supporting the food supply chain - naturally splendid · 2020-04-06 · the food supply chain has...
TRANSCRIPT
Corporate Overview
www.naturallysplendid.com
SUPPORTING THE FOOD SUPPLY CHAIN
NSP: TSXV | NSPDF | 50N.F
➢ Co-Founders Bryan Carson and Craig Goodwin startedNaturally Splendid over a dozen years ago with a focus toprovide efficacious, nutritious food, initially focusing on thesuperfood HEMP.
➢ HEMP has the most digestible protein of any plant on Earth,is an amazing source of Omegas 3 & 6 and boastsadditional nutrients making this a true SUPERFOOD.
➢ The Company has expanded its vision to focus on a widearray of plant-based, nutrient dense ingredients.
➢ The Company has grown to include several Divisions, nonemore important in today’s challenging times than ProSnackNatural Foods, their Safe Quality Food Level 2 CertifiedFood Manufacturing Facility located in Pitt Meadows BC.
Company Overview
Naturally Splendid – ProSnack Division
ProSnack Division - $11.1M Valuation
➢ RwE Growth Partners was engaged by Naturally Splendid to prepare a Calculation Valuation Report regarding the fair market value of ProSnack, a 100% owned NSE division as at September 30, 2019.
➢ The Report concludes that it was appropriate to valueProSnack in the range of C$11.1 million
➢ Naturally Splendid is committed to providing nutritious, tasty, non-perishable food in these most challenging of times
➢ We are embracing our role is an important ‘link’ in preserving the Food SupplyChain to the absolute best of our ability
➢ Naturally Splendid CEO Mr. J. Craig Goodwin states, “Although we live in acountry with a supportive Government, as a society we cannot wait for themto provide all the answers and we must be become part of the solution. Thismeans doing our part to preserve the Food Supply Chain.Bryan (Naturally Splendid co-founder) and I are committing Companyresources to this cause.”
Our Mission Today
➢ On March 25, 2020, the Federal Government passed theCoronavirus Aid Bill directing an unprecedented $82 Billionof immediate aid to support Canadian individuals andbusinesses through these most difficult times
➢ Within the Coronavirus Aid Bill, $27 Billion is being directedto support a wide array of businesses
➢ Perhaps most importantly, $5B was recently announced byPrime Minister Trudeau to support the Food Supply Chain,including Farmers, Food Processors and Retail GroceryStores
$82 Billion Coronavirus Aid Bill
➢ “We are launching Canada’s plan to mobilize industryto fight COVID-19, to ensure that we can quicklyproduce here in Canada the things we need,” PrimeMinister Justin Trudeau said at a news conferenceFriday morning.
Prime Minister Trudeau
➢ The Food Supply Chain has been identified an EssentialService during these challenging times
➢ Naturally Splendid can be much valued ‘a link’ in thatSupply Chain
➢ Currently we can produce over 2,000,000 nutritious barsand bites a month
➢ Additional shifts and repurposing of existing equipment 5Xscapacity
The Food Supply Chain Designated Essential Service
➢ The Food Supply Chain has been identified as an Essential Service during thesechallenging times
➢ Federal, Provincial and Municipal programs are being established and NaturallySplendid is contact with many of them
Potential Capital Funding Opportunities
➢ Navdeep Bains, minister of innovation, science and economicdevelopment, told reporters it’s a “coordinated strategy” thatwill “swiftly create pathways to deploy resources to Canadianbusinesses who want to help in this crisis.”
➢ Bains said the plan will redirect many streams of governmentfunding toward research and commercialization related tofighting the pandemic. He said companies looking to help canrespond through a portal on his department’s website thatwent live on Friday.
➢ “Funds will be deployed on an accelerated basis with widerflexibility to be able to tackle COVID-19 related problemsthrough shortened applications and faster approvals,” Bainssaid.
Navdeep BainsMinister of Innovation Science & Economic Development
Naturally Splendid has been systematically developing a foodmanufacturing business that produces nutritious, mostlyplant-based, bars and bites.
