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I N V E S T O R P R E S E N TAT I O N M AY 2 0 1 6
(ACU.ASX) | A MICRO-PAYMENTS PLATFORM FOR LOW COST RECURRING DONATIONS
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DI SCLAIMER
This presentation (“Presentation”) has been prepared by Activistic Limited (“Activistic” or “Company”). You must read and accept the conditions in this notice before considering the information set out in or referred to in this Presentation. If the you do not agree, accept or understand the terms on which this Presentation is supplied, or if you are subject to the laws of any jurisdiction in which it would be unlawful to receive this Presentation or which requires compliance with obligations that have not been complied with in respect of it, you must immediately return or destroy this Presentation and any other confidential information supplied to you by Activistic. By accepting this document, you acknowledge and agree to the conditions in this notice and agree that you irrevocably release Activistic from any claims you may have (presently or in the future) in connection with the provision or content of this Presentation.
NO OFFER
This Presentation is not a prospectus, product disclosure statement or other offering document under Australian law (and will not be lodged with ASIC) or any other law. This Presentation is for information purposes only and is not an invitation or offer of securities for subscription, purchase or sale in any jurisdiction (and will not be lodged with the U.S Securities Exchange Commission). This Presentation does not constitute investment or financial product advice (nor tax, accounting or legal advice) or any recommendation to acquire shares of Activistic and does not and will not form any part of any contract for the acquisition of shares of Activistic.
SUMMARY INFORMATION
This Presentation contains summary information about Activistic, its subsidiaries and their activities which is current as at the date of this Presentation. The information in this Presentation is of a general nature and does not purport to be complete nor does it contain all the information which a prospective investor may require in evaluating a possible investment in Activistic or that would be required in a prospectus or product disclosure statement prepared in accordance with the requirements of the Corporations Act. While Activistic has taken every effort to ensure the accuracy of the material in the presentation, neither the Company nor its advisers have verified the accuracy or completeness of the information, or any statements and opinion contained in this Presentation.
NOT INVESTMENT ADVICE
Each recipient of this Presentation should make its own enquiries and investigations regarding all information in this Presentation including but not limited to the assumptions, uncertainties and contingencies which may affect future operations of Activistic and the impact that different future outcomes may have on Activistic. This Presentation has been prepared without taking account of any person's individual investment objectives, financial situation or particular needs. Before making an investment decision, prospective investors should consider the appropriateness of the information having regard to their own investment objectives, financial situation and needs and seek legal, accounting and taxation advice appropriate to their jurisdiction. Activistic is not licensed to provide financial product advice in respect of Activistic shares. Cooling off rights do not apply to the acquisition of Activistic shares.
INVESTMENT RISK An investment in Activistic shares is subject to known and unknown risks, some of which are beyond the control of Activistic. Activistic does not guarantee any particular rate of return or the performance of Activistic nor does it guarantee any particular tax treatment.
FINANCIAL DATA
All dollar values in this Presentation are in Australian dollars (A$ or AUD).
FORWARD-LOOKING STATEMENTS
This Presentation may contain forward looking statements. The words 'anticipate', 'believe', 'expect', 'project', 'forecast', 'estimate', 'likely', 'intend', 'should', 'could', 'may', 'target', 'plan' and other similar expressions are intended to identify forward-looking statements. Indications of, and guidance on, future earnings and financial position and performance are also forward-looking statements. Forward-looking statements are subject to risk factors associated with the Company’s business, many of which are beyond the control of the Company. It is believed that the expectations reflected in these statements are reasonable but they may be affected by a variety of variables and changes in underlying assumptions which could cause actual results or trends to differ materially from those expressed or implied in such statements. There can be no assurance that actual outcomes will not differ materially from these statements. You should not place undue reliance on forward-looking statements and neither Activistic nor any of its directors, employees, advisers or agents assume any obligation to update such information.
