romeo power spac investor presentation

6/3/22. Nikola Completes Acquisition of Romeo Power, Nikola 2 Truck OEM Companies include Volvo, Paccar, Traton and Navistar . The recipient also acknowledges and agrees that the information contained in this presentation is preliminary in nature and is subject to change, and any such changes may be material. 15-12G. Stockholders, potential investors and o the r interested persons should read the proxy statement/prospectus carefully when it becomes available before making any voting or investment decision. This non - GAAP financial measure should not be considered in isolation from, or as an alternative to, financial measures determin ed in accordance with GAAP. 2 Important Notice This presentation (the "presentation") is for informational purposes only and does not constitute an offer to sell, a solicitation of an offer to buy, or a recommendation to purchase any equity, debt or other financial instruments of RMG Acquisition Corp. ("RMG") or Romeo Systems, Inc. ("Romeo") or any of their respective It's led by president and CEO Lionel E. Selwood, Jr. Selwood only recently took on the CEO role but has been serving. At Romeo Power, we promise to treat your data with respect and will not share your information with any third party. But in the company's earnings report, that was lowered to between $18 and $40 million. JVs Sales Field of Use JV Allows Romeo to Efficiently Accelerate Penetration of Broader CV Market with a World - class Partner F ulsome Partnership incl. Configurable Current Collector Serves multiple voltage motors Enables fast upgrade to b attery electric v ehicle (BEV) 2. Inclusion of the prospective financial information in this presentation should not be regarded as a r epr esentation by any person that the results contained in the prospective financial information will be achieved, Industry and Market Data In this presentation, we rely on and refer to information and statistics regarding market participants in the sectors in whic h R omeo competes and other industry data. To opt-in for investor email alerts, please enter your email address in the field below and select at least one alert option. to Tender Shares UPDATED, Romeo Founded By Tesla, SpaceX Engineers, Battery Maker Romeo Power Finds SPAC If you experience any issues with this process, please contact us for further assistance. 9/14/22. Shareholder information - Orbit Garant Drilling CAREER PROFILE<br><br>Seasoned executive in the financial services industry with a passion for wealthtech and wealth creation for all. Download PDF . ft. State - of - the - art manufacturing facility located in Los Angeles, California Strategic Investor and JV partner PATENTED TECHNOLOGY & LONG - TERM ENERGY INNOVATION ROAD MAP Protected future as market leader in battery design and manufacturability and cutting - edge battery management system BUILT BY MARKET LEADING EXPERTISE Assembled elite team of more than 60 battery - specific engineers and manufacturing experts dedicated to advancing the global frontier of electric vehicle energy technology LEADING EDGE TECHNOLOGY AT COMPETITIVE TOTAL COST OF OWNERSHIP Modular design drives scalability while allowing ability to efficiently configure and customize to individual customer needs; flexible and efficient manufacturing process BATTERY MANAGEMENT INTELLIGENCE Battery Management System (BMS) with proprietary algorithms optimizes safety, industry leading performance and longevity Romeo Partnership with BorgWarner Significantly De - Risks Production Execution $765mm $1.2Bn $1.6Bn 2023E Rev. 2 Assuming $234mm cash held in trust by RMG, $150mm PIPE proceeds and no redemptions RMG Team & Romeo Director Nominees Phil Kassin President and COO Lionel Selwood, Jr Chief Executive Officer Michael Patterson Founder and Chief Sales Officer, 6 Highly Experienced RMG Management Team Founder and CEO of Riverside Management Group Former CEO of Horsehead Industries Co - Founder of Mohegan Energy Founding Investor & Board Member of Allied Resource Corp. Chairman Jim Carpenter Former Partner, Founder & Co - Head of Power Investment Business at Carlyle (NASDAQ:CG) Former Managing Director of Goldman Sachs (NYSE:GS) Co - Founder & Head of Power Investment Business, Founder & Head of Commodities Principal Investment Business