➢ Safe Quality Food, Level 2 Certified
➢ 20,000 sq. ft. Food Manufacturing Facility➢
➢ Capacity to produce millions of nutrient dense,non-perishable bars and bites every month
Producing Nutritious ‘Grab & Go’ Bars & Bites
Our Prosnack Facility operates as an SQF2 food manufacturing facility which has strict Standard Operating Procedures(SOPs) as outlined by SQF protocol. Our employees are already trained and accustomed to working under strictprotocols.
The Safe Quality Food (SQF) Program is a rigorous and credible food safety and quality program
Recognized by the Global Food Safety Initiative (GFSI), the SQF family of food safety and quality codes are designed tomeet industry requirements for all sectors of the food supply chain – from the farm all the way to the retail stores endconsumer.
For more information regarding the high operational protocols that SQF2 facilities adhere to, please note the followinglink.
https://www.sqfi.com/why-get-certified/about-sqf-program/
Safe Quality Food Level 2 CertifiedFood Manufacturing Facility
Pitt Meadows, British Columbia20,000 sqft. Safe Quality Food Level 2 Certified Facility (SQF2).
Current Production Capacity:400,000 bars /month1,728,000 bites /month
Prosnack Existing Manufacturing Capacity
BARS2,500 bars per hour20,000 bars per 8-hour workday20 days of production per month
BITES10,800 bites per hour86,400 bites per 8-hour workday20 days of production each month
Provides nutrition for 5,800 families of four people per month3 bars / bites per person per day12 bars / bites per family per day360 bars / bites per family per month
Potential Revenue Monthly
Bars $320,000
Bites $432,000
Total $752,000
Pitt Meadows, British Columbia20,000 sqft. Safe Quality Food Level 2 Certified Facility (SQF2).
Commission additional, existing packaging equipment into existing manufacturing lines to DOUBLE bar production capacity
Increased Production Capacity:800,000 bars /month1,728,000 bites /month
BARS5,000 bars per hour40,000 bars per 8-hour workday20 days of production per month
BITES10,800 bites per hour86,400 bites per 8-hour workday20 days of production each month
Provides nutrition for 11,600 families of four people per month3 bars / bites per person per day12 bars / bites per family per day360 bars / bites per family per month
ProSnack Existing Manufacturing Capacity
Potential Revenue Monthly
Bars $640,000
Bites $432,000
Total $1,072,000
Pitt Meadows, British Columbia20,000 sqft. Safe Quality Food Level 2 Certified Facility (SQF2).
Commission additional, existing packaging equipment into existing manufacturing lines to DOUBLE bar production capacity.
Add second shift to DOUBLE production again
Increased Production Capacity:1,600,000 bars /month3,456,000 bites /month
BARS5,000 bars per hour80,000 bars per 16-hour workday20 days of production per month
BITES10,800 bites per hour172,800 bites per 16-hour workday20 days of production each month
Provides nutrition for 20,000 families of four people per month3 bars / bites per person per day12 bars / bites per family per day360 bars / bites per family per month
ProSnack Existing Manufacturing Capacity
Potential Revenue Monthly
Bars $1,280,000
Bites $ 864,000
Total $2,144,000
Should the need arise, there are plans to introduce a High Capacity SQF2 Food Manufacturing Line within the existing facility in Pitt Meadows, BC
With the ability to support the Food Supply Chain, Naturally Splendid can strategically increase bars and bites manufacturing capacity by constructing a state of the art, high capacity processing system.
Approximate timeframe to have operational, 3-6 months*
Capacity:12 million bars / month15 million bites / monthCapital Investment:$3.25M - $4M
*Dependent upon availability of equipment
Potential Manufacturing Capacity
The Company manufactures our own Company Branded Products, as well as manufacture for a diverse range of Contract Manufacturing Clients and Private Label Clients.
