MICRO-MOBILITY SPACE CONSOLIDATING THE - TSX.V: MILE | OTC:AZNVF - March 2020
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CONSOLIDATING THE
MICRO-MOBILITY
SPACE
TSX.V: MILE | OTC:AZNVF
Investor March 2020
Presentation
TSX.V: OJO | OTC: AZNVF |
FORWARD-LOOKING STATEMENTS
Certain statements in this presentation are forward-looking statements, which include the development and launch of MILE's
technologies and product and other matters. More specifically, the revenue, EBITDA, growth and valuation expectations and projections
set out on slides 5 and 10 herein consist of forward-looking statements and information. Forward-looking statements consist of
statements that are not purely historical, including any statements regarding beliefs, plans, expectations or intentions regarding the
future. Such information can generally be identified by the use of forwarding-looking wording such as “may”, “expect”, “estimate”,
“anticipate”, “intend”, “believe” and “continue” or the negative thereof or similar variations. Readers are cautioned not to place undue
reliance on forward-looking statements, as there can be no assurance that the plans, intentions or expectations upon which they are
based will occur.
By their nature, forward-looking statements involve numerous assumptions, known and unknown risks and uncertainties, both general
and specific, that contribute to the possibility that the predictions, estimates, forecasts, projections and other forward-looking
statements will not occur. These assumptions, risks and uncertainties include, among other things, the state of the economy in general
and capital markets in particular, the development of competitive technologies, the marketplace acceptance of MILE's technologies and
products, and other factors, many of which are beyond the control of MILE. Given these risks, uncertainties and assumptions, you should
not place undue reliance on these forward-looking statements. Forward-looking statements contained in this presentation are expressly
qualified by this cautionary statement.
The forward-looking statements contained in this presentation are made as of February 2020 The forward looking information has been
prepared by our management to provide an outlook of our activities and results and may not be appropriate for other purposes. Our
management believes that the forward looking information has been prepared on a reasonable basis, reflecting management’s best
estimates and judgments. This document should be read with the understanding that our actual future results may be materially
different from what we expect. Except as required by law, MILE disclaims any intention and assumes no obligation to update or revise any
forward looking statements, whether as a result of new information, future events or otherwise. Additionally, MILE undertakes no
obligation to comment on the expectations of, or statements made by, third parties in respect of the matters discussed above. Neither
we nor any of our representatives make any representation or warranty, express or implied, as to the accuracy, sufficiency or
completeness of the information in this presentation. Neither we nor any of our representatives shall have any liability whatsoever, under
contract, tort, trust or otherwise, to you or any person resulting from the use of the information in this presentation by you or any of
your representatives or for omissions from the information in this presentation. MILE cannot warrant the information contained to be
exhaustive, complete or sufficient. This presentation is being disclosed for general discussion, review, and evaluation only.
In this presentation, “MILE” or “Company” refers to Last Mile Holdings Ltd. (formerly OjO Electric Corp.) (TSX.V: MILE).
Unless otherwise indicated, all dollar amounts referred to in this presentation are in U.S. Dollars.
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CONSOLIDATION
STRATEGY
§ ‘Blitzscaling’ is broken
§ MILE is targeting select overlooked markets that
yield positive economics
§ MILE will win by disrupting the disruptors
§ Disciplined, thoughtful deployment of
micro-mobility solutions
§ Respect for city planning and infrastructure
§ Public safety as top priority
§ Reducing traffic congestion and carbon emissions
§ Embracing a multi-modal vision for the future of
urban transportation
§ Publicly traded, pure play mobility solutions
company
§ Accretive capital allocation program, seeking out
like-minded, ambitious founders and companies that are
changing rideshare for good
§ First target:
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MILE
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A TRANSFORMATIONAL OPPORTUNITY
TO BECOME A TOP 3 PLAYER
Combines world-class teams, top
tier economics, and expansive
growth pipeline
35 universities
45 municipalities N O . LO C A T IO N S NO.