at Goldman Sachs (NYSE:GS) Former Chairman & CEO of Cogentrix Energy CEO and Director Bob Mancini Former Senior Managing Director of Evercore (NYSE:EVR) Former Head of M&A & Financing at Access Industries Former Board Member and Chairman of the Finance & Investment Committee at LyondellBasell (NYSE:LYB) Senior investment banking roles at Morgan Stanley, Goldman Sachs, Merrill Lynch and AIG President, COO and Director Phil Kassin RMGs Due Diligence Conducted on Romeo RMG Acquisition Corp. (RMG) is NYSE listed SPAC which completed its $230mm IPO on February 12, 2019 RMG Management Team has significant public company board experience (NYSE, NASDAQ, and TSX) Sponsored by Riverside Management Group, a leading merchant bank with ~25 years of experience in M&A advisory and principal investing Anchor investors include: RMG Acquisition Corp. Overview G eneral corporate, employment matters and benefits, legal, litigation and potential claims, intellectual property, environmental health and safety, contract review, r eal estate and joint venture capital structure due diligence performed by Latham & Watkins Technical due diligence performed by Roland Berger Accounting and Tax due diligence performed by Grant Thornton Business due diligence completed by RMG RMG led extensive multi - month long industry - wide commercial, business, technological, financial and legal due diligence effort, engaging leading experts and advisors RMG Acquisition Corp. Overview, 7 $310mm Contracted Revenue and up to $2.4Bn Under Advanced Negotiation World - Class Battery Team with Technical Expertise and Deep Industry Experience 7 GWh State - of - the - Art West - Coast Production Facility with Optimized Manufacturing Capabilities Designed for High Growth Attractive and Large Industry Agnostic End Market Opportunity with Initial Focus on $225Bn Commercial Vehicles TAM in North America and Europe Established Customer Reputation for Safety and Reliability Driven by First Principles Research & Development Accelerated and De - risked Commercialization through Strategic Partnerships with Global Leaders in Vehicle Component Technology and Battery Recycling Order Book with Customers Representing ~ 68 % Market Share of the Class 8 Truck Market in North America and Landmark Agreement to Supply Leading Class 8 New Entrant Romeo Power Investment Highlights Across all battery technology categories, Romeo is a clear industry leader Through Romeos differentiated offerings and superior technology, we believe that Romeo is well - positioned to capture an industry - leading share of the estimated $665Bn global CV TAM 1 2 3 4 5 7 6, 8 Todays Agenda Transaction Overview Romeo Power Overview Leading Provider of Battery Packs and Battery Management Systems Validated Technology & Products 2 1, Romeo Power Overview Leading Provider of Battery Packs and Battery Management Systems Section 1. 2 Truck Component Companies assumes median of Cummins , Allison, Meritor and Dana (T+3) (T+4) Tesla Today Nikola Today 2021E EV OEM 10.9x 5.1x '23E '24E 114.3x 17.1x NM NM NM 9.6x 7.4x Truck Component Median 2 Truck OEM Median 1 Hyliion at Deal Lordstown at Deal Tesla at IPO Nikola at Deal Canoo at Deal QuantumScape at Deal NM 15.6x 7.9x 5.4x 5.1x 1.8x 3.2x 1.6x NM 9.8x NM NM '23E '24E '13E '14E '23E '24E '23E '24E '23E '24E '23E '24E, 48 17% 29% 13% 13% 10% NM NM 7% NM 18% 16% 12% 10% 3% 14% 13% Represents 2022E Margins 228% 147% 108% 87% 85% NA NA NA 68% NM 220% 61% 54% 35% 27% 7% Operational Benchmarking Revenue 2022E - 2024E CAGR 2024E EBITDA Margin Sources: Company materials, Capital IQ as of September 30, 2020 1 Figures represent CAGRs and margins based on company projections as publicly disclosed in investor presentations 2 Based off consensus research estimates at IPO, Capital IQ as of March 3, 2011 3 Truck Component Companies assumes median of Cummins , Allison, Meritor and Dana 4 Truck OEM Companies include Volvo, Paccar, Traton and Navistar . Power Reminds Stockholders to Tender Shares for Nikola Transaction Ahead of October 12, 2022 Deadline, Nikola The transaction values the company at $1. 