Wholesale Investor SEP / OCT

Page 1

September/October 2010

INVESTMENT OPPORTUNITIES FOR WHOLESALE, SOPHISTICATED AND HIGH NET WORTH INVESTORS

Biotech ASX IPO targeting conditions of the ageing population (20)

Exciting junior gold explorer with flagship Yamarna Project (17)

Premium quality back-office outsourcing company with established systems (22)

Australian campaign to contest the world’s most prestigious sporting event (14)

Australian Master Residential Franchise for world-leading real estate brand (13)

Australia’s first diamond Manufacturer (25)

Plus: How to pick a winner - Investing in small cap resource stocks (8) The Distressed Asset Market – An Insider’s View (9) Wholesale Investor National Distressed Asset Survey Results (10) Clean construction company producing panel board from natural materials (16) Alluvial Gold mining opportunity with mine site in Papua New Guinea (18) Distressed Asset Opportunity – Newly re-zoned sites along F3 Highway (24)

whole sale i nve stor.com.au w w w. w h o l e s a l e i n v e s t o r. c o m . a u

1


Creating Global Solutions 19 - 22 October

Melbourne Convention and Exhibition Centre

AusBiotech 2010 is the premier biotechnology conference for the Asia Pacific region.

• • • •

Business matching program BioIndustry exhibition Comprehensive conference program Representatives from the global biotechnology industry • World-leading event We look forward to welcoming you to Melbourne, Australia for AusBiotech 2010 Host Industry Body

Host State Partner

www.ausbiotech2010.com.au

2

w w w. w h o l e s a l e i n v e s t o r. c o m . a u

Supported By


w September/October 2010

Contents Wholesale Investor Magazine is published by Wholesale Investor Pty Ltd ACN 131 512 715 Managing Director - Steve Torso Publisher - Reuben Buchanan Senior Account Managers: - Milton Papadopoulos - Kevin Brown - Matt Hayne - Anthony Panoyan Editor - Michelle Smith Directors Steve Torso – Managing Director Reuben Buchanan – Executive Director Domenic Carosa – Non Executive Director Advisory board - Tim Trumper Sydney: Address - Suite 204, 66 King St. Sydney Phone - 1300 597 595 Melbourne: Address - Suite 2, 150 Chestnut St, Richmond 3121 Phone - 1300 899 171 Web - www.wholesaleinvestor.com.au Editorial Enquiries editorial@wholesaleinvestor.com.au Advertising Enquiries advertising@wholesaleinvestor.com.au Listing Enquiries capital@wholesaleinvestor.com.au 1300 597 595 Subscription Enquiries subscribe@wholesaleinvestor.com.au Design/Layout - Dan Segal The Creative www.dansegal.com.au Printer - GEON Group www.geongroup.com Distribution - D&D Mailing www.ddmail.com.au

Editorial 4

Letter from the Managing Director

5

Upcoming Events

6

Company Updates

8

By Gavin Wendt, Founder, MineLife

9

The Distressed Asset market – An insider’s view

10

Wholesale Investor National Distressed Asset Survey Results

13 14 16 17 18 20 22 23 24 25 26

This Publication contains prominent statements appropriate for the particular medium by which the Publication is made to the effect that:

28

(A)the information contained in the Publication about the proposed business opportunity and the securities or scheme interests is not intended to be the only information on which the investment decision is made and is not a substitute for a disclosure document, Product Disclosure Statement or any other notice that may be required under the Act, as that Act may apply to the investment. Detailed information may be needed to make an investment decision, for example: financial statements; a business plan; information about ownership of intellectual or industrial property; or expert opinions including valuations or auditors’ reports; and

30

For more information, please visit our website www.wholesaleinvestor.com.au or email info@wholesaleinvestor.com.au

By John Vouris and Brad Tonks, Partners, Lawler Partners, Business Recovery & Insolvency

Opportunities

Disclaimer

(B)a prospective investor is strongly advised to take appropriate professional advice before accepting an offer for issue or sale of any securities or scheme interests;

How to pick a winner – Investing in small cap resource stocks

29 31 32 33 34 35 36 37 39

CB Greater Australia Australian America’s Cup Team Ampan Naturally Eleckra Mines (ASX:EKM) Pacific Islands Project Solutions Broadvector (ASX IPO Offering) Your Portal Z-Filter Distressed Opportunity – Private Developer Ausdex Diamonds ATF Group Pico Pharmaceuticals Phylogica (ASX:PYC) Agriculture Opportunity Planet Power Cobar Consolidated Resources (ASX:CCU) Special Phage Holdings Aeroship Commercial EcoQuest (ASX:ECQ) Brightgreen KFSU Listing Index

w w w. w h o l e s a l e i n v e s t o r. c o m . a u

3


Letter from the Managing Director Wholesale Investor Capital Expo Over the last 2 years, here at Wholesale Investor, we have had the pleasure of being introduced to some of Australia’s leading Private and Small Cap ASX Listed companies. The Wholesale Investor Capital Expo, was designed to showcase these leading companies from the Cleantech, Healthcare, Technology and Mining Sectors. This was a highly successful event with over 340 people attending, including private and professional investors, brokers and industry representatives from leading firms. While even we had not anticipated this level of attendance, we were excited to confirm the high level of interest and activity in this space right now! Thank you to all of you who attended the WI Capital Expo for making this such a great day for Wholesale Investor, the companies who presented and the industry as a whole! If you were unable to make it, we will be holding future Investor Evenings, Investor Lunches and Social Functions which will allow you to network directly with the CEOs, and other Private and Professional Investors.

August Investor Networking Lunch, Perth Perth is a consistent hotbed of activity in this space. While Perth is best known for its mining companies, we are starting to see increasing numbers of Cleantech, Biotech and ICT driven innovations. On the 18th of August Wholesale Investor hosted an Investor Lunch, inviting high net worths and brokers in the area to view presentations from 6 companies. The lunch was held in association with Professional Public Relations (PPR) and Thomson Reuters, who were webcasting the event. The event was a great success and the companies were well received. We will now be making this event a more regular occurrence in Perth and providing local and Eastern state based companies greater exposure in the West.

their approaches to CEOs of Private, Pre-IPO and Small Cap ASX Listed Companies. This increased activity is not just from Australia, but increasingly Asian fund managers and private investors are seeking access to the companies showcased by Wholesale Investor.

distessedinvestor.com.au – Distressed Investors on the lookout Last month Wholesale Investor conducted our first Distressed Asset Investment survey. The results, while not all that surprising, confirmed to us that there are significant funds available to invest in the distressed market and an urgent need for an obvious channel for savvy and ready investors to peruse and register interest in distressed deals. The most favoured sector was Property; however there was also strong interest in other sectors, namely Mining, Green Tech, Manufacturing, Financial and Professional Services and IT. Turn to page 10 for full results. Coinciding with this survey Wholesale Investor has added Peter Richards to the team at Wholesale Investor. As Distressed Asset Manager, Peter’s focus echoes our firm commitment in building a quality database of distressed opportunities. From all of us at Wholesale Investor we thank you for helping us shine the spotlight on Australia’s leading growth companies. Regards, Steve Torso – Managing Director, Wholesale Investor Magazine

Market Sentiment – Increased private activity and Asian interest Whilst the public markets have experienced their usual chaos throughout the reporting season, investors in the private space have stepped up their activity levels. We are now seeing more activity than ever on the Wholesale Investor website, as investors are becoming more aggressive in

Steve Torso Managing Director

Michelle Smith Editor

capital expo

Photos from the event

4

w w w. w h o l e s a l e i n v e s t o r. c o m . a u


Upcoming Events Last year’s summit attracted over 100 investors from around the world to hear about the 40 selected Australian biotechnology companies, achieving its goal of showcasing Australia’s world-class R&D, late-stage and emerging companies. The presenting companies will be a mix of listed companies in late-stage development, private companies with identified product/opportunities and early-stage commercialisation companies from research institutes and universities. By invitation only. If you would like to present (public and private companies) or attend (investors), please contact Glenn Cross at AusBiotech with expressions of interest at: gcross@ausbiotech.org

Eco Investor Forum 2010 - 19 October 2010, Hilton Hotel, Sydney The second annual Eco Investor Forum will be Australia’s biggest gathering of leading cleantech companies, bringing together environmental investors with environmental companies from across the risk/return spectrum and industry sectors. The Forum will present 17 of the leading listed and unlisted companies and funds across the environmental investment spectrum - ASX 300 companies, emerging companies with sales and profits, micro cap companies with innovative technologies, unlisted companies with innovative technologies, and Australian and international environmental equities funds. To register or for further information visit www.ecoinvestor.com.au

China’s premier meet-and-greet occasion specialising in IPO China IPO Summit achieved great success from 2007 to 2008, attracting many famous market players to attend, including China Securities Regulatory Commission, Shanghai Stock Exchange, Shenzhen Stock Exchange, NYSE Euronext, NASDAQ OMX Group, HKVCA, Morgan Stanley, BOCOM International Holdings, Ernst & Young and many more.

Convening the best-trusted advisers to wealthy families both in Australia and internationally, the 3rd Annual Family Office Congress is a landmark event that will provide families and their key advisers with the tools, strategies and frameworks to entrust their legacy grows beyond the next generation.

• Network with issuers, financial advisors, underwriters, lawyers, auditors, tax advisors, appraisers, investor relations firms, institutional investors as well as regulators

Focusing on the risks facing wealthy families today, the congress will explore how fortunes are kept and lost in a volatile global economy. Learn how to nurture the entrepreneurial spirit in succeeding family members, and why choosing the best possible adviser can mean the difference between the expansion of your family’s legacy, or its dissolution.

• Cutting-edge viewpoints towards market trends and promising industries • Experience and conclusions from the case studies of successful listings

AUSTRALIA 2010of - WHERE OFFSHORE INSTITUTIONAL •REIW Proven expertise in terms M&A, corporate restructuring and refinancing CAPITAL MEETS AUSTRALIAN PROPERTY PLAYERS

To register or for more information visit www.dealersgroup.com.au and click on “EVENTS”.

To register or for more information visit www.ipochinasummit.com

Private Banking & Wealth Management Australia 2010 is Australia’s most established wealth management conference that will focus on building new businesses and capitalising on innovations in the region’s wealth markets. The event will bring private banks, wealth managers, family offices, financial advisors, dealer groups and related industry professionals together to brainstorm strategies for building a successful business, creating new products and improving client experience in the ‘new’ private banking environment.

FinTech World Australia 2010 is the region’s premier meeting place for senior level executives from the finance and technology sector. Hear how Australia’s leading financial services institutions are currently investing in and developing their IT systems. Attend this event and gain the know-how to lower IT costs and create a more efficient and reliable IT system that delivers real value to your clients.

Visit www.terrapinn.com/2010/pbw to secure your seat now!

Visit www.terrapinn.com/2010/fintech to secure your seat now!

w w w. w h o l e s a l e i n v e s t o r. c o m . a u

5


Company Updates For more information regarding the companies below, please go to wholesaleinvestor.com.au, click on View Investment Opportunities and search by their name.

Future Capital Funds Cheap Hotels’ Future Domenic Carosa’s Future Capital Development Fund has recently made a Round A investment in online hotel booking website CheapHotels.com.au. Future is Australia’s only internet-focused pooled development fund and counts dot com luminaries like Carosa himself — courtesy of his company Destra — as well as former Realestate.com.au chief executive Simon Baker and Flexigroup founder Andrew Abercrombie on its member investor roster. CheapHotels is an online hotels booking site similar to dominant local market player Wotif.com. It currently has a network of more than 100,000 hotels worldwide, and is managed by Chief Executive Officer Braden Yuill, whose brother Cameron has been involved in similar initiatives at US-based Cendant Corporation.

Australia’s top performing managed fund celebrates 5 years The Wilson HTM Priority Growth Fund celebrated five years of outperformance by ranking ‘No. 1’ Australian equity fund with five year returns to 31 August 2010 from independent research house, Morningstar1.

on identifying quality companies, mostly outside the top 100, in high growth, earlier stage industries. “Many of the small to mid cap companies we invest in are rapidly growing their sales, profitability and scale on their way to becoming stable large caps, or are often taken over by larger companies at a substantial gain,” Mr Grant said.

The Wilson HTM Priority Growth Fund – which invests primarily in small and mid cap Australian companies – has also maintained the highest 5 Star Morningstar rating every month for over a year and a half3. With an average return of 26.4% per annum since the fund’s inception in 2005, $160,000 the fund has returned more than six times the return of the S&P/ $160,000 ASX Small Ordinaries Accumulation $160,000 Index over the same period2.

Growth of $40,000 invested since Inception2

$160,000

Fund Manager, Sandy Grant, said the success of the fund can be attributed to Wilson HTM’s focus

$160,000 $160,000 $160,000 $160,000 Jul 05

Oct 05

Jan 06

Apr 06

Jul 06

Oct 06

Wilson HTM Priority Growth Fund

Jan 07

Apr 07

Jul 07

Oct 07

Jan 08

Apr 08

Jul 08

Oct 08

S&P/ASX Small Ordinaries Accum Index

Jan 09

Apr 09

Jul 09

Oct 09

Jan 10

Apr 10

Jul 10

All Ordinaries Accum Index

1.The Wilson HTM Priority Growth Fund ARSN 117 083 762 (‘Fund’) No. 1 ranking is based on 5 year returns for all Australian Equity investment trusts to 31 August 2010 from Morningstar. The Fund has outperformed its benchmark, the S&P/ASX Small Ordinaries Accumulation Index, by 7.1% p.a., 27.2% p.a., 17.4% p.a., 22.3% p.a., 19.7% p.a. and 22.3% p.a. over 1, 2, 3, 4 and 5 years and since inception as at 31 August 2010. 2. Returns to 31 August 2010 (net of fees). The Fund inception date is 4/7/2005. Past performance is not a reliable indicator of future performance. Fund returns are net of management fees of 1.25% p.a. and any performance fees of 20% and assume distributions are reinvested. Returns do not include tax or entry fees of 0-2% or ongoing adviser service fees of 0-1% p.a. as these fees are not charged unless an investor agrees to pay them to an adviser. The Fund’s risk/return profile is High Growth. The S&P/ASX Small Ordinaries Accumulation Index assumes 100% reinvestment of dividends. Interests in the Fund are issued by WHTM Capital Management Limited ABN 29 082 494 362 AFSL 238371. 3. No exit fees apply and no entry fees or adviser service fees are charged unless investors agree to pay them to an adviser. The Fund’s 5 Star Morningstar rating is based on 3 year and 5 year risk-adjusted returns to 31 August 2010 for the Australian mid/ small growth funds category. The Morningstar star rating is an assessment of a fund’s past performance based on return and risk which shows how similar investments compare with their competitors. A high rating alone is insufficient basis for an investment decision. © 2010 Morningstar, Inc. All rights reserved. Neither Morningstar nor its affiliates nor their content providers guarantee the above data or content to be accurate, complete or timely nor will they have any liability for its use or distribution. Any general advice has been prepared by Morningstar Australasia Pty Ltd ABN 95 090 665 544, AFSL 240892 a subsidiary of Morningstar, Inc. and the information provided is without reference to your objectives, financial situation or needs. Refer to the Financial Services Guide for more information at www. morningstar.com.au/fsg.pdf, and read the Fund’s Product Disclosure Statement available at www.wilsonhtm.com.au/funds before making a decision.