Company Branded Products✓ Manufacturing our own product lines gives us maximum flexibility;
developing products and scheduling production runs
Contract Manufacturing✓ The Company manufactures for nine Contract Manufacturing Clients✓ Under current circumstances, the Company has been approached by
several significant Brands looking to secure line production time
Company Brands & Contract Manufacturing
Existing Product LinesNaturally Splendid has acquired and developed multiple product lines over our 10-year history, creating the foundation as a multi-product, manufacturer of plant-based products.
Multiple Product Lines
New product lines being launched in response to today’s needs – Canadian ingredients
Recently, we have all heard the term ‘retooling’ as it pertains to refitting existing manufacturing facilities to accommodate current needs such as auto manufacturers making medical devices and alcohol companies making hand sanitizer.
In Naturally Splendid’s world, ‘retooling’ applies to creating new recipes focused on products formulated utilizing Canadian grown ingredients and/or ingredients that can be reliably sourced.
Multiple Product Lines
Products for the Sports and Active Lifestyle MarketsNaturally Splendid begun penetrating the Sports Nutrition Markethaving successfully launched it’s Natera Sport Line of products, including Natera Sport KEY-TO-LIFE keto friendly bars which are now available stores across Canada.
As well as the success of the Natera Sport KEY-TO-LIFE bars, the novel ‘Natera Sport Bites’ formulated by NSE Advisor, Formulator and ‘Practitioner for players on the PGA Tour’, Dr. Stuart Love, most recently appeared in Golf Magazine’s August and October editions in their monthly feature article, ‘What’s In My Bag’. Natera Sport Bites were featured at the Genesis Invitational PGA Tournament, hosted by professional golfer Tiger Woods this past Feb 6 – 10, 2020.
Natera Sport recently launched Procurc, a curcumin-based supplement
NATERA SPORTProducts For Sport And Active Lifestyle Market
E-Commerce Strategy
The Company recently secured the services of AMZing Marketing Consulting
to assist in expanding our e-commerce strategy
AMZing Marketing Consulting has over 15 years of e-commerce expertise
Company Branded products available on-line will include
Natera Hemp Foods
Chii Hemp Foods
Elevate Me Nutritional Bars
Natera Sport Products such as the recently launched curcumin-based
supplement, ProCurc
E-commerce accounts have been established and inventory sent to Amazon
for distribution. Naturally Splendid will provide updates as more Company
Branded products become available at Amazon.
E-Commerce
Canadian Distribution ChannelsNaturally Splendid has developed a Distribution Network that reaches a wide selection of Major Retailers across Canada.
Canada’s leading Brand and Product representation, management and sales for natural and organic products in Canada. Provides Branding, Product Placement and Sales Analytics.
United Natural Foods is Canada’s largest natural products distributor.Working with Connect Brands, they distribute natural and organic foods, specialty foods, and related products across Canada as well as throughout the USA.
Canadian Distribution Channels
Canada/United States Distribution StrategyCompany Branded Products developed and manufactured in Naturally Splendid’s facilities are in thousands of retail stores across Canada.Company Branded Products include:NATERA Hemp Foods; NATERA SPORT ™; NATERA FX ™; Elevate Me ™; Woods Wild Bar; Chii Hemp Foods and Pawsitive FX™
Distribution
Naturally Splendid’s Contract Manufacturing Services adds an additional revenue stream that complements the existing Company Branded Product Lines, resulting in reduced operational expenses and increased margins for Company Branded Lines.
Naturally Splendid’s team of experts work directly with Contract Manufacturing Clients developing and manufacturing products within our facility.
This has proven to provide additional benefits to the Company:Most food manufacturers have proprietary products or methods of manufacturing which enhances our own manufacturing efficienciesContract manufacturing provides additional market intelligence on consumer buying habits, market intelligence, as well as consumer and market trends.
Contract Manufacturing Services
Brand & Consumer AwarenessLeveraging the branding, promotion, and social media reach of multi-national brands and food companies into
distribution channels.