10 Romeo Power at a Glance Powered By World Leading Technology Romeo Power Modular and Scalable Product Design Approach Enables Customer Centric Solutions Founded in 2016 By former leaders from Tesla, SpaceX, Amazon , Apple, and Samsung ~100 Dedicated employees 60+ Battery - Specific Engineers 7 GWh Capable / 113,000 sq. Romeo is a battery power company that designs and makes lithium-ion battery modules and packs for commercial electric vehicles. Use the PitchBook Platform to explore the full profile. 2 Binding provision with Minimum Order Quantity (MOQ) over three - year period. Information on acquisition, funding, investors, and executives for Romeo Power. (T+2) (T+3) (T+4) Canoo at Deal Tesla Today Nikola Today 2021E EV OEM 2.4x 1.3x 0.9x '22E '23E '24E 22.3x 20.8x 12.4x 7.7x 2.1x 1.2x 1.0x Truck Component Median 1 Truck OEM Median 2 QuantumScape at Deal, 47 NM NM 36.2x 31.2x '23E '24E '23E '24E Valuation Benchmarking (Contd) Enterprise Value / EBITDA Enterprise Value / EBITDA Romeo Power Sources: Company materials, Capital IQ as of September 30, 2020 1 Truck OEM Companies include Volvo, Paccar, Traton and Navistar. These projections are for illustrative purposes only and should not be relied upon as being necessarily indicative of future results. Additional risks and uncertainties are identified and discussed in RMGs reports filed with the SEC. Such statements are based on the beliefs of, as well as assumptions made by and information currently available to, RMGs management. You should review Romeos audited financial statements, which will be included in the Registration Statement (as defined below). 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Print Page | E-mail Page | Romeo does develop more than one module in - house With Just One Highly Configurable Module Romeo Can Create a Variety of Unique Packs Serving a Wide Range of Growing End Markets 1 Creating Massive Deployment Leverage at Every Level Orion V4 Orion V3 Orion V2 Orion V1 Flat V2 Flat 1 Yard Truck, 31 Battery Management System (BMS) Among the most flexible and configurable systems in the market today 4 Romeos BMS offers a complete solution for monitoring and controlling complex battery systems for automotive applications Voltage, current, temperature, isolation measurements Operating modes, contactor, pre - charge and charge control Safety measures isolation monitoring, high voltage interlock, manual service disconnect, hardware and software protections Advanced battery control algorithms Advanced diagnostics and prognostics Field configurability for fast and convenient integration Support over - the - air updates Cybersecurity Automotive ISO 26262 compliant 1 Others only measure voltage, temperature and current, leading to increased buffers and cost Romeo utilizes a series of sophisticated real - time onboard models as a result of proprietary testing and algorithm developments: More accurate remaining range estimation More accurate battery health estimation Enables safer and faster charging Value Proposition Advanced Algorithms Built on highly configurable platform Self - diagnostics Supports wide variety of architectures Operates with virtually every vehicle engine control unit Proven exceptional real world performance Low cost and robust Scalable from 48V to 1000V Faster time to market Vehicle Supervisory Controller On - board Advanced M odels Features Pack 1 ISO 26262 compliance is not yet complete, but expected by Q2 2021, 32 State - of - the - Art Production Facility In - house design, manufacturing and testing capabilities for Romeo North America 113,000 ft 2 North American Headquarters, strategically located in Los Angeles to attract the best industry talent Deliberately designed to allow for cost effective expansion of productions lines to 7 GWh / year capability All key battery development labs in - house, including: Reliability , Testing & Validation Lab Battery Cell Test Lab (Form Factor Agnostic) Battery Safety & Test Facility Section Battery Management Systems Engineering IS09001 Certified & UL2580 Certified 1 Module Lines Pack Lines Module Lines Pack Lines Electrical Automotive Test Lab Mechanical Automotive Test Lab Safety and Destruction Test Lab High Voltage Development Area Cell Technology Lab Thermal Engineering Lab BMS / Firmware Lab Battery Algorithms Lab End of Line Testing While many competitors outsource most testing and some assembly, Romeos complete in - house solution - set allows the company to protect IP, ensure quality control and accelerate