6

w w w. w h o l e s a l e i n v e s t o r. c o m . a u


Company Updates Barefoot Power Secures $1.5Million Over Past 3 Months Barefoot Power has secured an additional $1.5 million in financing during JuneAugust 2010, bringing its Series A raise of over $5 million to an end. Series B is launching immediately for $4-8 million, as demand continues to grow since our winning in May of multiple Lighting Africa awards from the World Bank, and inventory levels remain very low. As less than 25% of Series A finance came from Australia and not a single dollar has been invested from Australia since the awards or The New Inventors appearance on ABC TV, Barefoot Power’s roadshow for capital will be concentrated in the EU and USA, with a target close date of Dec10 - Mar11. Barefoot Power’s core administration costs will be largely covered by a fully secured EU 1 million grant which is now being disbursed, yielding yet more innovations from our pipeline that will help scale up the business. Orders for July-Aug 2010 are equal to all 2009-10, ensuring 100-300% growth this year.

hylogica to Pursue P Antimicrobial Peptide Discovery Through Licensing Agreement with MedImmune Phylogica Ltd (ASX: PYC, XETRA: PH7), recently announced that they have entered into an agreement with MedImmune to evaluate Phylogica’s proprietary Phylomer® peptide library for novel antimicrobial peptides. The agreement between MedImmune, the worldwide biologics unit of AstraZeneca PLC, and Phylogica establishes a plan for collaborative discovery between the companies, with potential development and commercialization of resulting novel antibiotics by MedImmune.

 The discovery efforts will utilise Phylogica’s proprietary Phylomer® peptide libraries and high-throughput screening capabilities to identify drug candidates with potent activity against the gram-negative bacterium, Pseudomonas aeruginosa. This highly prevalent, opportunistic pathogen is one of the most common causes of hospital acquired infections, which can be life-threatening for patients with pneumonia or cystic fibrosis.

VOCUS announces 500% plus increase in Profit Before Tax Leading provider of wholesale telecommunications services, VOCUS Communications Limited (ASX: VOC), recently reported a dramatic increase in profitability and revenues when releasing its audited annual results for the year ending 30 June 2010. Consolidated profit before tax was $5.69 million, up 501% over the previous year, with a 242% increase in revenue for the same period. Vocus CEO, Mr. James Spenceley, said: “Vocus has had another great year in the 12 months to 30 June 2010. EBITDA grew by 641% to $8.15 million, solely through organic growth. Additionally, Vocus has a very strong cash position with cash reserves of $6 million and no bank debt”, he said. “This strong result is testament to Vocus’ wholesale business model which is underpinned by growing demand, long-term contracts and continued focus on customer service.” “Together with our recent listing and capital raising, it underlines Vocus’ ongoing strengths, with plans for further investment in organic growth as well as potential acquisitions.”

Under the terms of the agreement, Phylogica will receive an upfront payment of US$750k and an additional US$750k in committed research funding for an initial 12-month term. In addition, Phylogica is eligible to receive development, regulatory and commercial milestone payments of up to US$98 million, in addition to royalties on potential worldwide sales.

GRATUK NOW WORKING WITH RACING IDENTITIES Gratuk is now working with racing identities that are learning about the product range and assisting Gratuk market and sell both the products into the thoroughbred race horse market, and also providing assistance with investment from individuals within the industry. In addition, several factors have worked together over the last 2 months to reduce the time to market for Gratuk products, and recently discussions have elevated with a supply chain partner to speed the scale up, and reduce initial production lead times. Gratuk has been actively working with several investors who sourced Gratuk’s investment opportunity through Wholesale Investor. We are currently working through term sheets.

w w w. w h o l e s a l e i n v e s t o r. c o m . a u

7


How to pick a winnerINVESTING IN SMALL CAP RESOURCE STOCKS By Gavin Wendt, Founder, MineLife

Investing in resource companies can be a mind-boggling task for many investors, a task made even more difficult by the sheer number of smaller resource companies listed on the Australian Securities Exchange. In all, there are more than 850 listed resource companies on the ASX, but exactly how does an investor go about identifying the right companies to invest in? The bigger resource players like BHP Billiton, Rio Tinto, Woodside Petroleum and Newcrest Mining present less risk for investors, as their operations are much larger and more diversified than their peers at the small to mid-cap area of the resource sector. The larger companies also have bigger balance sheets and are financially more robust than most smaller companies, and they also typically have the attraction of paying dividends. Whilst it’s advisable to have a few larger resource stocks in your investment portfolio, the real attraction of investing in the resource sector for most investors is the prospect of substantial capital gain. Whilst larger resource companies can generate substantial share price movements over time, particularly when commodity prices are rising strongly, there is nothing that beats the thrill of identifying a successful resource junior that can increase its value ten-fold, twenty-fold or perhaps even more. But what’s important for all resource sector investors to remember is that the fundamentals of investing in smaller companies are exactly the same as they are for investing in the larger ones. These fundamentals comprise sound management, good quality projects and financial stability. But in my book, management quality is the highest priority. It’s impossible to have a successful company without the right people on board. Even a company with a great project, but without the right people running it, is unlikely to succeed. However, companies with strong boards and management teams can make things happen. So it’s essential that the people running a resource company have a strong pedigree. I also like to see the interests of directors and management aligned with ordinary shareholders, which basically means that all parties benefit financially from the eventual success of the company. Most successful companies also run their operations from modest offices on the smell of an oily rag. However, there are companies whose directors are merely enjoying a comfortable lifestyle at shareholders’ expense. A quick comparison of companies’ quarterly cash flow statements will quickly tell you the good companies from the bad.

resource asset that is being prepared for production. No matter what the commodity being explored for, companies are continuously assessing exploration results on an ongoing basis, ensuring that the project justifies further spending and exploration work. The key decision-makers in all of this are the potential economics of the project, based on estimates of the likely size and grade of the deposit. All projects are assessed on whether the grade and size of the project would sustain a commercial development. And location also plays an important part, as a project close to necessities such as power, water and workforce will have more favourable economics than a project that is more isolated. Geography is also important. Many junior companies these days are exploring and developing resource projects offshore, particularly in places like Africa. Whilst Africa is undoubtedly prospective for mineral discoveries, there are also political and sovereign risk issues that need to be factored in. Typically, overseas projects need to be larger and/or highergrade to offset the additional risk factors. Ultimately it is the skill of management that will dictate a company’s success or otherwise. Good management can weigh up the risks of various investment destinations, utilize the best practices and techniques in terms of exploration and appraisal, and ultimately take a project right through the feasibility stage to production. Whilst there are a host of variables that can impact upon any junior resource hopeful, good management will ensure that there is always a strategic plan in place, that risk is managed properly and that there is always enough cash on hand to keep things ticking over. Identifying good people is therefore the key ingredient in resource company investment.

About Gavin Wendt Gavin Wendt is the Founder of MineLife and is responsible for the research and publication of the MineLife Weekly Resource Report. Gavin has been involved in the Australian share market for the past 20 years and specialises in researching and evaluating mining and energy companies, and providing independent investment share advice for clients. Gavin’s specific interest and expertise lies in identifying up-and-coming resource opportunities.

Now let’s turn our attention to projects. Companies will be at various stages of evolution, ranging from a grassroots exploration company with projects that have seen little previous exploration attention, right up to companies that may well have a proven

8

w w w. w h o l e s a l e i n v e s t o r. c o m . a u


An Insider’s View -

The Distressed Asset Market By John Vouris and Brad Tonks, Partners, Lawler Partners, Business Recovery & Insolvency

The observations of a liquidator are bound to encourage investors considering assets in a distressed market. Most people in business would probably say that they are sick of hearing about the Global Financial Crisis. And who could blame them. Though the reality appears to be that the lingering effects of the downturn are only just starting to crystallise and there is likely to be some great opportunities for investors watching over the distressed market. Insolvency rates in Australia have not been as high as many people may have presumed. In general terms they have increased by around 5% to 15% as against previous years depending on which types of administrations you consider. The most movement here has been in consumer insolvencies, or bankruptcies, not commerce. But if the first wave of insolvencies had a consumer slant to it, the second wave which is still building will certainly be skewed towards business. The Government stimulus and the Australian Taxation Office’s (“ATO”) softly, softly approach to debt collection have no doubt played a part in keeping insolvent rates down. However, the ATO’s approach has translated into around 150,000 payment arrangements worth $1.5 billion, and all up, the amount owed to the ATO by business and households as at 31 December 2009 has increased by around 10% over the past 18 months to $12.27 billion. That’s a lot of distressed debt. 2009 saw a great sense of anxiety in many markets. As a consequence, transactions slowed and many assets were seemingly held back. Especially so for banks and other financiers that were unable or unwilling to commit the security from distressed loans to a sale. Industries such as Hospitality, Transport and Earthmoving, Print and Property Developers have certainly been on their radars.

look to the ASX for the timing of that bottoming out, we are looking at March/April 2009. 18 months post this means that we are now moving into that period.

“For investors that are cashed up and ready to move, this spells a terrific opportunity...” Anecdotally it appears that more fluidity is coming back into the market and the attitude of the banks in respect of distressed loans is shifting from a position of hold and monitor, to action and exit. Further to that, on the lending side we also seem to be gaining momentum. Although still tight, particularly in industries where banks currently feel overexposed, we are seeing improvements and this is enabling more buyers back into the market. As we move into that second wave, businesses that are heavily geared or those that have over capitalised are likely to be the most exposed and timely advice from an experienced insolvency practitioner could prove invaluable. However, for entrepreneurs and investors that are cashed up and ready to move, this spells a terrific opportunity for those with a good eye for potential.

Not only was the supply of assets drier than many would have presumed, but demand was hampered as well. Even where assets were put to the market, the challenge for interested parties to raise money from investors or to borrow from the banks was insurmountable in many cases. While the ATO has been lenient towards struggling businesses, particularly during the height of the financial crisis, this will not always be the case. The Commissioner of Taxation Michael D’Ascenzo recently told the Council of Small Business Organisations of Australia summit in Brisbane that firmer action will be taken with those who have escalating tax debts or are unable to meet their outstanding tax or Superannuation Guarantees. From a distressed market point of view it appears that we may have some catching up to do where businesses have run out of steam or simply run out of time. Interest rates have also crept up putting more strain on struggling businesses. The influences that we are seeing here are consistent with historical trends that tell us insolvency rates don’t normally peak until around 18 months after the economy bottoms out. If we

John Vouris and Brad Tonks Lawler Partners is a national award winning accounting and business advisory firm that provides a comprehensive range of specialist business services, including: Audit & Assurance Business Advisory Services Business Recovery & Insolvency Corporate Advisory Services SMSF Strategy & Administration Taxation Services For more information, visit www.lawlerpartners.com.au John Vouris - jvouris@lawlerpartners.com.au Brad Tonks - btonks@lawlerpartners.com.au

w w w. w h o l e s a l e i n v e s t o r. c o m . a u

9


NATIONAL DISTRESSED ASSET SURVEY What kind of distressed asset investments are you seeking?

What are your current funds under management?

Distressed business assets for sale - 9.76% Distressed property opportunities - 31.71%

Below $1m - 23.17%

Companies in distress - 30.49%

$1m to $5m - 47.56% $5m to $10m - 6.10% $10m to $100m - 17.07% $100m to $1b - 3.66% $1b and above - 2.44%

ASX Listed company shells - 6.10% Companies in hands of an Administrator - 8.54% Companies in liquidation - 6.10% Loan Books - 6.10% Other - 1.22%

Key Point: Distressed property opportunities are the most highly sought after distressed assets, followed closely by companies in distress

Key Point: Over 76.83% of investors have over $1m in funds under management

When investing into distressed assets, what is your target IRR (Internal Rate of Return)?

What type of investor are you?

46.34%

68.29%

20.73%

20.73%

Private Investor

Fund Manager

12.20% 8.54%

4.88% Private company CEO / Entrepreneur

Private Equity Fund

6.10%

7.32%

Distressed Assets Fund

Industry Participant

12.20% 4.88%

2.44% 5-15%

15 - 25%

25 - 35%

Above 35% Decisions are Investments are strategic made on a ‘per deal’ basis in nature

*Note: respondents could select up to 3 options

Key Point: 68.29% are private investors and over 20% are CEOs seeking distressed opportunities

Key Point: 20.73% of investors have a target IRR of 25-35%, with 46.34% stating that their decisions are made on a ‘per deal’ basis

Which 3 sectors are you most interested to invest in distressed opportunities over the next 12 months? 45.12%

Key point: Property (45.12%), Mining (28.05%), Cleantech (25.61%) and Manufacturing (23.17%) are the sectors investors are seeking distressed asset opportunities in right now 28.05%

Property/ Mining/ Construction/ Mining Housing Services

10

25.61%

Green Tech / Clean Tech

23.17%

23.17%

18.29%

15.85%

Manufact- Financial/ Industrial / Internet uring Professional Engineering / IT Services

14.63%

Retail

10.98%

10.98%

8.54%

7.32%

6.10%

6.10%

6.10%

Food / Biotech / Telecomm- Transport Automobile Education Healthcare Hospitality Life sciences unications / Training / Pharma

4.88% Media

*Note: respondents could select up to 3 options

w w w. w h o l e s a l e i n v e s t o r. c o m . a u


How many people in your network, are actively involved or invested into distressed assets?

