Design to Improve Life Investment - 2017

DESIGN TO IMPROVE LIFE INVESTMENT

INVESTMENT

INVESTING IN A BETTER FUTURE, ONE DESIGN AT A TIME

INDEX: Award offers a renewable flow of sustainable solutions designed to make a difference. These present a unique opportunity for investment to make positive impact, for profit and for purpose.

We established the Design to Improve Life Investment program in 2010. Our focus is to work more closely with market-ready solutions that reach us through INDEX: Award and help them grow into commercial successes and good investments.

These solutions combat a multitude of global challenges from various sectors ranging from MedTech, Consumer, to Green Tech. Yet it became clear to us that many of them struggle to become established and stay afloat. Every entrepreneur faces immense challenges in getting their projects off the ground, but designers have always had the additional hurdle of not only having to fight for investment, but to simply gain recognition.

In sync with our partners the Boston Consulting Group and Accelerace, we select and profile the best cases ripe for investment to make a positive impact, through scalable commercial business.

Our role is to provide them with business and leadership advice, access to capital and powerful networking opportunities, as well as visibility and exposure through communication and profiling across our media channels.

At the same time, we engage investors and introduce them to innovative investment opportunities and impact investment concepts that consider the social and environmental value equally to the economic. We also offer insight on drivers and trends in global challenges.

When we recently asked our INDEX: Award winners what would most help their companies to succeed in the future, visibility was seen as the most important aspect, finance came in second, and networks ranked third.

Our Investment program fills this gap by connecting designers and investors.

1

INDEX: AWARD CEREMONY 2015

About INDEX: Award

Worth €500,000, the INDEX: Award is the world’s largest monetary design prize recognizing the best sustainable designs that generate positive impact to solve global challenges.

• The award is run every two years and sources nominations addressing the UN Sustainable Development Goals (SDGs), as well as our own researched Design to Improve Life Goals, which are not currently included in the 17 SDGs. • Designs from anywhere in the world can enter the competition for free via our open-source platform - finalists and winners are then selected by an international jury. Since 2005, we have received over 4,700 nominations from over 118 nations.

• Each award cycle provides us with a renewable unique pipeline of commercial investment opportunities for developing, scaling and investing. It also serves as key inspiration and learning for our education programs.

3

COMPANY BREAKDOWN ANALYSIS OF OUR INDEX: AWARD WINNERS AND FINALISTS

446 INDEX: AWARD WINNERS AND FINALISTS FROM 2005-2015

288 FOR PROFIT

134

26

18

8

PUBLICLY LISTED COMPANY, STILL EXISTING AND FOR PROFIT

ALREADY PUBLIC WHEN THEY WERE NOMINATED FOR INDEX: AWARD

NOT PUBLIC WHEN THEY WERE NOMINATED FOR INDEX: AWARD

STILL EXISTING AND FOR PROFIT

4

108

26

23

NOT PUBLICLY LISTED, STILL EXISTING AND FOR PROFIT

ACQUISTION

SMALL-MEDIUM SIZED COMPANY

The value of INDEX: Award pipeline We worked with Boston Consulting Group (BCG) to analyze and quantify the value of the INDEX: Award pipeline. Since 2005, INDEX: Award has received over 4.700 nominations.

From all the finalists and winners of INDEX: Award, from 2005 to 2015, we have selected the companies currently active and for profit.

3

WENT TO IPO DUE TO ACQUISITION – E.G. SKYPE AND NEST

5

WENT TO IPO DUE TO COMPANY’S GROWTH – E.G. TESLA AND HÖVDING

22 RECEIVED INVESTMENT

16 CORPORATE – PARTNERSHIPS PRIVATELY HELD COMPANY

NO PUBLIC INFO

CROWDFUNDED VIA INDIEGOGO OR KICKSTARTER

5

HISTORICAL FINALISTS SHOWCASE THE VALUE OF THE INDEX: AWARD PIPELINE

350

TODAY’S MARKET VALUE IN MILLION DKK

300

260M 250

200

180M

150 115M 100 70M 55M 50 20M

2005 RESCUE RUNNER

6

15M

2007 TYPE 1 TOOL

2007 RAMP SNAKE

2007 CONCRETE CANVAS SHELTER

2009 I-LIMB HAND

2011 HÖVDING

2011 ECOVATIVE

Selected early-stage INDEX: Award cases with a current value of almost 2 billion DKK

350M

We have shown a selection of INDEX: Award finalists and winners from a range of geographies and sectors that represent good investment cases. These businesses and organizations have grown significantly since they were nominated for INDEX: Award, demonstrating the value of the Design to Improve Life pipeline.

