AI Terminal
OY Nofar Energy Ltd.
Investor Presentation • Apr 10, 2022
6952_rns_2022-04-10_892f9c29-58ac-42dd-8750-0c4e5614440d.pdf
Investor Presentation
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Financial Year 2021 - Summary
1
This presentation was prepared by OY Nofar Energy LTD (the "Company") as a general presentation regarding the Company and the corporations held by the Company (including associated companies) (the "Group"). This presentation does not constitute an offer to purchase or sell the Company's securities or an invitation to receive proposals of such nature. The presentation is for information purposes only.
The information included in this presentation (the "Information") is presented for convenience purposes only and does not serve as a basis for making investment decisions, nor does it constitute a recommendation nor an opinion, and it is not intended to replace an investor's own judgment or considerations. The presentation does not purport to encompass or include all of the information that may be relevant to making any decision concerning investing in the Company's securities, and does not exhaustively cover all of the data regarding the Group or its activities, and is not a substitute for reviewing the reports published by the Company, and in particular, the Company prospectus published on 8.12.2020 and dated 9.12.2020 (reference number: 2020-01133446; the "Prospectus') and the Company's periodic report for the year 2021, published on 29.3.2021 (reference no. "2022-01-031419"; the "2021 Annual Report").
All of the information stated herein regarding the Company's operations is stated concisely and in brief. Understanding the full picture of the Company's operations and of the risks with which the Company contends, requires reviewing the Company's Prospectus, the 2021 Annual Report, and the ongoing reports published by the Company on the Tel Aviv Stock Exchange LTD's website and the MAGNA publication distribution website.
Any mention of the Company in the presentation refers to the Company and the corporations held by the Company, directly or through other held companies (including associated companies).
Amounts given in EUR are converted from the NIS figures provided in Company's Hebrew language presentation dated 29 March 2022 (reference no. "2022-01-031437"), according to an assumed conversion rate of 1EUR:NIS3.5199
The Company's projections regarding the systems' respective capacities (slides 3, 5, 6, 7, 8, 9, 10, 11, 13, and 19- 22), expectations regarding the end of construction and/or commercial operation of projects (slides 5, 9, 10, 11, 12, 13, 14 and 19 to 22), revenue expectations from the sale of electricity from projects (slides 3, 7, 9, 10, 11, 13, 14 and 19 -22), expected EBITDA from projects (slide 7, 9, 10, 11 and 19- 22), and expected FFO from projects (slide 7 and 19-22), average tariffs (slides 19-22), the equity required for the projects, leverage rate, interest and loan period (slides 19-22), as well as the Company's plans and goals (slides 5, 9, 10, 11, 12, 13, 14, and 19-22), constitute "forward-looking statements" (as the term is defined in the Securities Law 5728-1968), that are substantially based on expectations and projections regarding economic, sectoral, and other developments, as well as on the implementation of the Company's plans by the Company on the projected dates, and on their integration with one another. It is clarified that actual results, as they relate to said information, may differ materially from the projected results or results implied by that which is stated in this presentation, owing to various factors that are outside the Company's control, including the realization of risk factors that characterize the Company's operations, as well as developments in the Company's economic and regulatory environment and in external factors that impact the Company's operations that cannot be projected in advance and that are outside the control of the Company, such as: delays in obtaining the permits required to erect systems, changes in system construction costs, construction delays, changes in the provisions of the law and / or in regulations, increases in financing costs, foreign currency changes, unexpected expenses, faults in the systems, weather changes, changes in consumer electricity tariffs or in systemwide expenses, changes in consumer electricity consumption, changes in tax rates or the tax regime, difficulties in identifying partners, difficulty in identifying tax partners, persistence of the COVID 19 crisis and the restrictions enacted (and that will be enacted) in its wake, etc.
Therefore, readers of this presentation are hereby cautioned that the Company's actual results and achievements in the future may differ significantly from those presented in the forward-looking statements appearing in this presentation. Similarly, forward-looking forecasts and projections are based on data and information currently available to the Company as of the date of this presentation, and the Company is not obligated to update or revise any such forecast and/or projection so that they will reflect events or circumstances occurring after the date of the presentation.