Which description best describes your view on the current distressed market?

1-3 people - 36.59%

Now is the best time to invest that I have experienced - 23.17%

3-5 people - 34.15% 5-10 people - 8.54%

Now is a very good time to invest - 47.56%

10 and above people - 19.51%

Key Point: 28.35% of investors have 5 and above people in their networks who are actively involved, or invested into, distressed assets

Approx what percentage of your investment portfolio is in cash at the moment?

Less than 10% - 28.05% 10% to 30% - 29.27% 30% to 50% - 25.61% 50% to 70% - 10.98% 70% to 100% - 6.10%

Now is an OK time to invest - 29.27%

Key Point: 47.56% of Investors state now is a very good time to invest in the distressed market, with 23.17% stating now is the best time they have experienced

As a result of the information uncovered in this survey Wholesale Investor has launched a new distressed assets platform - Distressed Investor. Distressed Investor is a simple platform where Insolvency Practitioners, Advisors and Asset Managers can display their distressed deals, and in doing so, provide additional visibility and distribution amongst active investors. Through this website high net worths, CEOs, Fund Managers and professional investors will have direct exposure to distressed opportunities, news and events within the distressed market. To register as an investor and view distressed opportunities, go to distressedinvestor.com.au or contact Peter Richards at p.richards@distressedinvestor.com.au

c

Key Point: Over 40% of investors have over 30% of their investment portfolios in cash right now

As a result of the information discovered in this survey Wholesale Investor has launched a new distressed assets platform Distressed Investor. Distressed Investor is a simpleplatform where Insolvency Practitioners, Advisors and Asset Managers can display their distressed deals, and in doing so, provide additional visibility and distribution amongst active investors. Through this website high net worths, CEOs, Fund Managers and professional investors will have direct exposure to distressed opportunities, news and events within the distressed market. To register as an investor and view distressed opportunities, go to distressedinvestor.com.au or contact Peter Richards at p.richards@distressedinvestor.com.au

w w w. w h o l e s a l e i n v e s t o r. c o m . a u

11


Special Registration price for Private Banks and Wealth Managers

5th Annual

Register online at www.terrapinn.com/2010/pbw or call Vanessa on +61 2 9021 8808

23 – 24 November 2010, Sydney Harbour Marriott, Australia

Hear leading Private Banks & Wealth Managers

Protect. Nurture. Grow. Guy Hedley Head of Macquarie Private Bank Macquarie Private Bank

Jan Swinhoe, Head of Private Bank Westpac Private Bank

Adrian Hondros Executive General Manager Commonwealth Private

Angela Mentis Executive General Manager NAB Private Wealth

Catherine McDowell Managing Director ANZ Private Bank

Chris Selby MD & Head of Global Wealth Management Merrill Lynch Wealth Management

New business and innovation for Private Banks & Wealth Managers Private Banking & Wealth Management Australia 2010 is Australia’s most established wealth management conference that will focus on building new businesses and capitalising on innovations in the region’s wealth markets. The event will bring private banks, wealth managers, family offices, financial advisors, dealer groups and related industry professionals together to brainstorm strategies for building a successful business, creating new products and improving client experience in the ‘new’ private banking environment.

Navigate the new marketplace

Learn strategies for coping with regulatory changes and increased transparency

Scott Riedel Graham Reeve Managing Director Head of AMP Private Wealth Myer Family Office AMP

Discover which sectors and asset classes offer the best investment potential Be the first to explore untapped investment opportunities and discover HNW client’s expectations for 2010 and beyond

Position your firm to capitalise on attractive post GFC environments Andrew Rutherford Ralf Hohwieler COO National Managing JBWere Partner – Private Wealth Bank of New Zealand, NZ

Discover innovations in business models and strategies to capitalise on Australia’s growing private wealth

Visit www.terrapinn.com/2010/pbw and quote voucher code ‘Wholesale Investor’ when registering Gold sponsors:

Shailendra Singh CFO Perpetual Private Wealth

George Boubouras Executive Director – Head of Investment Strategy UBS Wealth Management

Bronze sponsors:

Luncheon sponsor:

Researched and produced by:

Gi12736

12

w w w. w h o l e s a l e i n v e s t o r. c o m . a u

BOOK NOW! online: www.terrapinn.com/2010/pbw | email: cs.au@terrapinn.com | phone: +61 2 9021 8808 | fax: +61 2 9281 5517


Company Name Sector Yr established Business stage Location Seeking

CB Greater Australia Property 2001 Development Sydney Potential Investor Relationships

Board & Management: Alex Caraco Managing Director Alex is currently CEO of CBGA, the company which operates the Coldwell Banker Australia master franchise. He has 28 years of full time experience in the real estate industry. Certain key members of the Admerex management team will remain with the company.

Corporate Structure

Executive Summary CB Greater Australia Pty Ltd holds the Master Residential Retail Franchise licence for Australia from Realogy Corporation, the owner of the Coldwell Banker® Real Estate brand. Coldwell Banker® is one of the world’s premier real estate organisations, founded in 1906, and now has more than 3,325 offices and approximately 100,000 Sales Associates and Brokers in 49 countries and territories around the world. Coldwell Banker® has been providing superior service to home buyers and sellers for over 100 years, earning a reputation for quality, integrity and the highest standards of business ethics. For 9 years Coldwell Banker has been voted the No.1 Real Estate brand in the world. Source: Franchise Times 2008 (USA).

It is proposed that CBGA assigns the franchise licence to Admerex Limited (ADL) subject to Admerex shareholder approval (which has not yet been granted). The consideration will be the issue of shares in Admerex to the shareholders of CBGA.

Exit Strategy

Post transaction and shareholder approval an investor will be able to sell shares at any time subject to market conditions.

Realogy Corporation is a global provider of real estate and relocation services, and has a diverse business model that includes real estate franchising, brokerage, relocation and title services. Subject to shareholder approval, the Master Residential Retail Franchise licence will be assigned to Admerex Ltd.

Competitive Advantages • Established in 2002 as a Master Franchisor for Coldwell Banker® in Australia • 20 offices in Australia from Port Douglas to Melbourne • 250 staff Australia-wide • Online Systems-Agent web sites - 200,000 customer database • Ambitious expansion plans • Well developed online strategy

Key Investment Highlights • Global Support • Stable business - continuous consumer demand • Established business over 9 years • ASX company brings strong financial Management structure • Good expansion potential as no competitors have over 7% market share • High quality brand • Franchising model – proven systems • Training support • Legal-Accounting – benchmarking support • Company offices - Sales and rental management income • Royalty Income • Marketing Income • Other ancillary income opportunities

Further Information: To learn more about this opportunity, go to

www.wholesaleinvestor.com.au click on View Investment opportunities and search for CB Greater Australia.

w w w. w h o l e s a l e i n v e s t o r. c o m . a u

13


Australian America’s Cup Team

Company Name Sector Yr established Business stage Location Seeking

Australian America’s Cup Team Sporting Franchise 2010 Expansion Australia wide, San Francisco, Europe, Asia Equity Investors, Underwriting, Options

Executive Summary The America’s Cup is the world’s oldest and most prestigious international sporting contest. Participation and audience are truly global. Improving media coverage and relevant ‘green tech’ appeal promise continued growth. A campaign is about to be launched for Australia to compete in the next edition. The team aims to be truly national and will create a legacy of excellence for Australian industry. The starting point is an established and proven racing team with existing activities delivering immediate value. The headline figures for the last America’s Cup show it to be the third largest global sporting event: • Over 1.8 million visitors to Port America’s Cup for the finals • Over 5.3 million visitors to America’s Cup venues around the world • Over 1,700 hours of television coverage were broadcast to an audience of 928 million people in over 150 countries • Event generated a net surplus revenue of 67 million Euro, redistributed amongst participating teams Meaningful efforts have been made to contain costs with new technical rules and shorter cycles so that the America’s Cup is more accessible now than ever. New formats and technologies are also being implemented specifically to improve media appeal. In line with other professional sports, teams now use seeding investment to create a viable brand then attract diversified income streams. This new business model has seen the game grow meteorically and commercial sponsorship value explode. Professional yacht racing is unique in combining an athletic team sport with advanced technology. The vehicles are powered by a green, sustainable energy source and the visual impact is unparalleled.

Competitive Advantages • Well-timed re-entry with a once-in-a-generation professional team combining talent, experience, enthusiasm and determination drawn from a large talent pool • All key players are proven experts in their fields • Team to be structured and operated as a commercial entity with focus on competiveness and profitability whilst fulfilling a mission of creating a nationwide legacy of opportunity • Large commercial potential due to global visibility • Australian’s interest in the sport is dormant due to a long absence from competition at this level; We have the chance to reignite a national passion and gain priceless exposure • Two years planning, preparing and structuring the venture as a transparent, profitable ongoing business • Gradual plan formulated in modules involving steps to build a nationwide fan base and become a household name • Ensure continuity by setting up a nationwide recruitment programme

14

w w w. w h o l e s a l e i n v e s t o r. c o m . a u


Key Investment Highlights

Board & Management:

• Ownership of an Iconic Australian Sporting Brand with international visibility and positive green values

The group counts among their collective and individual achievements:

• Perfect opportunity to ‘get in at the ground floor’; Underwrite and/or purchase equity at this early stage and own a brand with an international audience guaranteed in the tens of millions • Get ROI immediately as our Australian activities bring us into every living room • The America’s Cup is run by competing teams for competing teams. Every team is entitled to a share of the revenue generated by the America’s Cup brand and events

• Multiple World Championships • Olympic gold medals • Distance records • Wins in major events including multiple Sydney to Hobart, Fastnet and Transat races • Extensive America’s Cup experience

• Long term ROI not exclusively dependent on sporting results • Winning brings the biggest prize in sport: the right to host the next finals as defender. The economic impact of hosting an America’s Cup final is significant

Corporate Structure

• Unique chance to lead Australia’s return to the forefront of a truly unique global arena. Australia has the talent to win. Support for our team is a matter of social conscience.

Unlisted public company. Advisory board is composed of experts in business and respected public figures lending credibility to the venture. The team boasts a unique network of supporters. 85% equity is available to investors.

Exit Strategy Investors will be able to sell their shares. Option purchasers will have the choice to exercise their options at attractive rates. Underwriters will be entitled to immediate value. The team plans to be ongoing, instituting a programme of talent recruitment and training to pass our legacy onto the next generation. Part of the start-up capital will be used to purchase shares in the association of teams and the shares can be sold on at any time.

Further Information: To learn more about this opportunity, including downloading an Information Memorandum, go to

www.wholesaleinvestor.com.au click on View Investment opportunities and search for Australian America’s Cup Team.

w w w. w h o l e s a l e i n v e s t o r. c o m . a u

15


Ampan Naturally Pty Ltd Clean Construction 2008 Early Stage Regional NSW Expansion Capital

Company Name Sector Yr established Business stage Location Seeking

Board & Management: John Gorman Director John is the Director of Ampan. A rice farmer and inventor of Australian-made Panel Board, John has been dedicated to the development of Ampan and bringing it to market. John has a commitment to finding affording environmental solutions for developing countries.

Corporate Structure

Executive Summary

Ampan Naturally Pty Ltd is an Australian private company wholly owned by its Directors.

Ampan is the inventor of a new robust, environmentally friendly form of panel board made from rice stubble, a byproduct of rice production. Ampan is a healthy, cheap, natural alternative to MDF that is designed for developing countries by providing natural, housing materials that can be produced locally.

Exit Strategy

Australian-made Panel Board (Ampan) was developed by John Gorman with additional research completed from the CSIRO and RMIT and is proven to have next generation characteristics, including: • Made from a renewable resource

The management team anticipates an exit via trade sale to an international construction company in approximately 5 years. This would reward early stage investors with an opportunity to exit.

• Non-toxic • Moisture resistant • Withstands flammable and extreme temperatures • Meets Australian standards Expressions of interest have been received from China, Korea, India, Pakistan and Rwanda as timber shortages have created a real and pressing need. Strategic investors are sought who can contribute to the direction of the company. Funding is required to build the first plant for production, commercialise the business plan and satisfy the growing market need.

Competitive Advantages • Easy and cheap to produce • Low environmental impact for production • Primed for export market • Significantly reduces on-farm waste • Opens up new income stream for farmers • Stronger characteristics than regular timber

Key Investment Highlights •  Expansive global demand including China, Korea, India, Pakistan and Rwanda •  Replaces multi-billion MDF market on characteristics and cost •  IP wholly owned by the company •  Support from governments, NGOs, communities and charitable organisations worldwide •  Potential for carbon credits subject to government regulations •  Strong ROI potential for investors with trade sale •  Underpinned by quality research from CSIRO and RMIT

16

Further Information: To learn more about this opportunity, including downloading an Information Memorandum, go to

www.wholesaleinvestor.com.au click on View Investment opportunities and search for Ampan Naturally Pty Ltd.

w w w. w h o l e s a l e i n v e s t o r. c o m . a u


Company Name Sector Yr established Business stage Location Seeking

Eleckra Mines Limited (ASX:EKM) Gold Exploration, Development & Mining Listed on ASX in 2006 Advanced Exploration Yamarna, 150km east of Laverton in WA Investor Relationships

Executive Summary Eleckra Mines Limited is an exploration company that is actively developing its flagship Yamarna Gold Project located in Western Australia. Eleckra is the 100% owner of a 4,000 km2 tenement covering the majority of the Yamarna greenstone belt, an area that hosts numerous world class gold ore bodies and accounts for more than half of Australia’s 8 moz annual gold production. The Project has a current JORC resource of 917,000oz Au with further drilling underway to define the recently discovered high-grade Central Bore, Hann and Byzantium Prospects. Exploration work at Central Bore has been very promising, delivering results of up to 400g/t Au and multiple high grade assays in excess of 100oz/t. Eleckra expects to announce the maiden resource estimate for Central Bore later in 2010.

