Business Presentation of DROPJET TECHNOLOGY SCIENCES AG

a digital revolution

Development & Manufacturing high end digital print systems in Liechtenstein starting from Dec., 2015.

Presenter name: Ertugrul Turgut and Hasan Özkan

Team members and contact Info

Ertugrul Turgut e.turgut@dropjet.comBoard of Director

Hasan Özkanh.oezkan@dropjet.comManaging Director

Yaser Olabi y.olabi@dropjet.com Automation Engineer

WHAT WE DID TODAY?Developed & Manufactured “High end digital print system” – DJPRESS. V66.

3

4

High end

Mid end

Low end

bespoke

Enlarge Portfolio…..

WHAT WE WILL DO DIFFERENTLY?

Today mostly conventional printing is used to print “labels” and “packing material”

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Problem

Problem

It takes…… Graphics

Film Making

PlatingAdjusting

Press

10

5

15 35 10 90 40

20

0 20 40 60 80 100

120

140

160

180

200

Flexo …

DJ-Press

Film DJ AdjustingExpose PlatingPlate Adjust Color Change-Pressure Adj.Press

25 mins (1/8 time spending comp. flexo)

3 hours20 mins

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Problem

It is a hard process with “lots of setup time” and “setup costs”. Also needs “qualified workers” with high costs. Lots of “wastes” which are non-environmental.

Graphics

Film Making

PlatingAdjusting

Press

7

SOLUTION

“Inkjet technology” started to take the job in our daily business... Most of us uses “Inkjet printers” in our offices

Inkjet is the future print Technology

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With very new Inkjet technologies we print industrial usage today

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SOLUTION

Quantified SOLUTION?

We make it so easy to print labels

Grapichs

Adjusting(2-5 min.)

Press

10

Market Advantage Today

Very effective costs in short and mid batches

0

500

1000

10 20 30 40 50 60 70 80 90 100

110

120

130

Cost

Cost of 30 x 60 mm label printing, 4 colors

DJ Press

Flexo

THOUSANDS

Cost

of L

abel

M

anuf

actu

rer

profitable at low-mid batchs

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WHY LOW-MID Batches ATTRACTIVE?

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Market DriversCustomized

Order handling

Start @ 1 Label

Take more jobs

Same day jobs

Individual Products

Customer ready to pay more

Changing Sector Behaviour

13

DJPRESS bridge to Long-Batches (L-B).

Profitable for L-B in future by tremendous

150m/min

COMBINE ADVANTAGES NEW & OLD STYLE& MAKE ONE PRINTER

The Idea?

SOLUTION advantages?

.

DROPJET FLEXO

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WHY BIG BANG?

Smithers Pira’s: The Future of Digital Printing to 2024 states that the total digital market will grow by 225 percent of its2013 value by 2024. Based on current dollar value, anticipated

volume of sales would appr. $ 294.8 billion.

$ 295

BILLION

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SO THE NEW INDUSTRIALIZED TECHNOLOGY IS “under focus” of

big group companies

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BUT YOU NEED EXPERIENCE

failed to achieve developing a single pass inkjet system

STOPPED

How overcoming Barriers?

First “industrial digital printer” today displacement by Inkjet Technology

• Benny Lambda

• about 1995

INDIGO

• HP• in 2000• 13,4% share

of HP-Indigo

SOLD

• 10.000 installations

• 20 countriesTODAY

$ 100million

more than10.000

installations

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• Dr. KennathJetrion• EFI• Sept 2006

SOLD

TODAY

$ 40 million

EFI: 2015 3rd Quarter revenue 228 m$ by 10.3 m$ Profit

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How overcoming Barriers?

.

• GermanyCSAT• HEIDELBERG• in 2011

SOLD

• MARKEM IMAJE

• Jan 2014

SOLD

undisclosed undisclosed

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How overcoming Barriers?

HEIDELBERG decided to be OEM buyer

OEMOEM

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22

.

• SwitzerlandGRAPHTECH

• Domino• June 2012

SOLD

• Brother Japan• March 2015

SOLD

€ 30 million , for rest %80

£ 1.6 billion

How overcoming Barriers?

DROPJET DIFFERENTIATION

…key is the R&D experience in INKJET TECHNOLOGY of 20 Years

50 m/min76 mt / min

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DROPJET DIFFERENTIATION

upto 1 micronaccuracy.

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DROPJET DIFFERENTIATION

1 milibar sensing

accurate ink flow.

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DROPJET DIFFERENTIATION

No complexity

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DROPJET DIFFERENTIATION

A B

A B

.

prod

uct l

ine <HİGH>

<OEM> & B2B‘s

<MID><OEM>

B2B‘s

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DROPJET KEY DIFFERENTIATION

any packaging machine e.g. medicine, food etc. application

prod

uct l

ine

<BESPOKE>

direct for end customer

<LOW COST>under

development

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B2B‘s

DROPJET KEY DIFFERENTIATION

REAL BUSINESSOur business is

to sell machines?HOW MANY?

Our business is to sell machines?

HOW MANY?

REAL BUSINESS ISINK SELLING !!!

REAL BUSINESS

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1 machine print3 million m2/year(1 shift per day)

6 ton ink per year(25% coverage)

REAL BUSINESS

REAL BUSINESS

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6 ton ink per year(25% coverage)

66.000 € profit/machine(10€/lt profit)

NOT REVENUE

REAL BUSINESS

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15 mach

ine sellin

g:

1 milli

on INK PROFIT /y

r

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WHAT WE NEED?

Financial support to enlarge our Portfolio and

run our daily business

Waiting on Table for deep discussionTHANKS