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Dec 30, 2022 377 likes •519 views

Renevo Capital Limited Mike Powell - 32 years experience in Photonics for start-ups, private companies, public companies and M&A banking RENEVO CAPITAL LIMITED CONFIDENTIAL Who we are Research led investment bankers Over $10.5 billion in

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CONFIDENTIAL RENEVO CAPITAL LIMITED

Renevo Capital Limited

Mike Powell - 32 years experience in Photonics for start-ups, private companies, public companies and M&A banking

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CONFIDENTIAL RENEVO CAPITAL LIMITED

Who we are

Negotiation professionals with backgrounds in industry and investment banking Footprint in London, Silicon Valley and Shanghai – majority of transactions are cross-border Over $10.5 billion in transactions with growth technology companies

Research led investment bankers The Digital Stack

CONTENT, COMMERCE & SOCIAL Apps, AdTech, Gaming CLOUD, PAAS & IAAS SYSTEMS APM, NPM, Security ENTERPRISE SOFTWARE SaaS, Analytics, BI ACESS DEVICES Smart Phones, IoT, Computers NETWORK INFRASTRUCTURE Systems, Modules, Embedded Software COMPONENTS Photonics, Semiconductors, Electronics NEW MATERIALS AND PROCESSES Nanotech, Printed Electronics

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CONFIDENTIAL RENEVO CAPITAL LIMITED

Market overview - photonics

China, $25 Japan, $73 Korea, $29 Taiwan, $28

N. America,

$40 Europe, $46 Other, $12 China, $129 Japan, $75 Korea, $61 Taiwan, $51

N. America,

$66 Europe, $75 Other, $28

Source: Optech Consulting, Market Research Study 24.1.2017 Exchange rate 0.923 EUR = 1 USD

China, $81 Japan, $81 Korea, $47 Taiwan, $44

N. America,

$46 Europe, $70 Other, $12

CAGR 7.5% CAGR 6.3%

2005 $247 2011 $379 2015 $484

Regional distribution of photonic production volume (in $ bn) Consistent growth significantly above global GDP

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CONFIDENTIAL RENEVO CAPITAL LIMITED

Market overview – photonics

Source: Photonics21 / Eurostat / DB Research / Optech Consulting, Market Research Study 24.1.2017

Displays Lighting Defence & Security Communication Medical Technology Production Components & Systems Measurements Photovoltaics Information 0% 1% 2% 3% 4% 5% 6% 7% 8% 9% 10%

$0 $20 $40 $60 $80 $100 $120 $140

Production volume in 2015 ($ bn) CAGR (2011-2015)

Average global GDP growth 2011-2015

Displays and Lighting were the fastest growing Photonics segment 2011-2015 – Information and Photovoltaics the lowest Most segments grew faster than GDP with the exceptions of Photovoltaics and Information The Displays segment dominates production volume and growth rate

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CONFIDENTIAL RENEVO CAPITAL LIMITED

Photonics in mobility

$23.9 bn in 2016

Stratistics

$89.4 bn in 2016

Research and Markets

$10.0 bn in 2016

IHS Technology

$2.5 bn in 2016

Grand View Research

$28.3 bn in 2016

Transparency Market Research

Information Displays Sensors Switchgear External Lighting Ambient Lighting Key Photonics Areas

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CONFIDENTIAL RENEVO CAPITAL LIMITED Market Drivers:

Automotive Imaging Sensors

Greater integration of safety technologies in vehicles Increasing automotive production Rising number of electronic components in cars Steady growth of camera-based ADAS market Growing semi/fully autonomous car market

The automotive imaging sensor market predicted to grow at 23.73% CAGR between 2018 and 20221

Camera

$7.3 billion in 2016

Research and markets

Cameras depend on

environnemental conditions2

LiDAR

$390 million in 2016

Research and markets

LiDAR enables high precision

detection in real time2

1 Research and Markets; 2 ewh.ieee.org

Radar

$2.25 billion in 2016

Grandview Research

Radars provide no object

detection2

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CONFIDENTIAL RENEVO CAPITAL LIMITED

Photonics in mobility - LiDAR

5 10 15 20 25 30

Volume in million units All mechanical LiDAR (Munit) Solid-state and Flash LiDAR (Munit)

ADAS LiDAR shipment in million units Potential ADAS OEMs

Source: Yole Developpement

Production of Solid State and Flash LiDARs is expected to outpace mechanical LiDARs in 11 years

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CONFIDENTIAL RENEVO CAPITAL LIMITED

Photonics in mobility - LiDAR

Autonomous vehicles will be able to construct a 3D map in high-speed conditions using distance gauging technology

Source: Yole Developpement

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CONFIDENTIAL RENEVO CAPITAL LIMITED

Photonics M&A & fundraising remains strong

Source: 451 Research, press releases, Pitchbook

The majority of photonics M&A transactions are less than $100m in EV
The current environment is positive to sustain investment & M&A activity levels in 2018

4 5 4 5 4 4 3 1 2 2 1 2 1 2 1 1 3 1 2 1 1 1 2 1 1 3 2 1 2010 2011 2012 2013 2014 2015 2016 2017 2018 YTD $10m-$50m $50m-$100m $100m-$250m $250m+ 4 4 6 5 4 4 11 7 1 4 2 1 2 4 1 1 1 1 1 2 3 2 2010 2011 2012 2013 2014 2015 2016 2017 2018 YTD $1m-$5m $5m-$10m $10m-$25 $25m+

Investment (2010-2018 YTD) M&A deals (2010-2018 YTD)

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CONFIDENTIAL RENEVO CAPITAL LIMITED

The current climate

0.0 1.0 2.0 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018

M&A Investment Ratio =

Four year moving average

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CONFIDENTIAL RENEVO CAPITAL LIMITED

Emerging tech: Returns analysis

Time Amount ($ millions)

Cash Flow

Mostly technology and strategic value Mostly market access or financial value

Valuation Potential

A B C D E G F H I

A – Conception B – Ideation development C – Proof of concept D – Market testing E – Alpha samples F – Market validation G – Initial production H – First reoccurring revenue I – Maximum blocking to synergistic value

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CONFIDENTIAL RENEVO CAPITAL LIMITED

Selling or fundraising for your company

The market is growing faster than GDP Low AML and KYC Risk, no current litigation Strong IP/Patent ownership position Strong management team Cap table is not poisonous & shareholders have rational valuation expectations The business proposition addresses a large, multi$B market opportunity Profit making, strong financials The business proposition is validated by the market