Competitive Advantages • World-class location – Project located in Yilgarn Craton, an area that hosts globally significant ore bodies and produces over half of Australia’s gold • Proven gold resource – JORC gold resource of 19.8 million tonnes at 1.44 g/t Au for 917,000 ounces of contained gold using a 0.5 g/t cut-off • R esource upside – Aggressive drilling and resource delineation programs have already delivered high grade discoveries, with further drilling underway

Board & Management: Ian Murray - B Comm CA(SA) ACA ACMA Adv Tax Cert Executive Chairman Ian is a chartered accountant with more than 15 years of experience in the publicly-listed resources sector. Ian held positions with DRD Gold Ltd between 1997 and 2005 including CFO and CEO, overseeing the company’s expansion into a major listed global gold production company. Ziggy Lubieniecki - BASc, MAIMM, MAIG General Manager Ziggy is a geologist with more than 20 years experience in mining and exploration and has worked for companies including Chevron Corporation, Australian Platinum Mines NL, Apex Minerals and Goldcrest Mines Limited.

Corporate Structure Eleckra has a simple corporate structure. All capital raised will be applied to growing the gold resource and developing the Yamarna Project. Listed instruments on the ASX: • Ordinary shares (EKM) • Options (EKMO)

Exit Strategy Eleckra is listed on the Australian Securities Exchange (EKM.ASX) so investors are able to buy and sell shares in a liquid market.

• U ndervalued – Trading at discount to peer companies • Gold – attractive commodity with strong pricing outlook and positive fundamentals

Key Investment Highlights •  Outstanding opportunity for investors, offering direct exposure to a high grade gold discovery located in the Yamarna Greenstone gold belt •  100% owner of a ~4,000 km2 tenement covering this highly prospective but under explored region offering direct exposure to Australia’s next major gold production region •  Aggressive drilling program undertaken in 2009 and 2010 with 30,000 metres of drilling already completed, resulting in the discovery of multiple high-grade deposits •  High grade gold discovery at Central Bore, >400g/t in RC drilling with mineralisation commencing from surface

Further Information:

•  Maiden resource estimate for Central Bore expected later in 2010 and further exploration and resource delineation programs to grow resource

To learn more about this opportunity, go to

•  Uranium resource can unlock further value for shareholders

www.wholesaleinvestor.com.au click on View Investment opportunities and search for Eleckra Mines Limited (ASX:EKM).

w w w. w h o l e s a l e i n v e s t o r. c o m . a u

17


Company Name Sector Yr established Business stage Location Seeking

Pacific Islands Project Solutions Ltd Mining 2010 Early Stage Papua New Guinea Capital Raising

Executive Summary Pacific Islands Project Solutions has identified a rare opportunity to develop an alluvial gold mine in Papua New Guinea (PNG). This project has exceeded management selection criteria for development and has been identified as a ‘prime’ target by the company. The alluvial gold mine site has been surveyed by a reputable geological firm from Brisbane, Brennan & Associates that give strong indications of large gold reserves and exceptional grades (avg 2.2cm/g3) and assay results. It is projected that two rigs working in tandem can produce approximately 1.5 tonnes of gold a year. There are sufficient reserves for 4 such rigs to operate continuously over the maximum 30 year period for the mining lease. Alluvial Gold Mining has advantages over traditional open cut mining as it is cheaper and quicker to become operational and less skilled labour is needed to operate the plant. Exploration licenses have been applied for, in effect securing the leases. Local landholders are supportive of the project and have agreed in principle to the royalties offered. Funding is primarily required to secure the mining leases and the equipment to commercialise the mine and begin production.

Competitive Advantages • Proven Reserves: A geological survey of 7.3kms within the 176km2 lease area has proven to have 2.2g/cm3 of gold (an exceptional grade), 90% fine plus 6.9% silver • Large Area Still to be Surveyed: Once funded the long term aim of the company is to survey the entire lease site to discover the full value of the sites • Lower Cost: Alluvial mining requires less planning and less equipment than open cut mining • Quick Turnaround: Full scale production is anticipated within 12 months of funding • M inimal Environmental Impact: Alluvial mining has no tailings and no harsh chemicals in gold production • M aximum Extraction Rates: The latest extraction equipment and techniques are being employed • B asic Skills: A low level of technical skill is needed with local labour readily available • E normous Market Demand for Gold: Deregulation of Asian markets and gold’s ‘safehaven’ asset status has ensured that gold demand has trended high

18

w w w. w h o l e s a l e i n v e s t o r. c o m . a u


Key Investment Highlights

Board & Management:

• Using the Base Case, a predicted 1.5 tons (40,000+ oz) of gold per annum will be processed for 30 years

Robert M Smith Director Robert is an experienced, energetic and indefatigable mining engineer who has encyclopaedic practicable knowledge of alluvial gold mining and of all the necessary equipment required. He has spent many years in the more remote areas of PNG and is very familiar with the Parchee river area and its people.

• Strong ROI for Investors with returns to the company projected at over $20m pa • Flexible Investment Options with either equity or debt through a convertible note • Legal Structure meets PNG corporate governance regulations • Numerous development options available including extensions to nearby sites • Lower risk compared to open cut mining • Public unlisted company with 3 Directors to reduce key person risk • Funding mainly used to secure assets (land leases & equipment) which can be traded

Brian K Fitzgibbon Director Brian is an experienced accountant with his own consulting business and has cost accounting qualifications and corporate experience which are ideal for this project. Edward Brennan Board Member Ted Brennan is one of Australia’s most experienced geologists and is an expert on alluvial gold mining. Ted’s firm conducted the surveys referred to in this document.

Corporate Structure PIPS Ltd is the Australian holding company. Parmogu Mining Ltd (PNG) will hold the mining leases. Parmogu Mining Operations Ltd (PNG) will operate the mine.

Exit Strategy For equity investors, the primary exit strategy is an IPO to finance the company for further Pacific Islands based projects as they are identified. This will reward early stage investors with a significant return on investment. Other exit strategies will be considered if appropriate.

Further Information: To learn more about this opportunity, including downloading an information memorandum, go to

www.wholesaleinvestor.com.au click on View Investment opportunities and search for Pacific Islands Project Solutions Ltd

w w w. w h o l e s a l e i n v e s t o r. c o m . a u

19


Company Name Sector Yr established Business stage Location Seeking

Broadvector Limited Biotechnology / Pharmaceuticals 2007 Clinical Development Melbourne, Australia ASX IPO offering

Executive Summary

Key Investment Highlights

Broadvector Limited is a mature Australian biotechnology company targeting conditions of the ageing population, one of the fastest growing markets in society. Broadvector is developing clinical treatments for prostate cancer (Phase I) and the aseptic loosening of prosthetic hips (Phase IIa).

• Potential global peak sales for Broadvector’s therapies are each up to $1 billion per annum.

Broadvector has worldwide rights for two transient gene therapies designed to remove target tissue (e.g. cancerous prostate tissue) in a less invasive manner than current treatments. The therapies involve co-administration of a vector and a small molecule drug. Prostate cancer is the most common cancer in Western men and a significant cause of male cancer death. Broadvector’s developmental therapy for early-to-mid stage disease aims to minimize the side effects of impotence and incontinence often associated with current treatments. A TGA-approved Phase I clinical trial will run in St Vincent’s Hospital, Sydney.

• Broadvector is focused on diseases of the ageing population, a growing market sector. • E xclusive worldwide intellectual property rights to two platform technologies to develop therapies for prostate cancer and aseptic prosthetic loosening. • The aseptic prosthetic loosening project has completed five clinical trials with good safety outcomes. Exciting patient improvement in Phase I study. Phase IIa trial planned. • Prostate cancer therapy has TGA approval for a Phase I trial at Australia’s largest prostate cancer clinic.

Aseptic prosthetic loosening: Annually 1 million prosthetic hips are implanted globally, however over time approx 10% of patients develop a painful and debilitating condition where bone anchoring the prosthesis is replaced by soft tissue. The only current treatment involves replacing the prosthesis via major surgery. Broadvector’s therapy is potentially a less invasive treatment that avoids major surgery. The therapy has successfully completed a Phase I clinical trial in Europe and a Phase II trial is planned.

• T he prostate cancer therapy includes a drug with an established history of safe clinical use in humans.

Competitive Advantages

Exit Strategy

• E xtensive patent portfolio: Exclusive rights in North American, European and Japanese markets. Key patents granted beyond 2020.

Broadvector aims to develop both clinical trial programs through Phase II efficacy trials and plans to out-license or sell the therapies either separately or together to European, American or Japanese pharmaceutical companies within 2-3 years.

• B roadvector’s therapy for prostate cancer is less invasive than current treatments and may cause fewer side effects (impotence, incontinence).

• Broadvector also controls a vaccine platform that it plans to out-license to generate early cash flow. • P otential for trade sale or out-licensing of prostate cancer and aseptic loosening programs to major pharma during Phase II trials.

• P otential breakthrough therapy in aseptic prosthetic loosening for patients who cannot undergo surgery. • Technical and regulatory barriers discourage competitors. • E xperienced Broadvector board and management have demonstrated success in commercializing biotechnology and creating shareholder value. • B roadvector’s internationally recognized partners include CSIRO (Australia), Vectura and Cancer Research Technologies (UK), Crucell and Leiden University Medical Center (Netherlands). • T he Broadvector team has developed and managed the portfolio for over 5 years.

Corporate Structure Broadvector Limited is an unlisted public company in the process of completing an IPO listing on ASX. Prospectus available at www.broadvector.com

20

w w w. w h o l e s a l e i n v e s t o r. c o m . a u


Board & Management:

Wayne Millen B.Sc (Hons), PhD, FRACI Non-Executive Chairman Venture capitalist. Founder and former CEO and Chairman of Clinuvel Pharmaceuticals Limited (ASX:CUV).

Andrew Bray B.Sc (Hons), PhD, Grad Cert Mmt Managing Director & CEO Over 20 years experience in biotechnology. Former CSO Chiron Technologies Pty Ltd (Chiron Corporation, USA). Senior positions at Mimotopes Pty Ltd.

Roland Toder B.Sc (Hons), PhD, habil Non-Executive Director Over 20 years experience in biotechnology in Europe. CSO of GeneScan Europe AG (Germany) and CEO of Vivendy Therapeutics Ltd (Switzerland).

Iain Kirkwood MA Hons (Oxon), FCPA, FFTP, MAICD - Non-Executive Director Over 20 years experience in the pharmaceutical industry. Former CEO and MD of Clinuvel Pharmaceutical Limited and CFO of F.H. Faulding & Co Limited.

Gerald Both B.Sc, PhD CSO International reputation in molecular virology with >30 years of experience. Inventor and a former Chief Research Scientist at CSIRO.

Malcolm Booth BEc, ACA, MBA, Grad Cert Biotech Ind CFO Former GM of Cryptome Pharmaceuticals Ltd. Previous financial roles at Ernst & Young, UBS Warburg (London) and HSBC (London).

Further Information: To learn more about this opportunity, including downloading a Prospectus, go to

www.wholesaleinvestor.com.au click on View Investment opportunities and search for Broadvector Limited.

w w w. w h o l e s a l e i n v e s t o r. c o m . a u

21


Company Name Sector Yr established Business stage Location Seeking

Your Portal Pty Ltd Financial and Professional Services 2010 Growth National (Sydney HQ) Capital Raising

Executive Summary Your Portal is a premium quality, outsourcing company targeting SMEs in Australia. Your Portal provides the outsourcing of core back-office functions for clients to realise significant cost, value and business efficiencies. Large corporations have been successfully outsourcing their back-office functions for over two decades, and Your Portal provides a cost-effective solution for small businesses looking to delegate their accounts, IT, web, marketing and communications functions. Clients pay a monthly fee for service with a healthy profit margin to the company. Your Portal runs an efficient, centralised centre with established systems and processes that underpin the entire operation. This IP places Your Portal alone in a highly fragmented market. Your Portal has been profitable from launch with over 75 clients on the books. Funding is required to accelerate the growth of the business to reach our short term goal of 300 clients in 3 years.

Competitive Advantages • High Value Service: Clients are unable to realise the same cost reduction benefits inhouse • Multi Service Offering: Clients are likely to outsource more than one function • Gap In The Market: There are no direct competitors in Australia targeting the SME Market • % Fees to the Company: Transparency over the financial records means we can charge a % of sales. This is too risky for competitors without overview of the client spend and sales • Recurring Payments: The revenue is annuity based, high quality and easy to collect

Board & Management: Ken Lipschitz – Accountant, NIA (Australia) CPS (South Africa) Managing Director 45 years business experience in corporate and small business. Owns his own businesses, founder of Cofficient. Previously President of a bank in Canada and Executive Director of David Jones Ltd. Peter Heery - BA Engineering CIO 15 years experience in web development and software development. Founder of the Kaboodle CMS/DM technology. Founder of Inzen Pty Ltd – outsourced IT services. Richard Ekholm - BA Engineering CCSE CTO 22 years in IT. Richard is founder of Rich IT (VoIP provider) and Oze IT. Managed IT services provider. Andrew Ward Director Entrepreneur - 12 years founded and owns 3 Minute Angels and Workplace Incentives. International experience when setup offshoring business in Philippines - Delegait.

Exit Strategy Investors will receive interest at 3% above bank rate for the term of the note and then have the option to convert at a valuation of $2m. The convertible notes will be convertible in 36 months. The ultimate exit may include a listing on a public exchange or other suitable exit.

• Improving margins: As aggregation of clients grows it provides economies of scale

Corporate Structure

• Valuable IP: Intellectual Property has been developed over 9 years acting as an effective barrier to entry

Your Portal Pty Ltd is an Australian Private Company.

