I N V E S T I N F R E S H T H I N K I N G | NSR N O M A D R O Y A L T Y C O M P A N Y
CAUTIONARY STATEMENTS Forward Looking Statements This presentation contains statements that may constitute “forward -looking information” within the meaning of applicable Canadian securities legislation. Forward-looking information may include, among others, statements regarding the future plans, costs, objectives or performance of the Company and its business, or the assumptions underlying any of the foregoing. In this presentation, words such as “may”, “would”, “could”, “will”, “likely”, “believe”, “expect”, “anticipate”, “intend”, “plan”, “estimate” and similar words and the negative form thereof are used to identify forward-looking statements. Forward-looking statements should not be read as guarantees of future performance or results, and will not necessarily be accurate indications of whether, or the times at or by which, such future performance will be achieved. The forward-looking events and circumstances discussed in this presentation, including completion of the proposed Transaction and Concurrent Private Placement described herein, possible listing of the Company’s common shares on the Toronto Stock Exchange and the revenues that will be generated by the portfolio assets decribed herein, may not occur and could differ materially as a result of known and unknown risk factors and uncertainties affecting the Company, including risks regarding royalty, stream and gold loan assets, market price of the metals under royalty, stream and gold loan assets, the ability of the Company’s management to manage and to operate the business of the Company, and the equity markets generally. Forward-looking information is based on information available at the time and/or management’s good-faith belief with respect to future events and are subject to known or unknown risks, uncertainties, assumptions and other unpredictable factors, many of which are beyond the control of the Company. These risks, uncertainties and assumptions include, but are not limited to those described in the Company’s Management’s Discussion & Analysis for the year ended March 31, 2020, a copy of which is available, on SEDAR at www.sedar.com, and could cause actual events or results to differ materially from those projected in any forward-looking statements. The Company does not intend, nor does it undertake any obligation, to update or revise any forward-looking information contained in this presentation to reflect subsequent information, events or circumstances or otherwise, except if required by applicable laws. Qualified Persons Louis-Pierre Gignac, ing., M.Sc.A, CFA ,is a Qualified Person under National Instrument 43-101 - Standards of Disclosure for Mineral Projects (“NI 43 - 101” ), and has reviewed and approved the technical information contained in this presentation. Réjean Sirois, P. Eng, is a Qualified Person under NI 43-101, and has reviewed and approved the technical information contained in this presentation. Investors are cautioned that, except as disclosed in the Company’s public filings, any information released or received with respect to the Transaction may not be accurate or complete and should not be relied upon. Currency Fluctuations. The amounts in this presentation are reported in U.S. dollars unless otherwise noted. 2
| N S R N O M A D R O Y A L T Y C O M P A N Y NEW GENERATION TEAM & BOARD JOSEPH DE LA PLANTE VINCENT METCALFE ELIF LÉVESQUE F O U N D E R & F O U N D E R & F O U N D E R & C H I E F I N V E S T M E N T O F F I C E R , C H I E F E X E C U T I V E O F F I C E R , C H I E F F I N A N C I A L O F F I C E R D I R E C T O R D I R E C T O R Istvan Zollei, Director, Portfolio Manager – Orion Resource Partners Gerardo Fernandez, Director, VP Corporate – Development Yamana Gold BOARD OF DIRECTORS Matt Gollat, Director, VP Corporate Development – Premier Gold Jamie Porter, Director, CFO – Alamos Gold Robin Weisman, Director, 20 years experience in global mine financing (IFC), Director B2Gold and INV Metals 3
| N S R N O M A D R O Y A L T Y C O M P A N Y B U I L D I N G O N O U R E X P E R I E N C E N E W G E N E R AT I O N T E A M – N E W V I S I O N F O R T H E S E C T O R M A I N TA I N H I G H LY D I V E R S I F I E D P O R T F O L I O F O C U S O N F R E E C A S H F L O W C O M M I T M E N T T O L O W G & A L E A D W I T H D I V I D E N D N O O F F S H O R E S U B S I D I A R Y F O C U S O N V A L U E A C C R E T I V E T R A N S A C T I O N S B U I L D O P T I O N A L I T Y & L E V E R A G E T H R O U G H R E S O U R C E G R O W T H 4 G U A L C A M A Y O M I N E , A R G E N T I N A