& more planned MOST RECENT M O B I LI T Y
COMPANY M U N I C I P A LI T I LO C A T IO N
V A LU A T I O N FORMAT(S) UNIVERSITIES TOTAL
ES R A N K IN G
$2.4b (Feb/19) 3 23 172 195 1
$2.5b (Oct/19) 1 24 82 106 2
$30.4mm 4 35 45 80 3
(pro forma)
Leading rideshare platform;
$100mm (Acq. 1 5 46 51 4
patented, custom-engineered Nov/18)
seated e-scooter
na 3 18 18 36 5
3 Municipalities
$200mm (Acq. 2 0 32 32 6
Apr/18)
na 1 1 21 22 7
Sources: (i) Crunchbase; (ii) company websites; and (iii) https://www.smartcitiesdive.com/news/mapping-the-impact-of-dockless-
Rideshare company with robust vehicles/539263/
portfolio of exclusive long-term
1. All figures in USD.
contracts 2. Equity value of the combined company reflects pro forma market capitalization based on outstanding limited voting shares on
closing of acquisition (on an as-converted basis) at a price per share of C$0.40 (contemporaneous financing price), and converting to
35 Universities USD using a CAD-USD exchange rate of 0.7483, the Bank of Canada rate published on Mar 3, 2020.
42 Municipalities
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ACQUIRING A OjO Existing Rideshare
Operations
(Seated Scooters)
NATIONWIDE FOOTPRINT Ø 1,000 units deployed
Gotcha Existing Rideshare
§ OjO’s best-in-class, custom-engineered seated scooter was purpose-built for both
Operations
rideshare and on-demand deliveries (Pedal Bikes, E-Bikes, and Kick Scooters)
§ Gotcha, with a 10-year history operating e-bike and scooter sharing networks, has a
world-class team and a robust portfolio of exclusive long-term contracts Ø 4,000 units deployed
Additional Fully Contracted
Permits Pending Deployment
(Seated Scooters, Pedal Bikes, E-Bikes,
and Kick Scooters)
Ø 11,000 additional units
MILE RIDESHARE OPS
16,000 units
(existing permits only)
OjO Active Locations
Increasing to
Gotcha Active Locations 27,000 units (YE/21)
(assumes award of additional permits)
Contracted Permits Pending Deployment
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INTRODUCTION TO LAST
MILE HOLDINGS Key Investment Considerations
§ Attractive and profitable foundation of 31 active shared
(TSX.V:MILE) mobility programs – MILE’s business model is proven.
§ Partner-oriented approach and compelling value proposition
has driven compelling recent growth (nearly 400% y-o-y).
§ 100+ long-term, exclusive programs in attractive markets
underpins significant near-term revenue opportunity.
§ Proprietary portfolio of electric shared mobility products
provides for a differentiated, holistic offering.
§ On closing of the Gotcha acquisition, we re-branding our public § Integrated hardware and technology platform managed
parent company as Last Mile Holdings Ltd., with a new ticker comprehensively by an experienced management and
of “MILE”, to better convey to investors our acquisitive, roll-up operations team.
strategy. OjO and Gotcha Mobility, as well as § Track record of success coupled with an unmatched
future acquisition targets, will operate as wholly-owned reputation in the shared mobility industry powering
subsidiaries of MILE. accelerated win and growth rate.
§ MILE is a tech-enabled micro-mobility company that designs § Focused on large, attractive end-markets that provide
and manages turn-key, shared mobility programs in partnership underlying stability and growth prospects.
with university and municipality partners across the U.S.
§ Four proprietary product types, all electric and operated
through the Company’s managed platform, provide a unique,
holistic transportation solution.
108
CONTRACTED SHARED
17K
CONTRACTED VEHICLE
§ MILE's significant value proposition to both community MOBILILTY PROGRAMS OPPORTUNITY
partners and end-users have enabled it to obtain a large base
of exclusive, long-term contracts.
