Investor Overview PDF Free Download

Name: Investor Overview PDF
Author: Nicole Hamilton

1 / 34

2 views•34 pages

Investor Overview PDF Free Download

Investor Overview PDF free Download. Think more deeply and widely.

TSX.V: GDNP

april 2022

the fine print

forward-looking statements

no offer

The forward-looking information and statements contained in this presentation

reflect several material factors and expectations and assumptions of good

natured Products Inc. (“

good natured

®”) including, without limitation: that good

natured® will continue to conduct its operations in a manner consistent with past

operations, the general continuance of current or where applicable, assumed

industry conditions, availability of debt and/or equity to fund

good natured

capital and operating requirements as needed.

good natured

® believes the

material factors and assumptions reflected in the forward-looking statements

are reasonable at this time but no assurance can be given that these factors,

assumptions will prove to be correct. The forward-looking statements contained

in this presentation speak only as of the date of this presentation. For further

information, please go to investor.goodnaturedproducts.com.

No offer is made by this presentation. Any offer to invest in

good natured

® and

any such investment will be made only pursuant to a definitive Subscription

Agreement to be entered into between

good natured

® and each investor.

projections

This presentation contains certain financial projections, which have been

prepared by good natured and are subject to a high degree of uncertainty. They

are based upon estimates of future events and circumstances that might or

might not ultimately prove to be accurate. All of the assumptions upon which

the projections are based, and which would be material, are not presented. No

representation or warranty can be made as to the accuracy of any of these

assumptions. There can be no assurances that the projections will be realized,

and actual results may differ materially from those set forth in the projections.

The assumptions underlying the projections are inherently uncertain and are

subject to significant business, economic, and competitive risks and

uncertainties that would cause actual results to differ materially from those

projected. No opinion or report on the projections was received from any

independent accountants. If the projected results are not achieved, good

natured® business and financial performance could be affected. Because of the

above limitations on these projections, you are cautioned about placing undue

reliance on them.

Become North America’s leading

earth-friendly product company

by developing plant-based

products & packaging and

acquiring relevant companies

that expand our assortment,

customer base and market reach.

COMPANY SUMMARY AND

corporate highlights

OUR

corporate summary

• 9 manufacturing/sourcing locations in North America

• 400+ products across 5 Business Groups

• 850+ recurring B2B customers in 50 states/provinces

MAKE BETTER EVERYDAY PRODUCTS

We’re part of the sustainable fast moving consumer

goods (FMCG) industry offering a wide assortment

of eco-friendly products made from plants.

USE RENEWABLE MATERIALS

Our products are made with the highest possible

percentage of renewable, plant-based materials

instead of petroleum.

KICK OUT THE CHEMICALS

We don’t use BPAs, phthalates or other nasty

chemicals that are potentially harmful to human

health and the environment.

MAKE IT EASY & AFFORDABLE

We focus on making everyday products and offering

them through multiple channels so it’s easy and

affordable for businesses to make the switch..

fast growing with 5 year CAGR of 110%

• 2021 revenue of approximately $60 million

• Growing at triple-digit rate

significant recurring revenues

• 850+ B2B recurring customers

• Consistent & stable gross margins

positive macro drivers

• Increasing environmental regulatory pressure

• Growing consumer demand for healthier products

solid competitive advantage

• Multiple defensible moats

• Experienced Fortune 500 leadership team

key investor considerations

growth from organic & strategic M&A

• Diverse organic customer mix & product sales

• 5 M&A transactions completed to date

very large market opportunity

• FMCG expected to reach USD $150 Billion in 2021

• Fragmented market ripe for consolidation

very strong customer value proposition

• Internationally trademarked, recognizable brand

• Focus on making it easy & affordable for businesses

strong product road map

• 400 products across 5 distinct Business Groups

• 3 ingredients families from fiber to biodegradables

2016

December 2016

Acquisition Of LINDAR Corp.

Bioplastics Division

May 2016

First Quarter Of Material

Revenues

March 2016

Acquires Bioplastic Division Of

Ex-Te c h P l a s t i c s

2017

October 2017

Changes Name To

“good natured Products Inc.”

