LVG Company Investors Overview APR2019 · INVESTED by co-investors 60+ STARTUPS in portfolio 200+ CORPORATES in the Ecosystem 100+ INVESTORS in our network. SECTORS ... Angel Partner

A SCALING TECH HUB

LVENTURE GROUP

Apr / 2019

Safe harbor statementThis document may contain forward-looking statements, which reflect current views of the management of LVenture Group, (the “Group” or “LVG”) with respect to future events and financial and operational performance of the Company and its subsidiaries (the “Group”).

These statements may include terms such as “may”, “will”, “expect”, “could”, “should”, “intend”, “estimate”, “anticipate”, “believe”, “remain”, “on track”, “design”, “target”, “objective”, “goal”, “forecast”, “projection”, “outlook”, “prospects”, “plan”, or similar terms. Forward-looking statements are not guarantees of future performance, rather, they are based on the Group’s current expectations and projections about future events and, by their nature, are subject to inherent risks and uncertainties.

Any reference to past performance or trends or activities of the Group shall not be taken as a representation or indicate performance, trends or activities will continue in the future. Actual results may differ materially from those expressed in or implied by such statements as a result of a variety of factors, including: the Group’s ability to preserve and enhance the value of its startups; changes in the general economic environment; the Group’s ability to successfully carry out its growth strategy; potential conflicts of interest due to director and officer overlaps with the Group’s largest shareholders and other factors discussed elsewhere in this document.

Any forward-looking statements contained in this document speak only as of the date of this document and LVG does not undertake any obligation to update or revise publicly forward-looking statements to reflect events or circumstances occurring after the date hereof. Further information concerning the Group and its businesses, including factors that could materially affect the Company’s financial results, is included in the reports and filings with Borsa Italiana and CONSOB.

Agenda

WHO WE ARE

MARKET TRENDS & GROWTH OPPORTUNITIES

FINANCIAL HIGHLIGHTS

INVESTMENT OPPORTUNITY

APPENDIX

Agenda

WHO WE ARE




APPENDIX

WHO WE ARELVenture Group accelerates and invests in digital startups, trasforming them into scaleups companies to create value