For additional information regarding the assumptions made by the Company as they pertain to the information and data included in the presentation, see pages 24- 25 herein.
It is noted that slides 3, 5, 7, 9, 14, and 19-22 include Information which is published by the Company for the first time herein.
It is emphasized that the Company's projections regarding the forecasts were made in consideration of and based on past experience and professional knowledge accumulated by the Company. Said information may not materialize, in its entirety or in part, or it may materialize in a fashion that differs substantially from that predicted by the Company, both in terms of the Company's predictions regarding macro-economic factors and in terms of the rest of the data included in the Information.
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2
Company's activities in the past year
Main Achievements 2021
Market leaders in storage
Global growth
Growth platforms in seven countries with projects under construction and in advanced development
Creating a global infrastructure for sustainable growth
Construction momentum
Completed the construction of more than 300 MW
An additional 729 MW under construction
MWh 100 Behind the meter operating in Israel year-end of 20223
1.5 GWh in advanced development
2021 - Meeting growth targets4
% Nofar A significant pipeline of generating, under construction, and pre-construction projects featuring high-priced tariffs5
100% holdings, Company share in
7
Expected aggregate energy sales2
In a representative first year
Revenue
249 million Euro (118 million Euro)
EBITDA
204 million Euro (96 million Euro)
FFO
174 million Euro (82 million Euro)
אי
| //: Nofar Nofar Energy Group C&I, Utility, Storage |
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|---|---|---|
| 100% holdings | ||
| ನ್ನೇ | ||
| Spain Segment: Utility Advanced portfolio: 408 MW |
USA Segment: C&I Advanced portfolio: 120 MW |
Israel Segment: C&I, Storage Advanced portfolio: 535 MW, 766 MWh |
| Romania Segment: Utility Advanced portfolio: 155 MW |
Poland Segment: Utility Advanced portfolio: 376 MW |
Italy Segment: C&I Advanced portfolio: 181 MW |
| UK Segment: Storage Advanced portfolio: 698 MWh |
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Targets for the end of 2022'
100% holdings
Update of Forecasts and Targets¹
100% holdings
Projects connected and ready to be connected MW/MWh
Summary of Financial Statements consolidated, thousands of Euro
| Balance Sheet | |
|---|---|
| Cash and cash equivalents | 256,923 |
| Other current assets | 135,099 |
| Non-current assets | 223,967 |
| Tota Assets | 615.989 |
| Current liabilities | 37,009 |
| Non-current liabilities | 168,905 |
| Total Liabilities | 205-914 |
| Equity (including attributable to minority rights) |
410,075 |
| Total liabilities and capital | 615 389 |
| Profit and Loss | |||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue | 102,492 | ||||||||||
| Gross profit | 9,584 | ||||||||||
| Operating Profit | 2,742 | ||||||||||
| Profit for the period | 864 | ||||||||||
| Total profit for the period | 2,337 |
% Nofar
Accelerated and consistent growth in the Company's revenues'
Revenues, millions Euro
Financial Strength
6.94 Immediate liquidity ratio
67%
Equity for total balance sheet
0.62 Balance Sheet
Billion Euro
(64%)
Net financial debt for CAP
0.4 Gross liquid assets Cash and cash equivalents and unused facilities, Billion Euro
// Nofar Project Appendices |
Appendix - Connected Projects®
(aggregate, million Euro)
Details of projects data for a full year of activity
| Segment/ Country |
Capacity (MWp) |
capacity (MWh) |
Storage Weighted tariff (Euro) |
Predicted annual hours hours (KWh/KWp) |
Expected income |
production - annual construction operating costs |
