wholesale investor october edition
DESCRIPTION
Wholesale Investor October editionTRANSCRIPT
1www.wholesaleinvestor.com.au
Emerging biotech with unique vaccine technology (15)
Wholesaler of premium infant milk to the growing Chinese market (26)
Technology provider to international hotels with a software solution for bandwidth efficiency (33)
ASX-listed payments provider focused on emerging markets (30)
Medical device and software company (14)
Investment Opportunities for Wholesale, Sophisticated & High Net Worth Investors
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Medical device company targeting the reconstructive surgery market (10)
Don’t miss your opportunity to attend the Australasian Life Science Investment Summit 2011.
To register for this event or for more information contact Hayley Laing
w. www.ausbiotech2011.com.au/alsise. [email protected]: +61 3 9828 1400
Australasian Life Science Investment Summit
2011 9.00am – 5.30pm
Wednesday 19 October 2011 Adelaide Convention Centre, South Australia
Proudly supported by
Media PartnersProudly supported by
Brought to you by
InvestmentAUSTRALIA’S BIOTECHNOLOGY ORGANISATION
• Attendance is free for bonafide investors. Limited to 200 places.
• Presentations from 40 high-growth public and private life science companies.
• Excellent networking opportunities available with catering provided throughout the day.
Who should attend: • HNW and private
investors
• Professional investors
• Brokers
• VC representatives
• Private Equity firms
• Fund Managers
• Analysts
The Investment Summit is part of Australia’s premier biotechnology industry conference, AusBiotech 2011, and will be held at the Adelaide Convention Centre on Wednesday 19 October from 9.00am until 5.30pm.
REGISTER NOW / www.ausbiotech2011.com.au/alsis
Contents
OCTOBER 2011Wholesale Investor Magazine is published by:
Wholesale Investor Pty Ltd
ACN 131 512 715
Managing Director - Steve Torso
Publisher - Reuben Buchanan
Editor - Lachlan Colquhoun/Claudia Holt
General Manager - Kimber Rothwell
Senior Account Managers:- Daniel Coombes- Jason Ballo
Directors
Reuben Buchanan – Executive DirectorDomenic Carosa – Non Executive Director
Advisory board Tim Trumper
Sydney:
Address - Suite 204, 66 King St. SydneyPhone - 1300 597 595Web - www.wholesaleinvestor.com.au
Editorial Enquiries
Advertising Enquiries
Listing Enquiries
1300 597 595
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Design - Bubblefish Designwww.bubblefish.com.au
Printer - GEON Groupwww.geongroup.com
Distribution - GEON Groupwww.geongroup.com
Disclaimer
This Publication contains prominent statements
appropriate for the particular medium by which
the Publication is made to the effect that:
(A) the information contained in the Publication
about the proposed business opportunity
and the securities or scheme interests is not
intended to be the only information on which
the investment decision is made and is not a
substitute for a disclosure document, Product
Disclosure Statement or any oth er notice that
may be required under the Act, as that Act may
apply to the investment. Detailed information may
be needed to make an investment decision, for
example: financial statements; a business plan;
information about ownership of intellectual or
industrial property; or expert opinions including
valuations or auditors’ reports; and
(B) a prospective investor is strongly advised
to take appropriate professional advice before
accepting an offer for issue or sale of any
securities or scheme interests;
For more information, please visit our website
www.wholesaleinvestor.com.au or email
Editorial
4 Letter from the Managing Director
5 Upcoming Events
6 Company Updates
8 ZORK Seals Deal with US Investor
9 Investing in Early Growth Companies
Opportunities
10 Mesynthes Ltd
11 Benitec Ltd (ASX:BLT)
12 Eastland Medical Systems Ltd (ASX:EMS)
13 Jubilent Health Australia Ltd
14 Global Kinetics Corporation
15 BioDiem Ltd (ASX:BDM)
16 WH Medical
17 Phylogica Limited (ASX:PYC)
18 Photonz Corporation Ltd
19 Xenexus Pharmaceuticals Pty Ltd
20 Cynergy
21 Diamond Energy Pty Ltd
22 EcoQuest (ASX:ECQ)
24 KFSU Ltd
25 Sun Connect Pty Ltd
26 Eastern Harmony New Zealand Ltd
27 Bluechiip Ltd (ASX:BCT)
28 Equiome Pty Ltd
29 Collective Intelligence Group Pty Ltd
30 Mint Wireless Ltd (ASX:MNW)
31 Because Group International Ltd
32 Exa Web Solutions
33 Qanda Technology Ltd (ASX:QNA)
34 Intellect Projects Pty Ltd
35 BlackWall SPORTSMED Property Trust
36 TRAC Financial Ltd
37 Folkestone Ltd (ASX:FLK)
38 Bizpanel Limited
39 Bullion Capital
40 Flinders Resources Ltd
43 Listing Page
4
Letter from the Managing Director
These are challenging times in the public markets, but that is not stopping astute investors from seeking out high quality private companies. With all the turmoil, investors and corporates are making a return to cash, but the upside of that is that they are ready to invest when they see the right opportunities.
Wholesale Investor’s recent survey highlighted the key areas of interest. Mining and mining services, healthcare and life sciences, cleantech and greentech, the online digital space and agriculture were the Top 5 sectors for investor focus over the next six months.
For the first time, we also asked investors what stage in the business cycle they were interested in. At what point did they want to see the opportunities? The number one answer: early growth, followed by commercialization and start-up, then seed and for expansion.
In previous surveys we have seen a healthy level of interest in offshore markets. This time, we asked investors which international stock exchanges were on their radar for small cap opportunities.
We learned from you that Singapore was number one, followed by Hong Kong, London (both LSE and AIM), then Toronto, New Zealand and NASDAQ. Of particular interest was the resources sector, focusing on both London markets and Toronto.
Closer to home, Wholesale Investor has continued to actively present opportunities to investors.
In August, we partnered with AusBiotech to produce the Life Sciences Showcase 2011. The event brought high growth private and ASX-listed opportunities to 183 attendees. It was a great turnout which highlighted the ongoing investor interest in this sector.
(If you missed the event, or want to refer to any of the companies who were present go to our website to find a number of the presentations. Follow the link to http://www.wholesaleinvestor.com.au/tv.php )
Also online are the presentations from the Emerging Company and Commercialisation Showcase, held in conjunction with the Principal Support Partner Commercialisation Australia. The companies featured at this event represent a significant opportunity for investors as they start to realise the commercial potential of their technologies.
Wholesale Investor is continuing to link investors with opportunities in new ways. We have recently launched a channel partner program giving corporate advisory and finance, private equity and venture capital firms the opportunity to use our unique distribution platform for the benefit of their clients. Anyone interested in learning more about this should contact our General Manager, Kimber Rothwell.
We are also listening to what investors want to see more of in WI. From the survey, respondents told us they wanted to see more private opportunities, access to investor events, small cap ASX opportunities, editorial on private companies and CEO interviews online.
As we continue to expand, we’ll give your more of what you are looking for.
Regards,
Steve Torso - Managing Director, Wholesale Investor Magazine
5
Upcoming Events
Melbourne, Australia
Wholesale Investor Opportunity and Networking Evening
Mongolia Investment Summit
Private Banking & Wealth Management Australia
2nd Annual Australian Microcap Investment Conference
The Mining 2011 Resources Convention
Clean Technology Showcase
Melbourne, Australia
Hong Kong Brisbane, Australia
11 October, 2011 18 – 19 October, 2011
25 - 27 October, 2011 26 - 28 October, 2011
Sydney, Australia Melbourne, Australia15 - 16 November, 2011 28 November, 2011
Wholesale Investor is proud to host the Melbourne Investor Opportunity and
Networking Evening. The Investor Opportunity Evening will provide investors,
brokers, fund managers, and business media with the opportunity to
directly connect with the CEO’s of innovative private, pre-IPO and ASX Listed
companies.
For more information or to register for this event visit www.wholesaleinvestor.com.au
The Australian Microcap Investment Conference is the largest investment
conference in Australia focused on emerging companies.
Hear firsthand from over 20 of Australia’s leading microcap CEOs their
strategies and the market they operate in. The conference will also include
keynote presentations on the economic conditions and market factors
impacting the microcap sector.
For more information or to register for this event www.microcapconferences.com
Building on the success of Hong Kong’s first annual Mongolia Investment
Summit in 2010 and brought to you by the team behind Mines and Money
Hong Kong, the Mongolia Investment Summit returns in 2011, doubling in size
and bringing together even more foreign investors and Mongolian-based
project and companies.
For more information or to register for this event visit www.mongoliainvestmentsummit.com
The Mining 2011 Resources Convention is one of Australia’s most widely regarded
events within the resources industry. The conference will run over three days, on
the 26, 27 & 28 October 2011, at the Brisbane Convention & Exhibition Centre. The
convention will include two auditoriums covering topics such as Metals Outlook,
Funds Management, International Outlook, Exploration in Australia and Junior
Company Presentations. The hub of the conference will be the exhibition area,
hosting 120 companies, showcasing the latest information they have to offer.
For more information or to register for this event visit www.verticalevents.com.au
Wholesale Investor will bring together 12 Private, Pre-IPO and ASX Listed
companies, over 200 investors, brokers, media and industry participants, for
the Clean Technology showcase.
The Showcase is your opportunity to hear live presentations from
12 leadingPrivate, Pre-IPO and ASX Listed Companies in the Cleantech
sectors.
For more information or to register for this event visit www.wholesaleinvestor.com.au
Banking & Wealth Management Australia 2011 is Australia’s leading
conference for Private Banking and Wealth Management professionals. It is
the best conference in the region for Private Banks, Family Offices, Financial
Advisers and other Wealth Managers to hear from the cream of the industry
and gain invaluable opportunities to grow their businesses.
For more information or to register for this event visit www.terrapinn.com/pbw
6
Company Updates
FDA approve Phase II clinical trialViralytics has received allowance from the FDA to conduct a Phase II clinical
trial - the CALM study - of its lead investigational drug CAVATAK™. The trial
is to be undertaken in the USA and will commence later this year. The CALM
study will investigate the effectiveness of CAVATAK™ in the treatment of Late
Stage Melanoma.
Viralytics’ Phase I trials of CAVATAK™ have to date successfully demonstrated
that the product is well tolerated in humans, with minimal adverse side-
effects recorded.
In preclinical studies Viralytics has displayed significant activity of CAVATAK™
in targeting and destroying a wide range of human cancer cells including:
Melanoma, Breast, Prostate, Head & Neck, Glioma (Brain), Lung, Ovarian,
Pancreatic and Multiple Myeloma
Drilling Commences in the Georgina BasinBaraka Energy and Resources Ltd is pleased to announce that the long
awaited drilling program has begun. Baraka’s joint venture partner has been
drilling at their “Baldwin-2” since the morning of Wednesday August 3, 2011.
Although drilling has commenced on our JV partners ground at Baldwin-2, it
is only expected to take three weeks to complete, at which time the rig will
mobilize to Baraka’s EP127 to commence drilling “MacIntyre-2”.
Once drilling has been finalised at these two well sites, MacIntyre-2 will be
the first to be frac’d and completed using multi-stage open hole techniques.
Management believes that the Arthur Creek “hot” shale is potentially
analogous to the Bakken play found in Saskatchewan, Canada and North
Dakota.
Two potential blockbuster drugs in clinical trials Excellent Phase Ib clinical trial results for BNC210 anxiety drug candidate.
Offers dramatic competitive advantages over existing treatments, no
evidence of sedation, memory impairment or addiction.
BNC105 cancer drug trials prove effective against tumours. Highly selective
and potent vascular disrupting agent. Renal cancer trial BNC105 in
combination with Afinitor safe and well tolerated with individual patients >12
cycles treatment. Mesothelioma clinical benefit >25%, one patient showing
57% reduction in tumour measurements. Ovarian cancer Phase I/II trial to
start in 2012.
Merck Serono deal extended. BNO benefits from fully funded R&D, US$47m
milestones per compound, plus royalties
Third Link Growth Fund reweight investmentsAnticipating increased volatility in markets, a reweighting exercise was
undertaken in the lead up to July. From a portfolio dominated by long only
growth positions, the investments were reweighted to decrease exposure to
long-only equities and increase exposure to more defensive asset classes.
Increased exposure to fixed interest, property securities and alternate
investments in the form of long/short equity positions has been the result.
Adopting a more market neutral strategy when markets are choppy can
serve the portfolio well.
“One of the strengths of the Fund is the considerable flexibility in the type of
investments and exposure to each that we may hold,” commented Portfolio
Manager, Chris Cuffe.
All management fees, net of expenses, are donated to the non-profit sector.
7
Company Updates
Forza Capital Working to secure commercial building in MelbourneForza Capital is currently working to secure a large Melbourne CBD
commercial building which will comprise the sole asset of its next
investment offer. The identified property is very well located within the CBD
and has substantial value adding/repositioning potential which should
provide scope for significant improvement in investment yields and capital
values. This is a great opportunity to participate in the strengthening
Melbourne CBD market and obtain exposure to a significant asset. Minimum
investment will be $200k and the investment timeframe is 5 years.
Diamond Energy’s renewable “gen-tailer” model is expanding Diamond Energy’s positioning as renewable/low carbon electricity integrated
“gen-tailer” has been further reinforced through recent milestones.
i. A power purchase agreement has been signed with a new renewable
generator to underpin accelerated growth into Queensland.
ii. Multiple project partners have been notified of successful Government
Grant Applications, to deliver up to 8MW of additional long term
contracted renewable energy.
iii. Above business plan retail customer base growth
Carbon Conscious welcomes carbon farming initiative Carbon Conscious Limited (ASX Code: CCF), welcomes the passage of the
Commonwealth Government’s Carbon Farming Initiative (CFI) legislation
through the upper house of Federal Parliament. Mr. Steve Lowe, Executive
Chairman of Carbon Conscious, said the passage of the CFI legislation
provides additional certainty for investors in carbon bio-sequestration
projects, and creates a mechanism for Australia to become a leading player
in the global carbon economy.
“The CFI provides certainty for the carbon bio-sequestration industry
and confidence for major carbon emitters and investors, who are looking
for proven, reliable ways to offset their carbon emissions. Growing trees
to create carbon credits not only helps reduce carbon emissions, it
converts poor quality land into productive land and generates long-term
environmental, social and economic benefits for local communities.”
Photonz signs with Novasep. $5.4 million raised towards industrial-scale production Photonz Corporation has entered into a development agreement with
Novasep, a world-class provider of purification technology. The agreement
puts the company on track to manufacture the high-value omega-3 fatty
acid, eicosapentaenoic acid (EPA), as an industrial-scale end-product next
year. Novasep was chosen because its production facilities can deliver
pharmaceutical quality and its purification technology will deliver EPA, at
more than 96 percent purity, a key driver to accelerating Photonz’s market
launch. In April this year Photonz signed an agreement with the French
company, under which Separex is developing an industrial process to
concentrate extracts from Photonz’s EPA-rich microalgal biomass. “With
Separex we focus on economic concentration of the omega-3 extract.
