Contact Dr. Sigvald Harryson Founder and CEO Office Location Turning Torso 275 SE Malmö

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1 Contact Dr. Sigvald Harryson Founder and CEO Office Location Turning Torso 275 SE Malmö Executive Summary on the InnoVentum Growth Investment Opportunity Our Vision: By 2020 InnoVentum is the globally leading brand for the world s most resource- efficient, carbon- capturing, wealth- creating and beautifying distributed renewable energy solutions. Our mission is to make profit from the top and revenue from the bottom of the pyramid enhancing the economies of scale for further profitability and affordability. Therefore, our value propositions are to offer exclusive designs to those who can afford and affordable designs to those who need. How Resource- Efficient? Big is not always beautiful and certainly not in wind turbines. The details of this business plan offers a direct comparison between two of our small products and two large products provided by Enercon. The comparison shows that when the large wind turbines are made yet larger, they get decreasing return on materials used (copper, steel, concrete, magnets). By contrast, we operate on the positive side of the same curve where we get increasing return on materials used. As a result of being on the right side of the curve, the energy produced compared to materials used is more than five times higher for our Dalifant than for the Enercon 3MW. How Carbon- Capturing? In addition to offering five times higher energy return on materials, the materials we use are mainly wood, which has absorbed instead of causing CO 2 emissions like steel and concrete do as main materials used by Enercon and other large- scale wind turbines. How Wealth Creating? Owning an Enercon or any other large- scale wind turbine does create value to the owners, but our solutions go beyond this. We also create climate wealth by using CO 2 absorbing materials and by producing energy at its source of consumption. Distributed energy both eliminates the need for highly cost- intensive transit lines and reduce the transmission loss to a fraction (less than one percent) of long- distance transport of electricity. In island economies where the normal source of electricity is from diesel or gasoline generators, we deliver emission- free electricity at less than one third of the cost of diesel energy and one fourth the cost of gasoline energy. How Visible Beauty Matters: According to a survey made by sustainabilityadvantage.com, companies using visible best- practice sustainability approaches, improve their profit by more than 50% within less than five years. Our solutions offer savings and increased profits to owners while creating climate wealth for the benefit of all. Our pace of growth will be strongly influenced by magnitude of investments. In the business plan that follows this executive summary, we outline three scenarios based on different funding levels: 1. With Growth Investments of $1,6 million in 2015 and $3,2 million in 2016, we will reach sales amounting to $60 million in total in With investments of $ in 2015 and $1,2 million in 2016 we will make sales amounting to $30 million in total in Without growth investments, we would reach sales amounting to $10 million in total for

2 InnoVentum: Exclusive Designs to those who can afford Affordable Designs to those who need InnoVentum s Vision: By 2020 InnoVentum is the globally leading brand for the world s most resource- efficient, carbon- capturing, wealth- creating and beautifying distributed renewable energy solutions. Our mission is to make profit from the top of the pyramid and revenue from the bottom enhancing economies of scale for further profitability and affordability. To date, we have made 16 installations across four countries: InnoVentum s Current Reality: In year 2014 after four years of Research & Design and some initial sales, InnoVentum has developed more opportunities than the company can capture with its current resources. The largest installer of small- scale wind in Sweden, Egen El, recently bought and installed a Dali PowerTower at their largest exhibition area for small scale wind; a dozen purchasers from the UN are in contact with us for follow- ups from meetings in New York, Manila and Copenhagen; the first Dali PowerTower has been successfully installed in the Philippines and already triggered several requests for proposal. A recent exhibition in Kunshan triggered interest among Chinese companies mainly in the Giraffe; we have been selected for further company presentation and product exhibitions at Eco Summit in London, Eco Expo in Hong Kong, Green Connections in San Diego and Business of Design Week in Hong Kong. The Swedish Energy Authority and the Swedish Innovation Agency have decided on grants totalling more than three million Swedish crowns for certification of the Giraffe 2.0 and for commercialization of the Dalifant. The two grants require equal amounts of self- financing and it will require significant investments to scale up the lead- capturing resources of InnoVentum. Depending on how much growth funding InnoVentum can acquire, three quite different growth scenarios are outlined in this business plan. InnoVentum s Background: InnoVentum was established May 5 th 2010 with the mission to give Power to the People. Currently counting six employees including myself: Morgan Widung, Ala Kazlova, Julien Daligault, Jacky Parkhouse, Lucas Gabrys, and CEO: Sigvald Harryson. 2