Naturally Splendid’s Contract Manufacturing Clients are in these categories:Plant-base nutrition
Sports NutritionNational Food Service
Existing Multi-National Plant-Based Nutrition ClientsDistributed in the Following Chains
Contract Manufacturing Services
Innovative Ingredients & Technologies
The Company’s proprietary HempOmega™ and Hemp Protein Isolate, are comprised of numerous exclusive and non-exclusive agreements, as well as all “know-how”, intellectual property and standard operating procedures.
Additionally, the company may develop strategic relationships with ingredient developers and suppliers gaining access to unique ingredients
These unique ingredients may be used for product development for bothCompany Branded Products as well as leverage in attractingContract Manufacturing Clients
Proprietary Technologies & Products
Consumer demand for plant-based protein ingredients is in strong demand
HempOmega™• Naturally Splendid utilizes HempOmega™ as an ingredient in the NATERA Pro 3-6-9 hemp
protein, a functional beverage for athletic clients.• Natera FX incorporates HempOmega in a range of nutraceutical products• Additionally, the Company commercialized its microencapsulated hemp oil, HempOmega™, by
selling to Sipp Industries Inc. who are using the ingredient in the formula of unique Hemp Omega™ fortified craft beers. Hemp infused IPA sold in five states
• Naturally Splendid will focus its resources on selling products developed utilizing the Omega Technology, such as HempOmega™ powder and HempOmega™ emulsion
Hemp Protein Isolate• The enthusiasm for plant-based protein continues to grow.
The Company anticipated this consumer preference in the development of our hemp-based protein isolate.
• Through our own efforts and in collaboration with other protein ingredient processors, the Company expects to capitalize on this latest food trend.
• Working with the funding consortium Protein Industries Canada and the Protein Highway initiative the Company plans to develop sophisticated products and ingredients to serve this new consumer demand.
Hemp Oil Extracts and Protein Isolates
REVENUE HISTORY
MANAGEMENT & SHARE STRUCTURE
➢ J.CRAIG GOODWIN:
CEO, President, Director & Co-Founder of NSE
➢ BRYAN CARSON:
EVP of Marketing & Innovation & Co-Founder of NSE
➢ RUSS CRAWFORD:
*Former* President of the Canadian Hemp Trade
Alliance (CHTA)
➢ George Ragogna:
Director of NSE
➢ DR. STUART LOVE:
Senior Advisor Clinical Services & Formulations
➢ DR. LORNE SWETLIKOFF:
BSc., ND
➢ SCOTT WALKER:
Cannabis Regulatory Expert
NSE MANAGEMENT NSE ADVISORY BOARD
➢ SHARES ISSUED:
141,438,513
➢ Fully Diluted:
172,806,301
➢ MARKET CAP:
4,243,000
➢ YEAR HIGH:
0.165
➢ YEAR LOW:
0.025
➢ AVERAGE VOLUME:
231,382
SHARE STRUCTURE
V I S I T :
www.naturallysplendid.com
For more info
THANK YOU – Stay Safe! ☺
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This presentation contains forward-looking statements. These forward looking statements are notbased on historical facts but rather on Company management expectations regarding future growth,results of operations, performance, future capital and other expenditures (including the amount, natureand sources of funding thereof), competitive advantages, business prospects and opportunities.Statements in this presentation about future plans and intentions, results, level of activity,performance, goals or achievements or other future events constitute forward looking statements.Wherever possible, words such as “anticipate”, “believe”, “expect”, “may”, “could”, “will”, “forecast”,“potential”, “intend”, “estimate”, “should”, “plan”, “predict” or the negative or other variations ofstatements reflect managements’ current beliefs and assumptions and are based on informationcurrently available to the Company management. Certain risk factors may cause actual results, level ofactivity, performance or achievements to differ materially from those implied by forward lookingstatements. These factors should be considered carefully and prospective investors should not placeundue reliance on the forward looking statements. Although the forward looking statements containedin this presentation are based upon what the Company management believes to be reasonableassumptions, investors cannot be assured that actual results will be consistent with these forwardlooking statements. These forward looking statements are made as of the date of this presentation, andthe Company assumes no obligation to update or revise them to reflect new events or circumstances.
Forward-Looking Statement