We’re now working with Novasep to develop the final process to purify
the concentrate produced with Separex technology,” says Photonz Chief
Executive, Greg Moss-Smith.
8
In Australia, Zork has been manufactured at Scholle’s Elizabeth plant for ``the
past several years’’, said Mr Brooks, who remains with Scholle, along with Zork’s
staff post-acquisition. ``The relationship between Scholle Packaging and Zork
has developed positively over the past several years, with a natural alignment
in industry vision, technology and customer focus,’’ he said.
Scholle’s global wine and spirits director Richard Barrett said the purchase
expanded its closures to bottles as well as its ``key flexible packaging
customers’’. ``The acquisition of Zork is key to Scholle’s customer integrated
packaging business unit,’’ he said. ``We are now able to expand our closure
product by offering to service new and existing customers who pack in rigid
formats, while maintaining the focus on our key flexible packaging customers.’’
Scholle set up its Elizabeth plant in the late 1970s to be close to Barossa
Valley winemakers, expanding to supply food and other beverage industry
customers which now makes up 50 per cent of its business. It employs 250
people in manufacturing, marketing and corporate roles at Scholle’s Asia Pacific
headquarters, Mr De Bono said.
The ZORK company’s first product, conceived by Mr McKenna, was for still wines
and had been successful in export markets.
However, domestic sales for still wine closures have been hampered by the
popularity of the screw cap, now widely used by winemakers in Australia. “The
timing of my new idea appeared to be perfect as the wine industry was getting
really fed up with cork taint and other quality issues and needed a way of
sealing the bottle without spoiling the wine. What I didn’t expect or plan early
enough for was the sudden and massive uptake of the screw cap – a 30 year
old sealing technology that was revived by a combination of clever marketing
by the manufacturers of the screw cap and the support of the ‘technical’ power
brokers in the wine industry – in particular the winemakers and the wine writers.
We soon realised we had lost the war and took a strategic decision to focus our
marketing on Europe and the United States. That decision has proved fruitful
and with the ZORK SPK, we have a “peal and reseal’ solution for sparkling wines
that is unmatched by any other closure globally”. McKenna said.
Zork’s SPK closure for sparkling wines, developed by co-founder and Technical
Director, John Brooks, was given a gold innovation award by the Packaging
Council of Australia in 2009. It is a fully recyclable alternative to the traditional
cork and muselet - the wire cage which holds the cork in place. It is the world’s
first and only commercially proven resealable closure for sparkling wines.
“ZORK SPK’s carbon footprint is 40 per cent lower than cork and muselet, and
featured a foil and gas barrier which prevented flatness and oxidation when the
bottle was resealed” said Mr. Brooks.
Written by Conor McKenna, Managing Director, Twoeyes Adelaide
ZORK, the South Australian wine closure company, has been acquired by the US
owner multinational manufacturer, Scholle Packaging, for an undisclosed sum.
The deal, finalised in May 2011, will allow Scholle to manufacture and market the
ZORK “peel and reseal” stoppers for still and sparkling wine bottles through its
international network of more than 60 countries.
Scholle’s Business Development Manager, Andrew De Bono, said the product
was a good fit for Scholle’s other products for the food and beverage industries,
including its cask wine Bag-in-Box packaging. Scholle founder William Scholle is
acknowledged to be the inventor of the bag-in-box packaging concept in 1947.
ZORK was invented by well-known Adelaide entrepreneur, Conor McKenna in
1999. McKenna conceived the sealing technology, developed the brand name
and identified the market opportunity for ZORK while working in a marketing and
sales role for a major wine bottle manufacturer. He soon after resigned and set
up Twoeyes Venture & Advisory in 2000 to commercialise the technology.
McKenna formed a four-man commercialisation team in 2001 and wrote an
award-winning Business Plan and Business Presentation. Soon after the ZORK
team entered and won the national finals in a Venture Capital competition.
Following their success, McKenna co-founded the ZORK company in 2002 with
team member and industrial designer, John Brooks. $250,000 seed funding for
the fledgling company was put up by McKenna’s mother in Ireland.
From there the ZORK team raised $500,000 from an Angel Investor. This was
soon followed by a $3.3 million investment by a private equity group in Sydney.
Multiple rounds of venture funding and government grants followed over the
next 8 years which allowed them to establish manufacturing and marketing
throughout Australia, Europe and the United States.
8
ZORK seals Scholle deal
9
Investing in unlisted early growth companies at any time is an activity pursued
by investors who have an appetite for excitement, high rewards surrounded by
equally high risks and a strong level of judgment self belief. Being early growth
magnifies the assessment issues for the investor as the enterprise is typically
pre-revenue and balance sheet constricted.
If the economic environment is uncertain, as it is at present, the investment
landscape for this market segment is affected as investor demand cools. The
change is not so great, however, as to make investment into the early growth
company space a ‘no go’ investment zone, but it does make investors more
cautious and more selective about the opportunities they pursue.
So what are the investor criteria in the current market? Well nothing has
changed with the basic criteria, rather the criteria has been refined. The goal
of all investors is to invest in an enterprise with innovative technology, a
strong potential for rapid commercialisation and market penetration, an ability
to protect the market it enters or creates, to have a well considered business
model and an impressive management team.
For an investment to be attractive to an investor it should meet the investor’s
thresholds to the above criteria. But in assessing competing opportunities
what can maximise an investor’s interest in pursuing a particular investment?
The following core elements can only assist:
1. Presentation: to receive a polished, ‘to the point’ elevator pitch or
presentation, ideally made by an engaging spokesperson.
2. Information: all information provided to the investor must be accurate and
correct and reflect both a strong business case and management team.
There is no point presenting documents which present a ‘biased view of
the company. No investor is going to commit significant funds without
Investing in early growth companiesverifying the claims of a company. To some investors, being able to trust
the representations made by the company’s spokespersons is a critical
threshold issue to investing in a company.
3. Due Diligence: for any significant investment due diligence will be required.
The quality of the due diligence is a ‘moment of truth’ for the company’s
representatives. It is through this process that the investor will judge
how well the company is being managed, how well negotiated are its
contracts, how strong and valuable is its IP, how robust is its business
model, business plan and financial models and generally where its
strengths and weaknesses lie.
4. Personnel: to encounter a strong board and strong management team.
Credentialed persons of high calibre who have the right experience and
appropriate expertise are more likely to provide the investor with a higher
level of confidence.
5. Investment Terms: the investment offering terms need to be appropriate. If
the investor is interested in making an investment, then agreement as to
the investment offer terms is usually the most significant discussion and
negotiation point of the process.
The valuing of the investment becomes the most challenging issue. The
resolution of the value aspect of the investment terms is a reflection of
how the parties will relate to each other in the future and therefore needs
to be approached with due consideration.
6. Timing: time is required for an investor to process through the above
items, which can take between 1 and 3 months. The company needs to
respect that time is required for the investor to satisfy their criteria. It also
must be understood that it is not without cost to the investor.
In uncertain times, such as now, investors still look to early growth companies
and focus on the same criteria. Although they are more cautious and selective
with their investment resources, they are still active in assessing opportunities.
For the unlisted early growth company seeking significant funding this is good
news, but there is a need for early growth companies to ensure their business
case is robust and strong and that they present and perform at the top of their
game. It is a challenge that a good team relishes! And investors are attracted
too!
Written by Andrew Ireland and Sarah Thomas Should you have any questions or queries or suggestions, please do not hesitate to contact any of our commercial and corporate team including Andrew Ireland, Principal - [email protected]; and Sarah Thomas, Lawyer [email protected]
10
Executive SummaryMesynthes is a soft-tissue reconstruction company using its proprietary Endoform technology
to develop regenerative tissue substitutes for reconstructive surgery and wound care.
These markets represent an opportunity in excess of US$1B.
Mesynthes gained marketing clearance from the United States FDA in January 2010 for
Endoform™ Dermal Template for acute and chronic wounds. In March 2011, the company
secured a North American marketing and distribution agreement with a major healthcare
multinational for their first Endoform based product and they have also entered into
a development agreement with another major wound care multinational. A specialised
manufacturing facility operating under a quality management system was commissioned
in early 2011.
Competitive Advantages• Compared to established market offerings Endoform™ is a shelf-stable tissue substitute with:
• Authentic structure, signals and substrates of the native extracellular matrix
• Quantifiably superior blood vessel in-growth
• Complete remodelling and replacement by the patients’ own tissue over time
• Clinical outcomes in diabetic and venous ulcers studies which are very encouraging (n>50)
• Excellent strength and handling characteristics
• Three year shelf life at ambient temperatures
• Pipeline developments for implantable products and potential for delivery of cells,
antimicrobials and bio-actives
Key Investment Highlights• Sustainable competitive advantage, in large growing markets
• Platform technology supports development of multiple high-value products. The first product
will launch in 2011 and one further product is expected to launch in 2012
• Technology and regulatory risks addressed
• World leading team with experienced Board, Advisory Board and Investors - Management
team have in excess of 60 years of combined experience in the life sciences sector.
The Board of Directors has extensive international commercial experience and the Clinical
Advisory Board is comprised of leading United States based clinicians and academics.
Mesynthes has been backed by New Zealand’s premier early-stage investors
• Secured partnerships with multinational companies
• Demonstrated capability to achieve significant results with limited resources. To date,
the company has raised $4M from private investors
Board & Management:
Brian Ward - CEO BVSc MRCVS MBA(dist) Brian Ward has held senior roles in life science companies over the last 20 years.
Nancy Yopp - Director OperationsBS, MBANancy Yopp has over 25 years of technical, manufacturing and operations experience in the US medical device industry.
Barnaby May - Director Research PhDBarnaby May has an extensive research and development experience in academia and industry.
Phil McCaw - ChairBBSPhil McCaw is a qualified chartered accountant and has served on the Boards of numerous early stage companies and is an active angel investor.
Corporate StructureMesynthes is a New Zealand registered private company.
Exit StrategyA number of exit options exist for investors over the next 2-5 years including:Acquisition by a major medical device company, a merger with an established company with complimentary technology or marketing channels,
or an IPO on a suitable public exchange.
Further InformationTo learn more about this opportunity go towww.wholesaleinvestor.com.au and search for Mesynthes Ltd.
BIO TECH
Mesynthes Ltd
Medical Device
2007
Early stage
Wellington, New Zealand
Capital Raising
Company Name
Sector
Year Established
Business Stage
Location
Seeking
11
Benitec Limited (ASX:BLT)
Biotechnology-therapeutics
1997
Early Stage
Sydney
Company Name
Sector
Year Established
Business Stage
Location
BIO TECH
Executive Summary Benitec Limited is a publicly listed (ASX:BLT) biotechnology company developing novel
human therapies based on a transformational gene silencing technology, DNA-directed RNA
interference (ddRNAi). Benitec holds the predominant patent position in the use of ddRNAi
for human therapeutics, with an exclusive, irrevocable, world-wide license to CSIRO’s patent
estate by generating double stranded RNA inside a cell from a DNA construct. Benitec
collaborates with groups globally to develop novel therapeutics for chronic life threatening
diseases and disorders, particularly in cancer and infectious disease. Benitec’s current projects
are directed to using gene silencing in lung cancer, intractable cancer-associated pain, and
hepatitis B infection.
Competitive Advantages• Cancer-associated neuropathic pain. The program is aimed at developing a ddRNAi-based
therapeutic to silence genes in the spinal cord involved in mediating intractable pain.
• The non-small cell lung cancer program, in collaboration with the University of New South
Wales. Researchers at UNSW have shown that using ddRNAi to silence the beta III tubulin
gene can significantly overcome the resistance of lung cancer cells to chemotherapy drugs.
These programs are fully Benitec funded programs. It is anticipated that these programs will
enter Phase I clinical trials in 2012.
• The hepatitis B program is developing a ddRNAi-based therapeutic targeting a key HBV gene.
Partnered with Biomics Biotechnologies Co, Ltd in China.
Key Milestones & Investment Highlights• Exclusive irrevocable worldwide rights to a platform technology with huge market potential in
human therapy: ability to permanently silence any gene associated with a disease or
condition
• Dominant global position with robust intellectual property, including successful
re-examination in all major jurisdictions worldwide. Over 30 patents granted internationally.
• Broad portfolio of targeted therapeutics – neuropathic pain, lung cancer and hepatitis B
• Building value through licensing of therapeutics and technology
• Financially strengthened by recent successful $8M funding via a renounceable rights issue
Further InformationTo learn more about this opportunity go towww.wholesaleinvestor.com.au and search forBenitec.
Board & Management:
Peter French - CEOBSc, MSC, MBA, PhDCell and molecular biologist. Principal Scientist - Centre for Immunology, St Vincent’s Hospital; Founder of Cryosite (CTE); Ex-President ANZSCDBI.
Peter Francis - Non-Executive ChairmanLLB Grad Dip (Intellectual Property)Partner at Francis Abourizk Lightowlers (FAL), a firm of commercial and technology. He is a legal specialist in the areas of intellectual property and licensing.
Mel Bridges - Non-Executive DirectorBAppSc FAICDMore than 30 years experience in the global biotechnology and healthcare industry. Chairman of Alchemia Limited, Impedimed Limited and Leaf Energy Limited. He also co-founded the listed company Panbio Ltd. Tissue Therapies Limited. The Queensland Entrepreneur of the Year in 2004.
John Chiplin – Non-Executive DirectorPh.DFormer CEO of Arana Therapeutics (acquired by Cephalon). Former head of the $300M ITI Life Sciences investment fund in the UK. Owns Newstar Ventures Ltd.
Code
Market Capitalisation
Current Share Price
52 Week High
52 Week Low
ASX :BLT
21,305,772
$0.0230
0.0520
0.0210
Share Information As at 6 September 2011
ASX:BLT 6 month price chart
Apr 2011 May 2011 Jun 2011 Jul 2011 Aug 2011 Sep 2011
0.04
6080
4020
0.02
0.03
12
BIO TECH
Executive SummaryEastland Medical Systems Ltd (EMS) is an Australian based Biotechnology licensing company.
Our focus is the identification, in-licensing and value adding to new or novel applications
of existing medicines. This strategy results in a greatly de-risked project portfolio. EMS adds
value by managing the development program. Our revenue model is based on out-licensing or
trade sale of the asset. Our current lead project is ArTiMist™ a sublingual (under the tongue)
anti-malarial for the treatment of childhood malaria.
