Gores Holdings VIII — SPAC Merger (December 2021)
62 slides from Gores Holdings VIII's SPAC merger presentation, Dec 14, 2021
Slide 1: Investor Presentation December 2021
Investor Presentation December 2021 Exhibit 99.2
Slide 2: Important notice and confidentiality
This presentation (the “Presentation”) contemplates a proposed business combination (the “Transaction”) involving Gores Holdings VIII, Inc. (“Gores Holdings VIII”) and Footprint International Holdco, Inc. (“Footprint”), is provided for informational purposes only and has been prepared to assist inte
Slide 3: Use of Projections; Industry and Market Data
Use of Projections This Presentation contains financial forecasts with respect to Footprint’s projected financial results, including revenue. Footprint’s independent auditors have not audited, reviewed, compiled or performed any procedures with respect to the projections for the purpose of their inc
Slide 4: Financial Information; Non-GAAP Financial Terms
Financial Information; Non-GAAP Financial Terms Other than the financial information presented on pages 57 - 59 (the “audited financials”), (i) the financial information and data contained in this Presentation is unaudited and does not conform to Regulation S-X promulgated by the SEC, (ii) no indepe
Slide 5: Presenters and senior leadership
Presenters and senior leadership Senior Managing Director of The Gores Group Currently CEO of GH VII, GH VIII and Gores Guggenheim Previously CEO of GH (Hostess), GH II (Verra), GH III (PAE), GH IV (UWM), GH V (AMP) and GH VI (Matterport) Previously worked at Boston Consulting Group Footprint Gores
Slide 6: The Gores SPAC franchise has a stellar track record
The Gores SPAC franchise has a stellar track record Proven SPAC track record $58B of transaction value across nine completed/ announced transactions $7.1B of new cash equity delivered across nine completed/announced transactions 13 SPACs raised to date, totaling $5.7B (prior to PIPE commitments) Ali
Slide 7: Agenda
Agenda 1 Company overview: Addressing the plastic disaster 2 Investment highlights 3 Customer interviews 4 Operation and execution 5 Financial summary 6 Transaction overview
Slide 8: Company overview: Addressing the plastic disaster
Section 1 Company overview: Addressing the plastic disaster
Slide 9: Introduction Video
Introduction Video: https://vimeo.com/605070051/1351f47292
Slide 10: We exist to create a healthy planet
We exist to create a healthy planet Enhanced solutions for new markets Business area: Diapers, meat tray pads Beverage containers Shampoo and detergent bottles Clean-up processes and technologies Business area: Advanced material sciences to develop useful life for traditionally low value plastics El
Slide 11: Footprint is helping solve the global plastic crisis
Footprint is helping solve the global plastic crisis Footprint has developed a portfolio of plant-based technologies that perform at parity with plastic in all key criteria, generating strong demand from Fortune 100 companies desperately seeking solutions to meet their sustainability goals 3,000+ Em
Slide 12: The global plastic crisis: humans, animals, environment
The global plastic crisis: humans, animals, environment U.S. only recycles 8.7% of plastic waste Humans Plastic lead to infertility, cardiovascular disease, gestational diabetes and type 2 diabetes Babies are born pre-polluted with over 200 chemicals Animals 8 million tons of plastic end up in our o
Slide 13: The environment plays a critical role in consumer purchase decisions
The environment plays a critical role in consumer purchase decisions Respondents who agree (%) Purchase environmentally sustainable products 87% Increase or improve my recycling or composting 85% Select products with less single-use plastic packaging 84% Try to adopt zero-waste behaviour 82% When as
Slide 14: Sustainability drive has universal support and attention
Sustainability drive has universal support and attention EU banned certain single-use plastics by 2021(a); commitment to reduce single-use packaging by 2026 (b) China’s Reform: a 30% reduction in consumption of single‑use plastic items in restaurants by 2025(c) Cities and states are banning the use
Slide 15: Investment highlights
Section 2 Investment highlights
Slide 16: Investment highlights
Investment highlights Footprint is the only material science company providing a plant-based fiber solution to replace plastic with required extended shelf life The only plastic-free solution that offers extended barrier properties to replace rigid plastics Compelling value proposition allowing cust
Slide 17: Home-grown, breakthrough technology to eliminate plastics
Ability to withstand moisture in fresh meats and produce for long periods of time without sacrificing performance Freezer safe for frozen foods and shelf stable for non-refrigerated foods for ~12 months Microwave and oven safe solutions allow for cooking in our products unlike plastic (please don’t