3 How it Started In 2001, iknow- who.com was established to solve fundamental innovation challenges often climate- related by raising collaborative university competitions involving the global centers of academic excellence. 20 innovation challenges have been solved by iknow- Who.com since then for clients like Porsche, Philips, DSM, Bombardier, Tetra Pak, Nestlé and AkzoNobel. The principle has always been the same: to establish Collaborative University Competitions in which leading university teams both compete and collaborate to solve fundamental innovation challenges. This unique approach reached publication in the Harvard Business Review in 2005 and Sigvald received his docent competence from Lund University in 2006 for inventing and deploying this new business model for breakthrough innovation. The way in which it works is described in a two- minute video featuring Philips Global Head of Research & Alliances Dr. John Bell: who.com/innovation- in- mind- 2012/ The same know- who based approach to R&D has been used by InnoVentum to co- create the breakthrough solutions that combine renewable materials and renewable energy technologies the Dali PowerTower, roof- mounted wind with hybrid solar PV, the Dalifant and the Giraffe. Our Research & Design approach proactively engages leading researchers from centers of excellence like Lund University in Sweden and ENSTIB (Ecole National Supérieure des Technologies du Bois) in France. Until now, we have applied for a patent via PCT (Global Patent Collaboration Treaty, current status: patent pending), 9 design protections and several trademarks, including that for Dali. The use of renewable materials makes our solutions CO 2 negative and exceptionally silent. Modular design secures compact transport volumes and ease of installation. Our PCT application is centered around mechanisms supporting tower erection without the use of a crane. Excellence in CAD- CAM makes mass- manufacturing possible anywhere in the world. Any wood engineering workshop using standard CNC (Computer Numeric Control) machines will be able to read our software for accurate 3

4 computer- aided manufacturing of our towers. All wood is from Sweden based on responsible forestry, and the renewable energy technologies and batteries deployed are sourced from leading European and American suppliers. Why Small is better and more Resource- Efficient than Big The table below shows that when the large wind turbines are made yet larger, they get decreasing return on materials used (copper, steel, concrete, magnets). By contrast, we operate on the positive side of the curve where we get increasing return on materials used. If we consider the energy produced over the lifetime of the large and small solutions and relate this to the materials use for the solutions, the Dalifant produces 10,6 kwh per kilo of material used whereas the Enercon 3MW only produces 1,9 kwh per kilo of material used. This means that the Dalifant delivers more than five times more energy per material unit used. 4

5 Creating Climate Wealth If we then look at the type of materials, the Dalifant (and any other InnoVentum solution) uses mainly wood, which has absorbed and stored CO 2 during the entire growth period of the trees. By contrast, the Enercon and all other large- scale wind turbines use concrete and steel as main materials. Therefore, the Dalifant has captured nearly six tons of CO 2 while the Enercon 3MW has caused more than a thousand tons of CO 2 emissions. Finally, the energy that is produced carries a very different value, depending on whether it comes from a small or large wind turbine, because large solutions always deliver into the high- voltage side of the grid where the value is set by a spot price. By contrast, decentralized micro- production delivers energy on the other side of the meter - into the domestic grid where it represents a consumer price. The figure below compares the consumer price and the spot price in three countries: On average, the value of consumer- priced electricity is three times higher than the value of the spot 5

