April 2016
Apivio Systems Inc. (APV.V) A global leader in voice technology solutions that bring Android, Wi-Fi and VoIP together.
April 2016 Apivio Systems Inc. (APV.V) Dis isclaim imer THIS - - PowerPoint PPT Presentation
A global leader in voice technology solutions that bring Android, Wi-Fi and VoIP together. April 2016 Apivio Systems Inc. (APV.V) Dis isclaim imer THIS PRESENTATION HAS BEEN PREPARED BY APIVIO SYSTEMS INC. (THE COMPANY) SOLELY AS AN
Apivio Systems Inc. (APV.V) A global leader in voice technology solutions that bring Android, Wi-Fi and VoIP together.
THIS PRESENTATION HAS BEEN PREPARED BY APIVIO SYSTEMS INC. (THE “COMPANY”) SOLELY AS AN INTRODUCTION TO THE COMPANY AND ITS TECHNOLOGY. This Presentation is the sole responsibility of the Company. Information contained herein does not purport to be complete and is subject to certain qualifications and assumptions and should not be relied upon for the purposes of making an investment in the securities or entering into any transaction. The information and opinions contained in the Presentation are provided as at the date of this Presentation and are subject to change without notice and, in furnishing the Presentation, the Company does not undertake or agree to any obligation to provide recipients with access to any additional information or to update or correct the Presentation. No stock exchange, securities commission or similar regulatory authority has passed on the merits of any securities referred to in the Presentation, nor has it passed on or reviewed the Presentation. The Company is developing a new and unproven technology. It is subject to a large number of very significant challenges including the risk that no viable product will ever be developed and even if one is developed there is the risk that no market will exist for it. The Company is competing against companies with much greater resources and the Company’s continued existence is dependent on its ability to secure additional financing. The Presentation may contain “forward looking information” within the meaning of applicable Canadian Securities legislation concerning, among other things, the size of the market for potential applications of the Company’s technology and the timing of further technical development of the Company’s projects. There can be no assurance that the plans, intentions or expectations upon which these forward looking statements and information are based will occur. “Forward looking statements” and “forward looking information” are subject to a variety of risks, uncertainties and assumptions, including those discussed in the annual Management Discussion and Analysis and under “Risk Factors” in the Company’s public filings at www.sedar.com. Some of the factors which could affect future results and could cause results to differ materially from those expressed in the forward looking statements and information contained herein include: Risk of technological non-feasibility, obsolescence and inadequate economics, dependence on key personnel and key relationships with the Company’s technology licensor. Forward-looking statements and information are based on the beliefs, estimates and opinions of management at the date the statements are made and are subject to change without notice. The Company does not undertake to update forward-looking statements or information if management believes estimates or opinions or other circumstances should change. The Company also cautions potential investors that investments in new technology are inherently risky.
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Android apps
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6 Cisco 15% Avaya 12%
NEC 10%
Unify 6% Alcatel-Lucent 6% Microsoft 5% Mitel 4% Aastra Technologies 4% Huawei 4% Digium 3% Others 31%
*Nokia is undergoing an acquisition of Alcatel-Lucent *Mitel Acquired Aastra in November, 2013
Voice / Video Recording Security RFID Security (motion) Cordless Wi-Fi Smoke Detectors Media Interface SIP Clients
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Stronger cash position after 7 quarters of positive EBITDA and financing in March 2015 Debt is flat despite increase in sales.
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Significant improvement in networking capital over the last two years
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Moimstone Korea (000’s) 2015 2014 Revenue 59,694 46,415 EBITDA 2,814 1,643 Add back: Head Office Management Fees 622 671 R&D for North American Products 2,111 1,003 Adjusted EBITDA 5,548 3,316 Adjusted EBITDA % 9.3% 7.1%
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More than 100k sold in Korea
Market Capitalization
(in C$ millions, except per share)
C$M 2015 2014 2013 Revenue $60 $46.6 $35
$2.1 $1.4 ($0.1) Cash $5.5 $1.8 $3.0 Debt $6.8 $7.5 $6.7
Ticker: TSXV:APV
52 Week Hi/Low C$0.28/C$0.65 Insiders Own 21%
APV stock valuation…
Korean legacy business alone ~4x EV/EBITDA Entire company ~0.4x EV/Sales
16 Share Price (March 31, 2016) $0.40 Basic Shares Outstanding 52.8 Market Capitalization $21.1 Debt (as on Dec 31, 2016) ($6.8) Cash Options proceeds $5.5 $0 Enterprise Value $22.4
80 Employees in Canada and South Korea
Rob Bakshi CEO David Pais CFO 2015 Revenue/Employee $750K
Key Management Rob Bakshi
President & CEO
David Pais
CFO
listed US Public company for $60M
CEO, Moimstone Korea
CTO, Moimstone Korea
Hanwha working on Switching systems, Semiconductors, VoIP & Wi-Fi and DSL solutions
CFO, Moimstone Korea
International
Chang Il An
Executive Director - Sales
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T: 604-761-2100 rbakshi@apivio.com
T: 604-340-9866 dpais@apivio.com
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T: 416-565-2805 Sean@SophicCapital.com