Presentation on theme: "TSX-V: NSP Naturally Splendid is dedicated to providing the highest quality natural superfoods and delivering them to the general public in a tasty, nutritious."— Presentation transcript:
1 TSX-V: NSPNaturally Splendid is dedicated to providing the highest quality natural superfoods and delivering them to the general public in a tasty, nutritious manner.
2 Forward Looking Statements TSX-V: NSPForward Looking StatementsThis presentation contains forward-looking statements. These forward looking statements are not based on historical facts but rather on Company management’s expectations regarding future growth, results of operations, performance, future capital and other expenditures (including the amount, nature and sources of funding thereof), competitive advantages, business prospects and opportunities. Statements in this presentation about future plans and intentions, results, level of activity, performance, goals or achievements or other future events constitute forward looking statements. Wherever possible, words such as “anticipate”, “believe”, “expect”, “may”, “could”, “will”, “forecast”, “potential”, “intend”, “estimate”, “should”, “plan”, “predict” or the negative or other variations of statements reflect management’s current beliefs and assumptions and are based on information currently available to the Company management. Certain risk factors may cause actual results, level of activity, performance or achievements to differ materially from those implied by forward looking statements. These factors should be considered carefully and prospective investors should not place undue reliance on the forward looking statements. Although the forward looking statements contained in this presentation are based upon what the Company management believes to be reasonable assumptions, investors cannot be assured that actual results will be consistent with these forward looking statements. These forward looking statements are made as of the date of this presentation, and the Company assumes no obligation to update or revise them to reflect new events or circumstances.
3 TSX-V: NSPWho We AreNaturally Splendid Enterprises is dedicated to providing healthy food choices that taste great and offer functional benefits beyond basic nutrition.We are focused on developing, marketing and distributing natural superfood product lines.Consumers today are demanding safe, nutritious foods that provide intrinsic health benefits.Our current product lines incorporate hemp… one of the most nutritious foods on earth AND most profitable crops to grow.Within the next 12 months the Company intends to expand our grocery line further with additional super foods, nutritional energy bars, and a line of healthy breakfast cereals/energy boosters; and expand into the convenience market with “school friendly” nutritional flavoured snack packs.A functional food is demonstrated to have physiological benefits and/or reduce the risk of chronic disease beyond basic nutritional functions.A nutraceutical is purified from foods and generally sold in medicinal forms not usually associated with foods and is demonstrated to have a physiological benefit or provide protection against chronic disease.
5 TSX-V: NSPOur Existing ProductsCurrently focused on a line of hemp-based food products Premium Shelled Hemp Seed Versatile, superfood that is delicious on its own as a snack or meal replacementPremium Hemp Protein Powder Can replace all other protein sources and is packed with live enzymes, EFA’s, EAA’s, vitamins and mineralsPremium Organic Hemp Seed Oil "Nature's most perfectly balanced oilOMEGA Hemp Supplements Rich in plant based omegas and anexcellent replacement for fish oilPresent productsComing Soon…Flavoured Hemp Seed SnacksComing Soon…Flavoured Hemp Protein PowdersThe hemp food market has experienced tremendous growth in recent years. As consumers become more educated to the superior health benefits and taste of hemp, this trend is expected to continue.
6 Our Customers/Partners TSX-V: NSPOur Customers/PartnersAvailable in a retail network of over 350 stores throughout British Columbia and AlbertaSave On Foods; Urban Fare; London Drugs; Marketplace IGA; Sobeys; as well as many independent retail stores.Within the next 12 months the Company intends to expand our grocery line further with additional superfoods, nutritional energy bars, and a line of healthy breakfast cereals/energy boosters; and expand into the convenience market with “school friendly” nutritional flavoured snack packs.A functional food is demonstrated to have physiological benefits and/or reduce the risk of chronic disease beyond basic nutritional functions.A nutraceutical is purified from foods and generally sold in medicinal forms not usually associated with foods and is demonstrated to have a physiological benefit or provide protection against chronic disease.
7 Expanding Distribution TSX-V: NSPExpanding DistributionNaturally Splendid has recently signed an agreement with New Age Marketing & Brand Development Inc. (New Age) to represent and promote Naturally Splendid product lines across Canada.New Age has been has been instrumentalin the introduction and support of manytop selling natural brands for over 15 years.We are expanding our broker and distribution network.The financing will in large part, go to support allot of the marketing activities in these marketsAdditional Distribution ChannelsDirect sales.Online Sales.