Total Total annual cost cost cost |
Predicted EBITDA |
Balance of the loan - senior debt |
Balance of the loan period (years) |
Equity in the completion lifespan of Size of | Rate of Tax investment construction (years) |
of of of the project | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| ట్లా | Net meter | 54.1 | ---- | 0.11 | 1,703 | 10.2 | 71.7 | 3.0 | 7.2 | 63.2 | 16.8 | ----- | 2020 | 22 | 42% |
| 189 | Tariff | 76.7 | ------------- | 0.20 | 1,720 | 26.6 | 119.3 | 3.5 | 23.1 | 105.1 | 16.8 | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------ | 2020 | 21 | 3369 |
| ( ધ્વ | Tenders | 32.4 | -------- | 0.07 | 1,749 | 4.1 | 27.7 | 1.5 | 2.6 | 24.4 | 16.8 | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------ | 2022 - 2021 | 24 | 42% |
| 14 | Default | 0.2 | 0.08 | 1,750 | 0.0 | 0.1 | 0.0 | 0.0 | 0.1 | 16.8 | 2022 | 24 | 20% | ||
| 제가 | USA® | 11.2 | ------- | 0.14 | 1,685 | 2.7 | 32.7 | 0.5 | 2.1 | 12.1 | 17-20 | 37% | 2021 | 27-30 | 67% |
| (ﻙ) | Behind the meter |
5.9 | 0.2 | 2.1 | 0.0 | 0.2 | 1.6 | 15 | 2021 | 24 | 3868 | ||||
| Total | 174.6 | 5.9 | 43.7 | 258.6 | 8.6 | 35.2 | 206.5 |
Appendix - Projects Ready for Connection
(aggregate, million Euro)
Details of project data for the first year representative
| Segment/ Country |
Capacity (MWp) |
Weighted tariff (Euro) |
Predicted annual production hours (KWh/KWp) |
Expected annual income |
Total construction costs |
Equity invested Total annual Predicted | until31.12.2021- operating cost EBITDA | Predicted rate (senior debt) |
leverage Balance of the Rate of Tax (years) |
loan period Equity in the investment |
Lifespan of the project from the date of connection (years) |
Size of Holdings |
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|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 1 *** | Tariff | 36.4 | 0.13 | 1,750 | 8.1 | 30.2 | 0.3 | 2.0 | 6.1 | 85% | 20-24 | ----- | 25 | 39% |
| ({{}) | Tenders | 44.3 | 0.07 | 1,750 | 5.6 | 41.5 | 0.3 | 1.9 | 3.7 | 85% | 20-24 | 25 | 41% | |
| O | Italy | 9.8 | 0.10 | 1,150 | 1.1 | 7.6 | 0.3 | 0.1 | 0.9 | 75% | 19 | ----- | 20 | 20% |
| et | USA® | 3.4 | 0.16 | 1,663 | 0.9 | 7.5 | 0.3 | 0.2 | 0.7 | 40% | 20 | 40% | 29 | 67% |
| 1 | Spain | 169.0 | 0.07 | 2,180 | 27.0 | 129.3 | 0.3 | 4.0 | 23.0 | 55% | 18 | 30 | 38% | |
| rotal | 263.0 | 42.6 | 74 6 0 | 82 | 34.4 |
Appendix - Projects in Preparation for Construction®
(aggregate, million Euro)
| Country | Segment/ Project |
Capacity (MWp) |
Storage capacity (MWh) |
Weighted tariff (Euro) production |
Predicted annual hours (KWh/KWp) |
Expected annual Income |
Total constructio n costs |
Equity invested until- 31.12.2021 |
Total operating cost |
annual Predicted EBITDA |
Predicted leverage rate Isenior debt) |
period (years) |
Balance of Rate of Tax the loan Equity in the investment |
Date of completion of construction |
Lifespan of the project from the Size of connection (years) |
date of Holdings | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 18 | Israel | Pricing | 68.6 | ---- | 0.13 | 1,750 | 14.9 | 56.4 | 57% | 3.8 | 11.1 | 85% | 20-24 | ---- | 2022 - 2023 | 25 | 366ર |
| ( **) | srael | Tendering | 41.3 | 0.07 | 1,750 | 4.9 | 36.1 | 59% | 1.7 | 3.2 | 85% | 20-24 | 2022 - 2023 | 25 | 3695 | ||
| 189 | srael | Default | 2.5 | 0.08 | 1,750 | 0.3 | 2.3 | 4996 | 0.1 | 0.3 | 85% | 20-24 | ----- | 2022 - 2023 | 25 | 25% | |
| Spain | Sabinar 1 | 155.5 | 0.07 | 2,123 | 24.1 | 136.8 | 100% | 3.1 | 21.0 | 55% | 22 | ---- | H2/2022 | 30 | 3698 | ||
| Spain | Sabinar 2 | 83.0 | 0.07 | 2,123 | 12.9 | 73.0 | 100% | 1.7 | 11.2 | 55% | 22 | H2/2022 | 30 | 3668 | |||
| Romania | Ratesti | 155.0 | 0.09 | 1,370 | 18.4 | 102.2 | 51% | 3.9 | 14.5 | 50% | 15 | ---- | H1/2023 | 30 | 50% | ||
