Corporate Presentation - Building a Digital Media Software MARCH 2021 - DGTL Holdings
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TSXV.DGTL OTCQB.DGTHF Accelerating Innovation Corporate Presentation Building a Digital Media Software Conglommerate MARCH 2021 SEPTEMBER 2 0 2 1 DGTLinc.com
TSXV.DGTL OTCQB.DGTHF ✓ Grow Hashoff Revenue (+75% vs. YoY) Accelerating Innovation ✓ Develop Hashoff 2.0 (TikTok, SaaS, SM Ads) Recent Milestones ✓ Expand Customer Base (Draftkings, Beam Suntory, PepsiCo., DoorDash, etc.) DGTL Holdings Inc. Has Met and Execeed all of its 2020 Development Milestones Goals ✓ Acquisition #2 (Total Social, +C$3-4M ARR) ✓ Value Arbitrage (Acquistions @ 0.5 -2x Rev) ✓ Key Categories (social, mobile, gaming, streaming)
TSXV.DGTL OTCQB.DGTHF Accelerating Acquisition #2 Innovation DGTL to Acquire 100% of Engagement Labs Raising $2-5M CAD (Blend of Debt and Equity) +$3.25M ARR Valuation of 0.5x Revenue Overview • Acquisition: 100% of Engagement Labs • Key Asset: TotalSocial® (Analytics SaaS) +F100 Clients • Consideration: 5.3M Common Shares of DGTL Netflix, NFL, Hulu, Metlife, etc. • EL Valuation: $1.7M (0.6x revenue) • Revenues: +$3.25-4M ARR • Combined ARR: $8.75-10M* +Csuite Execs New CRO, CFO and Board Appoinments to DGTL *Based on combined TTM/LQA for DGTL Holdings Inc. and Engagement Labs and projection for FY2021
TSXV.DGTL OTCQB.DGTHF Portfolio Model Building a Portfolio of Growth Stage B2B Enterprise Accelerating Innovation SaaS (Software-as-a-Service) in Digital Media, Martech, Ecom and Adtech Revenue AI-Technology Accelerator AI-Powered B2B Tech & Business Enterprise SaaS Development Portfolio Services
TSXV.DGTL OTCQB.DGTHF Target Categories Strategic Pillars Accelerating Innovation Building a portfolio focused on M&A within the fastest growing Digital Media/Martech categories Content Social Tech Analytics Creation Analytics and Data Reporting Multimedia Distribution Gaming Streaming
TSXV.DGTL OTCQB.DGTHF Our Portfolio Accelerating Innovation Social Media CMS Social Media Analytics* Enterprise Influencer SaaS Enterprise ROI Measurement 100% for $6.5M (2x ARR) 100% for $1.7M (0.5x ARR) First Transaction (Listing to TSXV) Second Acquistion (Accelerate Growth) *Pending Completion of $2M Financing +$5.5-6.5M +$8-10M +$3.25-45M ARR Combined
TSXV.DGTL OTCQB.DGTHF Accelerating Innovation Social Media Marketing Self-Service Enterprise CMS Acquisition # 1 +$5.5-6.5M ARR AI Powered Enterprise Social Media CMS Turn-key and scalable self-service SaaS solution for brands and agencies that enables marketers to leverage the “gig” economy to identify and recruit freelance creatives for content creation, branded content & experiential activations
TSXV.DGTL OTCQB.DGTHF #IAM Search and Discovery Accelerating Innovation Find the beat content creators to represent your brand, based on context signals and machine learning. A more intelligent way to search. Our platform Amplified is designed to eliminate subjectivity. Measurement Center We find the perfect fit. Full access to data and insight to help you make the right choices to ensure you time and money savings, while #Create improving the performance of your working media. Marketplace One-stop marketplace that allows the development of long lasting partnerships between brands and content creators. Make the discovery process exciting and addictive by utilizing storytelling and user experience on all major social media marketing self-service platforms.