8 TSX-V: NSPA Growing Product LineOur short-term focus on developing products in 5 key areas:Healthy Cereals – targeted towards those looking to replace sugar laden cereals currently available (one of the fastest growing areas in the supermarket).Superfoods – Chia, quinoa, coconut, goji berry, spirulina (also one of the fastest growing areas in the supermarket).Hemp Seed Snack Packs – for the convenience market.Hemp seeds in Salted (Himalayan Crystallized), BBQ and Salt & Vinegar. Additional flavours being developed.Nutritional Bars – for the protein, energy & meal replacement market.Protein Powders – superfood based protein powders chocolate and vanilla flavoured hemp protein available soon.We’ve touched on product expansion.The strategy is to access many distribution channels with market specific products.Holy Crap is doing $10M a year and revenue is expected to double in the next yearHemp – Manitoba Harvest does $20+M a year in hemp sales alone – we’ll add other superfoods to our product mixSuperfood - Nutiva is doing $40M a yearSnack Packs – convenience stores are aggressively changing their product mix to include healthier alternatives. Our flavoured snack packs are perfect for this marketNutritional bars and protein bars – a more natural product without the artificial flavourings and chemical extractions. Think GNC 5,000 location
9 TSX-V: NSPCommitment To QualityCanada Brand Naturally Splendid was officially accepted into the Canada Brand Program in 2012.“Market research has proven that consumers associate the Canada Brand identifiers with safe, high-quality products…”Non-GMO ProjectNaturally Splendid has received acceptance in the Non-GMO Project Verification Program in 2012.A 2008 CBS News Poll found that 87% of consumers wanted GMOs labeled. And, according to a recent CBS/New York Times poll, 53% of consumers said they would not buy food that has been genetically modified.”
10 TSX-V: NSPGovernment SupportGovernments understand that eating healthy is important to living a healthy lifestyle…which makes for a more productive societyNaturally Splendid has received federal and provincial funding towards the research and development of new hemp-based food productsAnd for a strategic study to assess the feasibility of vertical integrationSuccess with these programs has opened the door to further government funding and support…
11 National Research Council of Canada TSX-V: NSPNational Research Council of CanadaWe have received financial support from the National Research Council of Canada (NRC) Industrial Research Assistance Program (IRAP) to assist with the cost of product development on a proprietary delivery system for hemp-oil Omega products.The first two products to result from this program are the unique patent pending HempOmega™ and H2Omega™.
12 Ground Breaking Science TSX-V: NSPGround Breaking ScienceDeveloped by Canadian Medical Hemp Inc. (CMH), HempOmega™ and H2Omega™ are proprietary, patent pending, omega products that utilize nano-encapsulation.Testing has confirmed that these products have increased bioavailability, sustainability and stability when compared to existing omega oil products.Through a previous business venture, CMH principals have experience and success with the production and distribution of functional beverages reaching combined sales in excess of $1 billion, over a three year period.Explain NAN-ENCAPSULATION because they probably don’t understand it
13 Exclusive Sales Agreement TSX-V: NSPExclusive Sales AgreementNaturally Splendid has entered into a sales agreement with CMH to market and distribute HempOmega™ and H2Omega™ in Canada and the United States.Opportunities to expand distribution globally
14 Product Innovation Upside TSX-V: NSPProduct Innovation UpsideHempOmega™ and H2Omega™ can be added to existing productsSignificant opportunity to market HempOmega™ and H2Omega™ to major brandsPatent pending delivery method allowing for premium efficiencyIndustries for this technology include:Dairy, Juice, Pet food, Fast Food Service, etc. etc…
15 As an ingredient in premiums lines for TSX-V: NSPProduct InnovationAs an ingredient in premiums lines forNaturally SplendidAs an ingredient in major brands in numerous industries
16 An Example – The Dairy Industry TSX-V: NSPAn Example – The Dairy IndustryMilk Products:Canadians consumed over 2.7 billion L of fluid milk inIf H2Omega™ was introduced to only 1% of the milk consumption in Canada…= 27,000,000 L of milkThis would require 313,200 L of H2Omega to meet daily recommended omega dosagesThis is just fluid milk and does not including cheeses, yogurts, etc…There exists huge upside with other products not in the dairy industryCost: $4.6MWholesale: $14M
17 Significant Opportunity TSX-V: NSPSignificant OpportunityCanadian companies in the functional foods and nutraceutical industry generate about $4 billion in revenues annually.Global functional food market was US $164 billion in 2007 and is expected to grow to $240 billion in 2013According to market statistics, the global functional food and nutraceutical market is growing at a rate outpacing the traditional processed food market.Existing products consist of premium shelled hemp seed, hemp protein, hemp oil and hemp-based supplements.For agricultural; geographical; and political reason, Canada is THE dominant player in the hemp marketplace.Agricultural – Canada is world renowned for our agricultural practices and high qualityGeographical – We are located just north of the largest consumers of hemp products in the worldPolitical –Although allowed to eat hemp products in the United States… it remains illegal to grow hemp in thereThe Nutrition Business Journal forecasted the global nutrition market would exceed US$400 billion by 2014 in its 2010 Global Nutrition Report
18 TSX-V: NSPBaby BoomersOn March 1, 2012, 10,000 Baby Boomers turned ,000 more turned 65 the next day… And every day for the next 18 years.This group will spend up to $4 TRILLION dollars – on new life- saving-and-extending medical treatments, techniques and technology.We’re about to witness the largest explosion in healthcare business that has ever been seen. Harvard scientist George Church calls just one driving force of this revolution so powerful, “it resembles the early days of the Internet”.Hippocrates – “Let food be thy medicine & let thy medicine be food”This might be the most important slide gentlemen.