6 price. By producing the energy at its source of consumption the combined transit and transmission losses are on average less than one percent of those caused by large scale wind parks that are often far away from the point of consumption. In fact, the total transmission losses in Sweden account for 7-8% of all energy produced. This is equivalent to the total amount of energy produced by large- scale wind turbines a loss that would be completely eliminated by our decentralized solution. In areas where there is no grid at all the price per kwh of our solutions should be compared with that of diesel or gasoline generators. A recent benchmark from the Philippines confirms that electricity from gasoline generators costs four times more than the electricity from our Dali PowerTower: Gasoline Generator: 60 US Cents/ 27 Pesos Dali PowerTower: 14 US Cents/6 Pesos Profit from the Top of the Pyramid and Revenue from the Bottom We address both the top and the bottom of the pyramid two quite differentiated segments with a product portfolio using intelligent design and smart functionality for differentiation between: Exclusive designs for those who can afford: Real estate companies, municipalities, owners of EVs and leisure homes without grid- access, commercial chains and ecological farms who all appreciate exclusive design, renewable materials, silence and reliability of operation; Affordable designs for those who need: NGOs, disaster relief organizations and people who have no access to power today (or mobile internet), who appreciate the resource- efficient structure of the Dali PowerTower as well as its high energy- density, transportability and speed of installation. The design is well suited to also carry a mobile internet solution. The exclusive design markets that we target include Sweden, Denmark, Germany, Norway, Japan, UK and Benelux. Power to the People markets include countries where access to electricity is poor due to disasters, such as the Philippines, which is where we have tested our Dali PowerTower and identified business models allowing for local entrepreneurs to create significant profit through, for example, cellphone- charging services. All our solutions optimize the use of renewable materials to carry renewable technologies (wind and solar) in hybrid combinations so as to get the flattest possible power curve day and night, summer and winter. The diagram below presents our Giraffe with an almost flat energy curve. This secures more stable energy supply AND reduces the need for deep- cycling of batteries: 6

7 One additional USP that is particularly strong for the Giraffe is its role as a beautiful social innovation in society. For example, Malmö City ordered a Giraffe to greet thousands of visitors joining the Eurovision Song Contest held in Malmö in 2013: Based on feedback from a survey conducted during a road show at a dozen municipalities clearly requesting space for two EVs while fitting into two parking lots we decided to design a slightly larger, but more space- efficient, Giraffe. Through smart design, the Giraffe 2.0 provides higher energy density than any other solar or hybrid carport on the market. No other PV- including solution delivers more than kwh per year using less than 25 square meter space. Combining renewable energies of the wind and sun coupled with systematic use of wood for the structure gives the Giraffe a CO 2 negative start: It has absorbed more than 4 tons of CO 2 through its renewable materials. For every year, it then delivers enough CO 2 neutral energy for two electric cars to drive around the Planet. Using the iconic Turning Torso as home base in Sweden, it was natural for InnoVentum to rely on advice from Santiago Calatrava and his Chief Designer, Mike Pfisterer, to co- create the new rounded design for optimal signal value of absolute sustainability ready to decorate any city with strong ambitions in sustainability and passion for iconic design. We are honoured with an invitation from Hong Kong Design Center to make our design release at the world- event: The Giraffe 1.0 and 2.0 are compared below: 7

8 Targeting Five Global Segments In short, we bring renewable energy solutions to new levels and new arenas by offering intelligent designs and smart combinations that bring exceptional user benefits in terms of power density, continuity of energy production, aesthetics, acoustics, modularity and sustainability. Combined, our exclusivity and affordability products attract five global segments: 1. Power to the Public Institutions: Green Municipalities, Parks, Science Parks, Universities, Schools, Daycare Centers, Marinas/Leisure Harbors, Public Arenas and Sport Centers, Golf Clubs. 2. Power to the Businesses: Supermarkets, Shopping Malls, Restaurant Chains, Do It Yourself/Home Improvement Chains, Real Estate Companies for public, commercial and private tenants. 3. Power to the EVs: Using the Giraffe as charging station for Electric Vehicles both at public parking facilities, along roads as visual green charging spots and as home installations for private EV owners. After a slow start with California and Norway as the early adopters, the EV segment is now growing fast in several geographies. 4. Power to the On- Grid People: Decentralized power generation at micro- level is becoming increasingly popular especially in countries with high electricity prices and/or Feed In Tariffs (FIT). In Denmark and Germany, the consumer price of electricity is three times higher than in Sweden. In Japan, the FIT is 66 Dollarcent per kwh, which is highest in the world and more than 10 times higher than in Sweden. This is the main- segment for the Dalifant, which has an ideal energy output for farms. We see a particularly big interest from ecological farms. 5. Power to the Off- Grid People: Our biggest growth segment starting in the Philippines. Globally, this is a very large segment with 1.6 billion people lacking access to electricity. However, there is also an opportunity in developed markets for summer houses and cottages on islands, in mountains or simply in areas where there is no grid. Norway alone has more than houses with no access to the grid. In this sense, this segment both addresses B2C in wealthy countries and B2B through NGOs addressing the bottom of the pyramid. Based on meetings in New York, Manila, Vienna and Copenhagen, we currently follow up with several UN purchasing managers ( nations- procurement- seminar- 2014/). Segmentation & Sales Strategy We can cover all five target segments listed above, because the first four segments all need the same product portfolio, and the fifth segment uses the same structures the Dali PowerTower and the Giraffe but adds a battery backup for off- grid use. Although off- grid products are mainly needed in emerging markets with poor public grid, we also see a need for off- grid products among exclusivity buyers in premium markets such as Norway and luxury hotel resorts in off- grid markets. We will devote our direct sales efforts through growing teams addressing B2B customers in Sweden, Denmark, Norway, Germany, the UK and France. We will also build a platform for online sales capturing B2C opportunities in these and neighbouring markets. Japan is a particularly interesting market both with respect to its need for renewable energy and the passion for wood. The leading magazine for landscape architects in Japan, Landscape Design, has already published several articles on InnoVentum, and Japan is our fourth largest population in terms of website visitors: 8