DISCLAIMER
None of Activistic’s respective advisers or any of their respective affiliates, related bodies corporate, directors, officers, partners, employees and agents, have authorised, permitted or caused the issue, submission, dispatch or provision of this Presentation and, except to the extent referred to in this Presentation, none of them makes or purports to make any statement in this Presentation and there is no statement in this Presentation which is based on any statement by any of them. To the maximum extent permitted by law, Activistic and its respective advisers, affiliates, related bodies corporate, directors, officers, partners, employees and agents exclude and disclaim all liability, including without limitation for negligence or for any expenses, losses, damages or costs incurred by you as a result of your participation in an investment in Activistic and the information in this Presentation being inaccurate or incomplete in any way for any reason, whether by negligence or otherwise. To the maximum extent permitted by law, Activistic and its respective advisers, affiliates, related bodies corporate, directors, officers, partners, employees and agents make no representation or warranty, express or implied, as to the currency, accuracy, reliability or completeness of information in this Presentation. Statements made in this Presentation are made only as the date of this Presentation. The information in this Presentation remains subject to change without notice. F
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I NNOVATIVE , DEFENSIBLE MOBILE G I V ING – A HUGE MARKET
MICRO-PAYMENTS PLATFORM COMPANY providing a seamless micro-donation experience via mobile phones
OPEN TO EVERYONE — uses Direct Carrier Billing to enable small monthly donations without the need for credit cards, bank accounts or complications
TRANSPARENT AND EFFECTIVE — enables the lowest cost of raising funds & donating is truly simple & creates 1-1 engagement using 21st century technologies
A HUGE AND GROWING MARKET — over USD $360 billion donations made in the US alone in 2014, over 90% off-line & one time
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ASX Ticker ACU
Share Price $0.038
Shares on issue 179.8M
Performance Shares 49M
Options 41M
Market Cap (fully diluted at $0.038/share) $10.25M
Cash Balance $3.4M
Enterprise Value $5.2M
TRADING INFORMATION (6/5/16)
BOARD OF DIRECTORS
Peter Wall – Non-Executive Chairman
Kevin Baum – Non-Executive Director
Evan Cross – Non-Executive Director
Nigel Lee – Non-Executive Director
MAJOR SHAREHOLDERS Evan Cross 5.91%
Nomura Holdings 5.0%
Maxim Capital Pty Limited 3.9%
CORPORATE SNAPSHOT F
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THE PROBLEM WITH DONATING
LACK OF TRANSPARENCY INCONVENIENCE HIGH
ADMIN COSTS
USUALLY ONE OFF PAYMENTS OVER 90% OFFLINE LACK OF
ACCOUNTABILITY
1.Source: Blackbaud Charitable Giving Report 2013, published in February 2014. Analysis based on U.S. data analysing trends from more than $12.5 billion in fundraising revenue in 2013.
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ACTIVISTIC IS CHANGING THE LANDSCAPE OF A MULTI-BILLION DOLLAR INDUSTRY BY PROVIDING A SEAMLESS & EFFICIENT ALTERNATIVE TO THE STATUS-QUO PROVIDING USERS WITH: • ACCESSIBILITY • LOW BARRIERS TO ENTRY • CONVENIENCE • ENGAGEMENT
THE SOLUTION
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ACU CHARITIES
TELCOS & AGGREGATOR
(MGF)
Retains 6–9% as net revenue with high operating leverage
6-9% OF FUNDS 100% OF FUNDS
15% OF FUNDS
DONOR
ATTRACTIVE BU S INESS MODEL F
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50K 2 14% 20
DOWNLOADS TO DATE
LIVE PRODUCTS IN US & UK MARKETS
OF DOWNLOADS CURRENTLY USING THE
APP WITH CONVERSIONS &
DONATIONS GROWING
CURRENT PARTNERSHIPS WITH CHARITY
ORGANISTIONS
A CTIV IST IC TRACTION TO DATE F
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A CTIV IST IC TRACTION TO DATE
$1.6 BILLION IN 2011 TO
VETERANS
$15 BILLION DONATED TO
CHARITIES BY BRITS
US 2012 ELECTION - OVER $750M RAISED
THROUGH GRASSROOTS
METHODS
+$100 BILLION DONATED ANNUALLY
IN THE US ALONE
NOW FUTURE
WHITE LABEL FOR LARGE CHARITIES
TURNING HUGE GEN X AND Y FAN BASES INTO 21ST
CENTURY DONORS
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VETERANS CA LL
Launched in the US
Positive early user feedback with average rating of 4.3/5 in Google Play and App Store • 50k downloads • ~14% registration • ~6% conversion
for donations
Recent partnership deals signed with: • Association of the
United States Army • Soldiers Angels • IAVA • OSOT • NECHV
9 Partnerships currently in place
Gearing up for joint marketing campaigns around memorial day & July 4
Negotiating distribution deals with sports & celebrity partnerships
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Partnership to promote Veterans Call SportsBlog – more than 35m subscribers, 40,000 bloggers & more than 14m unique visitors every month Leveraging the value of the sporting public who share strong empathy with veterans issues Partnership to create visibility though direct advertising, email, social channels & more
