SOLOMONCAPITAL
AUG 2014
”WE PROVIDE ONLY BEST innovative solutions for Fundraising, Debt
Financing, Restructuring and M&A.” David Solomon, Group CEO
April 2015
Cross Border
Investment Banking
> About Solomon Capital
> Cross Border Fundraising
> Our Approach
Contents
2
SOLOMONCAPITAL
April 2015
Our Services at a Glance
Investment Banking
Early Stage Financing $2-5m
Pre IPO $4-8m
Public Offering mainly in London $10-50m
Consulting
Firm Valuation [for Private and Public companies]
Analyst reports for Public companies
Business & Strategic Planning
3
Financial and Business Restructuring
LBO Services London [$20-100m]
Distressed Companies buy-out
LBO & Restructuring
SOLOMONCAPITAL
Co Brokering
Co-Brokering services for Israeli based
companies listed or going public on the
London stock exchange [AIM and Main List]
Up TO 25% of IPO
Re-structuring
Financial and Business Restructuring
LBO Services London [$20-100m]
Distressed Companies buy-out
AUG 2014April 2015
4
April 2015
4StartUPS
‫ויעוץ‬ ‫ליווי‬‫עיסקי‬‫הזנק‬ ‫לחברות‬ START UPS -Only The BEST Innovative Solutions
‫תכנון‬ ‫תהליכי‬‫עיסקי‬
‫הון‬ ‫גיוסי‬
‫פיתוח‬‫עיסקי‬
‫החברות‬ ‫להנהלת‬ ‫שוטף‬ ‫וליוויה‬ ‫יעוץ‬
A part of Solomon Capital Group
SOLOMONCAPITAL
5
DS Experience at-a-Glance
Note : Clients and or David Solomon Experience at-a-Glance
April 2015
6
SOLOMONCAPITALFirm Valuation & Analyst Reports - Coverage
Note : Firm valuations and independent analysts coverage reports distribute to the public and or to our clients
April 2015
7
SOLOMONCAPITALLondon : Business Contact at a Glance
April 2015
Experience at a Glance
David Solomon Books : [Sold out]
8
SOLOMONCAPITAL
April 2015
From The Press…
9
SOLOMONCAPITAL
April 2015
OUR Analyst Report –Sample
10
SOLOMONCAPITAL
April 2015
From The global Press…
11
SOLOMONCAPITAL
April 2015
12
SOLOMONCAPITAL
April 2015
> About Solomon Capital
> Cross Border Fundraising
> Our Approach
13
SOLOMONCAPITAL
April 2015
Main Funding resources
Private
Equity
Public
Equity
Debt
Financing
Seed
Early Stage
Pre IPO
Private Equity
funds
TASE
NASDAQ
London MAIN
London AIM
US OTC
BANKS
Debt financing
Restructuring/MBO
/M&A
Public Bonds
Large/Mid Cap
Funding Resources
IPO Solution -LONDON SOLOMONCAPITAL
IPO Solution -LONDON
for Small-Mid Companies
Transaction size: $10m -$50m
Technology, Growth, Pre Market Cap $50m -$200m
• Sales: > $5, Next Year> $8m
• 4 Quarter sales
• EBITDA>1, Next Year>$2-4
• Strong Management Team [CFO]
• Strong Story
IPO Criteria
• PE
• EV/EBITDA
• DCF [Not Likely]
• Sector Benchmarks
Valuation
Pre IPO Solution SOLOMONCAPITAL
Pre IPO Solution
for Small-Early stage Companies
Transaction size: $2-10m: Technology, Growth
• Sales: > $1 Next Year> $5m
• 2 Quarter sales
• EBITDA Next Year>$2
• Strong Management Team [CFO]
• Strong Story
• 18 Month to IPO
Pre IPO Criteria
• Discounted Future EV/EBITDA
• DCF [Not Likely]
• Sector Benchmarks
Valuation
Early Stage Solution SOLOMONCAPITAL
Early Stage Solution
for Small-Early stage Companies
Transaction size: $2-4m: Technology, Growth
• Full Operating Solutions
• Market Penetration
• Sectors :
Medical/Internet Media/Cyber/Mobile
• Strong Story
• Up to 12 Month to Market
Pre IPO Criteria
• Discounted Future EV/EBITDA
• Sector Benchmarks
Valuation
DEBT financing-LONDON SOLOMONCAPITAL
DEBT financing-LONDON
for –Restructuring - MBO - Acquisition
Transaction size: $25-200m
• Sales: > $25m
• EBITDA >$4
• Strong Management Team
• Solid Free Cash Flow
Criteria
• EBITDA/Pay back
• Free Cash Flow/ Pay back
• Post transaction Debt/Equity
• Financial Liability/ EBITDA
Ratios
18
LONDOM MARKETS – THE AIM SOLOMONCAPITAL
April 2015
The Right Solution
For the Right Non UK
Company!