9 content/uploads/2012/05/landscape_design_article2- Cropped.pdf A dozen potential distributors from Japan have approached us and three have been confirmed through distributor agreements. Critical certification is pending to attack this attractive market. Sweden is our lead- market and marketing platform for other markets to follow. Even the Power to the Off- Grid People segment started through a B2B collaboration in Sweden. Together with the Children s Mission, we are bringing off- grid Dali PowerTowers to the Philippines. Read more on this at till- filippinerna/ Our engagement in the Power to the People markets also has a significant medial impact. During two months of updates on the Power to the Philippines project on Facebook, we acquired more followers than in the first two years of InnoVentum s Facebook history. Our recent Guinness World Record in the longest parade of Electric Vehicles also boosted our Facebook audience, which recently passed 3000 followers. This may still be a low number, but already high in the context of renewable energy with exponential growth patterns. Outlining three Different Growth Scenarios How will InnoVentum be able to capture all the growth opportunities? Clearly, the number of opportunities outnumbers the small InnoVentum Team. Rather than projecting one clear revenue figure for the future, three different growth scenarios are outlined based on different premises: 1. With Growth Investments of $1,6 million in 2015 and $3,2 million in 2016, we will reach sales amounting to $60 million in total in With investments of $ in 2015 and $1,2 million in 2016 we will make sales amounting to $30 million in total in With limited investments, we would reach sales amounting to $10 million in total by end of Each of these three scenarios is described in terms of: Revenues generated and costs incurred (Cash- In and Cash- Out) for 2015, 2016 and 2017 Assumptions that need to be fulfilled to make the scenario happen Total revenues for the business year 2017 split by products and markets. The same logic and order follows for all three scenarios, after which some more detail is provided in terms of how the growth investments will be spent. The forecasted revenues are exponentially dependent on the investments, because high volumes bring critical efficiencies in manufacturing and economies of scale in sourcing. The industry we operate in currently suffers from low maturity, poor professionalism and low economies of scale. A general perception that small- scale wind is noisy constitutes a main- barrier against sales. This is why we make a silent revolution to give Power to the People. All organizations and activities mentioned in the first two scenarios have been reached already. To move from creating to capturing these opportunities obviously requires more resources, which is why the outcomes of the two growth scenarios are linearly related to the growth capital that is injected. Scaling up the commercialization collaboration with Business Sweden will also strongly influence our growth based on a model described after the three scenarios. 9

10 1: Aggressive Growth Scenario with Investments of $1,6 million in 2015 and $3,2 million in 2016: Assumptions for the Aggressive Growth Investments Scenario: Our growth investment allows us to establish a strong platform for business- development in the Philippines based on a partly localised value chain and strong partnerships with a financial institute such as ADB or Bridge and a nation- wide collaboration with a mobile operator. This model giving both electricity and connectivity to those who need is gradually expanded into other growth markets with a similar bottom of the pyramid structure Energy prices remain high in core markets such as Denmark and Germany and increase by 50% in Sweden by 2016 to almost reach international prices making own renewable energy solutions profitable even in Sweden with ROIs far below 10 years and yet shorter in other core markets. B2B sales to several corporate customers and commercial chains (such as IKEA, Wal Mart, Scandic Hotels, Choice Hotels, MAX, Carrefour) supporting mass installations in multiple markets. Commercialization collaboration with Business- Sweden for immediate (2014) support in core markets with InnoVentum representation in tandem (SE, DK, DE, NO, FR- UK) and for establishment of rep offices in the markets where InnoVentum is not present otherwise (see separate Business- Sweden map later on in this document). This allows InnoVentum to attack 20 markets during The markets where significant business is developed will see new InnoVentum entities being established often in partnership/joint- venture with local partners. Existing product portfolio provides good sales and good licensing revenues. New products such as the Giraffe 2.0 take us into some exclusivity markets. The exclusivity markets are partly acquired in collaboration with Business- Sweden rep offices across the top 20 markets. Our platform for e- commerce supported by proactive digital marketing generates significant sales in several markets. This strengthens our economies of scale for enhanced gross margins. Core processes (such as Lead Developer and supply chain management) are also web- supported. Growth of the electric vehicle market in countries like UK, Hong Kong, China, NO, DK, Benelux, FR, DE, CH and SE raises the need for visibly green EV charging stations in particular. 10

