The role of venture capital in turning the chemical value...
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The role of venture capital in turning the chemical value chain fully sustainable Cleantech Forum Europe Helsinki, May 16-18, 2017
Transcript of The role of venture capital in turning the chemical value...
The role of venture capital in turning the chemical value chain fully sustainable
Cleantech Forum Europe
Helsinki, May 16-18, 2017
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Partner-owned
Experienced dedicated investment teams
AIFMD licensed asset manager
> € 400 million under management
> € 230 million in venture capital
Head office - Leuven, Belgium
Quest Cleantech Fund € 71 million*
* March 31, 2017
Quest for Growth € 151 million*
* March 31, 2017
Capricorn CLEANTECH
Fund € 112 million
Capricorn HEALTHTECH
Fund € 42 million
Capricorn ICT
Fund € 33 million
CAPRICORN VENTURE PARTNERS
Capricorn Scorpio Clean Industry Fund
Target
RMB 1 billion
Capricorn
Sustainable Chemistry
Fund €150 m
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WHY SUSTAINABLE CHEMISTRY?
Changing Demographics
World population 7.3 - 9.6 billion (2050) Urbanization 20% increase (2050) Life expectancy 67 to 75 years (2050)
Environmental & Societal Environment & climate change Food demand growing and changing Changing consumer expectations
Industrial Feedstock diversification & security Innovation & Sustainability Digitalization and Automation Sustainable Supply Chains
SPIDER SILK
CARBON CAPTURE
PRECISION
AGRICULTURE
ROBOTS &
MICROBES
SUSTAINABLE AGRICULTURE
NEW PROTEIN
SOURCES
Sustainable Chemicals
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UN GLOBAL SUSTAINABILITY GOALS
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SUPPLY & DEMAND DRIVERS
TRUST IN BRAND/COMPANY
PRODUCT HAS HEALTH BENEFITS
PRODUCT IS MADE FROM NATURAL/ORGANIC INGREDIENTS
PRODUCT/COMPANY ARE ENVIRONMENTALLY FRIENDLY
COMPANY HAS A HIGH REGARD FOR SOCIAL VALUES
PRODUCT’S PACKAGING IS SUSTAINABLE
DEMAND
The Nielsen Company, November 5, 2015
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INVESTMENT ACROSS THE VALUE CHAIN
$130MM Series B
Supply , collaboration, technology license,with exclusive rights to PHA based plastics in homefurnishings
Partnership to deliver renewable, bio-based plastics
Leveraging data science and automation
CO2 to Polycarbonates and Polyurethanes
$100MM Acquisition
“We strongly believe that the future belongs to these products because
they combine superior characteristics with a production process based on
renewable feedstock”
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Venture Fund Time-to-Exit:
-10 years
THE TIME CONUNDRUM OF CHEMICAL INNOVATION
Market novelty
Pro
du
ct n
ove
lty
Disruptive Potential,
But +10 years to market adoption
CAPRICORN CLEANTECH FUND
HOW DID WE DO IT IN THE PAST?
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CCF participates in € 18 M of financing
2000 Started as spinout from Royal Dutch Shell
2005 YXY technology R&D started and first patent filings made
Organizes € 37 M of financing @ 2X valuation of 2008
2008
PEF, SUSTAINABLE PET
2016
Assumes major role in securing location and finance of plant
BASF and Avantium JV to build PEF reference plant in Antwerp (Synvina)
Forge the 100% plant bottle consortium
2011
2005
2 0 0 0
2014
2008
2011
Closing of pre-IPO capital increase to the amount € 20 M, subscribed by existing shareholders, PMV and FPIM
CCF participates in € 29M of financing
YXY technology development has reached high level of maturity
2017 IPO realized!
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NOVEL FLAME RETARDANTS
Private & Confidential
2002: Polyphosphonate development program is launched at TSI
2007/8: Polymer pi lot plant, $ 400.000 sales
2009: CCF co-lead investor in 2009 (Series A - $ 6 m)
2009: Partnership with UIF to built pilot in Switzerland (52 tpa today, 100 tpa in 2013)
2011: Series B & Debt Financing Completed - $55.7 mi llion
2012: Ground-breaking ceremony at Bayer, Antwerp (3000 tpa)
December 2013: Closing of a Series C round of financing ($ 12.0 m) Bernard Mohr: “We are delighted to have become investors in FRX. This is an exciting company with a
unique product offering that has come a very long way and is strategically well positioned to carve out
an important market share in the years to come.”
Des igns the financial architecture Capricorn Venture Partners lead the negotiation with the Flemish government to establish a loan guarantee, which catalyzed the approval of all debt instruments
Participates pro-rate i ts shareholding
August 2015: Grand opening FRX plant, Antwerp
Grand opening in the presence of (from left to right) • Marc Lebel, CEO FRX Polymers • Geert Bourgeois, Flemish Minister-President • Bart De Wever, Mayor of the city of Antwerp • Mark Storella, Chargé ‘d affaires, United States Embassy Brussels • Rob de Visser, Chairman of the FRX Board
July 2016: Clos ing of € 22.1 M round of financing
Takes a leading role in structuring the capital increase
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TECHNOLOGY LICENSING
LESSONS LEARNED
PRODUCT SALES FREE CASH FLOW
$ $$$
More money… More time… More people…
A Technical Challenge became a Financing Challenge
Debt
Equity A Debt
Equity A
CAPRICORN CLEANTECH FUND
HOW WILL WE DO IT IN FUTURE?
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Agriculture
The Past The Future
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Chemis The Past
The Future
try
Naphta
Sugar
Protein
Oils&Fats
CO2
Gas
Food Feed
Fine Chemicals Polymers
Ingredients Sweeteners
Vitamins Antibiotics
Fertilizer
Plastic
Fuel Textiles
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A VC IS LOOKING FOR A PROFITABLE EXIT
2016 DEAL OF
THE YEAR AWARD
€1 Billion
17X
Name: AVANTIUM N.V. Market: Euronext Amsterdam, Brussels Capitalization compartment: Compartment B Subsector: Specialty Chemicals Symbol: AVTX IPO Date: 15/03/2017 Issue type: Initial Public offering IPO Price: EUR 11
JOINT VENTURE: SYNVINA
PLANNED: 50,000 MT
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CONTACT DETAILS
Ludwig Goris: [email protected] Babette Pettersen: [email protected]
Jos B. Peeters: [email protected]
CAPRICORN VENTURE PARTNERS Lei 19/1, B-3000 Leuven, Belgium
Tel +32 16 28 41 00
www.capricorn.be