95IPO’s , 23NON UK, 6ISRAELIS
2014
19
SOLOMONCAPITAL
April 2015
Israelis on AIM
20
Israelis on AIM SOLOMONCAPITAL
April 2015
21
SOLOMONCAPITAL
April 2015
> About Solomon Capital
> Cross Border Fundraising
> Our Approach
22
The Success Factors SOLOMONCAPITAL
April 2015
TEAM
STORY
STRATEGY
ACCESS
The Success Factors
ATTITUDE
23
The Investor Perspective SOLOMONCAPITAL
April 2015
The Investor Perspective
Remember !!
It is all About Risk Management
The Company is focusing on the
OPPORTUNITY the Investor on the RISK
24
Main Causes for Unsuccessful Fundraising SOLOMONCAPITAL
April 2015
Main Causes for Unsuccessful Fundraising
• STRATEGY - Lack of Clear strategy or wrong strategy [wrong source, wrong timing,
wrong valuation]
• PREPARATION - Poor Preparation
• COMMUNICATION - Poor Company/Investor Communication,..Losing
Credibility
• BAD LUCK…
If you fail to plan you plan to fail
25
The Process
s
SOLOMONCAPITAL
April 2015
The Process
Pre
• Reality check - Evaluation, Reality check and putting together the right
STORY
• Strategy - Building up the best Strategy
• Preparation - Be ready… Plan and Preparation
On Air
• Communication
• Pitch - [road show]
• Negotiation
26
Our fundraising Process SOLOMONCAPITAL
April 2015
1 2 3 4
EVALUATION
Status, Vision, Market
FUNDRAISING STRATEGY
Valuation, Source, Size …
FUNDRAISING PLAN
Business Plan, Pitch Presentation
Targeting
COMMUNICATION
Introductions, Materials..
5
MINI ROAD SHOW
Face to face meetings
6
TERM SHEET
7
DEAL
CLOSING
STAGE I : PREPARATION [1 MONTH] STAGE II : FUNDING [3-6 MONTH]
27
Build Credibility SOLOMONCAPITAL
April 2015
Build Credibility
• Personal Credibility
• Advisers / industry experts
• Strategic partners
• Investors/board members
• Clear Plan &Business Models
28
Valuation SOLOMONCAPITAL
April 2015
The Valuation Model for AIM FLOTATION'S
Company : xyz : AIM Sector : Software & Computer Services
$m 2014 2015 Post 2016
Revenues 5 7 19
EBITDA 0.7 1.4 4
% of 50% 50%
EBITDA FOR VALUATION 2.7
POST MONEY VALUATION Min Max
EV/EBITDA 8.0 10.0
EBITDA FOR VALUATION 2.7 2.7
POST IPO ENTERPRISE VALUE 21.6 27.0
Net Liabilities Pre IPO 2.0 2.0
New Money from IPO 10.0 10.0
Net IPO Expenses 1.0 1.0
Net Liabilities post IPO -7.0 -7.0
Post IPO Equity Value 28.6 34.0
Pre IPO Equity Value 18.6 24.0
29
Our Fundraising Process
1 2 3 4
EVALUATION
Status, Vision, Market
FUNDRAISING STRATEGY
Valuation, Source, Size …
FUNDRAISING PLAN
Business Plan, Pitch Presentation
Targeting
COMMUNICATION
Introductions, Materials..
5
MINI ROAD SHOW
Face to face meetings
6
TERM SHEET
7
DEAL
CLOSING
STAGE I : PREPARATION [1 MONTH] STAGE II : FUNDING [3-4 MONTH]
SOLOMONCAPITAL
April 2015
30
Our Restructuring [Turn-Around] Process
1 2 3 4
CHECK UP
Basic Analysis & DD
EVALUATION
Full DD, Valuation
RESTRUCTURING PLAN
Strategy, Business Plan
Restructuring Plan
REALITY CHECK
Building up key- players support
[Owners, Management, Banks, Employees]
5
FINANCIAL RESTRUCTURING
Debt , Equity, Cash flow
6
BUSINESS & OPERATIONAL
RESTRUCTURING
[Markets, Products, Cost reduction]
7
END GAME
VALUE GENERATION
STAGE II: EXECUTION [3-6 MONTH]STAGE I: PLANNING [1 MONTH]
SOLOMONCAPITAL
9/2014
SOLOMON CAPITAL
Raanana
Israel
www.solomon-capital.com
972-508-695450
david@solomon-capital.com
Strictly private and confidential
31
SOLOMONCAPITAL April 2015

Cross Border Funding 2015: FROM SOLOMON CAPITAL EVENT

  • 1.