| 10 | Italy | Sunprime | 120.2 | 0.09 | 1,231 | 13.8 | 83.9 | 10%6 | 1.4 | 12.4 | 75% | 19 | ------ | 2022 - 2023 | 20 | 20% | |
| 11 | USA | Blue Sky | 63.1 | 0.16 | 1,663 | 16.4 | 147.5 | 5% | 3.9 | 12.5 | 40% | 20 | 40% | 2022 - 2023 | 30 | 67% | |
| D | Poland | Cybinka | 40.0 | 0.07 | 1,046 | 3.0 | 22.8 | ୧୯୧ | 0.6 | 2.4 | 69% | 17 | ---- | H2/2023 | 30 | 90% | |
| 1 & 1 | Israel | Behind the meter |
110.2 | 3.6 | 34.1 | 35.68 | 0.3 | 3.3 | 80% | 15 | ---- | 2022 - 2023 | 25 | 30% | |||
| 17 | UK | Cellarhead | 698.0 | 50.0 | 255.8 | 7.9 | 42.1 | ୧୦୦୧ | 10.0 | H2/2024 | 30 | 75% | |||||
| Total | 7999 | 30872 | 16944 | 950 3 | 28.3 | 134.0 |
Appendix - Projects in Advanced Stages of Development
(aggregate, million Euro)
| Country | Segment | Capacity (MWp) |
Storage capacity (MWh) |
Weighted | Predicted annual tariff (Euro) production hours (KWh/KWp) |
Expected annual income |
Total constructio n costs |
Total annual operating cost |
Predicted EBITDA |
Predicted leverage rate (senior debt) |
the loan period (years) |
Balance of Rate of Tax Equity in the investment |
Date of completion of construction |
Lifespan of the project from the date of connection (years) |
Size of Holdings |
|
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 1 | Israe | Tarifi | 59.5 | 0.13 | 1,750 | 13.3 | 49.0 | 3.3 | 10.0 | 85.68 | 20-24 | 2023 | 25 | 32% | ||
| 187 | Israel | Tendering | 111.9 | 0.06 | 1,750 | 11.3 | 90.0 | 3.8 | 7.4 | 85.68 | 20-24 | 2023 - 2024 | 25 | 49% | ||
| 1887 | Israel | Default | 7.2 | 0.08 | 1,750 | 1.0 | 6.7 | 0.3 | 0.7 | 85.68 | 20-24 | 2023 - 2024 | 25 | 40% | ||
| た | USA | Blue Sky | 42.0 | 0.16 | 1,485 | 9.7 | 99.1 | 2.6 | 7.1 | 40% | 20 | 9640 | 2023 - 2024 | 30 | 67% | |
| Italy | Sunprime | 50.5 | 0.09 | 1,150 | 5.3 | 35.3 | 0.6 | 4.7 | 75% | 19 | 2023- 2024 | 20 | 20% | |||
| Poland | Jozefin | 50.0 | 0.07 | 1,026 | 3.4 | 27.5 | 0.7 | 2.8 | 64% | 17 | H2/2024 | 30 | 90% | |||
| Poland | Swierczewo | 68.7 | 0.07 | 1,026 | 4.7 | 37.7 | 0.9 | 3.8 | 62% | 17 | H2/2024 | 30 | 90% | |||
| D | Poland | Thumos Small Projects |
26.5 | 0.07 | 1,026 | 1.8 | 15.1 | 0.4 | 1.4 | ୧୦୦୧୧ | 17 | H2/2024 | 30 | 90% | ||
| Poland | Krzywinskie | 20.0 | 0.07 | 1,059 | 1.4 | 14.6 | 0.3 | 1.1 | 45% | 17 | H2/2024 | 25 | 72% | |||
| Poland | Dziewoklucz | 20.7 | 0.07 | 1,128 | 1.6 | 15.0 | 0.3 | 1.3 | ર્ટકર્શ્ | 17 | H2/2024 | 25 | 72% | |||
| Poland | Bakalarzewo | 150.0 | 0.07 | 1,046 | 10.5 | 87.7 | 2.0 | 8.6 | 57% | 17 | H2/2024 | 25 | ୧୧୯୧ | |||
| 18 | Israel | Behind the meter | ----- | 650.0 | 21.3 | 201.0 | 1.6 | 19.7 | 80% | 15 | 2023- 2024 | 25 | 35% | |||
| Total | 607.0 | 650.0 | 85.4 | 67877 | 16.7 | 68.6 |
Appendix - Projects under Development® and other Financial Data
| Country | Segment | (MWp) Capacity | Size of Holdings | |
|---|---|---|---|---|
| Israel | Ground | 323.0 | 25% | |
| 母 母 | Israel | Roofs | 159.6 | 30% |
| 14) | Israel | Reservoirs | 156.0 | 50% |
| 0 | Italy | Sunprime | 81.5 | 20% |
| 를 | USA | Blue Sky | 207.0 | 67% |
| D | Poland | Electrum Pipeline | 222.0 | 72% |
| Total | 1,149 | and and the takes than |
113 Fair value of debenture, billion Euro
(19) Losses transferred for tax purposes, million Euro
29 Project loans that appear in the consolidated financial statements, million Euro
0.39
Cash, inventory, unutilized facilities and deposits, billion Euro
Global Momentum of Construction2
Details of the projects under construction and in pre-construction, 100% holdings, the company's share in parentheses
| Project | Capacity,4 MW | Completion Date for Construction4 |
Revenue - Representative First Year, 8 million Euro9 |
|
|---|---|---|---|---|
| Sabinar | 238 (86) | H2 2022 | 37 (13) | |
| Ratesti | 155 (78) | H1 2023 Q2 2022 = H1 2023 |
18 (9) | |
| Blue Sky | 63 (42) | Q2 2022 - H2 2023 | 16 (11) | |