§ MILE markets collectively reach nearly 10 million consumers
daily, providing access to a highly captive and receptive
audience to the Company’s products and services. 80%
EXCLUSIVE LONG-
TERM CONTRACTS
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FO U R PRO PRIE TA RY E- M O BIL IT Y PRO D U C TS
BIKE SCOOT
RIDE TRIKE
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OTC: AZNVFNATIONWIDE FOOTPRINT OF
EXCLUSIVE MOBILITY CONTRACTS NOTABLE UNIVERSITY PARTNERS:
§ MILE has successfully built a large footprint of exclusive partnerships with some
of the pre-eminent universities and mid-size municipalities in the U.S.
§ Proven track record of managing successful systems, high quality reputation
and a committed partnership approach have been key drivers of growth and
success.
§ MILE has never entered a new market without the support of the community
secured through a multi-year, exclusive agreement.
§ Structure and terms of contract base provides significant protection and long-
term visibility which helps mitigate seasonality and competitive forces.
§ MILE has been able to connect a prominent university with its surrounding
municipality partner creating a powerful network effect.
ATTRACTIVE DIVERSIFICATION SIGNIFICANT PROTECTION & LONGEVITY
77 80% NOTABLE MUNICIPALITY PARTNERS:
Unique Partner Contracts1 Exclusive Long-Term Contracts
35 42 3.3 YEARS
University Municipality
Partners Partners Remaining Contract Duration (Avg.)
* All of the above are under an exclusive contract
(1) 31 contracts currently allow for two products which produces 108 unique product programs
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& COMPETITIVE ADVANTAGES PARTNER TESTIMONIAL
“Gotcha’s unique mobility platform has transformed our
§ MILE multi-product, partnership-oriented approach creates compelling campus and fundamentally shaped how we view future
transportation infrastructure and capital needs. Our
value for its university / municipality partners and their constituents. partnership with Gotcha has been a game changer and it
certainly fulfills our mission to become a more sustainable
§ Upfront collaboration, assessment of market needs and customization of campus.”
the product set is a crucial value-add that MILE brings to each process.
Don Andrae, Director of Transportation Services
Auburn University
§ MILE has never launched in any market without permission and an
executed operating agreement – created strong market reputation.
§ End-to-end management ability – no outsourced efforts leads to quality
control and best-in-class safety standards. COMPETITIVE LANDSCAPE
§ Gotcha’s experience and approach has led it to accelerate its win rate in
competitive processes in 2019 (70%+ rate). Partnership
Key MILE Competitive Differentiators MILE
§ Partnership-first approach has led to a long-standing, high quality
industry reputation.
§ Four proprietary e-mobility products provides an unmatched, holistic
# of
solution. Products
§ Track record of success and longevity lends powerful credibility relative
to others.
§ Intentionally focused on the highly attractive, and often overlooked,
university and mid-size municipality market.
§ Product quality and dynamic feature sets.
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OPPORTUNITY
§ MILE has developed an attractive operating and financial § Revenue estimates are based on conservative utilization estimates:
platform that is poised for significant growth with a clear path
§ E-bikes: 1.0 to 2.5 trips per vehicle per day.
to profitability.
§ E-Scooters: 1.0 to 3.0 trips per vehicle per day.
§ 108 contracted systems, 80% of which are exclusive, present
an embedded revenue opportunity of $32 million annually. § $300k average revenue per program is low-end estimate.
§ Exclusive nature of contracts protects MILE from competition § Return on investment for all MILE products is very attractive,
over several years (true partnership forged with sites further ranging from 3-10 months to repay all initial capex.
solidifies long-term opportunity). § Approximately $10 - $12.5 million of capex will be required to deploy
the contracted systems that have yet to launch during 2020.