11 Partnerships with several players in EVs, that market and distribute the Giraffe in bundled offers. Target companies: Tesla, VW, Renault, Nissan, Volvo, BMW, NEWS, Mitsubishi, BYD, Mercedes. Alliance with Yahoo/Google/Globe/Globe/Ericsson to make Dali PowerTowers for disaster relief and energy access purposes equipped with HotSpots so as to market the Dali PowerTower also as connectivity product mainly through last- mile extension, but partly also through satellite. Good business relationships with at least three Agencies and/or Bodies within the UN (e.g., UNICEF, UNDP, UNEP, UNOPS, UNHCR, UNHRD, UN/PD, WHO). Good business relationships with at least three NGOs (e.g., Barnmissionen, SIDA, Red Cross, Save the Children, IOM, WFP, Erikshjälpen). Power to the Philippines project is successful and leads to cooperation with several disaster relief/rebuilding the Philippines financiers also beyond Sweden (ADB, IFC, World Bank, Ayala Foundation, SM Foundation, Philippines Disaster Relief Foundation). Good partnerships with major green thought- leader organizations such as the Carbon War Room, Zennström Philantrophies, and Clean Air Asia. InnoVentum gradually becomes successful in crowdfunding efforts for good cause projects that contribute to viral impact, revenue and economies of scale. Most organizations mentioned above are in initial or progressed contact- phase. Significant recruiting pre- screenings have been ongoing since January 2014 to identify 30 attractive candidates for sales, marketing and project execution. A network of potential partners has been identified in the Philippines, which will be the most important growth- platform. With Growth Investments of $1,6 million in 2015 and $3,2 million in 2016, we will reach sales amounting to $60 million in total in 2017, of the following products in the following markets: Business Sweden collaboration in country markets, where InnoVentum is not established All figures are in USD 11

12 2: Medium Growth Scenario based on Investments of $ in 2015 and $1,2 million in 2016 Assumptions for the Medium Growth Investment Scenario: Some partnerships in the Philippines lead to the establishment of successful installation projects in selected regions such as 100 Islands, Palawan and Tacloban. Energy prices rise by 30 % by 2016 in a few of our target- markets Renewable energy is supported and partly subsidized in our markets of interest InnoVentum develops a platform for e- commerce that generates sales in some of the core markets Partnership with at least one major player in the electric vehicle industry, that markets and distributes the Giraffe 2.0 as a bundled offer The Power to the Philippines project is reasonably successful and leads to collaboration with one disaster relief organization (eg, ADB, Ayala Foundation, SM Foundation, PDRF) Good partnerships with a few key organizations such as Lantmännen in Sweden and the Carbon War Room and Clean Air Asia internationally Existing product portfolio generates sales and also gives some limited license revenue (eg, China) Commercialization collaboration with Business- Sweden contributes to sales volume in the markets where InnoVentum is established. All assumptions above are based on concrete ongoing business development activities. There are no reasons that this scenario should not be reached with investments of $ in 2015 and $1,2 million in This would mean sales amounting to $30 million in total in 2017, of the following products in the following markets: 12

13 All figures are in USD 3: Self- Driven Growth Scenario Based on Failure to Attract Growth Investments Assumptions for the Self- Driven Growth Scenario: InnoVentum fails to attract any significant growth investment. Lack of partnership opportunities in the Philippines reduces the speed of development significantly. Energy prices remain extremely low in Sweden (currently, 2014, we have 50% lower electricity prices than in 2010) and stable in other markets. Own renewable energy does not pay off in Sweden and therefore our local growth is limited. 13