Current Projects• Current lead project is ArTiMist™, a sublingual (under the tongue) anti-malarial for the
treatment of childhood malaria that contains the anti-malarial compound Artemether,
a well-established drug for the treatment of malaria
• EMS has the licence for Africa, Asia, India and the Pacific regions, an area that contains about
97% of the world’s malaria cases
• The preliminary raw data and observations from the current Phase III ART004 clinical trial
continues to confirm earlier results from the Phase II ART003 trial and provide a convincing
argument for sub-lingual delivery of Artemether for the treatment of childhood malaria
• Anecdotal reports from the medical staff and observers coupled with the clinical data show
greater than 90% parasite reduction within 24 hours and comatose children soon sitting up
in their beds
Key Investment Highlights• Completion of current 150 patient Phase III Randomised, Open Labelled, Active Controlled,
Multi Centre, Superiority Trial of ArTiMist™ Versus Intravenous Quinine in Children with Severe
or Complicated Falciparum Malaria, or Uncomplicated Falciparum Malaria with Gastrointestinal
Complications. Due for completion 3rd quarter 2011
• Out Licensing/Trade sale of ArTiMist™ project. EMS have had preliminary interest from
a number of groups
• Eastland’s wholly owned subsidiary, Westcoast Surgical and Medical Supplies are continuing
to aggressively target new business, EMS believes that there will be a number of highlights
from this area during the next 12 months
• Identification and in-licensing of a follow on project. We are actively sourcing new
opportunities to follow on from ArTiMist™
Eastland Medical Systems Ltd
(ASX:EMS)
Biotechnology
2001
ASX Listed
Western Australia
Company Name
Sector
Year Established
Business Stage
Location
Board & Management:
Peter Jooste QC - Non-Executive Chairman Peter Jooste was appointed Queens Counsel in 1997 and practises principally in corporations law, particularly schemes of arrangement and reconstruction. He was an inaugural member of the Takeovers Panel and a former President of the International Business Council in WA and has acted in numerous takeovers, mergers and acquisitions.
Michael Stewart - Non-Executive DirectorMr Stewart has a broad corporate and management background with a strong understanding of the financial markets. Mr Stewart has been extensively involved in bilateral donor funded and World Bank co-financed Aid Projects in under-developed countries.
Stephen Carter - Chief Executive Officer/Executive DirectorMr Carter has extensive pharmaceutical industry experience and has held a variety of senior positions with listed and unlisted public companies, including roles as Chairman and Managing Director. He has extensive contacts and experience in the financial markets and the pharmaceutical industry.
Share Information
Code
Market Capitalisation
Current Share Price
52 Week High
52 Week Low
ASX:EMS
11,293,488
$0.0190
0.0740
0.0160
Further InformationTo learn more about this opportunity go towww.wholesaleinvestor.com.au and search for Eastland Medical Systems Ltd (ASX:EMS).
As at 6 September 2011
ASX:EMS 6 month price chart0.04
0.03
0.03
0.02
Apr 2011 May 2011 Jun 2011 Jul 2011 Aug 2011 Sep 2011
6080
4020
13
Jubilent Health Aust Limited
OTC medicines
4
Market ready
Australia
5 mil equity to scale
Company Name
Sector
Year Established
Business Stage
Location
Seeking
BIO TECH
Executive Summary Jubilent Health Aust. Limited is poises for rapid growth and is inviting investors onboard in
order to fund the scaling up of proven existing business and expansion of the unique product
range to sell into existing and new pharmacy customers and begin the global expansion of it’s
brands.
Jubilent Health Aust. Limited, an Australian Pharmaceutical company, has unique patented
technologies resulting in formulae’s and API’s (Active Pharmaceutical Ingredients) which will
change the way many medical conditions and diseases are treated. Conditions like Obesity,
Diabetes, High Cholesterol, and even male infertility will be treated by medicines produced by
Jubilent, by targeting fundamental cellular mechanisms to reverse symptoms at their origins
and so reverse diagnosis.
Jubilent Health Aust. Limited will continue to manufacture products with lots of market “Sizzle”
like ToneUP® the world’s first ‘Body Composition Change Product’, already proven in the
Australian market place to be capable of generating Gross profits in excess of $10million if
marketed nationally and clinically proven in university trials to reduce fat and increase muscle
mass without change in diet or exercise.
Competitive Advantages• API’s (Active Pharmaceutical Ingredients)
• Unique diagnosis reversing medicines.
• Strong Pipeline of products
• Paradigm shifting treatment options
• Multiple distribution channels established
• Real market experience, back robust projections
• Strong management team with proven record
Key Investment Highlights• Rapid growth with good market uptake achieve already
• High margin products in a high growth sector
• Revenues achieved in the first year
Further InformationTo learn more about this opportunity go towww.wholesaleinvestor.com.au and search forJubilent Health.
Board & Management:
Norman Ohl - Director/ Company SecretaryNorman is the founder of Jubilent Health Aust. Limited and brings a wealth of management and entrepreneurial acumen to the Company. Long track record of high growth high value business
Peter Degnian - DirectorB.PharmPeter has been a registered pharmacist since 1983 and still active in retail and patient interaction
Cathrine Dahlgren - DirectorM.AppSc (App Chem), Dip. Bus (F’line M’ment)This vast experience, including work with Sigma Nutraceuticals/Herron Nutraceuticals, Progen , Mediherb, provides solid regulatory expertise to the Compan.
Mario Gattino - DirectorApp Sc( Med Admin), MBA ( Exec), Dip Bus (M’ment)Mario Gattino is a former global VP level senior executive with Pfizer Inc., the world’s leading biopharmaceutical company, with extensive international experience.
Corporate StructureAustralian Public Company
Exit StrategyJubilent Health hopes to list on a suitable exchange at an appropriate time.
14
Executive SummaryGlobal Kinetics Corporation (GKC) provides point of care measurement and reporting of
Parkinson’s disease (PD) motor symptoms for neurologists and professional carers to manage:
• Surgical and pharmacological interventions to treat dyskinesia;
• Routine pharmacological treatment of bradykinesia and dyskinesia; and
• A means for patients to manage their therapeutic compliance.
Adoption of the PKG System will result in better patient clinical outcomes, lower patient
management costs and a better quality of life for PD patients. The addressable market in
Europe, US and Australia is $345M+ which represents only 20% of the 12M+ people forecast to
have PD by 2015. The company forecasts annual revenue of $20M+ and NPAT of $8M within the
five years.
Competitive AdvantagesGKC’s core intellectual property is founded on sophisticated software that differentiates
clinically important movement from normal movement and reports this as a bradykinesia and
dyskinesia score.
This intellectual property is protected by:
• Patent;
• Unique domain expertise of the GKC team;
• Retaining data management services in-house limiting access to GKC’s proprietary
algorithms and data library; and
• Investing in ongoing research and development alone and in partnership with the Howard
Florey Institute.
Key Investment Highlights• Solving a significant unmet need in the management of PD;
• A large and growing global market;
• Unique and defendable intellectual property;
• Regulatory approval in Australia, United Kingdom and Europe;
• Engagement with key industry stakeholders;
• A team that has a proven record of delivering value for shareholders.
Board & Management:
Dr David Fisher - Director 1st Class Honours Rural Science; PhD Chemical Engineering; Masters in Applied Finance and InvestmentsDavid is a founding Venture Partner with Brandon Capital Partners. David was CEO of Peptech Limited. Prior to Peptech, David spent ten years with Pharmacia AB (now part of Pfizer, Inc). David is a past president of the Australian Biotechnology Association and past chairman of the CSIRO’s Division of Animal Production Industry Advisory Committee.
Andrew Maxwell - Managing DirectorMBA, MAcc, ACPA, MAICDAndrew has a proven track record of entrepreneurial business success in Australia and Asia spanning over 25 years. Andrew is the former CEO of ESCOR Private Equity (a Smorgon Family Company). Prior to joining ESCOR, Andrew was a serial start-up company entrepreneur with a history of successful company launch, business growth and exit.
Corporate StructureProprietary Limited Company.
Exit StrategyThe exit plan for investors is via a listing on an appropriate exchange or a trade sale.
Further InformationTo learn more about this opportunity go towww.wholesaleinvestor.com.au and search for Global Kinetics.
MEDICAL DEVICE
Global Kinetics Corporation
Medical Devices
2007
Commercialisation
Melbourne
Capital Raising
Company Name
Sector
Year Established
Business Stage
Location
Seeking
15
BIO TECH
BioDiem Ltd (ASX:BDO)
Biotechnology
2004 (IPO)
Commercialisation
Melbourne
Company Name
Sector
Year Established
Business Stage
Location
Executive SummaryBioDiem is a vaccine company developing vaccines for both treatment and prevention of
disease. The leading technology is the LAIV (Live Attenuated Influenza Virus) which was
launched in India in July 2010 as an intranasal vaccine for prevention of swine ‘flu. The LAIV is
also in development for seasonal and other pandemic influenzas. Sales from these products
would generate royalties for BioDiem. The first royalties flowed in 2010. BioDiem is also
developing the LAIV for use in non-influenza vaccine design to produce vaccines for cancer
and infectious diseases. BioDiem intends to generate income from sale of licences to other
vaccine manufacturers for use of the LAIV vaccine design system.
Current Projects• Successful commercialisation of the LAIV technology (launch of Nasovac™ in July 2010)
• In-house vaccine development skills to expand LAIV uses
• GMP materials available for LAIV development (virus and cell bank)
• LAIV induces a broad immune response - mucosal, systemic and cell-mediated responses
• High yield manufacture in egg & cell-based production - to meet pandemic need
• Extensive clinical trial and on-market experience (100m doses) in Russia (egg-based)
vaccine has established efficacy and safety
• Intranasal delivery eliminates need for needles and trained personnel
• Cell-based production provides advantages in bird (avian) flu outbreak when egg supply for
standard flu vaccine production could be compromised.
Key Milestones & Investment Highlights• Global market size in 2009: US$22.7b (US$36.5b in 2013)
• High growth market: CAGR 2008-2013: 13%
• There remains a high level of unmet medical need - >40 human disease pathogens without
effective vaccines
• High barriers to entry with little generic competition
• LAIV pandemic influenza applications already marketed and generating revenue
• First launch of LAIV based vaccine (Nasovac) for pandemic H1N1 (swine flu) in Indian market
in 2010. Royalty payments from sales into private sector commenced.
• LAIV vector project commenced to maximize value of asset.
• LAIV vector applications aim produce early revenue via research and commercialisation
licences.
Share Information
Code
Market Capitalisation
Current Share Price
52 Week High
52 Week Low
ASX:BDM
9,133,080
$0.0900
0.2000
0.0790
Further InformationTo learn more about this opportunity go towww.wholesaleinvestor.com.au and search for BioDiem .
As at 6 September 2011
ASX:BDM 6 month price chart
0.15
0.20
0.10
0.05
Apr 2011 May 2011 Jun 2011 Jul 2011 Aug 2011 Sep 2011
0.60.8
0.40.2
Board & Management:
Hugh Morgan AC - ChairmanLLB, BComHugh Morgan is Principal of First Charnock. He is a member of the Lafarge International Advisory Board; an Emeritus Trustee of The Asia society New York; Chairman Emeritus of the Asia Society AustralAsia Centre; and President of the National Gallery of Victoria Foundation.
Julie Phillips – Executive Director & Chief Executive OfficerBPharm, MSc, MBAMs Phillips was appointed to the position of Chief Executive Office on July 1, 2009 and was appointed a director on May 7, 2010. She has worked as the CEO and director of start-up Australian biotechnology companies in the life sciences sector.
Larisa Rudenko - DirectorMD, PhD, DScProfessor Rudenko is Head of the Virology Department in the Institute of Experimental Medicine, St. Petersburg, Russia. She is recognised as one of the world’s leading experts in live attenuated influenza vaccines.
16
Executive SummaryGold Coast Accident & Medical Clinic (A&MC) is a private emergency clinic designed to take
direct pressure of the public system. The model is designed to allow walk in and ambulance
access to services providing comprehensive treatment solutions with an attractive pricing
strategy compared to private hospitals. There is also a general practice imbedded in the model
to ensure coverage of a wider range of patients to capture diverse revenue streams. This
delivers a model with an end to end treatment solution for clients.
Competitive Advantages• Significantly shorter waiting time for patients compared the public system
• Price point attractive alternative to private hospital emergency departments
• Focus on emergency treatment provides a niche & high degrees leverage with the
community & state governments
• Model can be replicated in every jurisdiction in Australia
• No direct competition. Many general practices will do some emergency treatment, however
not a focus like the A&MC model
• Model can utilise diverse healthcare workforce: Doctors, Nurse Practitioners, General
Practitioners & nursing assistants
• Opportunity to provide specialist services, such as Nurse Practitioner procedural clinics to
add value to the business & client experience
• High profile through strategic sponsorships with sporting clubs
Key Investment Highlights• Opportunity is strong for public/private partnerships
• Strong revenue forecast
• Branding has commenced & is able to be rolled out nationally
• Develop specialist clinics using Nurse Practitioners, for example pain management &
endoscopy clinics
• Specialist clinics will attract strong rebates from Medicare & private insurers
Board & Management:
Rod Wyber-Hughes - DirectorRod has worked all over Australia as a Remote Area Nurse in isolated Aboriginal communities; he managed workforces across large geographical areas. Headed up the second phase Commonwealth health intervention in the NT.
Tracey Wyber-Hughes - Operations Manager, Risk ManagerTracey has over 23 years of international nursing experience, working in diverse settings ranging from cutting edge HIV clinics to Remote Area Nursing.
Corporate StructureWH Medical Pty Ltd is wholly owned by the director Rod Wyber-Hughes. WH Medical Pty Ltd owns 100% of the shares in Updown Nominees trading as Gold Coast Accident & Medical Clinic.
Exit StrategyExpand the model to other locations and seek a trade sale.
Further InformationTo learn more about this opportunity go towww.wholesaleinvestor.com.au and search for WH Medical.
WH Medical Pty Ltd
Health Care
2009
Expansion
Gold Coast, Queensland
$2 million
Company Name
Sector
Year Established
Business Stage
Location
Seeking
MEDICAL DEVICE
17
BIO TECH
Executive SummaryPhylogica is engaged in the discovery and development of novel peptide-based
biopharmaceuticals. Phylogica enters into discovery alliances with large Pharmaceutical
companies for which it identifies potent bioactive peptides. These deals provide access to
short term revenue as well as future milestone payments and royalties.
Phylogica has discovered and validated a proprietary class of targeted peptide therapeutics
(Phylomers®) which constitute the most structurally diverse source of peptides available.