    SOLOMONCAPITAL AUG 2014 ”WE PROVIDEONLY BEST innovative solutions for Fundraising, Debt Financing, Restructuring and M&A.” David Solomon, Group CEO April 2015 Cross Border Investment Banking
  • 2.
    > About SolomonCapital > Cross Border Fundraising > Our Approach Contents 2 SOLOMONCAPITAL April 2015
  • 3.
    Our Services ata Glance Investment Banking Early Stage Financing $2-5m Pre IPO $4-8m Public Offering mainly in London $10-50m Consulting Firm Valuation [for Private and Public companies] Analyst reports for Public companies Business & Strategic Planning 3 Financial and Business Restructuring LBO Services London [$20-100m] Distressed Companies buy-out LBO & Restructuring SOLOMONCAPITAL Co Brokering Co-Brokering services for Israeli based companies listed or going public on the London stock exchange [AIM and Main List] Up TO 25% of IPO Re-structuring Financial and Business Restructuring LBO Services London [$20-100m] Distressed Companies buy-out AUG 2014April 2015
  • 4.
    4 April 2015 4StartUPS ‫ויעוץ‬ ‫ליווי‬‫עיסקי‬‫הזנק‬‫לחברות‬ START UPS -Only The BEST Innovative Solutions ‫תכנון‬ ‫תהליכי‬‫עיסקי‬ ‫הון‬ ‫גיוסי‬ ‫פיתוח‬‫עיסקי‬ ‫החברות‬ ‫להנהלת‬ ‫שוטף‬ ‫וליוויה‬ ‫יעוץ‬ A part of Solomon Capital Group
  • 5.
    SOLOMONCAPITAL 5 DS Experience at-a-Glance Note: Clients and or David Solomon Experience at-a-Glance April 2015
  • 6.
    6 SOLOMONCAPITALFirm Valuation &Analyst Reports - Coverage Note : Firm valuations and independent analysts coverage reports distribute to the public and or to our clients April 2015
  • 7.
    7 SOLOMONCAPITALLondon : BusinessContact at a Glance April 2015
  • 8.
    Experience at aGlance David Solomon Books : [Sold out] 8 SOLOMONCAPITAL April 2015
  • 9.
  • 10.
    OUR Analyst Report–Sample 10 SOLOMONCAPITAL April 2015
  • 11.
    From The globalPress… 11 SOLOMONCAPITAL April 2015
  • 12.
    12 SOLOMONCAPITAL April 2015 > AboutSolomon Capital > Cross Border Fundraising > Our Approach
  • 13.
    13 SOLOMONCAPITAL April 2015 Main Fundingresources Private Equity Public Equity Debt Financing Seed Early Stage Pre IPO Private Equity funds TASE NASDAQ London MAIN London AIM US OTC BANKS Debt financing Restructuring/MBO /M&A Public Bonds Large/Mid Cap Funding Resources
  • 14.
    IPO Solution -LONDONSOLOMONCAPITAL IPO Solution -LONDON for Small-Mid Companies Transaction size: $10m -$50m Technology, Growth, Pre Market Cap $50m -$200m • Sales: > $5, Next Year> $8m • 4 Quarter sales • EBITDA>1, Next Year>$2-4 • Strong Management Team [CFO] • Strong Story IPO Criteria • PE • EV/EBITDA • DCF [Not Likely] • Sector Benchmarks Valuation
  • 15.
    Pre IPO SolutionSOLOMONCAPITAL Pre IPO Solution for Small-Early stage Companies Transaction size: $2-10m: Technology, Growth • Sales: > $1 Next Year> $5m • 2 Quarter sales • EBITDA Next Year>$2 • Strong Management Team [CFO] • Strong Story • 18 Month to IPO Pre IPO Criteria • Discounted Future EV/EBITDA • DCF [Not Likely] • Sector Benchmarks Valuation
  • 16.
    Early Stage SolutionSOLOMONCAPITAL Early Stage Solution for Small-Early stage Companies Transaction size: $2-4m: Technology, Growth • Full Operating Solutions • Market Penetration • Sectors : Medical/Internet Media/Cyber/Mobile • Strong Story • Up to 12 Month to Market Pre IPO Criteria • Discounted Future EV/EBITDA • Sector Benchmarks Valuation
  • 17.