19 Peers - Public Health Food Companies TSX-V: NSPPeers - Public Health Food CompaniesAnnie’s Organics -BNNYEngages in the production, marketing, and distribution of natural and organic food products.The company sells its products directly, as well as through distributors to the mainstream grocery, mass merchandiser, and natural retailer channels in the United States and Canada.shortly after BNNY went public at $19 a share Stock prices climbed 89% on its first day of trading to nearly $40/share,On Friday, Sept. 14, Annie's closed at $46.95, up nearly 150% in less than six months.Currently Trading at PE of 71 times EPSThe Hain Celestial Group - HAINThe Hain Celestial Group, Inc., together with its subsidiaries, manufactures, markets, distributes, and sells natural and organic products.The company sells its products to specialty and natural food distributors, as well as to supermarkets, natural food stores, mass-market retailers, e-tailers, food service channels, and club stores.Currently Trading at PE of 27 times EPS
20 Management Team & Directors TSX-V: NSPManagement Team & DirectorsMr. J. Craig Goodwin – Chief Executive Officer / Co-FounderMr. Goodwin has over 30 years of sales and marketing experience including Senior Account Executive for one of the largest outdoor advertising companies in the world, Jim Pattison Group. He has consulted for a number of public companies providing services from investor relations to raising venture capital.Mr. Bryan Carson – VP Operations, Operating Company / Co-Founder Mr. Carson has years of experience running various businesses with hands-on retail expertise from conceptual planning stages through construction and launch. One of his latest business ventures was involved in the natural foods industry which gave Bryan the inspiration to build Naturally Splendid and take it to the next level.
21 Management Team, Directors & Advisors TSX-V: NSPManagement Team, Directors & AdvisorsMr. Chuck Jenkins – CFO - Directorbroad experience in accounting, banking and corporate finance for various public companies.Mr. Frank Seimens – Directorover 33 years in the transportation industry successfully running a leading logistics companyMr. Peter Hughes – Directorover 25 years business experience in a variety of industries engaged in the exploration and development of mineral properties and has served on the boards on several publicly traded companies.Mr. Russ Crawford - Advisorover 40 years of expertise in agricultural and commodity market consulting. Vice President of the Canadian Hemp Trade Alliance.Mr. Peter Howes - Advisorformer VP with the Jim Pattison Group. A financial architect with a Chartered Accountant designation and an Associate with Pacific Opportunity Capital.
22 Share Structure As of March 31, 2013 TSX-V: NSPShare Structure As of March 31, 2013Issued & Outstanding: ,681,051Shares held in Escrow: ,127,410Free Trading Float: ,553,641
23 Why Naturally Splendid? TSX-V: NSPWhy Naturally Splendid?We help people live healthier lives1,700% increase in Omega 3 consumption since 2005Natural food sales are growing 4 times faster than conventional foodsOur products are in 350 stores and expandingLow share structureExperienced management teamPatent pending products with huge upside revenue potentialExclusive distribution rights to patented technologyNaturally Splendid has:The right the right the right TIME!Within the next 12 months the Company intends to expand our grocery line further with additional super foods, nutritional energy bars, and a line of healthy breakfast cereals/energy boosters; and expand into the convenience market with “school friendly” nutritional flavoured snack packs.A functional food is demonstrated to have physiological benefits and/or reduce the risk of chronic disease beyond basic nutritional functions.A nutraceutical is purified from foods and generally sold in medicinal forms not usually associated with foods and is demonstrated to have a physiological benefit or provide protection against chronic disease.
24 Thank You! For further information, please contact: TSX-V: NSPThank You!For further information, please contact:Mr. J. Craig Goodwin, CEO