Phylogica has made libraries of billions of Phylomers from which drug candidates can be
selected using the company’s advanced screening methods. Phylogica owns this unique
class of peptides, with 16 patent families, including multiple granted patents in the US and
Europe. Phylogica is in the commercialization phase and is beginning to sign discovery deals
with some of the world’s largest pharmaceutical companies, including Roche, MedImmune
(biologics unit of AstraZeneca) and Pfizer.
Competitive Advantages• Advantages over biologics discovery platforms (antibodies, protein scaffolds or random
peptides)
• Phylomer libraries are the most structurally diverse biologics libraries available
• The hit-to-target ratios from Phylomer® libraries are high and the proportion of hits which are
of high target affinity, and are biologically functional, is also high
• Phylomers can be straightforwardly made by chemical synthesis
• Phylomers can be delivered by patient friendly means such as intranasally
• Phylomer libraries (unlike antibody libraries) are not associated with patent ‘royalty stacks’
Key Milestones & Investment Highlights• Phylomers offer clear advantages over competing biologics drugs
• Phylogica has validated its technology and streamlined its processes to allow scalability
• Phylogica has signed drug discovery partnerships with three leading Pharma companies since 2009
• Phylogica and Roche extended their collaboration in May 2011 following initial success
• Phylogica is in discussions with multiple Pharma companies and expects more deals over
next 12 months
• Unlike most Australian biotechnology companies, Phylogica bears no risk from failure in
clinical trials since its candidates are licensed at the discovery stage to partners
• Phylogica’s strategy is driving near-term revenue growth and accelerated cash sustainability
• Phylogica’s peers are valued at more than US$100 million
• The average acquisition value for a drug discovery company like Phylogica is hundreds of
millions of dollars
Board & Management:
Dr Doug Wilson - Executive Chairman MB, ChB, PhD, FRACP, FRCPAFormally Global Head of Medicine Boehringer Ingelheim. Oversaw regulatory approval and launch of 10 drugs.
Professor Paul Watt - Executive Director/CEO BSc. D. Phil (Oxon)Doctorate from Oxford, Postdoctoral Fellowships at Harvard and Oxford; 40 publications, 19 patents.
Nick Woolf - Executive Director/CFOMA (Oxon), FCCA18 years experience in the industry, equity research and investment banking. Formerly Chief Business Officer and Executive Director of Oxford BioMedica. Previously, he was Head of European Biotechnology Research at ABN Amro and he has held similar roles.
Bruce McHarrie - Non-Executive DirectorB.Com FCADirector, Finance/Business Development, Telethon Institute for Child Health Research. Former roles: Assistant Director Biotech Division, Rothschild Asset Management, London, Coopers&Lybrand, Deloitte.
Share Information
Code
Market Capitalisation
Current Share Price
52 Week High
52 Week Low
ASX:PYC
25,932,630
$0.0640
0.0890
0.0420
Further InformationTo learn more about this opportunity go towww.wholesaleinvestor.com.au and search for Phylogica Limited (ASX:PYC).
As at 6 September 2011
ASX:PYC 6 month price chart 0.08
0.07
0.06
0.05
30
2010
Apr 2011 May 2011 Jun 2011 Jul 2011 Aug 2011 Sep 2011
Phylogica Limited
(ASX:PYC)
Biotechnology and Pharmaceuticals
2003
Commercialisation
Perth, Australia
Company Name
Sector
Year Established
Business Stage
Location
18
Executive SummaryPhotonz is a world-leader in the production of the omega-3 compound “EPA” by fermentation
for high purity, pharmaceutical applications.
Demand for EPA is growing exponentially but the world’s supply is extracted from wild fisheries
that are a variable and risky source. Photonz avoids these supply risks and makes EPA “like
beer” that is economic to purify to pharmaceutical concentration.
Photonz will sell EPA to manufacturers of regulated pharmaceuticals making products for the
cardiovascular disease drug market – specifically, treatments for dyslipidemia (high blood
cholesterol and triglycerides).
The Company is currently completing process development at pilot industrial scale and
expects to begin product sales in 2012.
Competitive Advantages• Sustainability – Photonz’ process uses simple industrial commodity inputs and is not
dependent on the continuing viability of wild fisheries or affected by natural variability or
environmental change.
• Security – Pharmaceutical quality management systems can be applied over the entire
Photonz process chain (unlike fish extract product) and multiple independent manufacturing
sites can be established.
• Consistency – Independence from the natural variability of wild fisheries and the application
of pharmaceutical quality management systems throughout the manufacturing process
ensure a consistent product.
• Proprietary process – Patents have been applied for critical elements of Photonz’ process
and intermediate products.
Key Investment Highlights• Proprietary manufacturing technology with freedom to operate.
• Validated manufacturing technology, December 2011.
• Sales late 2012.
• Market need for EPA in established cardiovascular disease (high cholesterol) market.
• Growth market - exponential growth in demand for EPA.
• Exposure to drug markets but lower technical & commercial risk.
• Excellent management team with prior relevant success.
Board & Management:
Greg Moss-Smith - CEOMSc, MBA, IP LawFormer Global Sales Director Novozymes Biopharma. Former VP Commercial Operations GroPep Ltd (ASX:GRO)Director NZBIO
Richard Justice - CFOBCom, MBA, ACA, CMA, ACISFormer CFO Living Cell Technologies (ASX:LCT). Former COO Brocker Technology Group (NASDAQ:BKI)
Doug Wilson - Director MB, ChB, PhD, FRACP, FRCPAExec. Chair Phylogica LtdFormer Head of Worldwide Medical Research, Boehringer Ingleheim
David Kyle - AdvisorBSc, PhDCo-Founder of Martek BioscienceFormer Head of R&D Martek Bioscience
Corporate StructurePrivate, New Zealand Company .33 Shareholders. 71% owned by four holdings.
Exit StrategyPhotonza Corporation hope for a trade sale but may list on a suitable exchange at an appropriate time prior to acquisition.
Further InformationTo learn more about this opportunity go towww.wholesaleinvestor.com.au and search for Photonz Corporation Limited.
BIO TECH
Photonz Corporation Limited
Pharmaceuticals
2002
Late pre-revenue
Auckland, New Zealand
Capital Raising
Company Name
Sector
Year Established
Business Stage
Location
Seeking
19
MEDICAL DEVICE
Xenexus Pharmaceuticals Pty Ltd
Biotech/Pharmaceuticals
2008
Early stage
Sydney
Development Capital
Company Name
Sector
Year Established
Business Stage
Location
Seeking
Executive SummaryXenexus is undertaking R & D on existing drugs in new indications to secure new use patents
on these re-profiled drugs. The company focus is on:
• Japanese pharmacopeia – drugs only ever registered in Japan
• Drugs with good safety profiles
• Unmet medical needs in large markets
• Low complexity trial requirements
• In-vivo studies and Phase IIa trials where relevant
• Pharma partnerships and out-licensing at early Phase II trial stage
• VC and grant financing where appropriate for each project
Competitive AdvantagesXenexus Pharmaceuticals is pursuing a low risk, low cost business model:
• Xenexus has access to some of the best labs in the world to do low costs animal studies
• Leading scientists in their field who have developed “gold standard” drugs are on the
Xenexus Scientific Advisory Board and are shareholders in the company
• Xenexus drugs have know safety profiles, which dramatically increases the likelihood of
Xenexus re-profiled drugs reaching the market
• Low cost and complexity Phase IIa trial requirements
• Small experienced team, having previously built Nuon Therapeutics Inc
Key Investment Highlights• A proven management team
• An outstanding Scientific Advisory Board
• A low risk, low cost Business Model
• A successful track record with Nuon Therapeutics
• Positive in-vivo data in XEN-101 gout, with patent lodged
• Chronic gout is an unmet medical need
• Positive in-vivo data XEN-102 multiple sclerosis with patent being lodged
• MS an unmet medical need
• XEN-102 is anti-inflammatory and likely neuroprotective
• Two additional programs currently at in-vivo screening stage
Board & Management:
Dr Michael L Selley - Chief Executive OfficerPh.DPreviously the Founder and Chief Scientific Officer for Nuon Therapeutics. Academic at the John Curtin School at ANU.
Prof Sir Marc Feldmann - Director and Member of the Scientific Advisory BoardM.B., B.S., Ph.D., FRCPath, FRCP, FMedSci, FAA, FRSProf Steinman is head of the Kennedy Institute of Rheumatology, Faculty of Medicine, Imperial College London.
Professor Larry Steinman - Member of the Scientific Advisory BoardB.A., M.DProfessor, Departments of Neurology and Neurological Sciences, Stanford University
Jay Hennock - Chief Operating OfficerB.EcWorked in corporate advisory with Citibank and Bank of America. A founding shareholder and CFO of Nuon Therapeutics.
Corporate StructureXenexus Pharmaceuticals is a NSW Registered private company.
Exit StrategyXenexus aims to list on a suitable exchange at an appropriate time, or pursue a trade sale.
Further InformationTo learn more about this opportunity go towww.wholesaleinvestor.com.au and search forXenexus Pharmaceuticals.
20
Executive SummaryOur objective is to grow a consumer health company by developing or acquiring high potential
brands or products and selling them through retail and online channels. Our brands can be
summarised as follows:
Herb Valley : Well established range of supplements and personal care products sold
exclusively through the health food channel.
Activecare : Developing range of pharmacy only complementary medicines
Activelife : An open brand of personal care products including a Paw Paw Lip Balm and
Aluminium Free Deodorants and Anti-Perspirant.
Sports-haler : Innovative medical device for the delivery of Ventolin and Asimol.
Stay-Healthy : A wholly owned subsidiary established to develop direct to consumer online
and catalogue sales.
Competitive Advantages• Core of innovative and unique products
• Low cost base
• National sales team
• Established customer base and distribution network
Key Investment Highlights• Sales growth 444.76%
• Customer growth 151.96%
• Acquisition of Herb Valley
• Acquisition of Sports-haler
• Launch of Activelife personal care range
• Launch of Chia Seed Oil & Natralgesic Complementary Medicines
• Development of brand and Stay Healthy Club web sites
• Re-packaging and positioning of Herb Valley
Board & Management:
Joe Bayer - ChairmanBBus (Acctg) CPA MAICDFormer Executive General Manager, Mayne (Faulding) Pharma Asia Pacific and Mayne Consumer Products.
Geoff Crittenden - Managing DirectorBSc(Hons)Eng CengAn experienced entrepreneur who has held senior executive appointments in Australia and overseas.
Rakesh Raj - DirectorMBA BSc EngSenior pharma executive former Director Pharmacy Division, Sanofi-aventis and GM Sales Sandoz.
Craig Stokoe - DirectorMD of LPN, a leading marketing and design consultancy.
Exit StrategyTo grow sales to more than $10 million within the next five years and look for trade sale or buy-out opportunities.
Further InformationTo learn more about this opportunity go towww.wholesaleinvestor.com.au and search for Cynergy Health.
BIO TECH
Cynergy Health
Consumer Healthcare
2008
Development
Sydney
Company Name
Sector
Year Established
Business Stage
Location
21
Executive SummaryEstablished renewable/low-carbon electricity integrated “gen-tailer” seeking to accelerate
expansion. The business has a “portfolio” generation strategy, operating its own and 3rd
party generation; these integrate with its licensed electricity retailing through channels that
deliver contracted customers. In addition “Diamond CLEAN” delivers a highly attractive power-
purchase alternative for large generators. The business is seeking to accelerate its expansion
in response to strengthening drivers including energy/carbon policy reform, technology cost
reductions, and changing customer preferences. This provides an opportunity for investors
to participate in an established visionary business positioned in the new energy low carbon
economy.
Competitive Advantages• Operating renewable generation assets supported by long term contracts
• Integrated “gen-tailer” model provides attractive returns through spread & risk management
• Power purchasing agreements with third party renewable generators to balance with retail
consumption
• “Diamond CLEAN” a highly attractive power-purchase alternative
• Integrated CRM/Billing System is operational and scalable, linked to customer smart metering
& supports in-home technologies.
• Strong relationships and credibility with government and renewable project partners
• Company Directors & Management are highly skilled & experienced across commercial,
engineering, generation, network & energy market & demonstrated track records of delivery.
Key Milestones & Investment Highlights• Commissioned Tatura Biogas plant (2007) and Shepparton Biogas plant (2009)
• Obtained Victorian retail electricity license (2007)
• Secured Lend Lease Ventures investment (2008)
• Over 3,500 solar installations throughout Australia delivered (2009-10)
• Sold rights to Victorian Wave farm (2009) ( still maintains PPA rights)
• Obtained SA, NSW, and QLD retail electricity licenses (2010)
• Integral partner in UN World Environment day “Virgin Blue Business - Best Environmental
Business Initiative” (2010)
• Launched Diamond CLEAN (2010)
• Shortlisted Participant in multiple Government Grant Applications (2011)
• Trademarks registered to Diamond Energy, Diamond Energy Advantage and Commercial Green
• Awarded $1.5 m by Victorian Government and establishes 50/50 JV Colac Power Company
(2010)
Board & Management:
Anthony Sennitt – Chairman and Managing DirectorBSc, BEng (Chem), MMT, Dip. Fin. Services Professional experience in the global energy markets for over two decades. Experience built through a vari-ety of major roles at global energy corporations, based in Australia and Singapore.
Mark Bertoncello – Chief Investment Officer BEng (Hons) MBA, Melbourne Business SchoolExtensive renewable energy experience plus executive management in Australian listed company and adviser in global professional services firm.
John Chiodo – Chief Operations OfficerBEng (Hons) Grad Diploma Applied Finance (FINSIA)Over 15 years experience in the development of a range of clean, renewable and distributed generation technologies.
Corporate StructureDiamond Energy is a medium sized Australian owned private company with 100% owned subsidies and a range of shareholdings in generation companies
Exit StrategyThe proposed exit strategy for investors is via a listing on a suitable exchange or a trade sale at an appropriate time.
Further InformationTo learn more about this opportunity, go to www.wholesaleinvestor.com.au and search for Diamond Energy.
Diamond Energy
Clean Tech/ Retail
2004
Expansion
Victoria
Pre IPO funding
Company Name
Sector
Year Established
Business Stage
Location
Seeking
CLEAN TECH
22
Current ProjectsProject 1: Little Takas nappies and Bamboo baby wipes – Australia
EcoQuest launched the Little Takas nappies and Bamboo baby wipes range
in Australia in October 2010. The products are now stocked in over 300 retail
stores across Australia, including Toys R Us, Baby Kingdom, Franklins, and a
growing number of IGA stores, promoted and sold through 4 leading nappy
e-tailers and on its own e-commerce website www.littletakas.com.