| N S R N O M A D R O Y A L T Y C O M P A N Y W H Y N O M A D B U I L D I N G A P R E C I O U S M E TA L S R O YA LT Y C O M PA N Y A G A I N G R O U N D F L O O R O P P O R T U N I T Y – R A R E O P P O R T U N I T Y I N T H E S E C T O R 1 0 0 % G O L D & S I LV E R S T R O N G & I M M E D I AT E C A S H F L O W – 5 C A S H F L O W I N G A S S E T S “ L O W C O S T ” & H I G H M A R G I N → I M M E D I AT E F R E E C A S H F L O W AT T R A C T I V E V A L U AT I O N → A C Q U I R E D P O R T F O L I O S AT 1 . 0 X N A V R O B U S T & A C T I O N A B L E P I P E L I N E O F O P P O R T U N I T I E S 5 C H A P A D A M I N E , B R A Z I L
| N S R N O M A D R O Y A L T Y C O M P A N Y EXECUTING ON THE PLAN C A T A L Y S T S & T O - D O s ANNOUNCED ELIF LEVESQUE AS FOUNDER & CFO COMPLETED C$13.3 M EQUITY FINANCING COMPLETED LISTING STATEMENT WITH TSX VENTURE & TSX GRADUATED FROM TSX VENTURE TO TSX UNDER TICKER “NSR” COMPLETED ACQUISITION AGREEMENTS WITH ORION & YAMANA EXECUTE FOLLOW-ON DEAL(S) ANNOUNCE DIVIDEND POLICY ANNOUNCE OTCQX LISTING INCREASE FINANCIAL CAPACITY INCREASE MARKET AWARENESS INCREASE RESEARCH COVERAGE INCREASE TRADING LIQUIDITY 6
| N S R N O M A D R O Y A L T Y C O M P A N Y CAPITAL STRUCTURE AS OF MAY 29, 2020 S H A R E H O L D E R S ▪ SYMBOL TSX: NSR ORION MINE FINANCE ▪ YAMANA GOLD ▪ ADRIAN DAY ASSET MANAGEMENT SHARE PRICE CAD $1.23 ▪ FTQ ▪ HIGH NET WORTH INVESTORS CAD $629M MARKET CAPITALIZATION USD $464M R E S E A R C H C O V E R A G E PF SHARES OUTSTANDING BASIC SHARES: 511M ▪ TO COME OPTIONS OPTIONS : 2.4M CASH ON HAND ~USD $7M UP TO $10M DEFERRED DEFERRED PAYMENT PAYMENT TO YAMANA (1) ORION: 77.6% SHAREHOLDERS YAMANA: 13.0% MANAGEMENT: 2.5% 1. The deferred payment will have a term of two years (subject to early redemption features), will bear interest at an annual rate of 3% and will be convertible into common shares of the Company at the option of the holder at a price of CAD$ 0.90 per share. 7
| N S R N O M A D R O Y A L T Y C O M P A N Y GLOBALLY DIVERSIFIED PORTFOLIO S T R O N G & D I V E R S E O P E R A T O R S BONIKRO (PRODUCING) GOLD STREAM SOUTH ARTURO (PRODUCING) SILVER STREAM MERCEDES (PRODUCING) SILVER STREAM SURUCA GUALCAMAYO (PRODUCING) RDM (PRODUCING) BLYVOOR WOODLAWN 2% NSR ROYALTY OXIDES 2% NSR ROYALTY OXIDES 1% NSR GOLD GOLD STREAM SILVER STREAM 2% NSR ROYALTY 1.5% NSR ROYALTY DCP SULPHIDES PREMIER GOLD LOAN GUALCAMAYO DCP PAYMENT 8
| N S R N O M A D R O YA LT Y C O M PA N Y DIVERSIFIED PRECIOUS METALS CASH FLOW S T R O N G & D I V E R S E O P E R A T O R S M E T A L B R E A K D O W N 1 ( % ) A S S E T S T A G E 1 ( % ) D E V E L O P M E N T S I L V E R 1 4 % 2 3 % P R O D U C T I O N 4 9 % 8 6 % 1 0 0 % V I S I B I L I T Y P R E C I O U S O N C A S H M E T A L S F L O W N E A R - T E R M G O L D P R O D U C T I O N ( 2 0 2 1 ) 7 7 % 3 7 % 2 0 2 1 E S T I M A T E D D E L I V E R I E S N U M B E R O F A S S E T S P E R S T A G E P R O D U C T I O N : 5 G O L D : 1 7 , 0 0 0 o z C O N S T R U C T I O N R A M P U P : 2 S I L V E R : 6 7 5 , 0 0 0 o z D E V E L O P M E N T : 3 T O T A L G E O S : 2 5 , 0 0 0 o z Source: Company Financial Model 9 1. Based on NPV
| N S R N O M A D R O YA LT Y C O M PA N Y THE ROYALTY SECTOR TODAY M O D E L A P P E A L S T O I N V E S T O R S G I V E N L O W E R - R I S K P R O F I L E R O Y A L T Y S E C T O R M A R K E T C A P 1 ( U S $ B ) S E C T O R T H E M E S $56 SECTOR DOMINATED BY THE THREE LARGEST PLAYERS THAT BENEFIT FROM VERY LOW COST OF CAPITAL $33 MANY SUCCESSFUL NEW ENTRANTS OVER THE LAST $32 $27 3-5 YEARS (OSISKO, TRIPLE FLAG, MAVERIX, METALLA) $26 $23 FEW BARRIERS TO ENTRY, HOWEVER THE PROSPECT $7 $6 OF LONG-TERM SUCCESS DEPENDENT UPON: $2 2004 2006 2008 2010 2012 2014 2016 2018 2020 LITTLE TO NO CORPORATE M&A ACTIVITY OVER THE LAST 10 YEARS ANNUAL SECTOR EV/EBITDA MULTIPLE 20x 16x 15x 14x 20x 16x 17x 17x 18x Source: Bloomberg, Company Reports, Scotiabank, BMO, CIBC, S&P Capital IQ 1. End of year figures shown. 2020 figure shown as at April 30, 2020 GROWING MARKET SHARE CREATES OPPORTUNITY 10
Recommend
More recommend