Slide 18: Footprint pioneered new processes and solutions where no roadmap existed
Footprint pioneered new processes and solutions where no roadmap existed Material innovations Footprint created a wide range of blended fiber solutions and proprietary barriers Process innovations Footprint pioneered new process innovations and equipment to produce our solutions at high volume The o
Slide 19: Customers have invested directly in Footprint; IP portfolio strength
Customers such as have invested directly in Footprint Customers and industry players recognize Footprint’s differentiation Footprint’s leading position is cemented by IP portfolio strength Expansive IP portfolio Customer testimonials Patents and Process Technologies Trademarks 2,400+ foreign and dom
Slide 20: Solutions drive meaningful impact with customers and end consumers
Solutions drive meaningful impact with customers and end consumers Footprint’s customers gain positive environmental impacts Footprint’s customers gain positive financial metrics Footprint’s customers gain positive consumer relations Plastic use Energy use CO2 Perception of higher food quality with
Slide 21: Customer requirements, solutions and impact
Customer Requirements Hot Fill Flash Freeze 18 Month Shelf Life No oil, air or water leakage Dual-ovenable Maintain taste integrity Biobased, recyclable compostable Automated filling process Film sealable Eliminated labeling Shelf stable for 6 months Microwavable Reduce boil over Alternative to PET
Slide 22: Footprint is transforming the supermarket
Footprint is transforming the supermarket All single-use plastic packaging will convert over time Legacy Ready to eat Shelf stable cups Dairy Consumer goods Legacy Meat trays Drink cups and lids Produce Customers and consumers alike are demanding sustainable solutions to replace legacy plastic, foam
Slide 23: Addressable market is massive and growing
Addressable market is massive and growing Plastic sub-segment Estimated TAM(a) Top users Rigid plastics $150B+ Beverage & bottles $50B+ Flexible plastic packaging (films and pouches) $115B+ Films and pouches migrating to rigid plastics as bans and consumer forces create change $315B annual market op
Slide 24: Premier consumer brands have chosen Footprint as innovation partner
Dairy Shelf Stable Cup Meat Trays QSR Frozen Produce CPG 29% 3% 22% 21% 11% 12% 2% Premier consumer brands have chosen Footprint as innovation partner to replace legacy materials #1 in Category Serving the largest and most significant food, beverage and consumer products companies globally #1 in Cat
Slide 25: Rapidly growing pipeline of long-term take-or-pay contracts
Rapidly growing pipeline of long-term take-or-pay contracts Our current customers are demanding more product and new ways to partner $2.3B annual revenue in product qualification $1.7B annual revenue in development ($1.1B with existing customers) $580M annual revenue by YE 2021E under contract 5
Slide 26: 2023E revenue will be >100% contracted by year end 2021
Footprint’s 2023E revenue will be >100% contracted by year end 2021 Footprint focused on executing on incredible customer and consumer demand 116% of 2023 Forecast Key takeaways Demand is currently greater than supply Demand is customer and consumer driven Imbalance growing rapidly, as supply will n
Slide 27: Demand will continue to outpace supply for foreseeable future
Demand will continue to outpace supply for foreseeable future Revenue visibility and growing pipeline years ahead Book-to-bill ratio(a) 11.6x 6.8x 2.8x 1.9x 1.6x (US$ in million) (a)Defined as estimated annual contracted revenue by year end / forecasted annual revenue Long dated contracts provide gr
Slide 28: Footprint is leading a revolutionary shift in how fiber is used
Footprint is leading a revolutionary shift in how fiber is used Short-term performance and cannot meet grocery needs Lower technology innovation requirements Competitors have two ways to achieve an oil barrier: Short-term, 2-hour oil barriers, or Plastic linings to provide oil barrier What the compe
Slide 29: Solutions deliver performance, cost and ESG benefits vs plastics
Footprint’s solutions deliver performance, cost and ESG benefits to customers vs plastics Footprint provides the only plant-based fiber solution that scales across key customer metrics bringing notable returns to customers Metrics * Plastic based competitors* Fiber based competitors* Rigid plastics
Slide 30: Recognized by industry leaders, media and customers
Recognized by industry leaders, media and customers as an innovative, ESG focused disruptor Third party recognition Media coverage 6
Slide 31: Innovative, execution-focused team: materials and technology
Innovative, execution-focused team with proven track record Mike Rutigliano VP of Equipment Engineering 38 years semiconductor assembly/test development Fairchild, Amkor, Intel AAS- Electronics, BSEE, Buffalo State College Materials and Technology team Yoke Chung Co-Founder & Chief Technology Office