SPORTSBLOG PARTNERSHIP F
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RALL I
Beta version successfully launched in UK
More than 50 charities currently represented on the platform
Recent partnership deals signed with: • Nehemiah Project • Church Army
Discussing White Label opportunities with the larger UK partners
Market and Press launch in conjunction with Charities to July
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WHITE LABEL — A LARGE A ND GROWING OPPORTUNITY
In active discussion with major national / international charities
Opportunities with global & national festival / concert organisations
Direct discussions with influential celebrities & their management teams
Active interest from both church & political organisations
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GROWTH I N IT IAT IVES
App improvements to dramatically increase engagement, conversion & sharing (agile development)
DONATIONS (ENGAGEMENT)
Aggressive marketing campaigns with channel partners, celebrities, digital agencies, advocates & our charity partners (eg Memorial Day, July 4)
DOWNLOADS
Reduce re-skin time from months to weeks / days
SPEED
Bring home deals in the pipeline to create increased distribution for VC & White Label launches
DEALS
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PATENT PENDING PROTECTION US, UK, AUS, EUROPE
STRONG IP DEVELOPED OVER 4 YEARS
HIGH DEFENSIBILITY MGF, TXTNATION CONTRACTS
FIRST MOVER ADVANTAGE KEY RELATIONSHIPS ALREADY IN
PLACE
STICKINESS – ONCE DOWNLOADED ON THE
HANDSET THE SEAMLESS NATURE OF THE APP ENSURES HIGH RETENTION %
SCALABLE LOW CAPEX/HIGH MARGIN
BUSINESS MODEL WITH MASS MARKET APPEAL
COMPET IT IVE A DVANTAGE F
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Smartphone capability
Micro-payments
Push MSG capability
Flexible price entry
Direct carrier billing
Recurring charge
White label flexibility
ACTIVISTIC HAS A UNIQUE AND
DIFFERENTIATED MOBILE OFFERING, MAKING IT A SIMPLE
AND NECESSARY PARTNER FOR CHARITABLE
ORGANISATIONS IN MODERN MOBILE
TIMES
GROWTH I N IT IAT IVES F
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EXPANSION INTO GLOBAL MARKETS
ACROSS NUMEROUS VERTICALS
WHITE LABEL OPPORTUNITIES
A CTIV IST IC TOMORROW F
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Creating a simple, efficient & engaging donation relationship
Attractive for donors & beneficiaries
Makes commercial sense for stakeholders
The addressable market is huge & 90% offline
Our products can address every sector
We are in the US & the UK today
Protected, commercially ring-fenced, positioned for growth
A CTIV IST IC SU MMARY F
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Large Sector of the Giving Market
Huge visibility and media reach
Website launched and App launched 2015
PR Agency / social campaigns engaged
Partners:
7 best in class Veterans Charities today – pipeline of 20
Scaling downloads through Q1 2016
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PR Company and App marketing engaged
App Available in IOS and Playstore
Over 50 Charities represented
10 Key charities signed as Co Marketing partners
Scaling through Q1 2016
Partners:
Marketplace App for multiple Causes and Charities
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Text confirming donation
F E E L G R E A T &
S H A R E Y O U R
D O N A T I O N W I T H T H E W O R L D !
Choose a small
affordable monthly donation
amount up to $10
S T E P 1
S T E P 2
S T E P 3
S T E P 4
Browse the list of partner
charities to find one that suits
your giving goals
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Simple
Ease and simplicity of donating – 2
minute set up time
Flexible
Complete flexibility in cause choice or donation amount
No Ties
No contracts or fixed commitment, credit cards or
bank information
Alerts
Donors receive alerts when their chosen
cause is funded
Savings
beneficiary receives a minimum of 85% compared to in a majority of cases
~32% in the traditional model
More Donations
Recurring nature of donations through Activistic platforms
Less Admin
Reduced need for fundraising
administration
Free
100% free to use for charity partners
Options
Ability to donate to any cause and any region
Ease
Simplified gateway process makes it
easier for worthwhile charities to receive
funding
Adv
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ATTRACTIVE SOLUTION FOR DONORS A ND BENEF IC IAR IES F
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+$358 Billion
Total giving to charitable organisations in 2014 – increase of 5.5% from 2013
32% of all giving
in the US went to religious organisations
60% of all donations
go to Religion, Education and Human Services
+$240 Billion
donated by individuals in 2013 4.2% increase over 2012.
Source: Giving USA Foundation | GIVING USA 2015
GIV ING MARKET – U SA F
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