MISSIONWe trasform talents in successful entrepreneurs

OUR NUMBERS

€49M INVESTED IN STARTUPS

€13M INVESTED

by LVenture Group

€36M INVESTED

by co-investors

60+ STARTUPS in portfolio

200+ CORPORATES in the Ecosystem

100+ INVESTORS in our network

SECTORSDIGITAL

Analytics & Big Data Events & Travel

Community & Education Fintech & Loyalty

Design & Fashion Food Tech

Dev. Tools Health & Beauty

Entertainment IoT & Smart Mobility

Venture Capital J-CurveRe

venu

es

Competitions Challenges Tech Hubs Incubators

GRANT

€145k

Family & Friends Accelerators

Business Angels

MICRO-SEED

~€0,5M

Business Angels Seed Funds

SEED

~€1,5M

Early Stage Funds

POST SEED

>€3M

Growth Funds

SERIES A

SERIES B SERIES C SERIES D

…

ROUND

VALUATION

Micro-SeedLVG/Hatcher

SeedLVG/CO-INVESTOR

Post SeedLVG/CO-INVESTOR Series A+

€145k

<€1M

~€500k

€1,5-2M

~€1,5M

€2-6M

>€3M

>€6M

ûSTRATEGIAInvestimento LVG fino a €0,4M

€80k €50-150k €50-150k

LVG Investment Model

LVG investment up to €400k

The Acceleration Program

Revenues > 0Minimum target required

80%Success rate @ Seed

€145kStandard deal / 9% + convertible note

5 monthsBatch duration

~500Application per year

3-4%Acceptance rate

Open Innovation

EDUCATION

Digital transfer

INCUBATION

Deal flow origination

SPONSORSHIP

Network improvement

Open InnovationSTRATEGIC PARTNERSHIP

“SUPPLY CHAIN” PROGRAMINNOVATION ADVISORY EDUCATION EMPOWERMENT OPEN INNOVATION INCUBATION ACCELERATION

INVESTMENT PROGRAM

€1,24 MILLION INVESTMENT, WILLING TO DOUBLE

Investment Pipeline

INCUBATION MICRO-SEED SEED SERIES A

Pre-Acceleration sponsored projects

UP TO 2018

NOW

2 Acceleration Programs - €80k for

each startup

2 Acceleration Programs - €145k for

each startup thanks to Hatcher+

25+ Business Angels - APG

200+ Business Angels - IAG

-

Indaco Fund+ Pre-Acceleration sponsored projects

THE MAGIC HUB

SPACE

COMMUNITY

ECOSYSTEM

STARTUPS

EVENTS

Management Team

Agenda

WHO WE ARE




APPENDIX

LVenture European Leadership#1 in ITALY

0

2

4

6

8

10

12

14

LVentureGroup

SeayaVentures

SabadellVentureCapital

InvereadyTechnologyInvestment

Group

AngelPartnerGroup

KFund 3LB SeedCapital

NautaCapital

KiboVenturesPartners

Vertis SGR

#1 in SOUTHERN EUROPE

Most Active Venture Capitalist 2018

VC European Investment Landscape

Venture Capital is a growing Asset Class

INTERNATIONALIZATION ITALIAN MARKET ADVANTAGE

€7,7B€7,1B

€4,4B

€2,8B

€3,7B

€2,5B

€1,4B€0,9B

€0,6B€0,2B

Record Startup Investments in Italy 2018 = 2x 2017 amount

€1,5M

€5M

€10M

€6M

€10M

€15M €15M

€30M

€40M

@ Seed @ Series A @ Series B+

Why invest in Italian startups

01

40% FISCAL

BENEFIT FOR

STANDARD

INVESTMENTS

02 03 04

ITALIAN MARKET READY TO TAKE OFF

50% FISCAL

BENEFIT FOR

ACQUISITIONS

BY CORPORATES

UP TO 10% OF

PENSION FUNDS

AUM ALLOWED

TO BE INVESTED

IN VC

NEW “FONDO

NAZIONALE PER

L’INNOVAZIONE”

Agenda

WHO WE ARE




APPENDIX

*NAV calculated following the Alternative Performance Indicator (IAP) based on startups post-money value as of 31.12.2018

**Selected startups as detailed in slide 25 - NAV calculated on IAP as of 31.12.2018

LVG portfoglio growth* (M)

€2,8M Invested in 2018

€15,5M Net Assets (€12,8 M at 31.12.2017)

~€50M Cumulative value of selected startups**

~€26M Cumulative value of startups revenues

KEY FINANCIAL HIGHLIGHTS 2018

15,417,1+11%

€3,4MREVENUES +42% YoY

-€0,7EBITDA +17% YoY

€0,5MEBIT +200% YoY

€0,4MNET INCOME +160% YoY

€2,8MINVESTMENTS +8% YoY

-€0,8MNET FINANCIAL POSITION -88% YoY

KEY FINANCIAL HIGHLIGHTS 2018

Partnership LVenture Group 2018

HATCHER+

APG - IAG MERGE

FACEBOOK

FONDAZIONE CARIPLO

Key Selected Startups

Soundreef is a digital music copyright and royalties management platform. Soundreef came in as the disruptive alternative in the market by combining innovative technology with personal customer service.

• 25k songwriters & publishers worldwide - 11k in Italy

• Operations in 20 countries

Cash invested €398k Share 6,76% Last Portfolio Value €1,29M

Codemotion is an event format and a digital platform that connects developers with corporates. It is the pioneer of Hackathons events in Italy and one of the European leaders.

• 100+ corporate partnerships

• +28k developers • ~10 European conference

a yearCash invested €160k Share 9,01% Last Portfolio Value €563k

Gamepix is an online platform that publishes and promotes HTML5 videogames. It has been one of the first companies in the world to specialize in HTML5 games.