| Sunprime | 120 (24) | 14 (3) | ||
| Cybinka | 40 (36) | H2 2023 H1 2024 |
3 (3) | |
| Cellarhead | 698 (524) | Q2 2022 - H2 2022 | 50 (38) | |
| Israel - PV | 112 (40) | 20 (7) | ||
| Israel - Storage |
110 (33) | Q2 2022 - H2 2022 | 4 (1) | |
| 161 | 1,537 (862) | 162 (85) |
//; Nofar
½ Nofar
Clarifications and notes
Amounts given in EUR are converted in Company's Hebrew language presentation dated 29 March 2022 (reference no. "2022-0-03143"), according to an assumed conversion rate of 1EUR:NIS3.5199
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- For information with respect to the Company's plan see Section 4.10-4.1 of the chapter describing the corporation's businesse in the 2021 Annual Report, which is increation by reference thereo ("the Description of the Corporations Business"). It is noted the the the Companys plans and goals for the upcoming year consince statements, as the term is defined in the Securities Lay, that are largectations and projections regarding economics and other developments and on their integration with one and projections may not materialize or may materialize in a fashion that differs, including substand by the Company above, owing to various factors that are outside the Company's ontrol, including difficulties in Ioaling sources required to develop the Companys operations, difficulties in erecting different types of systems, officulties in locating partners, difficulties in localing the systems, not receiving the permits neessary for eneting the systems, difficulties in engage various parties required to execute the Company's pan-publication of competitive undertakings to erect systems, changes in tariff schemes, changes in electricity tariffs and in system construction of the purrency exchange rates, difficulties and deleys in obtaining approvals, permits, and agreements, difficulties in securing financing costs, persistence of the COVD 19 crisis and the restrictions enacted (and that will be enacted) in its wate, etc. in a fashion the coneing the Company's opietives and strategy or that will lead the Company to conclude that t is not economically featible to realize the objectives and / or the aforementioned stration of one of the risk factors described in section 4.13 of the chapter describing the corporations businesses in the 2021 Annual Report, where the incorporated in this presentation by reference (the "Facts and Data Unterlying the Assumptions")
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- For information with respect to the Company's piects see Section 14 of the Drectors' Report Part I of the 2021 Annual Report (the "2021 Directors Report") which is increated in this presentation by reference it is noted that due to the early stage of the adte of this presentation there is no certainty that these projects will be realized, in what capacity, Projections regarding the construction completion dates of the systems, the expected income for the first year of each system, constitute forward-looling statements, as this term is defined in the Securities Law, that are based larger one projections regarding systems connected, under construction or preconstruction as stated in the 2021 Drector's Report which is incorporated in this presentation by reference (on the basis that the projects will be connected at the same time and that the ein are met, These details are provided solely for purposes of Illustrating the systems to the extent that the Company's forecasts are met intended to represent forecasts of the Company's performance in the rear of the assumptions listed in Section 1.4 of the 2021 drectors Report do not occur, the revenue from the sale of electricity during the representative first year with respect to the amounts tabulated and stated in this presentation.
