What do investors look for?€¦ · What do investors look for? NRC - Optimisation Workshop, May...

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What do investors look for? NRC - Optimisation Workshop, May 2017 Øivind Enger

Investment Memorandum Sarsia Seed Management - Confidential

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Slide font: Verdana Farge: 89-89-89

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Sarsia Seed Fund I:

- Established 2006 - NOK 390 mill - 22 investments - Closed for new invesments - Some investments: APIM, Avexxin, Prophylix Pharma

The Sarsia Funds


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Børsnotert 7.april 2017

BerGenBio AS

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• Tilført 400 mNOK • Verdi= 1.244 mNOK • SSF I investert=20 mNOK i 2010-12 • Eierandel =4,3%=53 mNOK

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Sarsia Seed Management - Confidential Investment Memorandum

TEKNA Magasinet #1 2016

Sarsia Seed I Portfolio: Vaccibody

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15 Dec 2016 – Closed Private placement of 220 mNOK (Arctic Securities) Post Money valuation 620 mNOK History: • Sarsia Seed First investor 2009 • Pre Money 6 mNOK – attained 20% ownership. • Sarsia Seed invested 24 mNOK in 12 tranches over 8

years • Several tranches sole investor • Other Investors up to 2017: 287m

• Sarsia Seed now 15% - Still largest owner.


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Sarsia Seed Fund I:

- Established 2006 - NOK 390 mill - 22 investments - Closed for new invesments - Some investments: APIM, Avexxin, Prophylix Pharma

Sarsia Seed Fund II:

- Established 2017 - NOK 300 mill - Will do 10-12 new investments - Open for new invesments as of May 2017

Both funds: Government/private = 50/50

The Sarsia Funds

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Sarsia Seed Management - Confidential Investment Memorandum 6

Avg. raising

Ris

k

Retu

rn

Start-up / Seed

500k 1m 2m

30x

10x

5x

2x

Early Expansion Expansion Stage Later Stage

4m 8m 15m 30m 60m 120m 300m 600m

TTO-University

Angel Investors

Venture Funds / Industry

Private Equity / Buy-Out Funds

IPO Equity Markets

Credit Line / Commercial Banks

Stages of Growth for an Entrepreneurial Company Sarsia Seed Fond II Investment stage

Investment Memorandum 160316 Sarsia Seed Management - Confidential

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Sarsia has been successful in capitalizing portfolio companies

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Investo

rs

Com

panie

s

Norwegian Government

Innovasjon Norge

Private investors Statoil, BKK, BFS, Sparebanken Vest

Seed Fund Sarsia Seed

182 mNOK

390 mNOK

R&D-Grants Innovasjon Norge, Norges Forskningsråd, Statoil, EU

Co-investors Trond Mohn, SBV and 335

other investors

Regional Rest of Norway

1020 mNOK 740 mNOK

208 mNOK

400 mNOK 1615 mNOK

245 mNOK

2.160 mNOK

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So – what are we looking for and why?

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Product

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Unique and patentable Novely Inventive step (non obvious) Useful Freedom to Operate

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Product

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Platform technology One technology several applications

Platform

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12

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Business model

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-We need a company - we invest by buying shares

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Business model

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Potential for scalable business model

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Business model

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What is a non-scalable business model?

1 mill =

2 mill =

8 mill =

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Market

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Global market – «born globals»

Pharma MedTech/HealthTech Energy Clean Tech

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Market

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Growing market

Drivers: Demography Lifestyle Pollution Energy demand

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Team

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Good scientists Commercial experience Reliable Cooperation oriented Coachable

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Milestones and Exit

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Milestones and Exit

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Identifiable and clear technical milestones – we tranche our investments based on technical milestones

I mill 5 mill 2 mill I mill I0 mill

Co-investor Co-investor

Milestones are set

First investment

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Milestones and Exit

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The exit is our goal – and the reason why we invest M&A – company is bought by another company IPO – listed on stock exchange

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What do investors look for?€¦ · What do investors look for? NRC - Optimisation Workshop, May...

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