Tinybuild Inc. · LSE:TBLD
Tinybuild — Merger or Acquisition (November 2021)
16 slides from Tinybuild's merger presentation, November 2021
Slide 1: Acquisition: Versus Evil & Red Cerberus
ACQUISITION: VERSUS EVIL & RED CERBERUS
Slide 2: Disclaimer
DISCLAIMER IMPORTANT: You must read the following disclaimer before continuing. The following disclaimer only and is not intended to be relied upon as advice to investors or potential investors, and does not Presentation nor any copy of it may be taken or transmitted into or distributed in Canada, A
Slide 3: Agenda
AGENDA VERSUS EVIL and RED CERBERUS M&A REVIEW TINYBUILD 3
Slide 4: Versus Evil & Red Cerberus
VERSUS EVIL & RED CERBERUS
Slide 5: Versus Evil, Red Cerberus
VERSUS EVIL, RED CERBERUS VERSUS EVIL GLOBAL VIDEO GAME PUBLISHER • Founded in 2013 by Steve Escalante, over 20y experience • Based in California, Texas, Maryland • Portfolio of 32 titles across various genres • 10 staff* RED CERBERUS AAA-GRADE SERVICE PROVIDER • Founded in 2016, also by Steve Escal
Slide 6: Strategic Rationale
STREATEGIC RATIONALE VERSUS EVIL • New publishing label increases scale of future pipeline • Strong portfolio of games broadens genres diversification • Experienced team enlarges IP discovery machine • Wide geographical presence boosts visibility RED CERBERUS • Internal AAA-grade services team reduc
Slide 7: The Banner Saga
§ An epic role-playing Viking saga where your § First released in 2014, followed by Banner strategic choices affect the player journey. Saga 2 and Banner Saga 3 and two DLCs
Slide 8: Pillars of Eternity II: Deadfire
§ Pursue a rogue god over land and sea in the sequel § First released in May 2018, to the award-winning RPG Pillars of Eternity. followed by ten DLCs
Slide 9: Party game released November 2021
§ First released November 2021 § A party game where players must work together and against each other to survive
Slide 10: Turn-based strategy game (Faeria)
§ A turn-based strategy game set on § First released in 2017, followed by a dynamic fantasy playing board nine DLCs
Slide 11: Deal Structure
DEAL STRUCTURE § Upfront consideration is $12.5m in cash § Deferred contingent consideration of up to $18.8m over three years, in shares § Total maximum consideration up to $31.3m § Versus Evil and Red Cerberus together generated $12m in revenues and a $0.2m EBITDA loss in 2020* § The deal is expect
Slide 12: M&A Review
M&A REVIEW
Slide 13: M&A - Execution
M&A - EXECUTION WE’RE FIVE GAMES HUNGRY COUCH DOGHELM ANIMAL DATE: February 2021 DATE: February 2021 DATE: June 2021 DATE: August 2021 TYPE: Acquihire TYPE: Acquihire TYPE: Acquihire TYPE: Acquihire LOCATION: Minnesota, USA LOCATION: Russia LOCATION: Los Angeles, USA LOCATION: Los Angeles, USA TEAM
Slide 14: tinyBuild Global Presence
TINYBUILD GLOBAL PRESENCE >70 GAMES PUBLISHED >400 STAFF* GLOBALLY c.30 GAMES IN THE PIPELINE 7 M&A DEALS IN 2021 1.4m SOCIAL MEDIA FOLLOWERS Current regions Partner region Map shows selected partner locations only (November 2021) * Employees and independent contractors 14
Slide 15: M&A Strategy
M&A Strategy STRATEGIC RATIONALE DEAL STRUCTURE • New Intellectual Property IP • Deferred consideration • Complementary publishers • Attractive Multiples • Development studios • Minimum Target Return on Investment • Additional service providers • Accretion GROWTH MINDSET RETENTION AND INCENTIVISATIO
Slide 16: Q&A
Q&A