Key Investment Highlights • Convertible notes reduce the risk for the investor • The investment will be handled professionally • The executive have accumulated specialised knowledge that will keep out direct competitors • The growth and popularity of utility-priced business services (such as SaaS) plays to Company strengths • Your Portal requires only .0002% of the SME market to exceed financial expectation

22

Further Information: To learn more about this opportunity, including downloading an Information Memorandum, go to

www.wholesaleinvestor.com.au click on View Investment opportunities and search for Your Portal Pty Ltd.

w w w. w h o l e s a l e i n v e s t o r. c o m . a u


Company Name Sector Yr established Business stage Location Seeking

Z-Filter Pty Ltd Cleantech/Greentech 2005 Commercialisation Perth Capital Raising

Executive Summary Z-Filter is an IP development company embarking upon commercialization of its patented technology. Modern society is highly dependent on water based processing and re-cycling. Z-Filter is a high performance, self-cleaning, filtration and materials processing technology, which is highly scalable, adaptable and energy efficient (gravity is the main form of energy). A platform technology capable of processing a variety of materials, we believe that Z-Filter could be adapted to a low cost, large scale desalination plant. The business model is based on partnering leading global/regional companies in their dominant marketplace. Z-Filter has so far achieved a number of significant milestones including: contract negotiations with a global equipment supplier to the mining industry ($1bn+sales); engaging a manufacturer in Australia, with the first commercial unit due for delivery by 1/10/10; and appointing a distributor to the Australian agricultural sector. Z-Filter has also established a permanent demonstration facility at the Harvey Agricultural College in WA (start 1/11/10), along with appointing agents to secure distributors in human/animal sewage treatment in Australia, the EU, and South America.

Competitive Advantages • Patented technology that combines the best of the belt press, centrifuge decanter and filter press technology.

Board & Management: Mark Jenkins (Aust) - B.Com, Grad Dip Bus, former Chartered Accountant Executive Chairman & Investor Chartered Accountant (Aust), Investment Banking (Aust & UK), Investment Commissioner (Aust Govt, UK), Board Director, Investor. James Campbell (S. Africa, UK) - B.Sc MA Non-Executive Director & Investor Former Exec Director Anglo American PLC, Chairman Anglo Coal, Minara Resources Ltd. Currently Director Vallar PLC (Rothschild backed US$1bn investment company). Neil Graham (Aust) - LLB, B Juris, BEc, B Admin Director and Inventor Founder/inventor Quickstep Holdings (ASX: QHL) and holder of over 20 patents. Jim Hayman (Aust) - B. Ec, MBA F AICD Non-Executive Director & Investor Partner Heidrick & Struggles, Global Head Mining & Metals.

Corporate Structure

Ordinary shares in an Aust Pty Ltd with a shareholder agreement.

Exit Strategy

The company aims to list on a suitable stock exchange in 2011/12 or enter into a trade sale with one or more of our international partners.

• Existing technology up to 40 years old. • T he ability to lock slurries within the filter sock so that they cannot escape and then squeezing the sock, driving out the liquids and drying the remaining solids. • P rocess materials that have simply been impossible to filter/process economically before. • Processing of sludge is controlled, overcoming odour and mist issues. • Compactness for the volumetric capacity, simplicity. • Very low operating and capital cost/unit of slurry processed.

Key Investment Highlights • Quality Board which has solid technical and international commercial experience. • Patented technology, not a prototype, with commercial unit being built. • Initial cost/benefit benchmarking indicates significant advantages over existing solutions. Expect higher than industry average margins as a result. • Consumable sales from unique filter sock (Avg 3/machine/yr).

Further Information:

• Significant third party endorsements from potential commercial parties in Australia and internationally.

To learn more about this opportunity, including downloading an Information Memorandum, go to

• I nitial path to market established in Australia with agricultural based distributor and Sydney based marketing team. Indicative orders received.

www.wholesaleinvestor.com.au

• T ightening environmental legislation, increasing cost of water and land use will require more efforts by industry to re-use water and utilize/ recycle solids. • Platform technology which will allow entry into other materials processing applications.

click on View Investment opportunities and search for Z-Filter Pty Ltd.

w w w. w h o l e s a l e i n v e s t o r. c o m . a u

23


PRIVATE DEVELOPER/ DISTRESSED ASSETS Company Name Sector Yr established Business stage Location Seeking

Private Developer Property New South Wales Distressed Asset Sale

Executive Summary Rare opportunity to Purchase and Invest in these Newly Rezoned Industrial, Retail, Commercial & Bulky Goods Sites on Australia’s National F3 Highway poised for stronger growth. These Industrial Zoned properties are the most strategically located midway between Sydney, the largest city in Australia and Newcastle, the sixth largest city and the biggest industrial port in Australia. Lake Macquarie City has now a larger residential population than Newcastle and now designated as a Major Growth New South Wales State Development Area, these major cities are connected by the main road expressway, the F3 Freeway which forms part of the Main Pacific Highway between the cities.

Board & Management: Jean-Alain Le Cordier Private Investor-Developer 12+ years experience in the Building, Construction and Utility Energy Industries

Corporate Structure Private Trust

Exit Strategy • Trade Sale • Develop for Greater Profit • Ideally Suited to being Purchased or Leased by Larger Bulky Goods Retailers who are keen to expand their store numbers, and developers and investors seeking to profit from the strength of the Industry

After five (5) years in the making the Rezoning Approval for the Lands to Bulky Goods and Industrial was made by Lake Macquarie City Council on 28 January 2009. The legislation of the rezoning approval was signed by the Minister for Planning Kristina Keneally, now the NSW Premier on June 5 2009.

Competitive Advantages • Suit a variety of uses, including; • Bulky Goods Retail • Industrial Warehousing & Showroom • Large-Scale Commercial premises • Logistics Transport Terminal • Service station/convenience stores • Restaurants; fast food • Medical Centres • Entertainment facilities • Residential (part)

Key Investment Highlights • New $1 billion Subdivision at Cooranbong; 2,500 houses currently under construction • Ideal Location for providing work forces for ongoing operations of the Industrial, Transport, Distribution, Bulky Goods Warehousing and Retail Businesses for the precinct. • 38,494 cars per day • One of the fastest growing areas in the Sydney Central Coast • 26,000 new houses to be built in the area • 60,000 people to move in • 10,000 new houses planned for Lake Macquarie • 16,000 new houses for North Wyong • 3,000 new houses for Morisset • Marina Approved for Trinity Point • New road access from Mandalong to Gimberts • Government subsidies to relocate businesses may apply

24

Further Information: To learn more about this opportunity, including downloading an Information Memorandum, go to

www.wholesaleinvestor.com.au click on Distressed Opportunities and search for Private Investor/Developer.

w w w. w h o l e s a l e i n v e s t o r. c o m . a u


AUSDEX DIAMONDS Company Name Sector Yr established Business stage Location Seeking

Ausdex Diamonds Pty Ltd Wholesale Diamonds 2010 Early Stage Geelong, Australia Funds for Commercialisation

Board & Management: Sandro Catallini - Director Sandro has many years of management experience in the diamond industry. Sandro has been involved in the jewellery industry for his whole life as part of a 58 year old family business, providing him with an extensive list of contacts in the closed jewellery community.

Corporate Structure

Ausdex Diamonds Pty Ltd is an Australian Private Company.

Executive Summary Ausdex Diamonds is positioned to become Australia’s first diamond manufacturer. Ausdex will import rough diamonds, process and polish them to a commercial grade product. The diamonds will be certified and then sold throughout the Australian domestic retail and wholesale diamond market. Currently, Australia is a net importer of diamonds. The Australia market currently sources its supply of diamonds from places such as India, Israel, USA, Belgium and others. There are no diamond processing plants in Australia. Ausdex will start a new industry here.

Exit Strategy

Ausdex Diamonds envisages becoming an Australian market leader because of its unique positioning. This would lead to trade sale interest in the medium term. This rewards early stage investors with good return on investment. Strategic investors are invited to participate to explore other compelling exit strategies.

All aspects of the business model from financial modelling to sourcing of rough diamond, plant equipment and personnel have been investigated. Subject to funding the company is eligible and has applied for a $500,000 grant from the Geelong Investment & Innovation Fund. Ausdex is seeking strategic investors with high level board experience to assist in the management and direction of the company.

Competitive Advantages • Quick turnaround of products with high demand for diamonds in Australia • World class end diamond product for Australian retail and wholesale markets • Australian first diamond manufacturer • State-of-the-art equipment, processes and techniques to maximise the value of rough diamonds • Diamonds primarily sourced from mines directly

Key Investment Highlights • First to market with Australia’s first diamond manufacturer • New industry to be created in Australia • Premium quality products going to market • Over $1m of rough diamonds to be processed each month with a possible 35% margin to be realised • Strong financial and business model underpins the company • Strong possible ROI for early stage investors

Further Information: To learn more about this opportunity, including downloading an Information Memorandum, go to

www.wholesaleinvestor.com.au click on View Investment opportunities and search for Ausdex Diamonds Pty Ltd.

w w w. w h o l e s a l e i n v e s t o r. c o m . a u

25


Company Name Sector Yr established Business stage Location Seeking

ATF Group (PDF) Limited Diagnostic IT 2003 Commercial Melbourne Capital Raising

Executive Summary

Competitive Advantages

ATF is a pooled development fund which invests in diagnostic IT technologies. Its principal investment is Evivar Medical Pty Ltd (Evivar).

• World-Class Inventor: SHB was developed and continues to be monitored by Professor Stephen Locarnini who is recognised globally as a leading expert in HBV and antiviral resistance.

Hepatitis B (HBV) is a modern epidemic with over 2 billion people infected (1 in 12) and 360 million suffering Chronic Hepatitis B (CHB). It is not curable and patients require lifelong expensive antiviral therapy. Like many infectious diseases HBV mutates in response to drug treatments. Evivar delivers real time, predictive, online assistance and guidance to clinicians treating patients suffering from HBV, enabling them to select the right medication at the right time for their patients. The ultimate result is an increase in the health and longevity of life for patients and a reduction in overall HBV treatment costs. SeqHepB diagnostic system (SHB): SeqHepB is a unique viral genomics sequence analysis program that is linked to its proprietary HBV genomic and phenotypic database which is the world’s most comprehensive.

• No competitors: there is no other system of this type with most global diagnostic efforts going into HIV even though there are only 33 million people infected with HIV globally. • Market model: Evivar has selected a ubiquitous, non-exclusive licensing model enabling it to rapidly secure global and regional diagnostic leaders as their licensing partners along the value chain (as shown in image 1.a.) • Patent Protected: Evivar has uniquely patented ten patent families for the multitude of viral mutations that occur within the HBV genome. The strength of the patents has been tested by our licensees.

From a simple blood sample the SeqHepB diagnostic system predicts which antiviral therapy is optimal for that patient.

Key Investment Highlights • Development Status: the SeqHep B system is clinically proven with all regulatory processes completed. ATF expects this will be the final fund raising round. Investors entering now are in the final stage of investment which follows approximately $12M investment to date. • Securing the first licensees: key licensing agreements have been secured with Abbott Molecular a leading global diagnostic company and LabCorp & Quest; the two largest USA clinical laboratory networks. • Results: Processed over 12,000 patients in 2009 with a significant volume now coming on stream. The Company should be cash positive by mid 2011. • Marketing Alliance: secured with Advanced Biological Laboratories (ABL) a European based company which has a predictive tool for HIV; offering the clinician a wider blood-borne disease solution, particularly for HIV/HBV co-infected sufferers. The complimentary science, technology, IP protection, market positions and competencies provide a springboard for both businesses to accelerate their growth with reduced cost structures. • Development: Now developing a SeqHepC diagnostic system for Hepatitis C (HCV), Ultra Deep Sequencing (UDS) data platform that is 500x more detailed analysis and exploring co-infection along with other blood-borne diseases.

26

w w w. w h o l e s a l e i n v e s t o r. c o m . a u


Board & Management: Dr. Raymond Schinazi - Phd Science Chairman Leading global researcher and founder of companies in virology and drug discovery including Pharmasset Inc., Triangle Pharmaceuticals, Idenix Pharmaceuticals and RFS Pharma LLC. Published over 420 peer reviewed papers and seven books and holds more than 70 US patents.

Image 1.a.

Jon Lamb Deputy Chairman Formerly youngest CEO with Beecham in New Zealand at 30. Joined Beecham’s marketing division working in South Africa, London, Australia and New Zealand. Brings a wealth of over thirty years international experience in the pharmaceutical and bio-medical arena ranging from private start up companies to multinational public corporations. JA Wigginton Company Secretary and Director Is a qualified accountant with over 26 years experience in the banking and stockbroking industry, both in Australia and overseas. B Romanin - B App Sci. and Grad Dip Marketing Director Extensive commercial expertise in sales and marketing, technology licensing and partnership management. Working for almost a decade in the USA with Chiron and Novartis in diagnostics in the areas of Infectious Diseases.

Exit Strategy • Trade Sale: ATF will be looking to commence a trade sale process for Evivar in the second half of 2011. • China: ATF will be seeking to expand the Evivar business into the world’s largest HBV market with an estimated 170 million chronically infected.

Corporate Structure • Previous Investment: few significant investors of Melbourne Health and individuals with a number of smaller investors. • Pooled Development Fund (PDF): ATF is a non listed public company which, as a registered pooled development fund enjoys significant tax breaks at both a corporate and shareholder level. There is no capital gains tax applicable on the sale by investors of their ATF shares.

• Targeted Purchasers: Analysis has identified medical (global pharmaceutical companies and diagnostic companies) and software (healthcare IT service providers and global software companies) where Evivar’s offering aligns to their growth strategies.

Further Information: To learn more about this opportunity, including downloading a Prospectus, go to

• Ordinary Shares on offer: rank equal with existing ordinary issued shares.

www.wholesaleinvestor.com.au

• Investee companies: Evivar will become a wholly owned subsidiary of ATF Group.

click on View Investment opportunities and search for ATF Group (PDF) Limited.

w w w. w h o l e s a l e i n v e s t o r. c o m . a u

27


Company Name Sector Yr established Business stage Location Seeking

Pico Pharmaceuticals Ltd Biotechnology and Pharmaceuticals 2008 Clinical Development Melbourne, Australia Pre-IPO Capital

Executive Summary Pico Pharmaceuticals is developing a pipeline of uniquely powerful therapeutics to treat deadly forms of human cancer and infectious diseases. Pico Pharmaceuticals’ products are compounds that utilise Transition State Quantum Chemistry, a groundbreaking approach to pharmaceutical development pioneered at one of New York’s most prestigious research institutes, the Albert Einstein College of Medicine. Pico’s Australian based management team established the Company in 2008 after a 3 year global search to find cutting edge drug compounds that could be developed as leading pharmaceuticals to treat the most prevalent indications in human cancer and infectious disease. Pico is preparing for a Phase Ib human clinical study of its lead program to treat Breast, Colon and Cervical Cancer. Final safety studies for its second and third generations of cancer and infectious disease drugs are scheduled to be conducted during the remainder of 2010, leading to further human clinical studies in 2011.