Project 2: Little Takas nappies and Bamboo baby wipes – UK and US
EcoQuest has launched the Little Takas nappies and Bamboo baby wipes range
in the UK, focusing initially on internet sales such as resell through the website
of the UK’s largest parenting charity for parents the National Childbirth Trust
(NCT) www.nct.org.uk. The company will approach US brokers in Q4 of 2011.
Project 3: Little Takas nappies and Bamboo baby wipes - Asia
From July 2011, Ecoquest entered the Asian market. The Little Takas range is
sold in three different Hong Kong supermarket chains including Three Sixty
(Hong Kong’s largest organic and natural food store), Marketplace (a high
end supermarket chain) and Wellcome (Hong Kong’s longest established
supermarket chain). The company plans to expand into other Asian countries.
Competitive Advantages• EcoQuest addresses a major growth market - as major contributors to landfill,
disposable nappies represent one of the world’s biggest environmental
problems, taking over 100 years to break down. The Little Takas nappies and
Bamboo baby wipes ease consumer consciences but fit into modern
lifestyles.
• EcoQuest has a highly experienced team, including global eco-nappy and
consumer sales experts
• EcoQuest has technology that is proven by both rigorous consumer testing
and meets stringent industry standards
• Ecoquest is already engaged in developing a second generation nappy which
will increase its use of sustainable materials whilst retaining its
biodegradeable credentials
• EcoQuest is listed on the ASX, and therefore provides both the potential for
excellent capital gain, and the flexibility of sale of shares through the ASX
Executive SummaryEcoQuest Limited, the clean technology company developing biodegradable
disposable personal care products from sustainable sources, has started
to realise its global market strategy with the Little Takas 90% biodegradable
nappies and 100% biodegradable bamboo wipes range on sale in a growing
number of retail and e-tail stores in the UK, Asia and Australia as well as through
its own website www.littletakas.com.
The company is in talks with major Australian retail chains and is conducting a
strong marketing and PR campaign across print, broadcast, online and social
media to increase awareness and drive sales.
The company wants up to 5% market share of the total Australian nappy market
and plans to grow the eco market and become the eco-nappy of choice for
Australians based on its superior sustainable content, higher total product
biodegradability, better performance, better margin to retailers and lower retail
price (in its segment).
The Australian eco nappy market is expected to grow by more than 25% per
annum. The company’s mission is to create a globally recognised brand of
biodegradable personal care products based on proven and tested principles of
sustainability.
The company will also continue developing and protecting its intellectual
property, while refining and growing its product range.
EcoQuest Ltd
(ASX:ECQ)
Cleantech
2007
Trading
Western Australia
Company Name
Sector
Year Established
Business Stage
Location
CLEAN TECH
Share Information
ASX:ECQ 6 month price chart
0.06
0.04
0.02
0.6
0.4
0.2
Apr 2011 May 2011 Jun 2011 Jul 2011 Aug 2011 Sep 2011
Code
Market Capitalisation
Current Share Price
52 Week High
52 Week Low
ASX:ECQ
3,641,287
$0.0290
0.1050
0.0240
As at 6 September 2011
23
Key Milestones & Investment Highlights• September 2010 - 1st order (1m units) Little Takas nappies distributed to
independent supermarkets
• October 2010 – Official product launch of Little Takas nappies and Bamboo
Baby wipes
• December 2010 – product stocked in 249 stores across Australia
• January 2011 – 2nd order (2m units) arrives in Australia
• January 2011 – new Little Takas website with global e-commerce functionality live
• February 2011 – first revenue deposited
• May 2011 – UK market launch
• July 2011 – New Managing Director appointed
• July 2011 – Asian market launch
• August 2011 – in discussions with major Australian retail chain
• September 2011 – Major wholesale chain Metcash agrees to carry the full
EcoQuest range
• September 2011 – The National Childbirth Trust in the UK has agreed to stock
and sell the Little Takas products on its website.
Latest News & Announcements• 18.5.11 EcoQuest enters UK market with Little Takas
• 23.5.11 Australian e-tailer to sell Little Takas
• 27.6.11 Little Takas to be showcased in maternity packs
• 20.7.11 EcoQuest appoints global chief executive
• 29.7.11 EcoQuest launches Asian market entry in Hong Kong
• 29.8.11 Metcash & The National Childbirth Trust to offer Little Takas
Board & Management:
Sylvia Tulloch - ChairmanMscRespected scientist and entrepreneur with over 25 years experience in the establishment and management of high tech businesses.
Keith Herbert - Global Managing DirectorHighly respected FMCG executive previously in charge of PZ Cussons commercial operations across Europe, the Americas, Asia and Australasia.
Matthew Hicox - General Manager & Sales Marketing Manager, AustralasiaOver 18 years in sales and marketing, particularly in the FMCG & Pharmaceutical sectors.
Michael Greenup - Director of Operations & Procurement 35 years experience of owning and operating successful businesses, including 12 years consulting and sourcing in China and Malaysia.
Further InformationTo learn more about this opportunity go towww.wholesaleinvestor.com.au and search for EcoQuest (ASX: ECQ).
CLEAN TECH
24
Executive SummaryKFSU Limited is a food ingredient company creating natural products from agriculture. KFSU’s
core competency is extracting fibre and concentrates from sugarcane, fruit and vegetables
for sale as ingredients to the global food industry. All products are natural, allergen free and
avoid the requirement for “E” numbers. KFSU is now actively supplying Japanese and Australian
customers and has entered it’s growth phase. The reason equity funding is required is for
increased capacity and growth, and to satisfy existing customer demand for our products in
Japan and Australia. Further production capacity will be funded out of retained earnings or
debt.
Competitive AdvantagesKFSU’s range includes individual products like Kfibre® which have very significant advantages
over competitors:
• Low Production costs
• Stable input costs
• Natural labelling - all jurisdictions
• Allergen free, chemical free processing
• No requirement for customers to use ‘E’ numbers on the ingredient panel
• Can be used with a wide range of food products without altering mouth feel or flavour
• Provides yield increases for baking and smallgoods customers (Kfibre® absorbs and retains
more moisture than any other natural product in this price range enabling customers to
reduce other input usage and costs )
• KFSU can track and trace products from farm to grocery shelf
• Simple to use by food manufacturers
Key Investment Highlights• High customer demand and recently confirmed 2011/12 sales forecasts
• Commercial sales have commenced in Japan and Australia
• Distributors have been appointed in Australia, New Zealand and Japan
• Customers in Japan, Australia, New Zealand and the UK have successfully used the product
• KFSU has pre-sold product into snack foods, small goods, chocolate and meat products
• KFSU will be trading profitably in 2011
• The IP has been registered and verified
• KFSU has a long term cane supply agreement with the Burdekin cane growers
• KFSU management are experienced at managing and growing small businesses
• R&D has shown further products are available for future launches and growth
Board & Management:
Gordon Edwards – Managing Director EngineeringBuilt, run and exited several SME’s.
Rod Lewis – Commercial DirectorBSc, Dip ManCorporate exec with high SME experience.
Hajime Masaki – Asian Sales DirectorSales qual/JapanUN Experience Japan / Tibet / Asia.
Janine Edwards – Company SecretaryManaged teams and 2IC Positions in SME’s.
Corporate StructureKFSU is a public unlisted company, with four direc-tors and an extensive international Advisory Board. All shareholders are issued with ordinary shares.
Exit StrategyKFSU is shaped for exit to competitors in three years. Key benefits to a buyer are the sugarcane fibre itself that others have tried but failed to emulate and the long term relationship base in Japan
Further InformationTo learn more about this opportunity, go to www.wholesaleinvestor.com.au and search for KFSU.
KFSU Ltd
Natural Food Ingredients
2006
Growth
Queensland, Australia
Growth Funding
Company Name
Sector
Year Established
Business Stage
Location
Seeking
NATURAL FOOD INGREDIENTS
25
RENEWABLE ENERGY
Executive SummarySun Connect Pty Ltd is a privately owned Australian importer and installer of solar power
components. Started in 2008 the company has over 70 employees and turnover north of $20
million for the current FY, double digit growth expected in 2012. Sun Connect has no debt and
strong operating financials. Offices in Perth, Sydney and Melbourne, a national installation
footprint, full Clean Energy Council membership and in the final stage of applying for ISO9001
Quality Accreditation. In June 2011 Sun Connect was a winner of the 2011 WA Business News
‘Rising Star’ Award - out of 400 entrants. Sun Connect is raising capital for the first time to fund
capital purchases and to expand ‘above the line’ advertising / marketing for further growth.
Competitive Advantages• Leading Australian solar provider in the niche premium space
• Able to boast the ‘5 Hallmarks of premium solar: ‘Highest Warranties, Output, Upgrade
Capacity, Quality, Levels of Service’
• Sales model contrary to the majority of ‘cheap’ market –– relationship-based selling/ support
rather than single-transaction based
• Average solar power system sale is 3.1kW and over $20,000 value – industry average is
1.7kW – reflecting premium space / nature of customer spread
• Completely unique direct sales and marketing models, including established marketing
assets
• First solar company in Australia to pioneer the ‘5 Year Customer Service’ SLA
• New trademark applications for protected marketing strategies
Key Investment Highlights• Past ‘start-up’ phase and in a sustainable and accelerating rapid-growth stage
• Contracted debtor sheet valued between $9M - $10M, with even spread to securitize capital
raising against
• No debt, strong financials and has operated at a healthy profit since its first year of trading
• Capital requirements will also be underwritten by large-scale state legislated solar subsidies
• 2 new business units are in the development stage - Energy Audits and Commercial Solar -
both expected to be government subsidized and booming new veticals
• Strong, well established brand and experienced management team to expand this brand
• Assets including patent pending IP starting to provide real returns, expanding into domestic
and international territories in a risk-averse, staged fashion
Sun Connect Pty Ltd
Renewable Energy
2008
Growth
Perth, Sydney & Melbourne, Australia
Company Name
Sector
Year Established
Business Stage
Location
Board & Management:
Mark Tuke - CEO BComFormer CEO of public software company, exit to Thomson Reuters. 16 years in business development - IT/tech enterprises in Australia & UK.
Gordon Impey - GMBCom, Hons BCom, MBATelkom (South Africa) / Eskom (national power provider, SA) as well as Australian management postings at Amcom, PerthIX, Elders.
Alistair Gibson - Strategic ManagerBachelor of Laws, Master of Technology ManagementFormerly Country Manager for Gurango Software, MD of Absalom Australia, corporate strategy consultant at PricewaterhouseCoopers.
Corporate StructureSole director, flat management structure, ownership structure is 3 shareholders, CEO (60%), Ops Manager (20%), Technical Manager (20%).
Exit StrategyExpand national footprint and growth in UK market - acquisition by integrated offshore cleantech manufacturer / distributor, or IPO.
Further InformationTo learn more about this opportunity go towww.wholesaleinvestor.com.au and search for Sun Connect.
26
CONSUMER GOODS
Executive Summary• EHNZ is a wholesaler/distributor of NZ milk powder products in the North Asia region
• Premium NZ milk powder products are in high demand in mainland China (in particular) and
other developed Asian nations
• EHNZ has signed a long term distribution agreement for Mi-NZ, a new NZ made premium
infant milk formula
• Strategic distribution alliance being finalised (letter of intent received) with a highly reputable
Chinese government owned trading company (SOE)
• Expressions of interest have been received from other mainland Chinese customers
• Lease terms agreed for a retail property and sales office located in a duty-free trading zone
on the border between HK and China to support own sales of Mi-NZ
Competitive Advantages• Low cost importer and distributor in key Asian markets
• Exclusive distribution rights for Mi-NZ IMF product range in Hong Kong, Macau, and 19
Chinese provinces; plus first right of refusal over Japan, South Korea, Taiwan and Singapore
• Strategic distribution alliance with a Chinese SOE
• IMF entry barrier overcome due to access to dairy product import license through Chinese SOE
• Retail shop and sales office in a duty-free trading zone on the border between Hong Kong
and China to support own sales of Mi-NZ
• Other strategic alliances with distribution and retail partners in mainland China
• Import duty removal from 2012 under FTA between NZ and China
Key Investment Highlights• Infant milk formula (IMF) is projected to be the fastest growing food and beverage segment in
China over the next five years
• NZ sourced premium IMF is viewed by customers as a proxy for quality
• EHNZ has secured exclusive distribution rights for Mi-NZ IMF product range in key markets
• Strategic alliance being finalised with a Chinese SOE to facilitate China Import and Quarantine
licensing, importation and sub-distribution in Southern China
• Negotiating further alliances in respect of other wholesale/retail distribution channels in
China to ensure that customers receive genuine quality premium NZ milk powder products
• Retail shop and sales office presence in Shenzhen, China, duty-free zone
• Immediate market opportunities in Hong Kong and China due to recent local IMF scandals
and contamination concerns over Japanese imported products
• Access to additional premium IMF brands to support alternative distribution channels
Eastern Harmony New Zealand Limited
Food and beverage
2011
Commercial – Phase 1
Australia, New Zealand, Hong Kong, China
Capital Raising
Company Name
Sector
Year Established
Business Stage
Location
Seeking
Board & Management:
Edward Stauber - CEOPreviously Vice President of Asia Pacific, Novartis Vaccines & Diagnostics
Randolph van der Burgh - CFOPreviously Partner, Ernst & Young
Michael Lees - COOPreviously Director Structured Asset Finance, HSBC Hong Kong
Linda Cheung - COO, HK & PRCSelf-employed marketing consultant for the past 15 years
Corporate StructureEHNZ is a New Zealand registered private company (CN 1550480)
Exit Strategy• The short to medium-term strategy is to grow the business naturally and/or by acquisition• Should the right opportunity arise, EHNZ would consider a sale to a strategic investor or IPO
Further InformationTo learn more about this opportunity, go to www.wholesaleinvestor.com.au and search for Eastern Harmony.
27
TECHNOLOGY
Board & Management:
Brett Schwarz - Managing Director and CEO Co-founder and instrumental in building the company since inception. 20 years experience in accounting and consulting.
Iain Kirkwood - Non-Executive ChairmanOver 35 years experience with listed and healthcare companies.
Dr Jason Chaffey - Chief Technical Officer Actively involved in MEMS technology for over 10 years. Extensive experience in government research and university research laboratories.
Joe Baini - Non-Executive DirectorOver 20 years experience in the pharmaceutical industry, focused on commercialisation, marketing and sales.
Further InformationTo learn more about this opportunity go towww.wholesaleinvestor.com.au and search for Bluechiip Ltd (ASX:BCT).
Bluechiip Ltd (ASX:BCT)
Technology
2003
Early Commercialisation Phase
Victoria
IPO Offering
Company Name
Sector
Year Established
Business Stage
Location
Seeking
Executive SummaryBluechiip has developed a groundbreaking asset tracking solution based around a chip which
offers unique features over traditional tracking methods of labels (hand-written and
pre-printed), barcodes (linear and 2D) and Radio Frequency Identification (RFID).