    DEBT financing-LONDON SOLOMONCAPITAL DEBTfinancing-LONDON for –Restructuring - MBO - Acquisition Transaction size: $25-200m • Sales: > $25m • EBITDA >$4 • Strong Management Team • Solid Free Cash Flow Criteria • EBITDA/Pay back • Free Cash Flow/ Pay back • Post transaction Debt/Equity • Financial Liability/ EBITDA Ratios
  • 18.
    18 LONDOM MARKETS –THE AIM SOLOMONCAPITAL April 2015 The Right Solution For the Right Non UK Company! 95IPO’s , 23NON UK, 6ISRAELIS 2014
  • 19.
  • 20.
    20 Israelis on AIMSOLOMONCAPITAL April 2015
  • 21.
    21 SOLOMONCAPITAL April 2015 > AboutSolomon Capital > Cross Border Fundraising > Our Approach
  • 22.
    22 The Success FactorsSOLOMONCAPITAL April 2015 TEAM STORY STRATEGY ACCESS The Success Factors ATTITUDE
  • 23.
    23 The Investor PerspectiveSOLOMONCAPITAL April 2015 The Investor Perspective Remember !! It is all About Risk Management The Company is focusing on the OPPORTUNITY the Investor on the RISK
  • 24.
    24 Main Causes forUnsuccessful Fundraising SOLOMONCAPITAL April 2015 Main Causes for Unsuccessful Fundraising • STRATEGY - Lack of Clear strategy or wrong strategy [wrong source, wrong timing, wrong valuation] • PREPARATION - Poor Preparation • COMMUNICATION - Poor Company/Investor Communication,..Losing Credibility • BAD LUCK… If you fail to plan you plan to fail
  • 25.
    25 The Process s SOLOMONCAPITAL April 2015 TheProcess Pre • Reality check - Evaluation, Reality check and putting together the right STORY • Strategy - Building up the best Strategy • Preparation - Be ready… Plan and Preparation On Air • Communication • Pitch - [road show] • Negotiation
  • 26.
    26 Our fundraising ProcessSOLOMONCAPITAL April 2015 1 2 3 4 EVALUATION Status, Vision, Market FUNDRAISING STRATEGY Valuation, Source, Size … FUNDRAISING PLAN Business Plan, Pitch Presentation Targeting COMMUNICATION Introductions, Materials.. 5 MINI ROAD SHOW Face to face meetings 6 TERM SHEET 7 DEAL CLOSING STAGE I : PREPARATION [1 MONTH] STAGE II : FUNDING [3-6 MONTH]
  • 27.
    27 Build Credibility SOLOMONCAPITAL April2015 Build Credibility • Personal Credibility • Advisers / industry experts • Strategic partners • Investors/board members • Clear Plan &Business Models
  • 28.
    28 Valuation SOLOMONCAPITAL April 2015 TheValuation Model for AIM FLOTATION'S Company : xyz : AIM Sector : Software & Computer Services $m 2014 2015 Post 2016 Revenues 5 7 19 EBITDA 0.7 1.4 4 % of 50% 50% EBITDA FOR VALUATION 2.7 POST MONEY VALUATION Min Max EV/EBITDA 8.0 10.0 EBITDA FOR VALUATION 2.7 2.7 POST IPO ENTERPRISE VALUE 21.6 27.0 Net Liabilities Pre IPO 2.0 2.0 New Money from IPO 10.0 10.0 Net IPO Expenses 1.0 1.0 Net Liabilities post IPO -7.0 -7.0 Post IPO Equity Value 28.6 34.0 Pre IPO Equity Value 18.6 24.0
  • 29.
    29 Our Fundraising Process 12 3 4 EVALUATION Status, Vision, Market FUNDRAISING STRATEGY Valuation, Source, Size … FUNDRAISING PLAN Business Plan, Pitch Presentation Targeting COMMUNICATION Introductions, Materials.. 5 MINI ROAD SHOW Face to face meetings 6 TERM SHEET 7 DEAL CLOSING STAGE I : PREPARATION [1 MONTH] STAGE II : FUNDING [3-4 MONTH] SOLOMONCAPITAL April 2015
  • 30.
    30 Our Restructuring [Turn-Around]Process 1 2 3 4 CHECK UP Basic Analysis & DD EVALUATION Full DD, Valuation RESTRUCTURING PLAN Strategy, Business Plan Restructuring Plan REALITY CHECK Building up key- players support [Owners, Management, Banks, Employees] 5 FINANCIAL RESTRUCTURING Debt , Equity, Cash flow 6 BUSINESS & OPERATIONAL RESTRUCTURING [Markets, Products, Cost reduction] 7 END GAME VALUE GENERATION STAGE II: EXECUTION [3-6 MONTH]STAGE I: PLANNING [1 MONTH] SOLOMONCAPITAL 9/2014
  • 31.