Competitive Advantages • State of the Art Technology from the Albert Einstein College of Medicine, New York • Sister Drugs have successfully completed Phase I & II trials, by the same Inventors and are now in final clinical studies to treat Cancer and Autoimmune Disease • Highly successful pre-clinical studies on Pico programs • Business proposition validated by sophisticated and institutional seed investors in the US and Australia

Board & Management: Bert Liang - MD MBA Executive Chairman (ex AMGEN – Head of Cancer & BIOGEN – Head of Commercial) Doug Wilson - MB ChB PhD Executive Director and Chief Medical Officer (ex BOEHRINGER – Global Head of Medicine and FDA Regulatory Affairs) Tim Boyd – JD MBT Executive Director and CEO (FERGHANA PARTNERS – Leading Life Sciences Investment Bank)

Corporate Structure Investors will hold ordinary shares and options in Pico Pharmaceuticals Ltd, a public un-listed Australian Company.

Exit Strategy The Company has significant near term value inflection milestones to be achieved within 18 months. • Successful completion of Clinical Studies in any of the 3 Pico programs leading to the licensing of the program or Trade Sale of the Company. • An IPO or Reverse Listing of the Company.

Creating Transition State Inhibitors Applying TSQC for Development of Therapeutic Compounds

• Strong Patent Position • Robust Commercially Valuable Pipeline • Significant near term value inflection points • Commercially proven board and management

Key Investment Highlights • Pre-IPO Investors to participate in a Pre-IPO Capital Raising at a 50% discount to IPO Book Build • Pre-IPO Investors will receive one 24 month Option for every two IPO shares at 150% of the IPO Book Build Price • Company has conducted substantial safety and efficacy trials which lowers the risk of development failure • De-risked Investment opportunity with 3 programs in clinical and preclinical studies Program 1: Clinical Anti-cancer Program - Phase I (Breast, Colon & Cervical Cancer) Program 2: IND Stage Anti-cancer Program (Head & Neck, Prostate, Lung & Breast Cancer) - Currently undetected levels of toxicity at therapeutic doses. Program 3: Anti-infectives Program (Hospital & Community acquired infections) - Multi-billion dollar market in need of new treatments to drug resistant bacteria.

28

Further Information: To learn more about this opportunity, including downloading an Information Memorandum, go to

www.wholesaleinvestor.com.au click on View Investment opportunities and search for Pico Pharmaceuticals Ltd.

w w w. w h o l e s a l e i n v e s t o r. c o m . a u


Company Name Sector Yr established Business stage Location Seeking

Phylogica (ASX:PYC) Biotechnology and Pharmaceuticals 2003 Commercialisation stage Perth, Australia Investor Relationships

Executive Summary Phylogica is engaged in the discovery and development of novel peptide-based biopharmaceuticals. Phylogica enters into discovery alliances with large Pharmaceutical companies for which it identifies potent bioactive peptides. These deals provide access to short term revenue as well as future milestone payments and royalties. Phylogica has discovered and validated a proprietary class of targeted peptide therapeutics Phylomers®) which constitute the most structurally diverse source of peptides available. Phylogica has made libraries of billions of Phylomers from which drug candidates can be selected using the company’s advanced screening methods. Phylogica owns this unique class of peptides, with 16 patent families, including multiple granted patents in the US and Europe. Phylogica is in the commercialization phase and is beginning to sign discovery deals with some of the world’s largest pharmaceutical companies (eg. Roche).

Competitive Advantages •  Advantages over biologics discovery platforms (antibodies, protein scaffolds or random peptides) •  Phylomer libraries are the most structurally diverse biologics libraries available •  The hit-to-target ratios from Phylomer® libraries are high and the proportion of hits which are of high target affinity, and are biologically functional, is also high •  Phylomers can be straightforwardly made by chemical synthesis •  Phylomers can be delivered by patient friendly means such as intranasally •  Phylomer libraries (unlike antibody libraries) are not associated with patent ‘royalty stacks’

Key Investment Highlights •  Phylogica is highly regarded globally in the peptide discovery space

Board & Management: Dr Doug Wilson, MB, ChB, PhD, FRACP, FRCPA Executive Chairman Formally Global Head of Medicine Boehringer Ingelheim. Oversaw regulatory approval and launch of 10 drugs Professor Paul Watt, BSc. D. Phil (Oxon) Executive Director/CEO Doctorate from Oxford, Postdoctoral Fellowships at Harvard and Oxford; 40 publications, 19 patents Harry Karelis, BSc. MBA CFA FAICD Non-Executive Director Founder and MD of Titan Bioventures, Managing Biotech Capital Limited Bruce McHarrie, B.Com FCA Non-Executive Director Director, Finance/Business Development, Telethon Institute for Child Health Research. Former roles: Assistant Director Biotech Division, Rothschild Asset Management, London, Coopers&Lybrand, Deloitte Nick Woolf Non-Executive Director 18 years experience in the industry, equity research and investment banking. Currently Chief Business Officer and Executive Director of Oxford BioMedica. Previously, he was Head of European Biotechnology Research at ABN Amro and he has held similar roles at Robertson Stephens, Nomura and SBC Warburg.

Corporate Structure Public, traded on ASX Shares on issue: 235.7 million Capital Structure: • 235.7 million Ordinary shares • 22.69 million Options • 1,340,000 notes (which can convert to 26.8 million shares) • Market Capitalization: Approximately US$30M • Top 5 Shareholders hold 45% of Phylogica stock

•  Phylogica’s technology is based on sound and competitive science •  The company is now focused on the core asset – its Phylomer libraries •  Phylogica’s peers are valued at more than US$100 million •  The average acquisition value for a drug discovery company like Phylogica is hundreds of millions of dollars

Exit Strategy

Trade sale to a large Pharmaceutical company, estimated 2 year timeframe.

•  Phylomers offer clear advantages over competing biologics drugs •  Phylogica has validated its technology and streamlined its processes to allow scalability •  Phylogica is commercially validated, having been chosen by large Pharmaceutical companies for discovery partnerships •  Unlike most Australian biotechnology companies, Phylogica bears no risk from failure in clinical trials since its candidates are licensed at the discovery stage to partners •  Phylogica’s business model provides access to early revenue with very good margins •  More than 30% of new drugs in development are biologics, which are expected to constitute approximately half of all drugs by 2015, with the peptide market alone enjoying double digit growth.

Further Information: To learn more about this opportunity, go to

www.wholesaleinvestor.com.au click on View Investment opportunities and search for Phylogica.

w w w. w h o l e s a l e i n v e s t o r. c o m . a u

29


AGRICULTURE OPPORTUNITY Name Withheld Agriculture - Meat, wool, grain 1984 Established, expansion Victoria, Australia Equity partner

Company Name Sector Yr established Business stage Location Seeking

Executive Summary The company is currently focussed on three primary activities: • Investment in prime agricultural assets. • Grazing sheep for meat and wool utilising proven superior management. • Opportunistic broad acre cropping. The company is currently seeking an equity partner to considerably scale operations and expand land holding.

Competitive Advantages • Management focus on evidence based profit drivers i.e. Stocking Rate, time of lambing, superior genetics • Pasture production and utilisation • Commitment to production and financial benchmarking to monitor performance against industry peers and highlight opportunities for improvement • Commitment to long term sustainability and improvement of productive assets • Early appraisal and, where proven, adoption of new technology • Crops can be grazed strategically without yield penalty, effectively raising stocking rates, while introducing flexibility, resilience and diversity to the system.

Board & Management: Managing Partner B. Vet Science, Master Vet Studies (Sheep and Beef management systems) Grad Dip Vocational Education and Training Twenty seven years experience farm businesses owner-operator. Eight years management consultant to sheep and beef producers. Veterinary Officer in Charge 4 private quarantine stations managing 30,000 sheep and goats. Other Management (B. App. Sc. (microbiology) MSc. (Biochemistry) B. App Sc (wine making) Since 1998 with a family owned company (approx 300 employees). Since 2007 a Senior Manager. Various associates with experience in a range of successfully agribusinesses and consultancies have indicated a willingness to become directors to expand the skill set and experience.

Corporate Structure Currently a family partnership. A new structure would be required subject to advice and negotiation.

Exit Strategy Open to negotiation, however investors should be willing to invest for at least 5 years. Exit prior to this time would be through sale of land with management rights attached. After the initial 4 years, 12 months notice would be required to dissolve the management agreement, unless by mutual consent.

Key Investment Highlights •  Capital gains of our farms: 7% pa long term, 13% pa since 2002 •  Return on assets for the top 20% of Western District sheep farms averaged 5.4% across 07-08 and 08-09. Comparing this with average farms (2.4%) and the bottom 20% (-0.25%) illustrates the value of proven management. •  Diversification •  Low volatility in asset value •  Quality property with unique assets and prestige value

Further Information:

•  As co-investors, the managers have a direct interest in ensuring maximum operating efficiency and improvement in asset valuation.

To learn more about this opportunity, including downloading an Information Memorandum, go to

•  The outlook for sheep meat is excellent, with sheep meat prices currently at record highs due to low sheep numbers and rising demand for meat, especially from Asia. •  A successful agricultural business model will lead to growth opportunities

30

www.wholesaleinvestor.com.au click on View Investment opportunities and search for Agriculture Opportunity.

w w w. w h o l e s a l e i n v e s t o r. c o m . a u


Planet Power Energy Limited Cleantech / Retail 2009 Expansion HQ in QLD, Retail Shops in 4 States Expansion Capital

Company Name Sector Yr established Business stage Location Seeking

Executive Summary Planet Power is aiming to be the first national chain of stores providing energy efficient solutions to households and business through the sale and installation of products under the broad banners of Solar, Water, Air, Earth and Eco-tech. Planet Power intends to capitalise on a first-mover advantage and expand its national footprint and brand to become the leading retail provider of solutions to help Australians lower their energy expenses and reduce their carbon footprint. Planet Power has brought together senior management and Directors who have over 90 years of combined management, retail and franchising experience between them. Their knowledge and understanding of what it takes to run a successful retail business, driven by a proven franchising model has delivered a robust, fully functional and supportive system.

Competitive Advantages • Existing national network with retail stores in QLD, NSW, VIC, WA and ACT

Board & Management: Nick Tsalikis - Executive Director Nick has over 25 years experience in retail and franchising. Nick is also one of the founding members of the Franchisor’s Association of Queensland. Craig Martin - Executive Director With over 15 years experience in solar hot water and renewable energy, Craig is a founding shareholder and former owner and operator of a roto-moulding company manufacturing solar hot water systems. John Walker - Chairman & Chief Executive Officer John Walker has over 30 years experience in Executive Management across a range of industry sectors and over 10 years on the board of various private and publicly-listed Companies.

Corporate Structure Planet Power Energy Ltd is currently an unlisted public company with 99 million shares on issue.

Exit Strategy The Planet Power Board and Management expects to exit via trade sale or listing on an appropriate exchange in the next 12-18 months.

•  Wide range of products and solutions offered •  Multiple technologies offered •  Eight stores currently trading with 2 additional stores under construction after just 1 year •  Well-positioned, growing and respected brand •  Stores already averaging approximately $200,000 p.m. each in sales •  Physical store presence provides greater customer interaction and community support

Key Investment Highlights •  Large and growing number of Australians seeking retail solutions to lower their carbon emissions •  Very low availability of retail outlets to meet growing Australian market •  Business has a proven concept and profitability soon to be achieved •  Business benefits from ongoing State and Federal government incentives available to end users •  Business plan is for 50+ retail stores nationally with average revenue of >$3.5 million each PLUS broader commercial sales outside retail network

Further Information:

•  Company has already fully invested in franchising systems, technology, and legal framework

To learn more about this opportunity, including downloading an Information Memorandum, go to

•  Funds to be used exclusively to expand operations and fund revenue growth

www.wholesaleinvestor.com.au

•  Clear exit plan in place

click on View Investment opportunities and search for Planet Power Energy Limited.

w w w. w h o l e s a l e i n v e s t o r. c o m . a u

31


Company Name Sector Yr established Business stage Location Seeking

Cobar Consolidated Resources Limited (ASX:CCU) Mining 2006 Project development Corp - Melbourne, Project - NSW Investor Relationships

Executive Summary Cobar Consolidated Resources (CCR) is a Melbourne-based explorer on the way to becoming a globally significant silver producer. It has 1,371 km2 of tenement interests on the western margin of the Cobar basin in western New South Wales. The Company’s main focus is the Wonawinta silver project. At Wonawinta, the Company has estimated an inferred and indicated resource of 51M ounces of silver, based on a cut-off grade of 22g/t, including a probable reserve of 14M ounces of silver. A feasibility study, confirming the project’s viability, was completed in June 2010. An optimisation study is currently underway and is expected to be completed by November 2010. The initial results of this study have confirmed the project has attractive economics and short payback period. The Company expects silver production to commence in the December quarter of 2011.

Competitive Advantages • The Wonawinta silver project has a number of key strengths including shallow open pits; free digging ore and waste; conventional metallurgy; silver produced as bullion; modest capital requirements; and short timeframe to production •  The project economics show attractive returns and a short payback period •  Considerable exploration upside in surrounding tenements •  A strong management team has advanced the project within a short timeframe

Board & Management: Mr Ian Lawrence BSc (Metallurgy), MBA (Exec) Managing Director Mr Lawrence is a management professional with more than 30 years experience in senior line management, strategic management and consulting, including senior operational and strategic management roles for a number of mining companies. Dr Richard Mazzucchelli BSc (Geology) (Hons), PhD Non Executive Chairman Dr Mazzucchelli has over 45 years exploration experience in a wide range of mineral commodities and has been associated with a number of economic discoveries of gold, nickel and base metals. Dr George Lefroy BE (Hons), M.Eng.Sc, PhD Non Executive Director Dr Lefroy had an international career with Shell for 34 years, reaching position of Executive Vice President, Asia Pacific/Middle East, for Shell Chemicals Ltd in London, and a member of the Global Executive Committee.

Corporate Structure

Cobar Consolidated Resources company listed on the ASX.

is

Shares (ASX: CCU) Share price as at 15 July 2010 Cash Market Capitalisation

a

Public

130.9m 16c $3.7m $20.9m

Exit Strategy

The Company is listed on the ASX. Investors have the opportunity to buy shares and either increase or reduce their shareholding on a daily basis.