TSXV.DGTL OTCQB.DGTHF Accelerating Hashoff 2.0 > SaaS, TikTok, Web Ads Innovation Now 100% Saas, Integrated to Tiktok, SnapChat, Twitter and Enabled to Convert Social Content to Programmatic Ads 800 2 Billion MILLION times on the App Store and Google Play Active Users Worldwide ● #1 App of 2020 - Worldwide ● Growth of +550% since 2018 ● 155 Countries and 75 Languages ● 1 billion video views per mos ● 52 Mins - average per day Coming Soon... TikTok Revenue and Usage Statistics (2021) - Business of Apps 10 TikTok Statistics That You Need to Know in 2021 (oberlo.ca)
TSXV.DGTL OTCQB.DGTHF AI-Driven Social Media Analytics Engine Acquisition #2 +$3.25-4M ARR Enterprise AI-Analytics SaaS platform to analyze the entire social media ecosystem - both online and offline Total Social acquisition terms include minimum $2.0M USD financing with a growth plan to increase revenue to $10M CAD (1) (1) Arrangement Agreement to Acquire 100% of EL (Total Social)
TSXV.DGTL OTCQB.DGTHF Accelerating Innovation 360* Data portal Our 360 Data Center provides clients with an easy interface for viewing, manipulating, and visualizing data. This interface enables clients to identify where their brand resides in a “TalkScape” comprised of four quadrants that are indicative of total brand performance. Through this visualization, the client can identify the strengths and weaknesses of their brand’s market position relative to any competitor set. Diagnostic engine Prediction engine Allow users to explore brand and marketing performance, Enables brands to model complex dynamics among identifying elements that are performing well and TotalSocial metrics and business outcomes such as new illuminating opportunities for improvement, for both offline customer acquisition, revenue per customer, strengthened and online. This offline / online comparison indicates where brand equity, online traffic, store visits and more. Coupled brands can fine tune media spend to enhance overall with TotalSocial Diagnostics, a brand can identify specific business performance. A user can also gain a deeper strategies and tactics likely to improve business understanding of which conversations contributed to the performance, with custom simulators designed to enable greatest sales lift, and across which key marketing and scenario testing. communication channels.
TSXV.DGTL OTCQB.DGTHF Accelerating Meet the Team Innovation With +$1B USD in combined media sales for F100 brands, Our expert management team consists of media / martech and capital markets leaders, with a track record of success and developing long term shareholder value
TSXV.DGTL OTCQB.DGTHF Management Team Charles Thomas Accelerating Michael Racic Chief Strategy Officer, #Hashoff LLC Innovation Chief Executive Officer, Chairman +20 years of experience as a digital media executive in the NYC adtech and martech +35 years in digital media and advertising focused on senior executive development strategy, industry. A frequent top trade speaker and published across the global advertising and national sales teams. A pioneer in Adtech, with Time Inc. in 1995 (later Time-Warner AOL). technology, and digital media sector. Former SVP and Managing Director at RocketFuel Former VP Ad Sales at Broadcast.com, working for Mark Cuban,, Regional Sales Vice President and EVP of Head of Global Planning with UM and J3. for Yahoo, Sales Strategy contractor for Facebook and SVP Sales Centro. Steven Brown* Steven Goldberg, MBA Chief Revenue Officer* Chief Operations Officer, Director Current President and Chief Revenue Officer of Engagement Labs (V.EL) Mr. Brown is an +25 years of executive search and recruiting experience in the Digital Media/AdTech space. industry veteran and first mover in the digital industry with +30 years’ experience. Former executive with firms in Telecom, Education/Training, and “Big-4” Public Accounting Former Chief Revenue Officer of ViewLift, Senior Vice President of Platform Sales and Advertising Solutions for NeuLion and Chief Sales and Marketing Officer of SilverCarrot. fields. MBA in Finance from New York University and CPA while working for KPMG. Expert at leading high performance business development teams in digital, e.g. for United Online, IGN/News Corp, and Viacom/CBS Radio. Gilbert Boyer, CMA* David Beck, MBA Chief Financial Officer Independent Director Current Chief Financial Officer of Engagement Labs (V.EL) Mr. Boyer has +20 years of +20 years in the public capital markets, leading TMT research at RBC and investment banking at experience in Management, Accounting and Cost Controls in small-medium business. three boutique investment dealers. Former Director on Quadron Cannatech Corporation (QCC- Mr. Boyer serves as the CFO of Parta Dialogue Inc. Finance Director and Controller at CSE)Pivot Technology Solutions Inc. (PTG-TSX), Basis100 Inc. (BAS-TSX), and CRS Robotics Brossard Inc. (circa 2006) and Secretary of Corporation (ROB-TSX). John Belfontaine Brendan Purdy, J.D Founder / EVP Corporate Development, Director Independent Director +15 years as a serial entrepreneur and corporate development executive for publicly traded +15 years as in securities law focused on the resource, cannabis, and technology sectors. In his companies. Founder of DGTL Holdings Inc. (V.DGTL). Former Founder of Phivida Holdings Inc. private practice, experienced with respect to public companies, capital markets, mergers and (acquired by Choom CSE.CHOO) and Co-Founder of CoachellaGro (acquired by Mohave Jane - acquisitions,. Former CEO of Enforcer Gold Corp. (TSXV: VEIN), High Hampton Holdings Corp. CSE.MOJO), and a ormer Retail Wealth Product Manager, and national marketing manager for (CSE: HC), and Tidal Royalty (C.RLTY), and director of several public companies. Fortune 100 brands companies. *To be appointed post successful completion of Arrangement Agreement with Engagement Labs
TSXV.DGTL Mergers and Acquisitions OTCQB.DGTHF Identify disruptive and innovative technologies for M&A, due diligence Accelerating coordinate accretive acquisitions, Innovation Business divestitures, spin outs, JV, royalty, etc. Strategy Coaching Access deep industry background and Accelerator Services sector expertise. Strategy, recruiting, business dev, M&A, etc. Strategic Development of Technology, Marketing, Customers, Operations, etc. Sales Growth / DGTL specializes in incubating fully Partnerships commercialized and high margin Benefit from an enterprise SaaS (software-as-a-service) experienced management with companies via creative and efficient over US $1B in Digital investment, M&A or licensing structures. Media / Adtech Sales, F100 level Shareholder ROI customers to Drive new value and advise on new up/cross sell and public offerings, including financial grow your sales modeling, contract development, pipeline investor materials, capital roadshows, etc.
TSXV.DGTL OTCQB.DGTHF The World Online Accelerating Innovation Through its M&A and acceleration deals, DGTL is in a unique position to benefit from the explosive growth of the disruptive social media and mobility sub-sectors. Total Unique mobile Internet Active social population phone users users media users 7.75 5.19 4.54 3.80 billion billion billion billion URBANISATION: PENETRATION: PENETRATION: PENETRATION: 55% 67% 59% 49% Hootsuite Digital 2020 report
TSXV.DGTL OTCQB.DGTHF Brands Have Been Investing Money in Accelerating Digital Advertising More Than Ever Innovation The shift from traditional to digital media is (still) accelerating, as consumers spend more and more time online. 450 Time per day spent with digital vs traditional media in the United 400 States (2011 to 2020) Time in minutes 350 $ 291,7B spent in digital ad in 2020 300 250 -11% YOY 200 Traditional Media* 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 Digital Traditional Media Source: https://www.statista.com/statistics/565628/time-spent-digital-traditional-media-usa/