255M

225M 210M

135M

76M

75M

80M 65M

2011 2011 EYENETRA PLUMEN 001

2011 COPENHAGEN WHEEL

2013 CROWDFLOWER

2013 SKILLSHARE

2013 LIQUIGLIDE

2013 BEYOND MEAT

2015 BRCK

2015 SCIO

7

»

TODAY’S TOTAL MARKET VALUE IN BILLION DKK

2,186B

NOTE: COMPANY VALUES ARE INDICATIVE ONLY AND ARE BEST-ESTIMATES BASED ON A MIX OF PUBLIC MARKET VALUES, HISTORIC TRANSACTION VALUES, FINANCIAL MULTIPLES AND INTERNAL ESTIMATES 8

2005 – RescueRunner (Sweden) The RescueRunner is a rescue boat, developed by experienced sea rescue operators, that effectively rescues distressed people out of the water in the most difficult conditions, both closer to coastal areas and offshore.

2007 – Type 1 Tool (USA) The Type 1 Tools product line consists of educational tools to empower both parent and child in daily diabetes management.

2007 – Ramp Snake (Denmark) The Ramp Snake is a flexible transportation system enabling the operator to load and unload air freight with minimal physical strain.

2007 – Concrete Canvas Shelter (UK) Concrete Canvas Shelters (CCS) are rapidly deployable durable shelters that require only water and air for construction.

2009 – i-Limb Hand(UK) The i-limb Hand is the world’s first powered prosthetic hand to incorporate articulating fingers.

2011 – Hövding (Sweden) Hövding is a bicycle airbag helmet that you will only see if you have an accident.

2011 – Ecovative (USA) Ecovative produces high-performance products that serve as environmentally responsible alternatives to traditional foam packaging, insulation, and other plastic-based materials.

2011 – EyeNetra (Brazil, India and USA) EyeNetra develops mobile phone eye diagnostics that detect refractive conditions and provide recommendations for correction.

2011 – Plumen 001 (UK) The Plumen is the world’s first designer low energy light bulb saving 80% on your energy bills and lasting eight times longer than a standard incandescent bulb.

2011 – Copenhagen Wheel (USA) The Copenhagen Wheel transforms your bicycle into a smart electric hybrid, quickly and easily.

2013 – Crowdflower (USA) The Crowdflower platform uses crowdsourcing techniques to provide a wide range of enterprise solutions that process or create large amounts of data.

2013 – Skillshare (USA) Skillshare is an online education platform with classes taught by the world's best practitioners.

2013 – LiquiGlide (USA) LiquiGlide is a super-slippery coating that liberates condiments, and by default dramatically reduces global waste.

2013 – Beyond MeatTM (USA) Beyond MeatTM is the first-ever plant protein that looks, tastes and acts like real meat.

2015 – BRCK (Kenya) BRCK is a rugged, self-powered, mobile WiFi device that connects people to the Internet in areas of the world with poor infrastructure.

2015 – Scio (Israel) Scio is the world’s first handheld molecular sensor that allows you to know the chemical makeup of everything you come in contact with.

9

INVESTOR DAY 2015 10

Aim for Design To Improve Life investment

To work with both design entrepreneurs and investors to accelerate the impact of sustainable design solutions addressing global challenges.

OBJECTIVES

PLANNED ACTIVITY 2017

01.

SHOW THE VALUE OF THE DESIGN TO IMPROVE LIFE PIPELINE

FINALIZED RESEARCH AND ANALYSIS REPORT FROM BOSTON CONSULTING GROUP

02.

BUILD BRIDGES BETWEEN DESIGNERS AND INVESTORS

SUMMER SCHOOL AND INVESTOR DAY

03.

SHOW THE VALUE OF OUR NETWORK

IMPACT INVESTMENT CIRCLE EVENTS

04.