June 2017

Surpasses $2 Million In Annual

Revenue And 14x YOY Growth

2018

November 2018

Awarded $850,000 In Innovation

Funding From Canadian Government

April 2018

Surpasses $3.1 Million

in Annual Revenue

and 51% YOY Growth

2019

June 2019

$10 Million USD Financing

From Business Development

Bank Of Canada

March 2019

Plant-Based Handy Recycler

a To p 1 0 B e st Se l l e r O n

Amazon.com

2020

December 2020

Closes Acquisition of

Integrated Packaging Films for $16.7M

May 2020

Closes Acquisition of

Shepherd Thermoforming

& Packaging for $9.5M

April 2020

FY2019 Results Over $10.1M

(98% YOY Growth)

important milestones

2021

January 2021

Announces Preliminary FY2020 Results of

$16.4M to $16.7M (62%-65% YOY growth)’

March

2021

Closed $23.1 Million bought deal offering &

debt retirement

May 2021

Acquisition of all operating assets of

Ex-Te c h P l a s t i c s

INDUSTRY AND

market drivers

SUSTAINABLE SEGMENT

big opportunity

The sustainable segment of the

fast moving consumer goods

industry (FMCG) is set to become a

US $150 billion market by 2021

at 4x the average industry CAGR.

Sustainable goods account for over

22% of total store sales and are

estimated to reach 25% in 2021.1

1. Source: Nielsen 2020.

https://www.statista.com/statistics/956968/us-sales-value-of-

sustainable-products/

PACKAGING RIPE FOR

transformation

• Massive demand is creating environmental issues

• Harmful chemicals found in many everyday products

• Petroleum use driving high levels of CO2emissions

• Non-renewable fossil fuels faced with finite supply

MASSIVE MARKET

Packaging market USD $1+ trillion worldwide and

dominated by petroleum-based products.

DEMAND INCREASING

Consumer and industry trends driving gigantic

growth of the industry.

ACQUISITIONS OCCURING

Consumer goods companies acquiring sustainable

products to differentiate from incumbents.

HIGH FRAGMENTATION

Industry highly fragmented –largest company is

USD $23 billion yet only 3% global market share.

market trends paving way for growth

GROWING DEMAND FOR BETTER EVERYDAY PRODUCTS

All age groups, and especially Millennials and Gen Z, are more aware of negative health and

environmental impacts of hazardous chemicals and non-renewable products and packaging.

RAPID GROWTH CHARACTERIZED BY FRAGMENTATION

Sustainable FMCG is currently characterized by two types of competitors with no established leader:

1. Multiple small entrants typically focused on one product line or niche market segment

2. Traditional brands seeking out and acquiring new entrants to add sustainable products to

their overall assortment

INCREASING REGULATORY PRESSURE

Bans on chemicals of concern, non-renewable materials and single-use disposables are driving

change in how everyday products are packaged and sold. Pressure for increased health and safety

of food and medical supplies creates an additional demand for securely packaged one-time-use products.

BUSINESS MODEL AND

go to market

OUR PROPOSITION

it has to all work together

Companies and consumers want to do the right

thing, but not at the expense of quality,

performance, price or service.

From plant-based ingredients to our broad choice

of ready-made and custom designs, we’ve built a

customer-oriented approach that makes it easy

and affordable for people to switch from

petroleum to plant-based.

INGREDIENTS

DESIGN

APPROACH

3 ingredient families meet diverse customer needs

Made from a variety of

feedstocks, our fiber

products meet the needs of

retail and restaurants who

need zero-waste single use

solutions for take-out and

prepared meals.

PRESSED & MOLDED

fiber

We offer a growing

assortment of bioplastics

made from plant-based

materials that can be fully

co-mingled with traditional

HDPE, LDPE and PET for

ease of recycling.

CHEMICALLY EQUIVALENT

bioplastics

For customers who are

ready to go all the way, our

biodegradable and certified

compostable polymers

create a full closed loop by

turning back into soil to be

made into more plants.

CLOSED LOOP

biodegradables

DESIGNED TO DELIVER

better everyday

products

We take the stuff people are buying

every day and make it better by:

1. Making it out of renewable materials

and without chemicals of concern.

2. Ensuring it performs the same or better

than petroleum-based products.

3. Delivering it at affordable prices so

retailers can expand their sustainable

assortment & drive incremental sales

and right-size packaging.

our approach

maximizes

organic growth

WE OFFER A LEADING

ASSORTMENT THROUGH

MULTIPLE CHANNELS TO

DIVERSE CUSTOMERS

LEAVES REPRESENT BUSINESS GROUPS AND MARKET SEGMENTS WITH ACTIVE CUSTOMERS DURING THE PRIOR 12 MONTHS.