TSXV.DGTL OTCQB.DGTHF Tech SPAC Boom Accelerating Innovation With a focus on niche high margin SaaS companies, DGTL is establishing itself as a vehicle for investors to invest in high potential Adtech sub-categories. SPACDex: Return Compared to S&P 500 180% 2X In the past 8 months, SPACs have generated more than twice as much the returns of 160% the S&P 500. 140% $73B USD In 2020, 120% 248 SPACs have raised $83 billion USD - with enterprise SaaS as a top category. 100% July 2020 September 2020 November 2020 January 2021 SPX Market Cap Weight Egual Weight What’s behind this year’s boom in climate tech SPACs? | TechCrunch SPAC IPO Transactions Statistics - by SPACInsider
TSXV.DGTL OTCQB.DGTHF Current Focus: Accelerating Social Media Market Innovation Traditional marketing and advertising budgets are being all but replaced by social and influencer spend +20% YOY Social Media Spent** $572 $291.7 $43 $9.7 BILLION BILLION BILLION BILLION 2020 Global Digital Ad 2020 Social 2020 Influencer / Ad Spend* Spend* Media Spend** Content Marketing*** +50% YOY Influencer Marketing*** **Zenith Media Forecast, July 2020 **eMarketer, 2020 ***Influencer Marketing Hub, March 2020 ****Hootsuite, January 2020
TSXV.DGTL OTCQB.DGTHF Financial Highlights Revenue /GPM Revenue/ GPM ● LQA of+$5.5-6.5M ARR (FY2021) ● LQA of +$3.25-4M ARR (FY2021) ● Monthly SaaS with GPM of +40% ● Pure SaaS with GPM of 50-70% +75% Revenue Growth* Best FYE Financials (2019) • $4,083,497 in annual revenue #HASHOFF acquisition terms include Total Social acquisition terms include minimum $8.0M USD in annual revenue $2.0M USD financing with a growth to receive 100% of acquisition payouts plan to grow revenue to $8-10M CAD +$5.5-6.5M +$8-10M +$3.25-4M ARR Combined • *Based on Q1/2/3 FY 2021 vs. YoY FY of 2020
TSXV.DGTL OTCQB.DGTHF Capital Structure Accelerating Innovation Issued & Outstanding 37,958,125 Options 2,456,000 Convertible Preferred Shares 5,737,744 Fully Diluted 46,148,869 Escrow Shares* 9,122,125 As of August 18th 30 2021 *Subject to a three year escrow release schedule starting August 15, 2020 Pre consolidation with prospective acquistion of Engagement Labs
TSXV.DGTL OTCQB.DGTHF Market Comparisons Accelerating Innovation Revenue Price – to - Market Capital (LTM) Sales Company Price Symbol MILLIONS ($CAD) EQ Inc. 1.46 TSXV.EQ 99.6 9.6 10x IZEA Worldwide, Inc. 1.98 Nasdaq.IZEA 122.5 26 4.7x The TradeDesk, Inc. 76.20 TSX.TTD 36,480 1,120 32.5x AcuityAds Holding Inc. 10.00 TSX.AT 604.4 90.9 6.6x DGTL Holdings Inc. 0.375 TSXV.DGTL 14.04 8.75* 1.6x As of August 19, 2021 – yahoo finance.com | stockhouse.com Revenue LTM based on last reported quarter (x 4 for FY average) *Post prospective consolidation with Engagement Labs
TSXV.DGTL OTCQB.DGTHF Investor Highlights Accelerating Innovation Focused on long-term shareholder value ✔ Approaching double digit $MM Tracking $8.75 -10M (ARR) Combined for FY2021* ✔ Proven concept, revenue growth Hashoff +75% YoY (in Yr 1 - post acquisition) ✔ Bluechip customers (cross sell opportunity) e.g. Draftkings, NFL, Netflix, AB-InBev, Dunkin Brands, Pepsico, Metlife, Beam Suntory, etc. ✔ Proven senior executive team +$1B USD in career media sales, new CRO/CFO ✔ Hashoff 2.0 – ready for launch into Tik Tok Leadership in fastest growing SM market ✔ Total Social – post covid recovery growth Fully commercialized enterprise SaaS ✔ Efficient capital structure 45M shares I/O (post EL acquisition) ✔ Deep value for new investors Trading 1.5x sales (vs. sector avg of 3-5x sales)* *Post prospective consolidation with Engagement Labs (V.EL) basd on average from previous four quarters from both companies.