Key Investment Highlights •  The Wonawinta project is forecast to produce 2.5Moz silver per annum over 5 years •  Outlook for silver demand and the silver price is positive •  Current mining schedule assumes that only the probable ore reserve is mined •  Indicated and inferred resource of 51Moz silver significantly exceeds the probable ore reserve of 14Moz silver •  Good prospects for conversion of resources to reserve •  Excellent regional exploration potential for discovery of additional silver resources and for lead, zinc and copper mineralization •  Project uses conventional technologies and carries low technical risk •  Independent research has determined a target share price range of A$0.30 to A$0.40 per share; current share price significantly undervalues the Company and the project

32

Further Information: To learn more about this opportunity, including downloading an Information Memorandum, go to

www.wholesaleinvestor.com.au click on View Investment opportunities and search for Cobar Consolidated Resources.

w w w. w h o l e s a l e i n v e s t o r. c o m . a u


Special Phage Holdings Pty Ltd Biotechnology / Pharmaceuticals 2005 Early Commercialisation Sydney, Australia Capital Raising

Company Name Sector Yr established Business stage Location Seeking

Executive Summary Special Phage Holdings (“SPH”) is an innovative biopharmaceutical company focused on developing novel antibacterials in response to the growing threat from antibiotic resistant “super bugs” such as MRSA or Golden Staph. SPH products harness the killing power of bacteriophages (phages), the natural predators of bacteria. Phages are highly specific, rapidly amplify at the site of infection and are completely safe. In contrast to antibiotics, phages do not alter the body’s natural bacterial flora. Over the past 5 years SPH has identified several global human & veterinary health target markets. The efficacy of the first 3 lead products has already been demonstrated in proof of concept studies, both in-vitro and in-vivo. SPH has also completed the first human phage therapy treatment in Australia. The company has already attracted considerable public and media attention. Funding is required for further animal and human clinical trials and early commercialisation (licensing) activities.

Competitive Advantages

Board & Management: Dr Tony Smithyman PhD Founder & Executive Chairman Founder of 4 biotechnology companies, including Cellabs Pty Ltd in 1985, one of Australia’s oldest privately-owned biotech companies. Mr Alastair Winter (FRSA, MA, CPFA) Non-Executive Director Based in London. Former Chairman of Elektron plc. Mrs Margot Smithyman Non-Executive Director Director of Cellabs Pty Ltd since 1985. Dr Hubert Mazure PhD Marketing Manager Formerly with MMI/Ventracor and Amersham International. Mr Tony Gellert (B.Com, ACA) Corporate Finance Advisor Formerly with PWC, BT (Aust) and Elders Finance Group (UK).

Corporate Structure Special Phage Holdings Pty Ltd is a private company with a single class of ordinary shares.

• Bacteriophages attack and destroy antibiotic-resistant bacteria. • In contrast to modern antibiotics phages are: - Naturally occurring - Self-amplifying - Self-limiting - Without harmful side effects • Low production costs ensure strong profit margins upon commercialisation. • SPH holds a large IP portfolio of proprietary therapeutic phages.

Exit Strategy SPH will consider several exits upon completion of its Phase II human clinical trials, expected within 2-3 years. Exit options include part or full trade sale, licensing to a pharmaceutical company and listing on a suitable exchange at an appropriate time.

• Unique product formulations are protected by DNA fingerprinting and/or patent, once clinically validated. • Experienced Board and management, supported by prominent corporate & scientific advisors

Key Investment Highlights •  Portfolio product development strategy to reduce overall risks, initially focused on one veterinary and two human health core products. •  Veterinary product already in animal (field) trials. •  Human therapeutics ready to enter Phase I & IIa human clinical trials.

Further Information:

•  Human products target the two most common hospital “super bugs” (Golden Staph and Pseudomonas), both with potential markets in excess of US$ 1 Bn per annum.

To learn more about this opportunity, including downloading an Information Memorandum, go to

•  Both products target the hospital antibiotic resistance crisis and therefore are likely to attract fast track registration and premium pricing. •  SPH winner of the NSW Biotechnology Award in August 2008. •  Low burn rate maximises potential return to shareholders.

www.wholesaleinvestor.com.au click on View Investment opportunities and search for Special Phage Holdings.

w w w. w h o l e s a l e i n v e s t o r. c o m . a u

33


Example of an earlier model WIG craft

Company Name Sector Yr established Business stage Location Seeking

Aeroship Commercial Ltd Transport 2010 Early development Sydney, Australia Capital Raising

Executive Summary The Aeroship Group has developed a new Wing-In-Ground craft that provides stable low cost flight at high speed over water. Based on existing aeronautical and marine concepts, the new Aeroship WIG design will provide vastly improved pitch stability during flight that will outperform all earlier model WIG craft designs. Classified as a boat by Lloyds certifiers, WIG craft can be operated by a licensed WIG captain rather than an airline pilot. Similarly the purpose built combustion engine can be maintained by a motor vehicle mechanic rather than an aeronautical engineer. Following initial certification the group will have the opportunity to aggressively expand the sales distribution and leasing opportunities in various countries. Expressions of interest have already been received for at least 6 craft once certification has been received.

Board & Management: John Martin - Director & CEO John has an aeronautical background with extensive international company experience across the targeted region. Matthew Sweeney - Director & CFO Matthew is a CA and MAICD and has over 20 years experience in international finance. Rodney Spratt - Director – Technical Engineer Rodney has 30 years experience in design and manufacture of composite craft and 10 years WIG craft experience. He is also an accomplished pilot. Andrew Brawley - Commercialisation Consultant Andrew is the CEO of an international semiconductor group. He has over 30 years experience in commercialisation of advance state of the art technologies. Hugh Richie Aeronautical Project Management Consultant Hugh specialises in regulatory oversight and corporate governance, project management and strategic planning and analysis of aeronautical projects.

Competitive Advantages • Low operating costs and high speed transport option (approx 5 cents / passenger / nautical mile) • Multiple markets including passenger transport, defence, coastal surveillance, tourism and freight • Internationally certified as a boat (not a plane) leading to significantly reduced operator costs • Significantly lower maintenance costs and easily available technicians • Flexible internal configurations for user needs • Little or no additional infrastructure for takeoff and landing • Approvals available in a highly regulated market

Key Investment Highlights •  Existing demand in place for commercial craft in multiple markets •  Major design upgrades remove the need for complex computer systems

Corporate Structure The company is a Limited company that owns the global manufacturing, distribution and sales rights to the craft.

Exit Strategy The Group will develop multiple distinct divisions across the operations in manufacturing, sales, infrastructure, modifications and leasing. This will provide a range of trade sale options to existing market participants in marine or aeronautical transport, finance, infrastructure, military or tourism.

•  Existing Government support in a highly regulated market •  Internationally recognised executive team with WIG craft experience •  Market based pricing produces a targeted IRR of 35% p.a. •  Modular design ensures key aspects are built in house (under survey) whilst new jobs are created in target markets for assembly and maintenance •  Environmentally friendly alternative – lower carbon output, lower external noise, reduced impact from infrastructure footprint, provides efficient access to remote locations •  Certification requires spare parts and modification to be undertaken by Aeroship personnel leading to ongoing revenue •  Patent pending design and construction plans in place to begin initial manufacturing

Further Information: To learn more about this opportunity, including downloading an Information Memorandum, go to

www.wholesaleinvestor.com.au click on View Investment opportunities and search for Aeroship Commercial Ltd.

•  No new manufacturing techniques; only modifications of existing marine and aeronautical concepts

34

w w w. w h o l e s a l e i n v e s t o r. c o m . a u


Company Name Sector Yr established Business stage Location Seeking

EcoQuest Ltd (ASX:ECQ) Cleantech 2007 Expansion Western Australia Investor Relationships

Executive Summary After two years of extensive research, EcoQuest Limited is poised to commercialise its 90% biodegradable nappies and complementary range of sustainable and non-woven products, including baby wipes, incontinence pads and sanitary protection products. The Australian launch will be the prelude to the global roll-out of the environmentally friendly EcoQuest range. The global market for disposable nappies alone is estimated to be $US26.6 billion. EcoQuest will not be the manufacturer or distributor of its new 90% biodegradable nappy. The manufacturing has been contracted to a Hong Kong company while distribution is also being subcontracted out. The 90% biodegradable nappy will be marketed through supermarket chains and via the internet. The company will also continue developing and protecting its intellectual property, while refining its product range.

Competitive Advantages • EcoQuest addresses a major growth market - as major contributors to landfill, disposable nappies represent one of the world’s biggest environmental problems, taking over 5 centuries to breakdown. • EcoQuest has the team, including global eco-nappy and consumer sales experts. • Patents are in place to protect and enhance both its technological advantage and product revenues. • EcoQuest has technology which is proven by both rigorous consumer testing and which meets stringent industry standards.

Key Investment Highlights • EcoQuest is listed on the ASX, and therefore provides both the potential for excellent capital gain, and the flexibility of sale of shares through the ASX. • Timing for investment is good, with the first commercial batch of nappies commencing manufacture mid 2010. • EcoQuest has a sophisticated launch programme, including a budget for the appointment of a celebrity spokeswoman – a mother who can personally endorse and communicate. • First product roll-out is in Australia, but enquiries are being handled from global distributors.

Board & Management: Sylvia Tulloch (MSc) – Chairman Experienced and respected scientist and entrepreneur with over 25 years experience in the establishment and management of high technology businesses, Sylvia has a particular interest in the commercialisation process. Founding MD of solar company Dyesol Ltd (ASX:DYE). Steve Moncur (CA) - Managing Director Mr Moncur has widespread international commercial, strategic and operations management experience in the fast moving consumer goods (FMCG) industry. He has extensive expertise in the eco-nappy industry, launching the first private label econappy in the UK, and was Operations Director for the largest eco-disposable nappy seller in Europe and Australia. Michael Greenup - Operations Director Mr Greenup has 35 years experience of owning and operating successful businesses, including 12 years consulting and sourcing in China and Malaysia. Stewart Pyrah - Marketing Director Mr Pyrah has held leadership roles with PZ Cussons, Boots The Chemist and most recently Foster Grant where he was Managing Director of the European operation pre and post the successful NASDAQ IPO.

Exit Strategy As a stock listed on the ASX, liquidity is at the timing of the investor.

Corporate Structure Public Company listed on ASX with approx. 85 million shares, trading at 10 cents per share (May 2010).

Further Information: To learn more about this opportunity, including downloading an Information Memorandum, go to

www.wholesaleinvestor.com.au click on View Investment opportunities and search for EcoQuest Ltd.

w w w. w h o l e s a l e i n v e s t o r. c o m . a u

35


Company Name Sector Yr established Business stage Location Seeking

Brightgreen Pty Ltd. Green Technology 2008 Expansion Melbourne & Perth, Australia Scaling Capital

Executive Summary Brightgreen is a leader in the design and development of innovative LED based lighting to service a market worth $2.6 billion dollars in Australia alone over the next five years (IBIS/ABS). Brightgreen has an established brand and existing sales with its first generation of products and a protected first to market advantage available from April 22nd 2010. Brightgreen’s new generation of LED lights will be the first with halogen equivalent lighting based on protected LED technologies that offer the fastest payback of any eco-technology on the market. Brightgreen has begun export to the UK and orders have already been placed and successful trials conducted with major stakeholders such as Mirvac, Henley & Colgan. The release of the D900 on April 22nd at the Sydney Convention Centre will result in a need to scale to meet and service sales growth.

Competitive Advantages • Brightgreen’s lighting products will offer the lowest return on investment (ROI) of any ecotechnology on the market. • Brightgreen has developed the world’s first 50W Halogen down-light equivalent: the D900. • Brightgreen will be first to market with this and 22 other products that are currently in development. • B rightgreen has secured Intellectual Property in the form of Patents and Design registrations and trademarks for its range of second-generation products that allow for reduced production costs, and a better feature set than any international competition. • B rightgreen’s innovative product development team are highly trained and experienced with many awards for disruptive developments.

Board & Management: Andrew Kuruc - Chairman (non exec) Andrew Kuruc has 20 years experience in retail financial services in middle & senior management positions, including major tenures with Colonial Mutual & Scottish Amicable Life, and for MLC Limited. Andrew has brought a series of startups to success and coached senior executives at large corporates including Unisys, Talent2 and Westpac. David O’Driscoll - CEO BCom, BDes (1st hons) Dip FA, MDIA David has extensive new product development, Intellectual property, commercialization and product licensing experience with a high rate of success in turning new technologies into profitable businesses. Barry O’Driscoll - Director Bcom, Dip Fin. Barry has10 years experience in strategic management of large business portfolios, projects and tenders. Former head of Business Intelligence within QBE Insurance Australia (Direct). He has expertise in Business Planning, Analysis, Segmentation & system design.

Corporate Structure Brightgreen is an unlisted public company with only one type of share on issue.

Exit Strategy • Dividends are expected within 12 months •T rade sale based on product IP to an international brand • IPO to bring Brightgreen international

• B rightgreen uses a proprietary specification system that significantly reduces labour costs in the sales and support process.

Key Investment Highlights • Capacity: Brightgreen is led by an innovative, well trained and proven team. • Growth: All fiscal, political and consumer trends favour growth in this market sector along with a product suite that is highly regarded by specifiers in this sale cycle. • Market Readiness: Brightgreen has completed all design development and testing of its second generation of product, including successful trial fitouts with Mirvac, Henley and Colgan. • Demand: The lighting specification market has been in high demand for this yet to be delivered product for years.

Further Information:

• Sales: Brightgreen has secured pre orders of over 1000 D1200 units from 3 trial sales targets out of 7800 possible targets.

To learn more about this opportunity, including downloading an Information Memorandum, go to

• Proven: Brightgreen has proven its ability to design, produce, market, sell and distribute a superior product and service offering.

www.wholesaleinvestor.com.au

• Low risk: A comprehensive IP portfolio and a suite of strategic advantages with layered redundancy yield a low risk rate.