BUSINESS GROUPS

MARKET

SEGMENTS PACKAGING GENERAL

MERCHANDISE

COMMERCIAL &

BUSINESS

SUPPLIES

INDUSTRIAL SERVICES

DIRECT TO

BUSINESS

National

Regional

Small Business

DIRECT TO

CONSUMER

eCommerce

Stores

5 KEY BUSINESS GROUPS

400 products & services

5 KEY BUSINESS GROUPS

400 products & services

Over 850 active national, regional and small

business recurring customers across 50 states

and provinces and more than 20,000 annual

direct-to-consumer transactions.

services

Supplemental service offerings, such as design,

prototyping, labelling and mold financing to

support customer requirements.

industrial

Complementary eco-friendly inputs to retail, restaurant,

medical and manufacturing industries, including

extruded sheets and biodegradable agents.

general merchandise

Everyday home organization products with high purchase

frequency and a focus on removing chemicals of concern

in our kitchens and food supply chains.

commercial & business supplies

High volume, high demand items used in our customers’

day to day operations, from pallet stretch wrap to

protective equipment like medical face shields.

packaging

Offering both stock and custom designs for grocery,

restaurant, general merchandise and medical supplies that

meet specific customer requirements and are delivered

through exclusive and/or multi-year purchasing agreements.

APRIL 2022

“

we’re getting big thumbs up

We absolutely love the packaging

and we’re so glad we switched over

to plant-based packaging… The

customer service has been

phenomenal. Thank you so much! ♥

Outstanding!

Iwish Icould like this twice

😍 🌱 NEW PACKAGING! I love these treat

boxes from @goodnaturedinc. They

are made of 99% plant-based

material and are certified

compostable! #plantsnotpetroleum

amazon.com

eco friendly! beautiful product

What I love about this product

is its plant friendly! I avoid use

of plastic, so, I’m super glad to

get this!

“

SCALABLE, FLEXIBLE

operations

covid-19 pandemic impact

CONTRIBUTING TO THE COVID-19 FIGHT

Producing COVID-19 face shields and COVID-19 testing kits packaging.

Including the completion of Shepherd Thermoforming and Integrated Packaging Films acquisitions.

BUSINESS MODEL OF DIVERSE PRODUCTS AND CUSTOMER MIX

STOOD VERY WELL AGAINST COVID-19 IMPACT

NO DISRUPTION

Considered an essential business in the U.S.A. and Canada under current COVID-19 regulations.

CLOSELY MONITORING LATEST DEVELOPMENTS

Through the World Health Organization, the Public Health Agency of Canada and local and national

health authorities across all States and Provinces in which we operate.

STAYING GOAL-ORIENTED AND ON THE OFFENSIVE

Serve our customers while protecting the health of our employees and business partners.

FLEXIBLE & SCALABLE

experienced

supply chain

Our highly scalable insourced and

outsourced manufacturing model delivers

a flexible supply chain to support growth

and new product development.

In-sourced supply chain has approximately

150,000 sq. ft. of manufacturing floor space

with capacity to extrude over 60 million lbs.

Our experienced team has built a global

supply chain to access the latest bio-based

ingredients that support our growing

product assortment.

9 manufacturing &

sourcing locations in

North America.

COMPETITIVE ADVANTAGES

positioned for growth

Well positioned to solidify a leadership position in

disrupting very large petroleum-based markets with

plant-based alternatives through strong management,

growing product assortment and a unique data

driven business model.

first to market

unique, well executed

business model

source agreements

patents

400 plant-based products

positions good natured® as

a market leader

Retail-oriented sales strategy

by business groups and

customer segments delivers

consistent organic growth

Unique and defensible

ingredient sourcing

agreements

Proprietary, patented

and patent pending

product designs and

material recipes

trade secrets

scalable supply chain

affordable pricing

capital light model

brand

Processing trade secrets

and know how

Exclusive and highly scalable

supply chain agreements

Competitive product and

packaging pricing

Our insourced and

outsourced manufacturing

model delivers a flexible

supply chain to support

growth and new product

development

Consumer-oriented,

recognizable

brand and market

positioning

APRIL 2022

CONSOLIDATED

financials

2-PRONGED

growth strategy

Centered on creating a leading assortment of

plant-based products that generates a diversified

customer base and product sales mix.