14 Oil prices remain stable so that the diesel generated electricity costs about 33 US Cents per kwh Fossil fuels lobby ensures that electric vehicle industry does not boom. Low or no subsidies for renewable energy in the markets of interest. No commercialization collaboration with Business- Sweden. No business development with the UN. In this scenario, InnoVentum gets no leverage on R&D, which results in poor profits and thus scarce resources for self- funded growth. Some positive developments happen, however, even with no external growth financing: Distribution partners are identified in several growth countries such as Japan and Germany. Continued funding for Research & Design from VINNOVA and the certification from the Swedish Energy Agency. InnoVentum remains very interesting to the media and our online presence increases, which gradually increases our brand equity. The Power to the Philippines project triggers some business development with Swedish disaster relief organizations (accounted for under Sweden in the table below). This would mean sales amounting to 10 mio USD in total in 2017, of the following products in the following markets: All figures are in USD Commercialization Collaboration with Business Sweden The first two scenarios will devote part of the growth investments to drive commercialisation collaboration with Business- Sweden. The aggressive growth scenario implies that we go live in 20 rep offices within The criteria for office- selection are outlined below, and a basic business- model has been identified to operationalize this collaboration. 14

15 We are performing a funnel- based approach addressing 20 offices with initial market- potential related questions, following up with the most active offices in the most attractive markets for lead- creation and finally selecting the most value- creating offices for lead- capturing. The offices addressed in the first round are listed below. The number of offices maintained after filtering will depend both on value- creation potential and on our resources available. Investments into Sales force, IT Platforms and IP Expansion By attracting investments for accelerated growth, we count on expanding to 30 employees by end of 2015 and to 60 employees by end of It seems realistic that a growth platform in the Philippines 15

16 will have an equal number of employees partly in a JV- structure and possibly also through a franchise concept that will be scaled up gradually to other markets in the region. Most new employees will be devoted to sales and project execution. We will also strengthen our digital marketing resources in the core languages required and build IT platforms to support: Our online wind- check app to work also for hybrid solutions and core markets beyond Sweden Online performance monitoring allowing both for customers and ourselves to have full control Online sales for DIY products, including CRM and supply- chain coordination Additional social media communication and crowdfunding. We will also widen the geographical scope of our patents, designs and trademark protections. The items that will get priority from the investments are listed in the table above. The figures in this table assume the aggressive growth scenario. Should the medium growth scenario be the one that is offered based on lower investment levels, the figures in the table will be reduced by 50%. In other words, the proportions of focal investment areas will remain very similar. Value Creation and Exit Strategy: The exit strategy is to make an IPO by the time we have reached annual revenues of $60 million realistically end of SE Banken Venture Capital indicates a pre- IPO value of 1 billion SEK ($120 million) when InnoVentum reaches revenues of $60 million with a gross margin of 60%. The high gross margins are achieved through economies of scale in the Power to the People markets that enhance our margins in the exclusivity markets. The IPO will offer an exit possibility to those who want. Possible large IPO avenues are HKEx, SIX Swiss and NASDAQ. Other avenues may emerge depending on where the largest InnoVentum Investors come from. The Investor(s) who bring(s) $1.6 million on board in the 2015 emission will be given 10% ownership and first right of refusal for the final emission in 2016 making another 10% of the company available at $3.2 million. The graph on the left shows the value creation from company creation through IP and commercial installations. The graph on the right shows the four emissions performed in black figures and the two forthcoming emissions as well as the planned IPO in green figures: 16

