Genesis Co. Pty Ltd.

ACN 617 463 706

The Company

Genesis is seeking to raise AU$5 .5 million with the issue of 5 million AU$1.00 fully paid ordinary shares. The offer implies a valuation of the Company of $25.6M pre money and $31.1M post investment. Pro-forma debt is $1.2 which places an EV of $26.8 and $32.3M pre and post investment.

The consumer staples sector in which nutraceutical entities are included trades at a slight premium to the S&P 300 on current and forward multiples. With EV / EBITDA multiples for current earning of circa 16 to 22 times and forward multiples two years out at an average of 10 to 12 times. The implied valuation based on FY23 revenue and EBITDA is 2.8 times 2023 revenue and 4.9 times 2023 EBITDA which is substantially below comparable entities and also lower that historical M&A transaction valuations for similar entities.

Technology

Genesis’ patented algae growth process uses natural water pressure to move the water through the pond (similar to a natural river system). This enables us to grow the highest quality algae exactly as nature intended rather than using large energy hungry mechanical paddle wheel type systems. Genesis owns and operates the entire value production chain enabling us to produce the world’s best algae products exactly as nature intended with full supply chain control.

Products

Genisis Australia has developed a range of products utilising its patented algae growth process including Human Nutraceuticals & Pet Food Supplements, Stock Feed (AlgaeFeed™), Fertiliser (AlgaeFert ™) and Carbon Sequestration / Carbon Storage / Carbon Credits & Trading.

The products developed and produced by Genesis are grown in the Great Barrier Reef region of Australia which provides the perfect conditions to grow the highest quality and freshest natural health products available in the marketplace. Genesis is the only Australian producer of the algae based products with the majority of the competition being based in China and Taiwan.