Driving organic growth through new customer

acquisition, cross-selling new products to

existing customer base and launching

new products.

Acquiring companies to underpin future

organic growth by adding new products,

expanding our customer base and

opening up cross-selling opportunities.

organic sales

driven by a “land and expand” sales strategy

acquisitions

that augment the business model

• Attract new customers with leading assortment offering

• Direct sales team cross-sells to maximize customer account

• New products added to drive new cross-sell opportunities

Acquire relevant brands and companies that meet criteria to

expand assortment, our customer base and market reach:

• Large diverse customer base

• Large range of product offerings

• Cross-selling opportunities

• Strengthens supply chain efficiency

• Positive EBITDA

• Petroleum-based products that can

be reformulated, and re-launched

• New product categories

• New geographies

$1,459 $2,987 $5,103

$10,098

$16,713

$59,300

$10, 000

$20,000

$30,000

$40,000

$50,000

$60, 000

$70,000

FY16 FY17 FY18 FY19 FY20 FY21

5 YEAR ANNUAL REVENUE TOTAL (in 1000s)

strong

revenue growth

& stable margins

EBITDA IMPROVEMENTS

CHARTED IN EACH FISCAL

YEAR PLAN

5-YEAR CAGR 110%

31%

34%

37%

VGM

30%

24%

Note: FY2021 preliminary results

estimated as at January 20, 2022

Variable Gross Margin (VGM), a

non-GAAP measure, is gross

margin excluding fixed production

costs such as depreciation, repairs

and maintenance, utilities and

similar overhead items.

quarterly results coming in strong

$1,118 $1,065 $1,003 $1,917

$2,056 $2,337 $3,178 $2,527

$3,052 $3,675

$4,659 $5,326

$7,900

$12,371

$18,000

$21,000

$5,000

$10,000

$15,000

$20,000

$25,000

QTR 1 QTR 2 QTR 3 QTR 4

YOY QUARTERLY REVENUE COMPARISON (in 1000s)

2018 2019 2020 2021

38%

36%

GM 34%

35%

GM 31%

33%

41%

VGM

35%

44%

37%

33%

34%

35%

VGM

28%

Note: FY2021 preliminary results estimated as at January 20, 2022

Variable Gross Margin (VGM), a non-GAAP measure, is gross margin excluding fixed production costs such as depreciation, repairs and

maintenance, utilities and similar overhead items.

29%

VGM

22%

29%

VGM

22%

2020/2021 ACQUISITIONS CREATING

transformative synergies

Following the acquisition of Shepherd

Thermoforming & Packaging, good natured®

announced it had closed the acquisition of

Integrated Packaging Films in December 2020.

Highly synergistic, the addition of IPF more than

doubles revenues on a trailing basis across nearly

100 customers, adds $3.7 million in adjusted EBITDA

and drives margin efficiencies through integration

with the Shepherd facility.

In May 2021 good natured® announced its highly

accretive acquisition of Ex-Tec h P l a s t i c s , positioning

good natured® as one of North America’s leading

commercial sheet extruders.

These transactions demonstrate the Company’s

ability to successfully complete strategic

acquisitions to achieve its growth objectives.

2020

2021

23%

mgmt & insider

ownership

SYMBOL

GDNP

Float Size (Estimated)

172,366,420

Insider/Management Shares

50,807,912

Shares Outstanding

2223,174,332

Fully Diluted

262,370,203

Warrants

1,752,150

Options

8,435,307

Other Incentive Equity

7,017,438

Convertible Debentures

21,990,976

Market Capitalization

$118,282,396

CAPITAL STRUCTURE

AS AT APRIL19, 2022

NOTE: STOCK OPTIONS INCLUDE ALL VESTED AND UNVESTED OPTIONS, AND ALL STOCK OPTIONS THAT HAVE NOT BEEN ISSUED.

outstanding

warrants

WARRANT SUMMARY

AS AT APRIL 19, 2022

OUTSTANDING MATURITY STRIKEPRICE TOTAL VALUE

596,400

17-Dec-22 $0.47

$280,308

1,155,750

4-Mar-23 $1.20

$1,386,900

TOTALS

1,752,150

$0.95

$1,667,208

FORTUNE 500

senior leadership

Multi-national Fortune

100 background building

large-scale marketing

campaigns. Specific

expertise in brand

portfolio strategy,

customer segmentation

and new market

development.