Slide 32: Innovative, execution-focused team: operations
Innovative, execution-focused team with proven track record Operations team Paul Callaghan VP Global Facilities / Corporate Services 20 years intel manufacturing ops and high-volume production, equipment installation BS Mechanical Engineering, Math, Trinity College Dublin Josh Walden COO 30+ years I
Slide 33: Board of Directors
Don Thompson Chairman Former President & CEO of McDonald’s Corporation in 2012-2015 Founder & CEO of Cleveland Avenue, first invested in Footprint in 2019 Board member of: Beyond Meat, Royal Caribbean and The Northern Trust Company Advisory board member of DocuSign Kevin Easler Director Former Chair
Slide 34: Phoenix Suns Stadiums blueprint for sustainable stadiums
Phoenix Suns Stadiums serves as a blueprint for the future of sustainable stadiums and arenas Unique partnership with the ability to supply the greater NBA with Footprint solutions and unlock new relationship opportunities Sell plastic-free products to the Suns and expansive opportunities within the
Slide 35: Investment highlights
Investment highlights Footprint is the only material science company providing plant-based fiber solution to replaces plastic with the required extended shelf life The only plastic-free solution that offers extended barrier properties to replace rigid plastics 100% plastic elimination Compelling val
Slide 36: Customer interviews
Section 3 Customer interviews
Slide 37: Feedback from customer interviews
Feedback from customer interviews Source: Customer interviews “One of their biggest assets is that they are always very keen to learn. Several people will come to me and say “I have the answer”, when in fact they aren’t even close to it. Footprint, on the other hand, really tries to change their pro
Slide 38: Feedback from customer interviews: cost compared to plastic
Feedback from customer interviews Cost compared to plastic products “I cannot give you a cost comparison, but I can tell you that the reason why we wanted to work with Footprint is because a pulp slurry tray acts a lot like a foam tray. Foam is a shock absorber and so is pulp slurry. There is an inh
Slide 39: Feedback from customer interviews: switching out of plastics
Feedback from customer interviews Source: Customer interviews Switching out of plastics “I have had nothing but good experiences working with Footprint. They always listen, and are always very helpful – they really focus on solving our problems…All in all, they are very intelligent and inquisitive”
Slide 40: Feedback from customer interviews: gaps in capabilities
Feedback from customer interviews Gaps in Footprint capabilities Tracking Footprint’s progress on execution “Footprint is missing on two things – improving the speed of their R&D prototyping, and developing solutions that better protects the food, especially prepared products that require additional
Slide 41: Operations and execution
Section 4 Operations and execution
Slide 42: Currently installed as part of 2022 MX expansion project
Currently installed as part of 2022 MX expansion project
Slide 43: Footprint's decade of R&D and innovation
Footprint’s decade of R&D and innovation 2013 2014 2017 2018 2019 2020 2021 2021 2022 2022 - 2023 Established Expansion Deployed Deployed Recognition Deployed Deployed Deploy Expansion Expansion Founded by Troy Swope and Yoke Chung Launched and acquired Mexico facility Launched Conagra PowerBowls La
Slide 44: We are outperforming on numerous key performance indicators
We are outperforming on numerous key performance indicators KPI Status Commentary Equipment installation Ahead of plan 7 forming systems installed 4 forming systems installed in 5 weeks vs. historic rate of 1 system every 12 weeks Production output Ahead of plan 350+ million units already delivered
Slide 45: State-of-the-art manufacturing facilities
State-of-the-art manufacturing facilities Optimizing North American operations, while finalizing European expansion North America Europe planned expansion (2022-2023) Facility information: Size: 135,000 SF Employee population: 600 Network function: Headquarters R&D New product launches and developme
Slide 46: Financial summary
Section 5 Financial summary FOOTPRINT 46
Slide 47: Key projection assumptions
Key projection assumptions Revenue Based on a production roadmap that includes the number of anticipated operational manufacturing lines, production capacity and associated product types of those lines, and the contracted pricing of the end products Adj. EBITDA Capacity additions through 2025 result
Slide 48: Growth trajectory significantly outpaces industry peers
Footprint’s growth trajectory significantly outpaces industry peers Today $50M 2021E revenue 2025 Revenue: $1,448M EBITDA: $383M % margin: 26% Industry frontrunner delivering plant-based fiber solutions globally Revenue growth $580M+ under contract by 2021 YE Support existing customers globally ($1.