• 100k publishers • 300+ games • 110M+ users


IAP ~€19M IAP ~€6,5MGitHub main competitor, sold to Microsoft for $7,5B

IAP ~€9M

Manet is an innovative solution for hotels, b&bs and their guests designed to revolutionize hospitality and the whole travel experience. It combines smartphones with a web dashboard operations.

• ~3k active smartphones • ~3k hotels & b&bs • Partnerships with Samsung

and Vodafone


IAP ~€7,5MHandy main competitor, $1,5B valuation

Insoore is changing the way insurance companies operate their claims management. It’s a platform that drastically reduces their costs by connecting the companies to users paid to provide real-time photo-documentation of a vehicle.

• ~3k active smartphones • ~3k hotels & b&bs • Partnerships with Samsung

and Vodafone


IAP ~€7,5M

Strategic Roadmap 2019-2022Investments growth Investments in startups up to €4,5M in 2022, reaching cumulative €30M at

the end of 2019-2022 Plan

Operational efficiency Break even at EBITDA level in 2019

Maximise startups portfolio & ExitsStartups revaluations YoY thanks to additional capital increase and extensive rounds. #15-20 Exits expected at the end of the period, with significant return on capital invested

Strengthen of Balance Sheet Up to €8M capital increase in 2019

Dividend policy Dividend distribution from 2020 - dividend payout ratio of 15%

Boost european presence Build-up a physical presence in Europe

2019-2022 Business PlanKEY FINANCIAL GUIDELINE (€M)

REVENUES

EBITDA

NET RESULT

INVESTMENTS

CASH IN FROM EXITS

2018

3,4

(0,7)

0,4

2019E

5,0

0,0

0,8

2022E

8,3

0,8

2,4

2,8 3,0 4,5

0,9 2,2 9,7

36% CAGR

54% CAGR

125% CAGR

40% CAGR

244% CAGR

Funding pipeline 2019

2019

STRONG REVALUATIONS EXPECTED IN 2019, DRIVEN BY LARGE INVESTMENT ROUNDS

Exits pipeline 2019SIGNIFICANT PIPELINE OF EXITS EXPECTED, CREATING VALUE FOR ALL SHAREHOLDERS

2019-2020 2021-2022

Agenda

WHO WE ARE



INVESTMENT OPPORTUNITYAPPENDIX

LV.EN. Holding 32,0%

Futura Invest 6,0% (57,7% owned by Fondazione Cariplo)

Luiss 4,2% (not listed)Kairos 3,8%

Sara Assicurazioni 2,2% (1,1% not listed)

Free Float 51,8%

LVG on the Stock Exchange

Market Cap ~€20 million*

*33.467.119 shares, o/w 1.787.789 not listed

CAPITALIZING ON

DIGITAL SECTOR

GROWTH

HIGH RETURNS FROM

EXITS

STRONG

MANAGEMENT TEAM

MATURE PORTFOLIO

OF SCALEUPS


Agenda

WHO WE ARE




APPENDIX

Portfolio Analysis

Poor Performers 32%

Investment Recovery (~1x) 26%

High Potential (1x-3x) 10%

Stars (>3x) 32%

Stars (>3x) 45%

High Potential (1x-3x) 12%

Investment Recovery (~1x) 25%

Poor Performers 18%

42% of LVG portfolio startups (Stars + High Potential) are performing extremely well

57% of LVG portfolio investments are made in the best startups (Stars + High Potential)

N. of startups in % % of investments

56 startups with more than 12 months + Lybratech out of 65 - data as of 31.12.2018

CONTACT USTELEFONO

+39 06 4547 3124EMAIL

[email protected]

www.lventuregroup.com

http://www.lventuregroup.com

Documents

LVG Company Investors Overview APR2019 · INVESTED by co-investors 60+ STARTUPS in portfolio 200+ CORPORATES in the Ecosystem 100+ INVESTORS in our network. SECTORS ... Angel Partner