Bluechiip is a totally integrated tracking and management solution from identification, tracking,
retrieving, bio storage and monitoring, offering process assurance and operational certainty in
low temperature environments.
The inherent MEMS or microtechnology platform of the bluechiip technology allows the unique
identification of tagged items and tracking of critical factors, such as temperature, to provide
quality, assurance and custodianship.
Initial applications for the bluechiip technology are in the high-growth biobanking sector.
Current Projects• Secure adequate funding to ensure product and business development programs are
fully funded over the next 2 years
• Complete product development to point of having commercially saleable products
• Tooling up for high volume commercial production with manufacturing partners and OEM’s
• Perform industry pilot trials to continue to validate technology, from which white papers/
business cases as well as scientific papers can be prepared and endorsements provided
• Perform global business development activities to secure the initial target market of
biobanking, including securing distributors and channel partners
• Secure endorsement from end-users and Key-Opinion-Leaders (KOL’s)
• Ongoing protection and expansion of current IP
Key Investment Highlights• Validated large markets with immediate application in biobanking (one of fastest growing
areas in healthcare), with future applications in other healthcare areas, security/defence,
cold-chain logistics/supply chain, industrial and manufacturing
• Validated technology under extreme conditions and conducted successful pilot trials at
eminent Australian medical institutions including Peter Mac
• Ready for commercialisation - poised for volume production with global manufacturing
partners including STMicroelectronics
• Secured Ziath as first distributor and in active discussion with other major potential partners
• Secured valuable IP portfolio including granted patents, all wholly owned by company
• Management and Board of Directors have relevant experience to take company
into commercialisation
Code
Market Capitalisation
Current Share Price
52 Week High
52 Week Low
ASX:BCT
7,987,713
$0.1500
0.2500
0.1400
Share Information As at 6 September 2011
ASX:BCT 6 month price chart 0.22
0.20
0.18
0.16
0.14
0.12
0.08
0.04
Apr 2011 May 2011 Jun 2011 Jul 2011 Aug 2011 Sep 2011
28
TECHNOLOGY/FINANCIAL SERVICES
Executive SummaryEquiome is a specialist financier of all aspects of large corporate software projects, which
allows companies to realise immediate commercial benefits from the usage of the solution,
without the risk of project failure or the requirement for any capital investments. This, aligned
with Equiome’s rapid deployment methodology and partnering approach, creates a totally
unique customer value proposition that addresses the three biggest challenges facing
customers commencing large software projects; initial funding, alignment of costs to benefits
as well as project execution capabilities. This solution has major benefits for a wide range of
large corporations, both in Australia and Internationally.
Competitive Advantages• Equiome’s model is a totally unique and new way of resolving a business problem common to
large software project in most major corporations
• The solution is designed to easily scale, providing multiple streams of business benefits for
each customer
• Equiome is technology and vendor independent, giving customers more control
• Equiome funds all aspects of the software project
• Equiome charges a single monthly fee for all aspects of the solution
• It is one of the few approaches that look at the problem from a business benefit/output,
rather than a series on inputs
• Have developed a rapid deployment methodology, with a heavy focus on the realisation of
quantifiable business benefits
Key Investment Highlights• Highly experienced leadership team who clearly understand the market and the intrinsic
value of software projects
• Equiome is creating a new investment asset class, by transforming the current intangible
software assets, into tradeable commodities
• The model is based around initial and annuity revenue streams
• Equiome is in active discussions with a number of major Australian organisations for this
solution
• The model is based around the re-usability of solutions; small, incremental changes can
create significant value
• Equiome has invested significant time to create and develop relationships with major
companies to deliver this solution
• This model is absolutely unique, and has a substantial domestic and International market
Board & Management:
Steve Hanna - Managing Director A background of 25 years in IT, working for large technology vendors, holding key roles in software sales and vendor finance
Corporate StructureEquiome Pty Ltd is a privately held Australian company.
Exit Strategy: Equiome is aiming for revenue and asset growth, followed by a strategic trade sale in 3 – 5 years.
Equiome
Technology / Ecommerce / Finance
2007
Early Commercialisation Stage
New South Wales
Capital Raising
Company Name
Sector
Year Established
Business Stage
Location
Seeking
Further InformationTo learn more about this opportunity go to www.wholesaleinvestor.com.au and search for Equiome.
29
INTERNET/IT
Executive SummaryCollective Intelligence Group (CIG) specialises in wireless monitoring and reporting solutions
for mobile and remote assets. CIG solutions deliver operational and financial efficiencies to
partners and their customers. CIG is ‘the missing link’ in efficient asset management.
CIG has over 10 years proven capability with over 50% market share in its key market. CIG
technology is transformative enhancing the offerings of key partners such as Toyota, Nissan
and Linde Materials Handling, and of end-users including BHP Billiton, DHL and Fuji Xerox.
CIG is seeking new partnerships in sectors that it operates in - Industrial, Fleet, Utilities and
Inventory. Partners are industry participants seeking to improve performance, productivity &
compliance.
Competitive Advantages• Market Presence: Over 50% market share achieved in Australian forklift sector and ability to
leverage presence into new opportunities. CIG has established deep OEM, distributor and
end-user relationships
• World Class Technology: CIG is a transformative technology with its monitoring and reporting
capabilities. In tender scenarios, CIG products are often the only fully compliant option
• Compelling Benefits: Intelligent solutions save 90% of time-to-invoice, improve business
efficiency by 20%, reduce asset costs by 25% and reduce compliance costs by 50%
benefiting entire supply chain including the leasing company, the distributor, operators and
end-users
• Brand Recognition: Market visibility and name recognition for CIG
Investment Highlights• High Market Penetration: Existing key partners include Toyota, Nissan and Linde Materials
Handling
• Millions Invested: Product and business systems as well as fulfilment infrastructure in place.
Operations established in UK to serve Europe & US
• Strategic Value Creates Unique Market Footprint: Cost and operational efficiencies gained for
end users demonstrates strategic value for manufacturers, owners, and operators
• Expansive Market Potential: With multiple features meeting multiple needs across multiple
markets, CIG has successfully proven itself in the Industrial, Fleet, Utilities and Inventory
markets
• Partner Focused: Groups utilising CIG have a partner that is creative, responsive, forward
thinking, flexible and reliable in creating integrated, unique, intelligent solutions
Collective Intelligence Group P/L
Technology
2001
Expansion
Sydney, NSW
Commercial Partnerships
Company Name
Sector
Year Established
Business Stage
Location
Seeking
Board & Management:
James Hayes – Managing Director25 years in leading IT businesses. Built a world-class reputation with companies inc. Toyota, Linde, NSW Rail Authority and NSW Water Board.
Gary Squire – Director15 years in sales and senior management primarily in materials handling, dealing with top 100 companies. In UK for CIG targeting US & Europe.
Robert Hazell – Board Advisor40 years as Director of a Tier 2 construction company. An award winning leader within the Family Business Association of Australia.
Brad Klaffer – DirectorFinancial management expert with 10 years in IT & 15 years in CFO positions. Most notably with Hazell Bros when they made the BRW Fast50.
Corporate StructureCollective Intelligence Group P/L is the parent company with R&D and IP licensing responsibilities. There are 7 operational subsidiaries.
Exit Strategy: The priority is to capitalise on its current market leadership by expanding into new markets by product and by territory. Leadership in multiple markets makes CIG an attractive trade sale target.
Further InformationTo learn more about this opportunity go to www.wholesaleinvestor.com.au and search for Collective Intelligence Group.
30
Mint Wireless Limited (ASX:MNW)
Telecommunications/ IT
Early
Sydney, Singapore, Kuala Lumpur,
London
Company Name
Sector
Business Stage
Location
Executive SummaryMint Wireless Limited (Mint) is a global payments and mobile transactions company listed on
the Australian Securities Exchange (ASX: MNW). Mint’s core business specifically focuses on
the developed and emerging markets.
Our vision is “To become the largest, global micro-transactions processing company for the
poorly banked and cash economy”
Mint’s subsidiary, Intermoni is unique from other mobile money solutions that are evolving
globally:
• ‘Bricks and mortar’ deployment and front end, bridging market gaps between the developed
online world and the poorly banked, cash economy
• Scalable: self-service ‘plug-and-play’ cash acceptance kiosks – simple to operate with ability
for rapid deployment
• Focus on micro valued transactions below USD$20
Current Projects• Malaysia – First developing country deployment and roll out of micro-transaction terminals.
Malaysia is the 2nd largest remittance-sender country amongst developing countries with
~2.4 million migrants remitting $6.8 billion annually. Binding order received from distributors
in July 2011 for 3,000 terminals in Malaysia over the next 6 months (valued at ~ USD$5M).
• Opening new markets in Asia (discussions underway in Indonesia, Singapore, Hong Kong and
Vietnam markets) with further opportunity to scale globally.
• Advanced discussions with leading microfinance cooperatives in one of the most vibrant
microfinance countries in the world for the use of Intermoni’s micro-transaction terminals for
the repayment of micro-loans.
Key Milestones & Investment Highlights• Successful launch of Intermoni (fully owned subsidiary of MNW) in Singapore, focused on
deploying micro-transaction services to the poorly banked population of emerging markets
globally
• Acquisition of 51% of J&C Pacific in Malaysia, immediately providing the Company with
operations and revenues in Malaysia and mobile technology and infrastructure that the
Company will use as a base to develop its suite of micro-transactions services
• Excellent progress with terminal rollout: Orders received for 3,000 terminal in Malaysia over
the next 6 months and advanced discussions with key partners in other South East Asian
markets
• Capital raising: Balance sheet strengthened with over $2 million raised via institutional
placement and share purchase plan
Board & Management:
Terry Cuthbertson - Non-Executive Chairman B.Business, ACAChairman of seven ASX listed companies. Wide corporate finance experience (including merger and public offerings) as well as with the IT industry.
Alex Teoh - CEO & Managing DirectorB. Science (Information Systems / Finance)Extensive experience in Australasia with global management consulting practices specialising in the IT & Telco sector.
Dr. Seng Chuan Tan - Non-Executive Director Mechanical engineering, Masters and Ph.D in Engineering and ScienceExecutive Director of Malaysian KLSE listed Insas Berhad. Wide experience in the IT and payments industry.
Andrew Teoh - Executive DirectorBachelor of Commerce (Accounting/ Finance)Extensive experience with emerging consumer and telecommunication technologies with prior experience in the pre-paid Telco industry.
Further InformationTo learn more about this opportunity go towww.wholesaleinvestor.com.au and search for Wireless Limited (ASX: MNW).
INTERNET/IT
Share Information
Code
Market Capitalisation
Current Share Price
52 Week High
52 Week Low
ASX:MNW
20,673,181
$0.0830
0.1500
0.0200
As at 6 September 2011
ASX:MNW 6 month price chart
0.10
0.05
0.00
-0.05
3
2
1
Apr 2011 May 2011 Jun 2011 Jul 2011 Aug 2011 Sep 2011
31
TECHNOLOGY
Board & Management:
International BoardSteve Millard (Founder) AU Former Head EPIC Records AustraliaRupert Perry (Chairman) US Former Head EMI Music US|Euro|UKBob Jamieson US Former Chairman RCARichard Rowe Former Global President Sony/ATV PublishingJim Caparro US Founder Def Jam Music/CEO Polygram/Island Def Jam Ryan Dudley US Global Tax Lawyer NYDavid Simpson AU Fmr Snr Managing Partner, Freshfields SingaporeChris Moss AU Former MD Warner Music Australia
Advisory BoardDr Tom McKaskill AU Author | Entrepreneur | StrategistChris Adams US Media Pioneer | Film Industry ExecutiveTim Eldridge US Ad Agency | Brand + Communication Strategist
Corporate StructureBecause Group International is an Unlisted Public Company.
Exit StrategyIt is the intention of the Board to list on a suitable exchange at an appropriate time. A number of vertical markets have been identified where Skyhub could provide a high value capability.
Further Information:To learn more about this opportunity go towww.wholesaleinvestor.com.au and search for Because Group International.
Because Group International Ltd
Global Media
2005
Expansion, Pre-IPO
Sydney, Australia
Pre-IPO Funding
Company Name
Sector
Year Established
Business Stage
Location
Seeking
Executive SummaryBecause Group International Ltd (Because Group) is a global digital media distribution company
with operations in the US, the UK and Australia. Because Group has developed a unique global
distribution infrastructure for media content online.
Because Group is the parent company of the Skyhub Digital group of companies, Echospin™
(NY) and has contracted to purchase Push Entertainment™ (UK). The combination of online business
technologies controlled by Because Group is branded as the digital future solution (dfs™).
Competitive Advantages• Internationally recognized Management Team with strong links in the Media +
Entertainment Industry
• Global Technical Team with experience in online business API’s and payment technologies
• Mature proven platform and payment gateway that is versatile to the needs of M&E owners
and provides a fast-track solution for any M&E owner, aggregator and retailer to participate in
paid digital distribution
• Enables movie rental brands (Movie Retailers) to sell direct to consumers
• Enables content streaming brands (Internet Service Providers, Telco’s) to sell direct to
consumers
• Offers better cash flow & faster payments to content owners – 5 months down to 72 hours
• Currently doing business in the US, Canada, UK and Australia with Universal, EMI, Warner
Key Investment Highlights• $5.5 million raised to date.
• Because Group USA established September 2010
• Sony Music Approved Global License & acquisition Bandit.FM digital platform
• Skyhub Digital stage 1 complete
• Global Payment Gateway - Stage 1 complete
• Global Bank Network - Stage 1 complete
• Trading enabled to 54 countries
• International Board assembled
• Acquisition of Echospin October 2010
• Push UK Acquisition - Term sheet signed Nov 2010 - (www.pushentertainment.com)
• EMI Global distribution agreement signed
• Universal USA distribution agreement signed
• EPIC records (Sony Music USA) utilising platform
• Granted patents for digital media distribution
32
Web Solutions Your Online Success
TECHNOLOGY/FINANCIAL SERVICES
Executive SummaryExa is Australia’s largest Online / Apps / Web / Mobile company, with over 1000 clients.
Exa generates significant recurring revenue from its client base and is ranked at the top of
Google for online marketing, tools and technologies.
Exa operates 24x7, 365 days per year, is the most efficient player in its space and has unique
ecommerce solutions for a range of social media and smart phone technologies.
The business maintains high margins due to over $10M+ invested in back end & support
systems.
Exa is well positioned to capitalise on the rapid growth in the digital economy and is seeking to
raise up to $2M for product and geographic expansion.