Slide 49: Execution to drive inflection in revenue and EBITDA growth
Execution to drive inflection in revenue and EBITDA growth 18% 29% NM NM 32% 130 181 27 64 226 5% 22% NM NM 26% % margin % margin # machines ’21E – ’25E CAGR: 132% Gross profit ($M)(a) Capital expenditures ($M) Revenue ($M) EBITDA ($M) Note: It is the Company's intention to execute on identified opp
Slide 50: Revenue ramp driven by capacity additions and improved efficiency
Revenue ramp driven by capacity additions and improved efficiency 2021E – 2023E revenue bridge ($M) 2022 system additions (37) 2023 system additions (66) 103 new production systems added in 2022 and 2023 Over 85% of 2022E to 2023E revenue increase is driven by incremental system production weeks Yea
Slide 51: Modeled plan is conservative relative to what Footprint can achieve
Modeled plan is conservative relative to what Footprint can achieve Additional upside based on internal plan targets Key drivers Modeled plan Upside to plan Proof points Utilization ramp up 6 months Based on experienced ramp during pandemic, assumes no improvement 3 months Operational improvements a
Slide 52: Capital investment and returns
Capital investment and returns Equipment overview Illustrative new production system economics(a) Capital investment ~$5.5M Revenue generation ~$5.0M Cash profit ~$1.5M Cash margin ~30% Payback ~3.25 years (a) Represents illustrative economics associated with one Kiefel production system (Q4 2025E e
Slide 53: Transaction overview
Section 6 Transaction overview
Slide 54: Transaction overview
Transaction overview Pro forma fully-diluted enterprise value of $1.6B, or a 3.2x multiple of 2023E revenue (fully contracted by 12/31/21) Current owners will retain ~62% ownership in public Footprint, with all common equity holders rolling 100% of their equity interests in the pro forma company Tra
Slide 55: Fully contracted 2023E revenue at a significant discount to disruptive peers
Fully contracted 2023E revenue at a significant discount to disruptive peers Note: Market data as of 12/10/2021 Growth represents 2020A-2023E revenue CAGR Source: Company filings, equity research, FactSet Peer median: 70% Peer mean: 86% Peer median: 4.9x Peer mean: 6.5x Peer median: 0.12x Peer mean:
Slide 56: Appendix
Appendix FOOTPRINT
Slide 57: Summary Consolidated Statements of Operations
Summary Consolidated Statements of Operations Source: Audited Frontier Financials
Slide 58: Summary Consolidated Balance Sheet
Summary Consolidated Balance Sheet Source: Audited Frontier Financials
Slide 59: Summary Consolidated Statement of Cash Flows
Summary Consolidated Statement of Cash Flows Source: Audited Frontier Financials
Slide 60: Risk factors
The risks presented below are some of the general risks related to Gores Holdings VIII (“GIIX”) Footprint or an affiliate thereof (“Footprint”) and the combined company following the consummation of the proposed business combination (the “Business Combination”). The list below is not exhaustive and
Slide 61: Risk factors related to Footprint
Footprint relies in part on trade secrets to protect its technology. Footprint’s failure to obtain or maintain trade secret protection could limit its ability to compete. Footprint faces various risks related to the ongoing coronavirus (COVID-19) pandemic and similar public health crises, which may
Slide 62: Risk factors related to GIIX and the Business Combination
GIIX shareholders will experience dilution as a consequence of the issuance of post-combination company securities as consideration in the Business Combination and may experience dilution from several additional sources in connection with and after the Business Combination, including any future issu