EMBEDDED REVENUE OPPORTUNITY: ATTRACTIVE UNDERLYING UNIT ECONOMICS:
108 55%+ 5-10 MONTH
CONTRACTED E-BIKES
PROGRAMS $32M Site Level
Gross Margins
Capex
Payback Period
EMBEDDED ANNUAL
REVENUE OPPORTUNITY
$300K 45%+ 3-6 MONTH
AVERAGE REVENUE E-SCOOTERS Capex
Site Level
Gross Margins Payback Period
PER SITE
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SEAN FLOOD
Founder, CEO
Over 10 years operating and establishing deep relationships
in the mobility space, has partnered with >100 shared e-
mobility systems across the U.S.
MAX SMITH
CEO, Director DAVID TOUWSMA
Successfully raised capital and drove business growth through
Chief Operating Officer
eight exits
Over a decade as an accomplished entrepreneur focused on
growing several startups to multimillion-dollar companies
ROMAN SPANDRIO Recognized as one of America’s fastest-growing private
Chief Product and Innovation Officer companies in 2018 and 2019 on the Inc. 5000 list and a finalist
on Fast Company's 2019 World Changing Ideas Awards in the
Health and Wellness category for providing students with
sustainable micro-transit products that encourage healthy
MATT TOLAN lifestyles
Vice President, Sales
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SUMMARY
On Mar 4, 2020, MILE announced the closing of its acquisition of Gotcha Mobility and associated financing of
C$8.3mm
Proceeds from the financing are to fund the acquisition and subsequent strategic rollout of ~16,000
mobility units across 80 locations by year end 2020
With the acquisition of Gotcha, MILE now has the broadest product profile in the micro-mobility
space, featuring a pedal bike, e-bike, standup scooter, seated scooter, and trike
Strategy of creating long-term, exclusive partnerships with universities and mid-size municipalities;
with over 3,000 universities and 700+ mid-size markets in the U.S., this focus will differentiate MILE from
the competitors, allow us to scale with lower capital needs, and ultimately deliver better ROI per asset type
The financing fast-tracks MILE's path to profitability by providing deployment-ready locations primed for
a phased roll-out of mobility units with top-tier economics
Thereafter, MILE is able to fund additional mobility unit deployment through cash flow or continue with
an accelerated roll-out strategy backstopped by incremental capital, if desired
Public parent company rebranded as Last Mile Holdings Ltd., with new ticker “MILE”, to better convey to
investors our rollup strategy
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OTC: AZNVFCAPITAL STRUCTURE
Ticker TSX.V:MILE
Limited Voting Shares* 101.48M
Warrants 22.55M
Options 5.05M
Fully Diluted 129.08M
* Reflects total share count on an as-converted basis, assuming the redemption of all OjO membership units for Limited Voting Shares, and conversion of all Multiple
Voting Shares into Limited Voting Shares On the closing of MILE's go-public transaction, due to certain US tax considerations, certain OjO securityholders acquired
Multiple Voting Shares representing in the aggregate 80.02% of the outstanding voting rights of MILE as of such closing. The Multiple Voting Shares: (i) have 1,000
votes each; (ii) are convertible into Limited Voting Shares on a 1:1 basis in certain circumstances, including automatic conversion upon holders of Multiple Voting
Shares collectively owning less than 20% of the outstanding MILE shares (calculated on a fully-diluted and as-converted basis); (iii) do not entitle the holders to any
greater economic interest per share than the Limited Voting Shares; (iv) do not entitle the holders to change the rights and restrictions attached to any class of
shares of MILE without a vote of all shareholders with the Multiple Voting Shares having just one vote each; and (v) do not have any anti-dilution rights. MILE's Limited
Voting Shareholders have customary coattail rights.
** Prior to resumption of trading, which is expected to occur on Mar 9, 2020, the Company expects to grant additional equity incentive awards to retain certain key
personnel.
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OTC: AZNVFCHANGING
RIDESHARE FOR
GOOD.
http://lastmile.holdings/
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