSX-V:OGO/FSE:OGF
Slide 16: TSX-V:OGO/FSE:OGF
TSX-V:OGO/FSE:OGF 16
Slide 17: Our Integrated Global Supply
Our Integrated Global Supply ✓ Integrated year-round supply chains ✓ We work with our valued strategic growers and supply chain partners to control and monitor each step in the supply chain, delivering quality products with complete transparency ✓ We use geographically diverse growing regions with t
Slide 18: Our Growing Customer Base in Europe
Our Growing Customer Base in Europe Product Segmentation ✓ Branded ✓ Private label ✓ Distributed Customer Segmentation ✓ Conventional Retailers ✓ Specialty Organic Retailers ✓ On-line Retail ✓ Service Providers/Distributor Distribution in 13 countries 90 Active Customers TSX-V:OGO/FSE:OGF TSX-V:OGO/
Slide 19: 2020 - A Record Year, 2021 – Rapid Growth
2020 - A Record Year 2021 – Rapid Growth Record Quarterly Revenues and Margins Record Annual Revenue Guidance ✓ Guiding to Q-4 revenues of CDN $4.9 to $5.0 million, increase ✓ Guiding to annualized revenues of CDN $35 to CDN $37 of over 200% vs PY, largest quarterly revenues in history million, + 20
Slide 20: Our Growth Strategy – Building a One-Stop Shop
Our Growth Strategy – “Building a One-Stop Shop” TSX-V:OGO/FSE:OGF
Slide 21: Looking Forward - Our Growth Strategy
Looking Forward - Our Growth Strategy Market Trends/Dynamics Competitive Market Dynamics • Healthy Living/Healthy Eating • Limited Large Scale Players Movement • No One-Stop Shop for Organic & • Organic Foods Continued Growth Building an Ethics-Driven “One-Stop Specialty F&V Exists in EU • Rise of S
Slide 22: Looking Forward – Executing Our Growth Strategy
Looking Forward – Executing Our Growth Strategy ✓ Internal growth to +$100 million in 2 years ✓ Growth via roll-up acquisition strategy ❑ Growth across all categories ❑ Solid pipeline of opportunities Specialty Product Expansion Fragmented European Market ✓ Exotics, Tropical, Tastemakers Mainstream
Slide 23: The EU Addressable Market, Our EU Opportunity
The EU Addressable Market Our EU Opportunity Market Size ✓ Population 447.5 million Current Share ✓ Consume €24/avg./person/year Less than 1% of Specialty Category ✓ Organic Fresh Fruits and Vegetable Market €10.7B (CDN $ 16.5B) Market Segmentation ✓ Total Category (billions) €10.7 ✓ Mainstream €9.1
Slide 24: Creating a Winning Formula - Making 1+1 = 3
Creating a Winning Formula - Making 1+1 = 3 1 1 All acquired businesses expected to add value to the I AM Organic Brand Growth brand – production expansion, customer expansion Acquired Business Focus on driving cost synergies, supply chain efficiencies and growth of base business Organto Cost synerg
Slide 25: Acquisition Fresh Organic Choice BV
Acquisition Fresh Organic Choice BV ✓ Provider of a wide range of branded fresh cut organic herbs o Mint, oregano, basil, chives, parsley, dill, thyme, sage, rosemary, and others ✓ Fast-growing categories driven by health and wellness and home cooking trends ✓ Marketed under the Fresh Organic Choice
Slide 26: www.organto.com
Organto is an innovative, fast growing global provider of fresh organic fruits and vegetables. Organto has a strong ambition and we want everyone to share this. Together we can make an impact Organto is listed at the Deutsche Bérse (ticker: OGF) and at the TSX-V (ticker: OGO). For more information p
Slide 27: Our Team and Capitalization
Our Team and Capitalization TSX-V:OGO/FSE:OGF
Slide 28: Our Team
Our Team Board of Directors Leadership Javier Reyes de la Campa • President of Credipresto, S.A. de C.V. in México Steve Bromley • President and CEO of Accendo Banco SA in México, a large lender to ag sector in México Chair of the Board and Co-CEO Peter Gianulis - Founder • Over 35 years in food bus
Slide 29: Our Capitalization
Our Capitalization Capitalization (C$M) (as at January 22, 2021) Share Price $0.285 Basic Shares Outstanding 249.8 Market Capitalization $71.2 Management & Insiders est. 37.9% Institutions est. 12.3% Retail Investors est. 49.8% Basic Shares Outstanding 249.8 Options/RSU’s 17.8 ** 0.4 million with a
Slide 30: Organto Foods – In Summary
Integrated, year- Organto Foods – In Summary round supply model Serving fast growing Branded and Strategic asset-light Global supply base Experienced business model – – Europe, North Diverse European and aligned organic and healthy distributed product flexible, scalable and South customer base leade