Competitive Advantages• Senior Management are equity holders
• Leading edge technology (Online / Apps / Mobile)
• Cost Efficient
• National Footprint
• Brand
• Broad client base
• Explosive growth in mobile apps
• Genuine 24x7x365 operations
Key Investment Highlights• Experience Board & Management Team
• International Market Potential
• Blue Chip Client Base (top tier banks)
• Multiple revenue streams
Further InformationTo learn more about this opportunity go to www.wholesaleinvestor.com.au and search for Exa Web Solutions.
Exa Web Solutions
Internet, Technology
2000
Expanding
Melbourne, Australia
$2 million
Company Name
Sector
Year Established
Business Stage
Location
Seeking
Board & Management:
Peter Ball - Managing Director M.D.25 years of building successful technology companies.
Mitch How - CFOLawyer and CPA4 years at EXA. Similar previous roles in Media, Music & Tourism in Australia, UK & Europe.
Jim Vincent - Special Operations Manager B.Sc, Maths, Physics & Comp 30 Years @ IBM. Programs in 22 languages, 6 patents and extensive patent work.
Corporate StructurePrivate Company Limited by shares.
Exit Strategy: Exa aims to list on a suitable exchange at an appropriate time.
33
TECHNOLOGY
Executive SummaryQanda Technology owns 2 operating businesses.
Marketboomer provided online procurement services and technology to hotels in 11 countries.
Customers such as Intercontinental, Starwood, Mirvac and Hyatt hotels save money through
better pricing and process improvement. They also maintain robust workflow and auditability. It
generates revenues through annual recurring license fees charged to buying hotels as well as
turnover-based fees charged to suppliers.
Webspy sells it’s Vantage software globally that allows companies to report on network
Internet usage across all staff and networks. This enables them to better optimise network
bandwidth, speed and costs. It also allows forensic analysis of network traffic. Compliance,
Duty of Care and Security are all improved with its reporting suite.
Current Projects• Launch Marketboomer in the USA via existing customers such as Starwood Hotels and
Resorts
• About to release multilingual capability in Marketboomer to drive South East Asia sales
• Implement excellent mobile reporting dashboards for customers executive level users
• Increase Webspy sales in USA via combined direct and channel sales efforts
• Launch of new streamlined global pricing and simplified product range for Webspy
• Restructuring company entities to eliminate unnecessary costs and administration and tax
• Consolidating reporting and internal systems to drive corporate efficiency
Key Miles Stones & Investment Highlights• Recently restructured to reduce annualised costs by over $2.4m
• US market potential 20 times Australian run rate. Ready to implement US growth strategy.
• Webspy generating 1.4m in sales with only 5 staff and ready to grow
• Technology platform update nearing completion to increase web based sales chennel
Board & Management:
Nathan Gyaneshwar - CEO & Executive DirectorNathan founded Marketboomer in 1997 and has extensive mgt, cost control and procurement experience.
Ben Donovan - Non-Executive DirectorBen holds a B.Commerce in Finance and Commercial Law. He is a Chartered Secretary with ASX experience.
Kim Redstall - Non-Executive Director Kim has significant operational, sales, marketing, and M&A experience in the technology sector.
Declan Monahan - Non-Executive Director Declan has over 20 years experience in senior mgt roles in the hospitality, education and IT sectors.
Further InformationTo learn more about this opportunity go to www.wholesaleinvestor.com.au and search for Qanda Technology.
Qanda Technology Ltd (ASX:QNA)
Technology
2000
Sydney
Company Name
Sector
Year Established
Location
Code
Market Capitalisation
Current Share Price
52 Week High
52 Week Low
ASX:QNA
3,093,532
$0.0050
0.0180
0.0040
Share Information As at 6 September 2011
ASX:QNA 6 month price chart
0.04
0.03
0.30.4
0.20.1
0.03
0.02
Apr 2011 May 2011 Jun 2011 Jul 2011 Aug 2011 Sep 2011
34
Executive SummaryIntellect Projects is a property development company specialising in residential apartment
and retail developments within the inner suburbs of Melbourne. We have 25 year track
record of successful property development and have forged a reputation for quality projects
underpinned by an intimate knowledge of our target market and long-standing industry
relationships.
Intellect is entering an exciting next growth phase and is seeking co-investment to launch
our current project, a boutique apartment complex located within 10kms of the city centre.
Intellect seeks to strongly align its interests with those of investors and to this end, is offering
an attractive profit share return structure on this development.
Competitive Advantages• 25 yrs+ experience in property development within the inner city suburbs of Melbourne.
• Off market development opportunity.
• Wholesale purchase rates.
• Management undertaken by an experienced board and consultants.
• Partnering with an experienced developer and other investors increases your ROI and de
creases risk.
Key Investment Highlights• The Fund will be managed on a performance basis meaning that investors will receive a
return on their capital before any performance fee can be awarded to the Manager. After the
initial hurdle return has been distributed, the Unit Holders will then be given an additional
share of the Final Net Proceeds (Net Profit) of the Fund through their holding of Ordinary
Units.
• Our current project and investment opportunity has progressed to a point where it is signifi
cantly derisked and awaits the addition of capital to execute.
• Proven market demand for finished product (quality $450K-$850K residential apartments
close to CBD)
• Majority of the apartments are pre-sold prior to construction, allowing a more accurate return
and a settlement of the pre-sold apartments soon after completion of construction.
• This project offers the opportunity to form a relationship with a quality developer and to
invest in future projects.
Intellect Projects Pty Ltd
Property Development
2004
Ongoing
Inner Melbourne
Strategic Investors & Fund Managers
Company Name
Sector
Year Established
Business Stage
Location
Seeking
Board & Management:
Peter Motalli - Managing Director Registered Commercial & Residential BuilderHas over 25 years experience in the building industry and has been developing inner city projects through the last 16 years.
Stan Zaslavsky - Marketing AdvisorLicensed Estate AgentHas over 10 years of marketing development property experience.
Corporate StructureThe investment fund is structured as a unit trust and is an unregistered managed investment scheme under the provisions of the Corporations Act 2001.
Exit StrategyOnce all the apartments in the development are sold and all profits after costs and fees are realised, investors can withdraw their equity and any capital gain. Target project completion is 18-24 months.
Further InformationTo learn more about this opportunity go towww.wholesaleinvestor.com.au and search for Intellect Projects.
PROPERTY
35
PROPERTY
Executive SummaryBlackWall SPORTSMED Property Trust is a fixed term property investment trust that has
contracted to acquire the SPORTSMED Hospital and adjacent SPORTSMED Clinic in South
Australia, a leading orthopaedic and sports injury practice with over 130,000 patients per year.
The Trust is forecast to generate tax effective distributions starting at 9% per annum paid
quarterly. Investments are not diluted by acquisition costs and an initial investment of $1.00
per Unit will be backed by 100 cents of NTA. Rental income is forecast to grow by at least 3% per
annum. BlackWall is a real estate investment linked to the fast growing and non-discretionary
healthcare industry.
Competitive Advantages• Strong lease covenant to a highly regarded operator on a triple net lease with 20 year term.
SPORTSMED was rated as the No.1 private hospital in a recent Medibank survey.
• Alignment of interest. SPORTSMED has first rights of refusal to purchase the asset as a co-
owner and will retain 25% ownership.
• BlackWall is a vertically integrated property funds management business. Its directors and
senior managers have structured and managed direct property investment since the early
1990’s. Trusts structured by Blackwall of a similar type have paid all distributions through the
GFC and shown strong capital growth.
• As a special offer to Wholesale Investor subscribers BlackWall will rebate brokerage of 2% to
each investor investing through the special Wholesale Investor webpage. With this offer the
total cash return in the first year will increase to 11%.
Key Investment Highlights• Strong cash yield of 9% pa paid quarterly with tax benefits.
• The Trust is structured to minimise transaction costs and, as such, investors’ initial NTA is
100 cent per $1 invested thus enhancing capital returns.
• The trust has been given a AA- rating by Property Investment Research (PIR) which indicates
that PIR believes it is an above-average grade product, exceeds the minimum requirements
of its review in a number of key evaluation parameters and has an above-average risk/return
trade-off.
• The Trust should be able to consistently generate above-average risk adjusted returns.
Board & Management:
Stuart Brown - Chief Executive Officer and DirectorMore than 15 years experience in property investment. Involved in debt and equity raisings on listed and unlisted property valued at more $500 million. Formerly with leading law firms Mallesons and Gilbert & Tobin.
Richard Hill - Independent Chairman and Non-Executive DirectorExtensive investment banking experience in the US and Hong Kong. Founding partner of corporate advisory firm Hill Young & Associates. Chairman of the Westmead Millenium Institute for Medical Research.
Joseph (Seph) Glew - Non-Executive Director Over 20 years experience in the commercial property industry in NZ, Australia and the US. Non Executive director with a number of listed companies in NZ and Australia.
Robin Tedder - Non-Executive Director Over 30 years experience in investment and financial markets. Chairman of Vintage Capital and a former member of the ASX.
Corporate StructureSingle asset special purpose trust registered as a Managed Investment Scheme under the Corporations Act 2001.
Exit StrategyAsset sale on expiry of the 7 year term.
Further InformationTo learn more about this opportunity go to www.wholesaleinvestor.com.au and search for BlackWall.
BlackWall SPORTSMED Property Trust
Real Estate/Medical
2011
Adelaide , South Australia
$10.6 million
Company Name
Sector
Year Established
Location
Seeking
36
Executive SummaryTRAC Financial Group Ltd (TRAC) is an Australian domiciled specialist portfolio and fund
management firm. Utilising exceptional prior performance, the TRAC Absolute Return Fund
was launched oversubscribed in November 2009. Since inception until 31 May 2011, this fund
returned to investors 102.54%.
TRAC is now pleased to announce the launch of the TRAC Absolute Return Fund – Issue 2,
providing investment exposure to the manager’s successful trading strategies.
Competitive Advantages
Key Investment Highlights• Alternative asset exposure, diversifying against traditional investment strategies.
• Aims to provide investors with consistently high returns irrespective of global market
conditions, with moderate levels of risk.
• Targets a return above the global asset class with the strongest performance.
• Aims to achieve this target by successfully employing discretionary; systematic; arbitrage;
and event driven trading strategies, while continually remaining market neutral.
• Trades across asset classes and over a wide but familiar spectrum of markets around the
globe.
• Will not be limited to the adherence of any specific investment philosophy, but rather
focus on the most effective method of generating profits within the parameters of its risk
management system.
FUND MANAGEMENT
Board & Management:
Thomas Coughlin - Chief Investment Officer 10 + years experience in the Investment and Fund Management industry. Sits on the board of four public investment and commodity public companies.
Michael Coughlin - Company Secretary 37 years experience in the Accountancy and Financial Services industries. 33 years as principal.
William Ralston - Non Executive DirectorProminent Queensland businessman and property developer for 35 + years.
David A Charles – DirectorLLB (commercial); GD Legal PracticeActed for some of the world’s largest and most prominent entities across four continents. An experienced director and a dynamic business oriented lawyer, with a focus on corporate governance.
Corporate StructureTRAC Absolute Return Fund – Issue 2 is a Unit Trust with TRAC ARF 2 Pty Ltd as Trustee. TRAC Financial Group Ltd is the manager.
Exit StrategyMonthly redemptions are available to all investors.
Further InformationTo learn more about this opportunity go towww.wholesaleinvestor.com.au and search for TRAC Financial.
TRAC Financial Group Ltd
Fund Management
2009
Expansion
Brisbane
Investment Funds
Company Name
Sector
Year Established
Business Stage
Location
Seeking
37
PROPERTY
Executive SummaryFolkestone is a real estate investment, development and funds management company listed
on the ASX (Code: FLK).
Following an Extraordinary General Meeting of Shareholders in March 2011, the New Board and
senior management have recapitalised the Company by successfully raising $31.5m and are
now implementing a new strategy to enable Folkestone to take advantage of the attractive
opportunities created by the dislocation in real estate and financial markets across:
• investment types: direct investment, joint ventures and co-investing in Folkestone managed
funds;
• capital structures – ordinary equity, preferred equity and mezzanine debt; and
• sectors – office, retail, industrial, residential and social infrastructure.
Folkestone’s on balance sheet activities will focus on value-add and opportunistic investments
while Folkestone’s funds management platform (Equity Real Estate Funds Managament) will
offer real estate funds to private clients, high net worth individuals and select institutional
investors across core, value-add and opportunistic real estate investments.
The focus of Folkestone’s investment strategy will be on delivering capital growth for
Shareholders. Folkestone will target an after-tax return on equity of 15% per annum on a rolling
three year basis.
Current Projects• Clifton Hill – Melbourne (residential apartments)
• Altona North – Melbourne (bulky goods/industrial)
• Mickleham – Melbourne (industrial land)
• Karratha - WA (residential accommodation)
• Officer – Melbourne (residential land sub-division)
• Tivoli Development Fund (residential development fund)
Key Investment Highlights• New experienced board and management team
• Alignment of interest – senior management own more than 12% of the Company
• Unique offering in the listed real estate sector
• Positioned to capitalise on attractive real estate opportunities
• Exposure to funds management platform – Equity Real Estate Funds Management
• Strong investment sourcing capabilities
Company Name
Sector
Year Established
Business Stage
Location
Board & Management:
Garry Sladden - Non-executive Chairman Garry is a business and strategic adviser who has a diversified business background in the areas of real estate, private equity, banking and finance.
Greg Paramor - Managing DirectorGreg has been involved in the real estate and funds management industry for more than 40 years. Greg was the CEO of Mirvac between 2004 and 2008.
Ben Dodwell - Head of PropertyBen has been responsible for the development of retail centres, integrated mixed use and apartment projects at Lend Lease and Stockland.
Adrian Harrington - Head of Funds ManagementAdrian is the former CEO of Funds Management, US and UK at Mirvac and has more than 18 year experience in funds management and real estate industries.
Jonathan Sweeney - Chief Operating OfficerJonathan has more than 24 years experience in the finance services industry and was the former Managing Director of the Trust Company from 2000 to 2008.
Further InformationTo learn more about this opportunity go towww.wholesaleinvestor.com.au and search for Folkestone (ASX: FLK).
Folkestone
(ASX:FLK)
Property
1960 – listed on ASX June 2000
ASX Listed
Australia
Code
Market Capitalisation
Current Share Price
52 Week High
52 Week Low
ASX:FLK
33,375,251
$0.0900
0.1500
0.0850
Share Information As at 6 September 2011
ASX:FLK 6 month price chart
0.12
0.10
0.08
0.06
1.2
0.8
0.4
Apr 2011 May 2011 Jun 2011 Jul 2011 Aug 2011 Sep 2011
38
Executive SummaryThe Company operates in the franchise industry and offers three (3) key services:
• Licensees –– Bizpanel owned Franchises with a Licensee acting as the “Franchise Manager’
under agreed terms; and
• Franchisees –– Providing a below 80% Loan to Value ratio, loan for the purchase of an
approved Franchise License. The Franchisee under this arrangement holds the Franchise
License directly and the Company takes a fixed charge over the Franchise as security; and
• Business Support –– Essential services such as bookkeeping and accounting in addition to
desired services such as business planning, business coaching and sales training
The goal of Bizpanel is return based, therefore each of the 3 key services aims to deliver a
minimum return.
