Pinetree Capital Ltd. · TSX:PNP
Pinetree Capital — Investor Presentation (November 2014)
22 slides from Pinetree Capital's investor presentation, Nov 12, 2014
Slide 1: Corporate Presentation – Venture to Grow
TSX:PNP Corporate Presentation Venture to Grow Updated November 12, 2014
Slide 2: Forward-Looking Information
Forward-Looking Information Certain information in this presentation constitutes forward-looking information, which is information regarding possible events, conditions or results of operations of Pinetree that is based upon assumptions about future economic conditions and courses of action and whic
Slide 3: Listing, shares and net asset value
Listing TSX – PNP Common Shares 199.4 M Options 13.8 M (WAEP $1.17) Market Capitalization $36.4 M (@C$0.18 as at Nov. 11, 2014) Shareholder’s Equity (September 30, 2014) $128.1M Net Asset Value Per Share* (September 30, 2014) $0.63 (unaudited) Convertible Debenture $46.8 M (Convertible at $4.25, mat
Slide 4: Driven by Macro Themes / Commodity Themes
Driven by Macro Themes Population Growth/Migration Emerging Economies – Brazil, Russia, India and China Pending or Current Commodity Supply and Demand Imbalances Pricing Trend and Future Bias Both Pointing Up Commodity Themes Precious Metals - Decline of US Empire Uranium & Coal - El
Slide 5: Unique Approach to Resource Investing
Unique Approach to Resource Investing Experienced Management Team Led by Sheldon Inwentash Proven Track Record of Outperformance Unparalleled Access to Deal Flow Management Interests Aligned with Shareholders www.pinetreecapital.com 5 Pinetree Capital Ltd. Venture to Grow.
Slide 6: Our unique approach to resource investing
We bring a unique approach to resource investing: Flexibility to invest opportunistically in sectors and in companies Conduct due diligence Known for backing the winners Actively negotiate investments within portfolio companies Act as a value-added partner to management teams In certai
Slide 7: Pinetree Capital investment profile
Pinetree Capital Investee Stage of Development Seed to Discovery Early investor, typically at the seed round making repeat investments as milestones are achieved. Sources of Deal Flow Widespread Proprietary deal-flow from relationships built over 20 year history. Due Diligence Proprietary In-house t
Slide 8: Impressive Returns Leading to Shareholder Value
Almost 30 years of investing background from resources to technology and back to resources Extensive network of contacts who provide investment opportunities and due diligence assistance Track record of investing ahead of the market Reputation for “fair” deals and quick response Demonstrat
Slide 9: Management Team
Management Team Sheldon Inwentash, B.Comm.,CA., CPA., LL.D. – Chairman and CEO Over 30 years investing (resource, technology, biotech) experience Finance, Operations & Governance Research & Investments Gerry Feldman, C.A. , CPA – VP of Mat Wilson, M.Fin. – Special Situations Analyst Corporate De
Slide 10: Board of Directors
Board of Directors Sheldon Inwentash, B.Comm., CA., CPA., LL.D. - As Founder, Chairman and CEO, Sheldon Inwentash is responsible for creating the overall strategic vision and setting the direction for Pinetree Capital Ltd. A true entrepreneur, Sheldon began his investing career while still working t
Slide 11: Board of Directors
Board of Directors Bruno Maruzzo – Bruno Maruzzo is President of TechnoVenture Inc., a technology consulting company. Mr. Maruzzo has worked with a variety of public and private high technology companies in the computer, medical instrumentation and biotechnology sectors, where he held positions in a
Slide 12: Pinetree's Track Record: Historical Share Price and NAV/Share
Pinetree’s Track Record Historical Share Price and Historical NAV/Share 11.685 NAV/share $12.00 PNP Share Price 12.000 10.200 9.500 $9.00 9.000 6.650 NAV/share Share Price $6.00 $4.84 6.000 4.475 4.325 $4.97 4.744.66 4.400 4.260 4.140 $4.24 $4.054.20 $2.86 3.723.79 $2.71 $3.14 3.130 2.66 3.05 3.1903
Slide 13: Historical Share Price Premium / Discount to NAV
Pinetree’s Track Record Historical Share Price Premium / Discount to NAV 3.00 2.41 Series1 2.41 2.50 1.91 2.00 1.571.60 1.64 1.40 1.50 0.83 1.01 0.84 0.91 0.87 1.00 0.790.840.69 0.680.63 0.61 0.62 0.530.60 0.560.530.490.630.550.50 0.580.63 PNP P/NAV 0.48 0.49 0.49 0.49 0.39 0.38 0.50 0.00 Dec. 2007
Slide 14: Pinetree's Track Record: Index Performance Comparison
Pinetree’s Track Record 1 Year Performance (Sep 2013 – Sep 2014) 3 Year Performance (Sep 2011– Sep 2014) - CAGR 30.0% 20.0% 20.4% 17.0% 17.3% 12.6% 20.0% 16.0% 10.8% 10.0% 8.8% 6.6% 10.0% 0.0% 0.0% -10.0% -5.4% -3.4% -10.0% -20.0% -20.0% -14.7% -30.0% -25.9% -30.0% -25.0% -28.4% -40.0% -40.0% -38.0%
Slide 15: Value Holdings
100.00% Core Positions •10% of the holdings •50% of the value 75.00% Value Seed Positions 50.00% •75% of holdings Emerging Positions •25% of the value •15% of holdings •25% of the value 25.00% 0.00% Holdings www.pinetreecapital.com 15 Pinetree Capital Ltd. Venture to Grow.
Slide 16: Investment criteria
Large and/or strategic land positions Well structured companies Low royalties and/or carried interests International exposure Broken, under-capitalized or misunderstood stories Strong management and relationships www.pinetreecapital.com 16 Pinetree Capital Ltd. Venture to Grow.
Slide 17: Portfolio Sector Breakout
Portfolio Sector Breakout (Percentages are of total portfolio fair value) Precious Metals, 19% Technology and Other, 53% Base Metals, 7% Uranium, 7% Coal, 0% Potash, Lithium Oil and Gas, 9% and Rare Earths, 5% www.pinetreecapital.com Pinetree Capital Ltd. Venture to Grow. 17
Slide 18: Unique Investment Approach to Resource Investing
Unique Investment Approach to Resource Investing Experienced Management Team Led by Sheldon Inwentash Proven Track Record of Outperformance Unparalleled Access to Deal Flow Management Interests Aligned with Shareholders www.pinetreecapital.com 18 Pinetree Capital Ltd. Venture to Grow.
Slide 19: Precious metals sector themes
Pinetree began investing in precious metal stocks in late 2002 – when gold was at the $300 / oz level. Opportunistic increases in the precious metals sector have led to outperformance. We believe superior returns will come from investments in junior exploration and development companies, given
Slide 20: Base and specialty metals sector themes
• Invested in this group continuously throughout Pinetree’s history with varied weightings over time as commodities came in and out of favour. • Early investor in molybdenum, vanadium, potash, rare earths and lithium. • Pinetree’s outlook for base metals in general remains positive, driven by the ec
Slide 21: Oil and gas sector themes
Pinetree is a long time investor in the oil and gas market, having started investing in this sector in early 2003 when oil was trading at $30/barrel. Pinetree believes oil prices will continue to remain elevated into the future, driven by supply and demand issues. Elevated oil prices allow high
Slide 22: Uranium and coal sector themes
Uranium Early investor into uranium sector (late 2004) based on positive view of commodity fundamentals. Exited most positions in early 2007 following significant run-up in the commodity and equity prices. Re-entered sector in late 2008 focused on mispriced companies with “real” assets and jun
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