Safe Harbour The information contained in this presentation has been prepared by DGTL Holdings Inc. (the “Company”, “we”, “us”, or “our”) for information only. The information contained in this presentation is not directed to persons or entities resident in the United States and does not constitute an offer to buy, sell, issue or subscribe for, or the solicitation of an offer to buy, sell or issue, or subscribe for any securities in the United States or in any jurisdiction in which such offer, solicitation or sale would be unlawful or to any person to whom it is unlawful to make such an offer or solicitation. This presentation contains information pertaining to the business, operations and assets of the Company. The information contained in this presentation (a) is provided as at the date hereof and is subject to change without notice, (b) does not purport to contain all the information that may be necessary or desirable to fully and accurately evaluate an investment in the Company, and (c) is not to be considered as a recommendation by the Company to purchase any securities of the Company. An investment in the securities of the Company is speculative and involves a number of risks that should be considered by a prospective investor. Where any opinion or belief is expressed in this presentation, it is based on the assumptions and limitations mentioned herein and is an expression of present opinion or belief only. No warranties or representations can be made as to the origin, validity, accuracy, completeness, currency or reliability of the information. All information and data provided in this presentation is strictly private and confidential. No person is authorized to copy or re- distribute any materials in this presentation without the express permission of the Company. This presentation constitutes an “offering memorandum” under applicable securities laws (including pursuant to the Securities Act (Ontario) and OSC Rule 45-501 Ontario Prospectus and Registration Exemptions). See “Statutory Rights of Rescission – Ontario Investors” at the end of this presentation for further information. Prospective investors should be aware that the purchase of any securities of the Company may have tax consequences both in Canada and the United States. As such, this presentation should not be construed as legal, financial or tax advice to any prospective investor, and each prospective investor should consult its own tax advisor concerning the investment described herein. STATUTORY RIGHTS OF RESCISSION - Securities legislation in certain of the provinces of Canada provides purchasers with rights of rescission or damages, or both, where an offering memorandum or any amendment to it contains a misrepresentation. A “misrepresentation” is an untrue statement of a material fact or an omission to state a material fact that is required to be stated or that is necessary to make any statement not misleading or false in the light of the circumstances in which it was made. These remedies must be commenced by the purchaser within the time limits prescribed and are subject to the defences contained in the applicable securities legislation. Each purchaser should refer to the provisions of the applicable securities laws for the particulars of these rights or consult with a legal advisor. The following rights are in addition to and without derogation from any other right or remedy which purchasers may have at law and are intended to correspond to the provisions of the relevant securities laws and are subject to the defences contained therein. The following summaries are subject to the express provisions of the applicable securities statutes and instruments in the below-referenced provinces and the regulations, rules and policy statements thereunder and reference is made thereto for the complete text of such provisions. Market and Industry Data - This presentation may include market and industry data and forecasts that were obtained from third-party sources, industry publications and publicly available information. Third-party sources generally state that the information contained therein has been obtained from sources believed to be reliable, but there can be no assurance as to the accuracy or completeness of included information. Although the Company believes it to be reliable, it has not independently verified any of the data from third-party sources referred to in this presentation, or analyzed or verified the underlying studies or surveys relied upon or referred to by such sources, or ascertained the underlying economic assumptions relied upon by such sources. Third party logos are not the property of the company and that these entities have not reviewed, approved, or endorsed the company and the contents of the presentation. All values presented in Canadian dollars.
TSXV.DGTL OTCQB.DGTHF Accelerating Contact Us Innovation Operations 85 BROAD ST, NEW YORK, NEW YORK, 10004 Corporate #510 – 580 HORNBY ST. VANCOUVER BC, V6C 3B6 dgtlinc.com IR@DGTLINC.COM 1 (877) TSX - DGTL
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