Competitive Advantages• Preferential agreements and terms with Franchisors;
• Exclusive funding agreements with franchisor;
• Highly skilled management team professionals;
• High scalability and no direct competition
• Business Support services tracks financial performance to the franchise;
• Bizpanel always retains the right to take-back the Franchise Business, appoint external
management, sell or dispose of the asset.
Key Investment Highlights• Franchise industry specific
• Below 80% loan to value ratio
• Investor places 100% of investment on term deposit for the term of the debenture
• Dual income stream from bank deposit rates and investment
• Foreign exchange options available for offshore investors
• Investors can nominate their preferred franchise
• Franchise sector anticipates double digit growth for 2012
• Investment return expected from 12% pa for funds held on term deposit as security or up to
17,5% pa for direct investment.
• Suitable for superannuation including self managed superannuation
FUND MANAGEMENT
Further InformationTo learn more about this opportunity go towww.wholesaleinvestor.com.au and search for Bizpanel Limited.
Bizpanel Limited
Finance and Investment
2011
Operational and seeking investors
Sydney
$5m initial
Company Name
Sector
Year Established
Business Stage
Location
Seeking
Board & Management:
Matthew Holland - M. Director Financial Planner, RG 146 Diploma financial ServicesThe largest multi franchise owner for a major franchise. Matthew sold in 2011 yielding the largest multi million dollar trade sale for the franchise group.
Chris Kalpage - DirectorSolicitor Chris Kalpage a Solicitor with the Law Society of New South Wales for the past 27 years.
Andrew Garouniatis - DirectorAccountant CorporateAndrew has worked with Blue Chip organisations for the last 26 years. A member of the Institute of Public Accountants.
Anita Olsen - Director Accountant / CPAAnita Olsen started in her accounting practice in 1994 as a registered tax agent and accountant.
Corporate StructureAn unlisted Public company and financial services license number 404453. Daily management is undertaken by Directors Matthew Holland and Chris Kalpage.
Exit StrategyDebentures:Fixed Three (3) or five (5) year term;From 12% - 17.5% per annum;Paid Quarterly, bi annually or annually: May be redeemed early upon application to Bizpanel and the bank.
39
FUND MANAGEMENT
Executive SummaryBullion Capital Limited (BCL) is an Australian domiciled specialist bullion brokerage and fund
management firm. Capitalising on its unique position and strategic advantages within the
physical precious metals industry, BCL is pleased to offer a range of precious metal Bullion and
Ore funds exclusively to Sophisticated and Professional investors.
All funds have investment strategies implemented to provide a relative return over their
underlying spot bullion price, while providing the highest level of quality assurance and safety
in the industry.
Current FundsBCL is offering investment in the following physical precious metal funds:
• Gold Bullion
• Silver Bullion
• Platinum Bullion
• Gold Ore
• Silver Ore
• Platinum Ore
Key Investment HighlightsBullion Funds:
• The investment objective is to marginally outperform the underlying inter-bank bullion spot
price, while providing the safest, most flexible and cost effective allocated bullion
investment vehicle available globally.
• The funds have an exclusive market making agreement with Australian Bullion Exchange
(ABX).
• Real-time trading with 3 day settlement.
• Monthly physical delivery and vault inspection available.
• Currency hedging available.
Ore Funds:
• The investment objective is to significantly outperform the underlying inter-bank bullion spot
price, while providing a safe allocated bullion investment vehicle.
• Sources unrefined metal and sells to refiners at a profit.
• Supply agreement in place with Australian Bullion Refinery.
• Currency hedging available.
Company Name
Sector
Year Established
Business Stage
Location
Seeking
Board & Management:
Thomas Coughlin - Chief Investment Officer 10 + years experience in the Investment and Fund Management industry. Sits on the board of four public investment and commodity public companies.
Dylan Kelly - Technical ManagerBBus Com, GCME, M.ScMining financial evaluation specialist. International and cross cultural experience in a variety of commodities and operating environments.
Michael Coughlin - Company Secretary 37 years experience in the Accountancy and Financial Services industries. 33 years as principal.
William Ralston - Non Executive DirectorProminent Queensland businessman and property developer for 35 + years.
David A Charles – DirectorLLB (commercial); GD Legal PracticeActed for some of the world’s largest and most prominent entities across four continents. An experienced director and a dynamic business oriented lawyer, with a focus on corporate governance.
Corporate StructureThe Bullion Capital Funds are Unit Trusts with corporate Trustees. Bullion Capital Limited is the manager of the Funds.
Exit StrategyBullion Funds - Real-Time trade execution with 3 day settlement, plus monthly physical delivery available.Ore Funds - Monthly redemptions.
Further InformationTo learn more about this opportunity go towww.wholesaleinvestor.com.au and search for Bullion Capital Limited.
Bullion Capital Limited
Fund Management
2010
Expansion
Brisbane
Investment Funds
40
Executive SummarySince opening the initial public offer (IPO) for Flinders Exploration Limited (FEX) in October 2010
the phosphate and diamond asset base of the Company has been strengthened by continued
exploration. This has upgraded our existing Copper Claim prospect in SA to prefeasibility study
status. The Company has also gained the right to acquire two new gold projects; the Black Cat
gold development project near Coolgardie in WA and the Porters Mount gold exploration project
in the central Lachlan area of NSW.
Current Projects• Copper Claim is located in the southern Flinders Ranges, and has potential for an oxide body
of 10 to 20 million tonnes at a grade of 0.25% to 0.35% copper and contains an Inferred
Mineral Resource of 22 million tonnes at an average grade of 0.25% copper. On listing the
Company will commence a prefeasibility study into developing the project.
• Black Cat has the potential for near term development of a JORC-compliant gold resource
(317,000 tonnes at 2.1 g/t Au). FEX has carried out a scoping study from which gave a
positive result.
• Porters Mount is located in the major copper-gold province of central New South Wales and
has the potential for discovery of a large porphyry copper-gold body.
• FMS JV: FEX’s assets lie in the JV Agreement with FMS which is subject to the successful
raising of capital and listing. FEX can acquire a 51% interest by spending $3.5 million in
two years and a total 75% interest by spending a total $6.0 million on exploration within a
total three years. The JV contains a substantial tenement package which is prospective for
phosphate, diamonds, copper and gold.
• Further Details: FEX is seeking to raise $5,000,000 by the offer of 25,000,000 shares at a
price of 20 cents per share and will accept oversubscriptions of a further $2,000,000.
Key Investment Highlights• Objective: to achieve sustainable production ASAP
• Copper Claim: Prefeasibility study, including drilling and column leach tests, mining lease
application.
• Black Cat: Prefeasibility study, pit optimisations, extension drilling, mine design – followed by
contract mining, ore haulage and toll treatment and production
• Porters Mount: Deep drilling at 200-500 metres depth searching for a world class target
• Diamonds and Phosphate: Bulk sampling and drilling leading to follow up work.
MINING
Board & Management:
Andrew Andrejewskis – ChairmanAndrew brings 43 years of experience in senior roles in the resources industry and government.
David Tucker - Managing DirectorDavid is a minerals geophysicist and has more than 37 years experience in the minerals exploration industry.
Kevin Wills - Executive DirectorKevin has 36 years experience and was the former Managing Director of Flinders Mines.
Further InformationTo learn more about this opportunity go towww.wholesaleinvestor.com.au and search for Flinders Exploration.
Flinders Exploration
Mining
2009
IPO
Adelaide, SA
IPO Capital
Company Name
Sector
Year Established
Business Stage
Location
Seeking
EARLY BOOKING RATE: $295*AVAILABLE UNTIL 31 AUGUST 2011
Register immediately as places are limited.
* GST inclusive. Conference fee includes attendance at the two
day conference, meals, networking function, conference program
and research notes.
For further information and to register visit www.microcapconferences.com or call 03 8352 7140
Event Partners
Media Partner
Professional investors are invited to attend the
2nd Annual Australian Microcap Investment Conference
OVER 2 DAYS:
Tuesday, 18 October 2011 andWednesday, 19 October 2011 Sofi tel Melbourne On Collins, Melbourne
• Adelaide Energy Limited (ADE); an oil and gas exploration and production company focused on the Otway and Cooper Basins in South Australia.
• Advanced Braking Technology Limited (ABV); is dedicated to the development of innovative braking systems including the Sealed Integrated Braking System (SIBS®).
• Australian Power & Gas Company Limited (APK); Australia’s leading electricity and gas provider. Ranked number one on BRW’s 2010 Fast 100 List.
• Central Petroleum Limited (CTP); a junior exploration and production company operating the largest holding of prospective onshore acreage in Australia totalling over 70 million acres.
• Circadian Technologies Limited (CIR); is a biotechnologies company focused on the treatment of cancer and other serious human illnesses.
• Diploma Group Limited (DGX); a leading property development, construction and realty company with a diverse commercial, retail and residential portfolio.
• Gold Road Resources Limited (GOR); a gold exploration company focused on the Yamarna Belt in WA.
• Healthzone Limited (HZL); Australia’s leading natural products distributor, franchise retailer and producer of health, beauty and natural products.
• Integrated Legal Holdings Limited (IAW); is focused on the steady and selective acquisition of legal fi rms to develop a national network of law fi rms.
• Ipernica Limited (IPR); extensive global activities focused on generating revenue from intellectual property (IP) rights.
• Jumbo Interactive Limited (JIN); a successful online lottery business that has created the hugely popular Oz Lotteries website.
• MNET Group Limited (MNZ); Australia’s leading full service mobile solutions company and partner for many of the world’s leading telecommunication carriers and media companies.
• NewSat Limited (NWT); Australia’s largest independently operated satellite communications company.
• Neon Energy Limited (NEN); a petroleum exploration and production company with oil and gas interests in Vietnam and California.
• Patrys Limited (PAB); a biotechnology company with its core technology to identify and harvest antibodies produced by the human body in response to tumours.
• Praemium Limited (PPS); a specialist in the provision of investment administration and portfolio management services to Australia’s leading fi nancial institutions.
Companies presenting include:
The smart money knows that some things are best kept to oneself. Perhaps that’s why you might not know about the broker that’s quietly become one of Australia’s leading financial services firms.
Patersons Securities has been Australia’s most active in new capital raisings since 2007 and raised in excess of $6.6 billion in over 760 new issues over the past decade. Patersons has frequently been ranked first by number of new equity issues in Australia and continues to be so in 2010 with 16.4% of the market.
Our Research team was recently awarded #1 stock picker in the Real Estate sector, #1 stock picker in the Metals and Mining sector and #2 stock picker in the Energy sector at the 2010 Thomson Reuters StarMine Analyst Awards.
To be eligible to participate in Patersons new deal flow you must have net assets of at least $2.5 million or gross income of $250,000 or more for each of the last two years.
This is intended to provide general advice only, and has been prepared without taking account of your objectives, financial situation or needs and therefore before acting on advice contained in this advertisement you should consider its appropriateness having regard to your objectives, financial situation and needs. You should only seek to participate in offers as a sophisticated investor if you have previous experience in investing in securities, so you can assess the merits of an offer, the value of securities, the risks involved in accepting the offer, the adequacy of the information in respect of the offer and whether it is suitable to your circumstances.
Patersons Securities Limited ABN 69 008 896 311 AFSL No. 239 052 Participant of ASX Group; Participant of NSX Group; Stockbrokers Association of Australia Principal Member; Financial Planning Association Principal Member
www.psl.com.au T H E AU ST R AL I A N STO C KB RO KE R
Never heard of the most active broker in new capital raisings?
To receive a complimentary sample of our research or to talk about Patersons new deal flow, please contact Marco Longo or Michael Brindal on 03 8803 0167 or email [email protected].
The smart money likes it that way.
43
Company Name Code Business Stage Sector
Listing Index
Mining
Global Media Distribution
Biotech
Biotech
Healthcare/Biotech
Financial Services
Property
Technology
Funds Management
Clean Technology
Technology
Biotech
Cleantech
Cleantech
Clean Tech
Food / Diet Programs
Cleantech
Technology
Cleantech
Professional Services
Resources
Biotech
Property / Development
Biotech
Gaming
Biotech/Healthcare
IT
Biotech
Biotechnology
Technology
Mining
Financial Services
Agribusiness
Healthcare
Healthcare/Biotech
Baraka Energy & Resources Ltd (ASX: BKP)
Because Group International
Benitec Bipharma
BioDiem Ltd
Bionomics Limited (ASX:BNO)
Bizpanel Limited
BlackWall SPORTSMED Property Trust
Bluechiip Ltd
Bullion Capital
Carbon Conscious Ltd (ASX:CCF)
Collective Intelligence Group
Cynergy Health
Diamond Energy
Eastern Harmony NZ Ltd
Eastland Medical Systems Limited (ASX:EMS)
EcoQuest Limited (ASX:ECQ)
Equiome
Exa Web Solutions
Flinders Resources (ASX: FEX)
Folkestone (ASX: FLK)
Forza Capital Pty Ltd
Global Kinetics Corporation
Intellect Projects Pty Ltd
Jubilent Health Australia Ltd
KFSU Pty Ltd
Mesthynes Ltd
Mint Wireless Limited
Photonz Corporation Ltd
Phylogica Limited (ASX:PYC)
Qanda Technology Ltd
Sun Connect
Third Link Growth Fund
TRAC Financial
WH Medical Pty Ltd
Xenexus Pharmaceuticals Ltd
BKP
BCI
BLT
BDL
BNO
BZP
BWS
BCT
BUL
CCF
CLG
CYN
DIA
EHNZ
DIA
ASY
ECQ
EWS
ERJ
EQU
FEX
GKC
INP
JHA
JIN
MSY
MNW
PTZ
PAB
QNA
RXL
TLG
TFF
WHM
XNP
BKP
BCI
BLT
BDL
BNO
BZP
BWS
BCT
BUL
CCF
CLG
CYN
DIA
EHNZ
DIA
ASY
ECQ
EWS
ERJ
EQU
FEX
GKC
INP
JHA
JIN
MSY
MNW
PTZ
PAB
QNA
RXL
TLG
TFF
WHM
XNP
Further InformationFor information on these and other opportunities, go to www.wholesaleinvestor.com.au
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