BROADEN THE EFFECT OF THE DESIGN TO IMPROVE LIFE COMPASS

DESIGN-BASED BUSINESS ACCELERATION TOOLKIT

11

WHAT WE DO

We have initiatives built around the needs of both entrepreneurs and investors:

and trusted relations between investors and entrepreneurs.

Acceleration Summer School for designers Screened designers are offered a diverse package combining pre-Summer School support from Boston Consulting Group teams with a full Summer School program in Copenhagen.

Impact Investment Circle for investors The Impact Investment Circle is a local community of impact investors in Denmark brought together to exchange knowledge and contribute to a wider global dialogue on impact investment.

Acceleration starts remotely with up to three months of local business development sparring between each candidate and a Boston Consulting Group team from their respective cities/regions.

INDEX: Matches design entrepreneurs with investors As an add-on to the Impact Investment Circle, we offer Circle members access to screened, investment- ready cases derived from the INDEX: Award pipeline, and the opportunity to connect with design entrepreneurs.

The connection is facilitated through the INDEX: organization and based on personal introductions where entrepreneurs and investors are matched.

This is followed by our Summer School – an intense week-long program – grounded in design-based methodology and developed with our partners Boston Consulting Group and Accelerace. The goal is to help the best earlystage cases, from the INDEX: Award finalist pool, sharpen their commercial businesses behind their life-improving solutions.

Investor Day The Investor Day is an event for Summer School entrepreneurs and investors. Our cohort of entrepreneurs conclude their Summer School program by presenting their Design to Improve Life solutions to gain backing towards commercialization. This is an event about face-to-face contact and building connections

12

Investment program process

1200+

MAY

NOMINATIONS

SCREENING EARLYSTAGE PROJECTS

50

JUN

FINALISTS

CONNECT CANDIDATES WITH BCG CONSULTANS GLOBALLY

JUL

10

BUSINESS DEVELOPMENT SUPPORT LOCALLY

CANDIDATES

AUG ONE WEEK DESIGNBASED ACCELERATION TRAINING

$

INVESTOR DAY PITCHING IDEAS TO POTENTIAL INVESTORS

13

GOOD NEWS – SUMMER SCHOOL CANDIDATES OF 2015

Peek Retina Peek Retina smart phone adapter enables healthcare workers around the globe to identify, treat and prevent blindness, and other disabling eye conditions. The Peek Acuity app – a smartphone visual acuity test – was initially released to a global audience in October 2016, and the Peek Retina app and hardware will be released in 2017. Andrew Bastawrous, CoFounder of Peek, was also recently selected as a 2016 Rolex Laureate – a prestigious prize that celebrates “innovative projects that advance human knowledge or well-being".

IKO IKO is a creative prosthetic system that can be endlessly customized with Lego pieces. It strives to turn disability into functionality, creativity and socialization. Since its release, IKO has received numerous awards and accolades. Most recently, the design was named one of the top 25 best inventions of 2016 by TIME Magazine.

OKHI OKHI is the next generation address system for Kenya and beyond. Since the 2015 Summer School, OkHi has raised over $750K. Approximately $150K of the funding was a direct result of our Investor Day. Most recently, OkHi teamed up with Uber Africa to improve their product and help map Kenya's streets.

14

Be My Eyes Be My Eyes enables you to lend your eyes to the blind and assist them with daily tasks that can often pose them difficulty. The app now has over 30,000 blind users and almost 400,000 sighted volunteers. The team will be launching Be My Eyes for Android this year. Part of the team also relocated to San Francisco to take part in Singularity University's Startup Accelorator program.

Yellowone Handsafe Yellowone Handsafe is a wearable, alcohol-based hand rub dispenser that provides healthcare staff with easy access to hand cleansing without having to leave the patient zone. The Yellowone Handsafe is now in production and will soon be distributed to Danish hospitals and other selected buyers. Designer Hân Pham says one to three million units will be produced each year.

Facts – Summer School candidates of 2015 – Data collected in 2016

TEAM SIZES ARE GROWING BY:

PROJECTS GOING INTO PRODUCTION BY 2017

20%

6/10

TOTAL AMOUNT RAISED IN 6 MONTHS AFTER INVESTMENT PROGRAM

$1,700,000 CANDIDATES ARE MAKING AN IMPACT IN:

154

600,000

COUNTRIES

LIVES IMPROVED

15

IN THE PRESS

PARTNERS

16