WE’RE ALL

good natured®

Our c-suite knows consumer behaviors,

understands retail realities and has

never shied away from leaning in to

drive growth, no matter the odds. CEO

paul

antoniadis

Former CEO Best Buy

Europe, $5 billion JV with

Carphone Warehouse.

Former SVP, Int’l Retail

Ops & President China at

Best Buy: multi-billion

sourcing division. VP

Sales Dev for Best Buy

US, responsible for $30

billion sales strategy.

EVP CORP DEV

don

holmstrom

Corp development

& capital management

closing acquisitions/

divestitures of 200+

business transactions

over $1 billion in value.

Raised over $200

million in debt and

equity.

CTO

michel

labonté

Ph.D. in bioplastics

packaging from École

Polytechnique (Montréal)

with deep chemical/

process engineering and

design background.

Formerly at Bombardier:

first to produce

polycarbonate snow

mobile windshield.

CMO

stephanie

zahn

Ph.D. in bioplastics

packaging from École

Polytechnique (Montréal)

with deep chemical/

process engineering and

design background..

Formerly at Bombardier:

first to produce

polycarbonate snow

mobile windshield.

CFO

kevin

leong

Chartered accountant

with 20+ years of

experience in senior

finance roles for

several public

companies. Managed

multiple audits with all

big 4 audit firms. C.A

earned in 1990 while

at KPMG.

OUR BOARD & ADVISORS

keep us on track

With expertise across capital markets, consumer

products, packaging and supply chain, we’re in

good hands to stay on course for big time growth. michael thomson

Board Director

President of Independent Capital

Partners Inc., a corporate finance

consulting firm focused on “going

public” transactions. Founder/principal

of ten publicly traded companies from

natural resources to advanced materials.

Member of the Listings Advisory

Committee (Calgary) for the TSX

Venture Exchange.

salil munjal

Advisor

Managing General Partner,

Yaletown Partners

British Columbia

tom haglin

Advisor

Owner

LINDAR Corp., Avantech

Minnesota

laura pichon

Advisor

VP, Strategic Partnerships,

Ex-Tech Plastics Ltd.

Illinois

joel marsh

Board Director

Senior Director with over 30 years’ retail

experience in operations, financial

management, sales development, supply

chain, standard operations process and

scaling new businesses. Led Best Buy

Sales Development team to 47 straight

months of positive like-for-like sales

growth while improving gross margin

rates by 500 basis points.

jim zadra

Lead Director

CFO and Corporate Secretary at Great

Panther Silver Limited, silver and gold

producer with mining operations and

projects in Mexico and Peru. Chartered

Accountant with significant background

in senior finance roles, financial

reporting, taxation, strategic planning,

capital markets, M&A and corporate

governance.

paul antoniadis

Executive Chair & CEO

Founding Partner at Scenario Ventures.

Former CEO Best Buy Europe. Former

SVP, Int’l Retail Ops & President China

at Best Buy: multi billion sales and

sourcing division. Also held VP of

Sales Development for Best Buy US,

where he was responsible execution

of $30.8 billion in sales.

APRIL 2022

in summary: invest in sustainability + a solid business model

Cleantech consumer

products business with

6-year CAGR of 153% and

large recurring revenues.

FAST GROWING

FMCG market expected to

reach USD $150 Billion in

2021 due to consumer

demand and increasing

regulatory pressure.

MASSIVE MARKET

Positioned to become

market leader in the

sustainable segment of the

fast moving consumer

goods (FMCG) industry.

EMERGING LEADER

Focused on building a

business that makes it easy

and affordable for customers

to switch from petroleum

to plant-based.

UNIQUE VALUE PROP

Strong organic growth

trajectory complemented

by accretive & synergistic

M&A strategy.

PROVEN MODEL

Trade secrets, IP and unique,

exclusive supply chain

agreements deliver multiple

competitive advantages.

DEFENSIBLE MOATS

good natured Products Inc.

Investor.goodnaturedproducts.com

2 views·34 pages

Investor Overview PDF Free Download

Investor Overview PDF free Download. Think more deeply and widely.

Uploaded by Nicole Hamilton on 4/15/2026

/34

100%