17 The main- reasons and key- enablers of these business results are: IP- Intensive from the Start: The company- creation on had been preceded by twelve months of testing out the wind- solar hybrid concept in several geographies, business planning and co- creation of valuable tower solutions supported by i- know- who.com as Research & Design platform. The UK patent application for the Dali Tower, and initial design- protections coincided with the company creation date as main- driver of the valuation at that time. Positive Business Development Trend: Since we brought our first sales person on- board in March 2013, we did more sales in nine months than during the first three years. The business- development figures in thousands of SEK are: 2011: 26; 2012: 426; 2013: Viral Internet- Logics: For the first three years, the numbers of unique web- visitors and followers on Facebook doubled. For 2014, this figure is four- folding and the growth- pace is still increasing at exponential levels. We will capture the viral potential through online sales and crowdfunding platforms. The viral trend also reaches potential distributors and enhances our overall visibility. Expanding Distribution: We are being approached on a weekly basis by companies wishing to become our agents, distributors or installers. We filter these carefully and have signed six distributor agreements so far. Increasing Visibility: Our spectacular installations at the Eurovision site in Hyllie, the EV charging Giraffe in the West Harbor of Malmö and the rooftop installation on Blekinge Technical University attract a stream of leads as many people see them and are attracted to know more. The installation at Hills of Grace outside of Manila is being visited by numerous human aid organisations, resort managers and our Ambassador of Sweden to the Philippines, H. E. Klas Molin recently made the big climb of the entire hill with a large delegation to see how the Dali PowerTower is proudly overlooking the Manila skyline: Power to the Off- Grid People: One segment counting 1.6 billion people deserves attention both in terms of sales and communication. We have experienced very positive reactions from our Power to the Philippines initiative and see viral potential in this type of projects. Financial Solutions for Growth: Starting in Sweden, we have Swedbank as partner offering attractive financing solutions to our customers, who get lower monthly fees than the energy savings making the investment in our solution cash- flow positive. We are negotiating with financial partners in the Philippines to explore how similar models can be applied to accelerate pace of installations in one of the World s fastest growth areas. 17

18 Current Co- Owners/Investors (Number of Returning Investments marked by I): Name Complementarity of Owners & Investors 1. Sigvald Harryson Founder and Global Alliance Manager 2. Henrik Hildebrand Legal Compliance Expert 3. Mohsen Djalali (I) Senior Executive within Tetra Pak 4. Mark Pilgerman (I) Operations and Germany- expansion 5. Ewa Dudkowska Baltic Market Expansion 6. Niklas Åkerman Product Management 7. Martin Ertl Chief Innovation Officer, Bombardier 8. Percy Petersson Advisor in IP 9. Kaj Kangeman Marketing & Sales in Stockholm 10. Rafal Dudkowski (II) Strategic Planning & Business Development 11. Bettina Ullman Marketing & Sales in Austria 12. Julien Daligault InnoVentum Chief Technical Officer 13. Ala Kazlova InnoVentum IP Management & Digital Marketing 14. Stefan Sjöblom CEO of Delta Energy Systems, Scandinavia 15. Nils Bohlin (III) Founder of Arthur D. Little Scandinavia 16. Yang HAN Business Development in China 17. Christoph Appert R&D Management and IP protection 18. Danuta Sikorska Business Development in Telecom 19. Olof Sjögren Business Development in West- Sweden 20. Mats Kemi Business Development in North- Sweden 21. Morgan Widung (II) InnoVentum Head of Sales 22. Manne Widung Design and Business Development in Åland 23. Jim Håkansson & Charlotta Grahn (II) Head of R&D of Nolato, Material Expert 24. Alexander Stern PhD in Crowdsourcing of Innovation 25. Dan Olsson CEO of Swedish Healthcare company 26. Per Nilsson Managing Partner, Roland Berger Former MD of Samsung Electronics, Chairman of TAT, CEO of Ericsson Mobile Platforms 27. Tord Wingren 28. Leon Montell Former Partner of ADL, MD of Montell & Partner 29. Lucas Gabrys InnoVentum Head of Wood Engineering 30. Jacky Parkhouse InnoVentum Office Management and Accounting 31. Ulrika Heitzmann Chief Controller Volvo Group 32. Johan Roos Former Dean of CBS now Dean of JIBS 33. Morgan Mattsson Planning and Building Permission Architect While we are humbly accepting the tough competition for growth capital, we are fully committed to making the aggressive growth a reality for all stakeholders: The Planet & the People who get Green Power; the Investors & Co- Owners who get ROI; the Employees who make history. 18

19 We welcome additional investors who have complementary networks and share our ambition to make a positive sustainable difference for the benefit of future generations. Please contact Sigvald@InnoVentum.se to pursue your investment in a green future with unlimited growth potential. Follow us on Facebook learn more about us on YouTube: Let s Reverse the Trend: Let s Change the Source: Let s Change the Material: Check out our Guinness World of Records set on September 21 st and officially confirmed October 1 st Read more at - and media coverage such as