- Based on the pipeline of projects that are ready to be construction or pre-construction For information with respect of the Company's pieline of projects see Section 1.4 of the 2021 Directors Report in this presentation by reference thered. It is noted that due to the early stage of these projects, as of this presentation there is no certainty that these projects will be redized or if realized in what capacty as stated above. Similarly projections of the Company regarding its pipeline of projects constitute forward-looking statements, as the term is defined in that are largely based on expectations and projections regarding economic sectoral and on their integration with one another. These projections may not materialize or may materialize in a fashion that offers, including the Company above, owing to various factors that are outside the Company's control and in particular, the Facts and Data Underlying the Assumptions.
1/2 Nofar
Clarifications and notes
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- Forecasts for 2021 are as stated in the Prospectus. Results for 2021 are based on the information included in the 2021 Annual Report which is incorporated by reference hereby.
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- With respect to tariffs set in competitive process for ground mounted solar, PV facilities incorporating BESS and dual use facilities.
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- Based on the Company's assumptions with respect to the construction costs of projects at commercial operation and preconstruction in Israel, Italy, USA, Cellarhead Olmedia, and the Companys assumptions with respect to the first operational year as stated in Section 1.4 of the 2021 Directors Report which is incorporated by reference hereby. The Company of Costs, expected income projected EBTA and FFO, constitute forward-looking statements, as this term is defined in that are larget the may of the spectations and projections regarding economic, sectoral, and on their integration with one another. These projections may not materialize or may materialize in a fashion that differs, including substantially, from that projected by the Company above, owing to various factors that are outside the Company's control and in particular, the Facts and Data Underlying the Assumptions.
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- Based on the Company's financial statements for 31.12.2019, 31.12.2019, 31.12.2020.
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- Data is provided on a 100% basis. For details regarding the Company's holdings in each type of system, see the table at Section 1.4 of the 2021 Directors Report and the notes thereunder, which is incred that the information regarding connected projects is different to the information in the Directors' Report since it is assumed that all systems will representative year and that with respect to Blue-Sky projects, that all electricity generated will be sold to consumers assumptions, as tabulated, constitute forwardlooking statements, as this term is defined in that are largely based on expectations and projections regarding economic, sectoral, and other developments, and on their interestions may not materialize or may materialize or may materialize in a fashion that differs, including substantially, from that projected by the to various factors that are outside the Company's control and in particular, the Facts and Data Underlying the Assumptions.
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- It its noted that the entities holding such partners. Pursuant to the agreements with the tax partners, provisions are made for the manner in which profits are distributed by the project to the tax partner for a set period of time as stated therein. The EBTA and the FFO are stated net following the tax partner's share. It is also noted that the sale of electricity by Blue Sky is pursuant to pover purchase agreements between the project companies. As of the date hereof, the electricity generated is not sold in its entirety, Accordingly Blue Sky is working to enter into agreements with entire generated capacity of the project, in order to obtain payments for the electricity generated by each system shall be in accordance with the table.