development and production Site Highlights Romeo Facility Overview Indicates Function Typically Outsourced by Competitors Production Facility Outside of Los Angeles Materials In Product Out 1 UL 2580 Certified BR Module & Thunder pack, 33 Innovation Roadmap Significant strides have been and continue to be made in order to position Romeo as a breakaway leader 2021 2022 2023 Mass Production of Orion Pack Launch Gen 2 BMS with ISO 26262 Qualification Achieve Extreme Fast Charge of 15 Minutes Double Power Availability Develop Advanced Vapor Phase Change Cooling Develop Gen 3 BMS Innovation and the Mindset of Consistently Improving Have Been at the Forefront of Romeos Business, Allowing the Company to Achieve Milestones Far Ahead of its Competitors Romeo has developed a plan to execute over the next three years in product advancements and innovations designed to achieve n ew ground - breaking products, further its competitive advantage and unlock significant future growth potential 2016 2017 2018 2019 2020 Founded Created Passive Cooling Prototype Developed Low Voltage 48V System Developed and Assembled Production Line Conducted Microlaser Welding Trials Prototyped Highest Energy Density Active Cooling Module (Hermes) Demonstrated Materials Combination and Design for 1,000V Dielectric Withstand and Safety Launched Gen 1 BMS Built and Delivered 3,000 Hermes Modules for Class 7/8 Truck Fleet Evaluation Doubled Speed of Laser Weld Developed Machine Learning Algorithms for Fleet Battery Management Prototyped Flat Packs Achieved Fast Charge of 20 Minutes, 34 Among the Highest Energy Density in the Market Romeo is among the leaders in gravimetric energy density Volumetric ( Wh/l) Gravimetric (Wh/kg) Gravimetric and Volumetric Energy D ensity (Pack) 1 Sources: Roland Berger, Management Estimates 1 Proterra battery pack: energy density included is the maximum value specified by Proterra; Akasol 2021: gravimetric energy de nsi ty included is the maximum value specified by Akasol; BMZ: Module - level energy density adjusted by 10% to estimate pack level en ergy density . BWA holds 60% JV equity ownership to Romeos 40% Cements partnership with the worlds preeminent vehicle supplier to accelerate Romeos global growth and bolsters operational execution BWA Commercial Relationship BWA provides design, engineering, manufacturing, sales and services expertise to Romeo and to the Romeo / BWA JV Provides flexibility for both entities to rapidly scale operations in highly capital efficient manner while maintaining high levels of product quality Romeo Partnership with BorgWarner Significantly De - Risks Production Execution 1 Market cap as of September 30, 2020, 22 Strategic Joint Venture with BorgWarner (Contd) Aligned key objectives and responsibilities within the JV JV Ownership Contribution of Technology, Services and Expertise JV Ownership Contribution of Services and Expertise Operational Responsibilities Design and develop new technology >> Romeo CTO is Chief Engineer Support customer acquisition efforts >> technical sales, costing, quoting Guide supplier selection / qualification >> vet potential suppliers, conduct site visits and quality audits Perform Application Engineering Services / Engineering Studies Operational assets / personnel : Chief Engineer, Technical Sales, Design Engineers; Testing Resources (Cell Characterization, Safety, Reliability, and Validation) Contributions / ongoing support of JV: R&D in JV Field of Use Romeo Power Purview within the JV Contributions / ongoing support of JV Space in existing manufacturing facilities worldwide Global supply chain and supplier quality organization Leveraging vendor base for best material costs Manufacturing engineering and automotive quality systems expertise Access to existing OEM customers for cross - selling Back office support for JV operations BorgWarner Responsibilities Operational Responsibilities Produce Romeo products on global scale Lead sales , BD, and account management for LV globally and CV markets outside North America Provide in region applications engineering support and field support Operational assets / personnel : General Manager, EU Sales Team, Global Supply Chain Management, Production Expertise JV Responsibilities Joint Venture Light Vehicles & CVs < 20k lbs CVs > 20k lbs outside N.A.