36

click on View Investment opportunities and search for Brightgreen Pty Ltd.

w w w. w h o l e s a l e i n v e s t o r. c o m . a u


KFSU Pty Ltd Food Ingredients 2006 Commercialisation Cairns, Australia Capital Raising

Company Name Sector Yr established Business stage Location Seeking

Executive Summary KFSU is a food ingredient company creating new products from agriculture. The core competency is processing and extracting dietary fibre, juice concentrates and bio-actives from sugarcane. Current customers include a global small-goods manufacturer, a major UK sugar company, chocolate manufacturers, poultry product manufacturers, pet food and snack-food companies. Commercial scale supply will commence in 2010 and is the reason funding is required. The first product to market will be dietary fibre (Kfibre™) manufactured from sugarcane bagasse for human and pet foods. Later products will be sugarcane juice concentrate, fibre from other agricultural products and non food industrial uses.

Competitive Advantages • Cost competitive in all major markets, with low bio-mass cost (use of a by-product for raw material) •  Stable pricing, does not compete with food products (oats, wheat, corn) as raw material •  Novel new product able to compete with established brands while having the ability to create new products and claims •  Completely non allergenic •  Does not alter mouth-feel or taste, even in chocolate •  Chemical free processing with strong “Natural” branding opportunities •  H igh water absorption and retention compared to other natural fibres offers the following for small goods manufacturers •  Reduced meat inputs (production costs savings) • Functional health claims in a wide range of foods and snacks treatments, particularly for horses

Board & Management: Gordon Edwards - Managing Director Gordon has developed and managed several successful businesses. He possesses extensive engineering experience. Rod Lewis - Commercial Director Rod has experience as a senior executive for several global businesses with start up and SME business experience. Major project management and significant commercialistion experience. Gen Masaki - Sales Director Extensive sales and personnel network in Japan developed while working for Japanese government in overseas development. Janine Carney - Company Secretary Janine is skilled in all aspects of office management, she provides management and administration support to the group.

Corporate Structure

KFSU Pty Ltd is a registered company with 4 directors and 25 small shareholders. All IP is, and will continue to be, owned and held by the company. Investors will be offered ordinary shares in KFSU Pty Ltd.

Exit Strategy

KFSU will be producing and selling product in 2010 and strongly cash positive in 2011. The exit plan is to offer a trade sale to targeted industry fibre marketers. It is intended to drive the profit above $20M p.a. before focusing on a trade sale. However if KFSU directors receive an offer before that, it will be seriously considered.

Key Investment Highlights •  Global market: $3 Billion p.a. growing at 13% •  Competitive pricing •  Registered IP •  Investment to date $2,000,000 •  Completed all R&D, Pilots and Proof of Concept •  Established sales agents in Australia and Japan •  Independent review of market demand and pricing •  Established raw material supply lines •  Established forward sales orders •  Transferable technology •  Manufacturing JV being established in Costa Rica •  Processing plant being finalised •  R&D has shown further products are available through Kfibre™ •  Enables low GI claims on manufactured products by minimal inclusion of Kfibre™

Further Information: To learn more about this opportunity, including downloading an Information Memorandum, go to

www.wholesaleinvestor.com.au click on View Investment opportunities and search for KFSU Pty Ltd.

w w w. w h o l e s a l e i n v e s t o r. c o m . a u

37


The earlier you book, the more $$$ you save Register online at www.terrapinn.com/2010/ fintech or call Alison on +61 2 9021 8808

16 – 18 November 2010, Sydney Harbour Marriott Hotel, Sydney

Keynote Speaker on global financial market reform:

Eye on the prize The Hon. John Howard Former Prime Minister of Australia

Financial Technology Experts:

Rob Kliman Managing Director Worldwide Securities Services Australia JP Morgan

Anne Myers Chief Operating Officer, Operations & Information Technology ING Direct

Growth, risk management and innovation for financial services through IT FinTech World Australia 2010 is the region’s premier meeting place for senior level executives from the finance and technology sector. Hear how Australia’s leading financial services institutions are currently investing in and developing their IT systems. Attend this event and gain the know-how to lower IT costs and create a more efficient and reliable IT system that delivers real value to your clients.

Dramatically reduce costs and increase investment in innovation Invest in new technology to boost business efficiency, eradicate operational restrictions and make IT systems more reliable

Ian Corfield Chief Executive Bankwest Business

Dr Bohdan Szymanik Chief Technology Officer Kiwibank

Harness your competitive advantage and deliver cost savings through technology

Adopt proven strategies to manage risk, increase operational efficiency, develop customer-centric business models and use technology as your key tactical differentiator

An unrivalled speaker line-up of C-level finance and technology experts

Hear from 25+ leading executives representing insurance, commercial banking, retail banking, investment banking, e-commerce and financial regulators Sarma Rajaraman Chief Information Officer Genworth Financial

Tony Ritchie Vice President, Technologies American Express

Payment Innovation Masterclass 18 November 2010 Led by: Tony Ritchie, Vice President, Technologies, American Express

Stephen Knight Chief Executive Officer NSW Treasury Corporation

Chris Stevens CIO Vanguard

Designed to provide Chief Information Officers, Chief Technology Officers and Heads of IT & Technology with a practical toolkit to leverage payment system innovation. Visit www.terrapinn.com/2010/fintech to secure your seat now!

Visit www.terrapinn.com/2010/fintech and quote voucher code ‘Wholesale Investor’ when registering! Sponsored by:

Researched and produced by:

Gi12738

38

w w w. w h o l e s a l e i n v e s t o r. c o m . a u

BOOK NOW! online: www.terrapinn.com/2010/fintech | email: cs.au@terrapinn.com | phone: +61 2 9021 8808 | fax: +61 2 9281 5517


Listing Index Below are the opportunities currently listed with Wholesale Investor. For more information or to enquire, go to www.wholesaleinvestor.com.au and search via their name or code.

Company Name

Code

Business Stage

Sector

Activeplus Pty Ltd Aeroship Commercial Ltd AG Delta Pte Ltd Agri Fuels Limited Agriculture Opportunity AiRush International Limited ATF Group (PDF) Limited Atlantic Healthcare Australian America’s Cup Team Australian Bauxite Limited (ASX:ABZ) Australian Leadership Centre Pty Ltd Azure Energy Technologies Pty Ltd Barefoot Power Blue Fusion Asset Management Pty Ltd Bone Medical Limited (ASX:BNE) Brightgreen Pty Ltd Camco Group CassTech Limited Ceduna Keys Development Pty Ltd Cloncurry Metals Limited (ASX:CLU) Cobar Consolidated Resources Limited (ASX:CCU) Coffee Shop Real Estate Commissioners Gold Ltd Cosmetic Choice Limited Crescent Gold Ltd (ASX:CRE) Datym.com Pty Ltd DIY Financial Limited Eastern Regions Resources Pty Ltd EasyFood Limited Eclipse Uranium Limited IPO Eco Sanctuaries International Ltd EcoQuest Limited (ASX:ECQ) Eleckra Mines Limited (ASX:EKM) eMove Pty Ltd Finerday.com Future Capital Development Fund Limited Gratuk Technologies Pty Ltd Green Resources Group Limited Hunome Pty Ltd KFSU Pty Ltd Lobster Harvest Ltd Mailing Lists Online Pty Ltd Mako Energy Limited (ASX:MKE) Management Resource Solutions Limited Microequities Deep Value Microcap Fund Mindset Media Pty Ltd Minemakers Limited (ASX:MAK) MIRTeq Pty Ltd MyGuestlist NavraInvest Pacific Island Aquaculture Pty Ltd Pacific Retail Management Pty Ltd Party Hoppers Franchising Australia Pty Ltd Phase Changer Pty Ltd Phylogica Limited (ASX:PYC) Pico Pharmaceuticals Ltd (Pre-IPO) Planet Power Energy Limited Primewest Funds Ltd Rentmaster Pty Ltd Spark Solar Australia Special Phage Holdings Pty Ltd Sustainable Energy Australasia Tailored Franchise Holdings Ltd Vocus Communications Ltd (ASX:VOC) Vogue Management Limited Wilson HTM Priority Growth Fund Windation Energy Systems Australia Pty Ltd Wireless Nation Pty Ltd Your Portal Pty Ltd

ACP ARO AGD AFL AGO AIR ATF AHC AAC ABZ ALC AZE BFP BFM BNE BGN CGP CTH CKD CLU COB CFS CMG CCL CRE DTM DIY ERR ASY EUL ECO ECQ EML EMV FND FCD GTK GRG HNM KFS LHL MLO MEL MRS MCQ MMP MAK MIR MGT NIV PIA PRM PHF PCR PYC PIC PPE PWF RMR SSA SPH SBE TFH VOC VML WIG WEA WNN YPL ZEEP

Early Stage Early Development Expansion Stage Early Stage Established/Expansion Early Stage Commercialisation Commercialisation Start-up Exploration Expansion Stage Early Stage Expansion Stage Early Stage Late Development Expansion Stage Expansion Stage Pre-IPO Project Approved Exploration Project Development Early Stage Junior Explorer Early Stage Gold Producer Early Stage Early Stage Early Stage Developing IPO Early Stage, Expansion Expansion Stage Advanced Exploration Expansion Stage Early Stage Expansion Stage Early Stage Expansion Stage Expansion Stage Commercialisation Late Development Early Stage Expansion Expansion Stage Established Early Stage Mature Stage Commercialisation Early Stage Mature Stage Early Stage Expansion Stage Seed Expansion Stage Mature Stage Clinical Development Expansion Stage Mature Stage Early Stage Early Stage Early Commercialisation Early Stage Early Stage ASX Listed Reverse Takeover Expansion Stage Seed Early Stage Growth

Healthcare Transport Financial Services Software Renewable Energy Agriculture Entertainment Diagnostic IT Specialist Pharmaceuticals Sporting Franchise Mining Professional Services Energy Energy Financial Services Biotech Green Tech Civil Construction and Mining Agriculture / Greentech Building & Construction Mining Mining Real Estate / IT Mining IT Mining (Gold) IT Financial Services Exploration Mining and Resources Food / Diet Programs Mining Green Tech / Property / Ecotourism Cleantech Gold Exporation / Mining Internet / Removalists Family Communications Portal Funds Management / Internet Veterinary Treatments Green Tech Consumer Internet Food Ingredients Aquaculture / Clean Technology IT Oil and Gas Resources Financial Services Digital Media Mining Fibreglass Composites IT & Technology Financial Services Fish Farming Retail Food Franchising Hospitality / Franchising Manufacturing (Electrical Goods) Biotechnology Biotechnology / Pharmaceuticals Cleantech / Retail Property Property Management Cleantech Biotechnology / Pharmaceuticals Renewable Energy Franchise Telecommunications Property / Professional Services Investment Management Wind Renewal Energy Telecommunications Financial & Professional Services Renewable Energy

Zeep Pty Ltd - Zero Emission Energy Plants

Early Stage

w w w. w h o l e s a l e i n v e s t o r. c o m . a u

39


ge?

What do I need to do to be How PwC can help you? IPO or transaction ready? Our focused teams: Whether you are developing or commercialising a new technology, investing in a renewables project or looking for a direct investment or to partner with another, perhaps established, player in the sector, our dedicated industry experts can help you to respond to the issues and challenges you face at each stage of your company’s life cycle, ensuring you receive a service tailored to your business needs.

How do I protect IP?

Renewable Energy – industry experts who combine a detailed knowledge of government policy and regulation with strong private sector experience Emerging Company Services – a team focused on helping emerging businesses through pivotal stages of the life cycle.

What tax incentives are available?

Sustainability and Climate Change – dedicated to the very specific concerns company’s have when it comes to matters of sustainability and climate change.

What are my regulatory obligations? We take the time to listen to your situation and offer a range of smart choices to consider – choices based on independent and challenging insights, supported by facts and industry benchmarks.

Our areas of work

es rship

How PricewaterhouseCoopers can help

on

IPOs, Investigating • Corporate Emerging companies are unique and advisory as such– we offer Accountant’s Reports you this commitment:

• M&A structuring and due diligence

• Audit and accounting services

Systems

• Experienced and dedicated – focused planning, structuringon and optimisation • Taxteams emerging companies with industry specialisation • Strategy, business plan • Affordable fair fees for young growing companies property and rights protection • Intellectual and contracting • Licencing • Early exposure to industry and technical developments policy and regulation • Government ctives • Timely issue identification and collaborative approach ng Feasibility study and market analysis • to resolution Tender andtax procurement • Broad array of advisory, •audit and services • Project assurance • Global Network to facilitate in international expansion

Capital

ojects

Staff

Market

• Sustainability and climate change

Forvisit morewww.pwc.com information please visit www.pwc.com For more information please

Contacts

antiago

Scott Walsh

Thought leadership Carbon Conscious

Partner 66 4494 tiago@au.pwc.com +61 (2) 8266 5862 Company Services scott.walsh@au.pwc.com

unter

Company Life Cycle Phases

Audit & accounting advice

Chris Cuthbert Partner

Carbon ready or not

Sandra Mason Partner

Renewable Deals

Kate Julius Partner

NGERS

Adrian Bunter Director

What would you like to change?

+61 (2) 8266 7957 chris.cuthbert@au.pwc.com Corporate Tax

+61 (2) 8266 0470 sandra.mason@au.pwc.com R&D Tax

+61 (2) 8266 5835 kate.julius@au.pwc.com IPO Specialist

+61 (2) 8266 5099 adrian.bunter@au.pwc.com Merger & Acquisitions

Chris Rogaris

Tim Donald

Manoj Santiago

Kimber J. Rothwell

+61 (2) 8266 3485 chris.rogaris@au.pwc.com Corporate Tax

+61 (2) 8266 5436 tim.donald@au.pwc.com R&D Tax

+61 (2) 8266 0470 manoj.santiago@au.pwc.com Angel & VC Funding

+61 (2) 8266 2493 kimber.rothwell@au.pwc.com Assurance, Tax and Advisory

National Greenhouse and Energy Reporting System (NGERS) Ready for Year 2? February 2010

66 5099 Michelle Chiang ter@au.pwc.com Partner Company +61Services (2) 8266 7575

michelle.chiang@au.pwc.com Audit & accounting advice

Director

Director

Partner

Client Development Manager

whatwouldyouliketochange.com.au © 2010 PricewaterhouseCoopers. All rights reserved. “PricewaterhouseCoopers” refers to PricewaterhouseCoopers, a partnership formed in Australia or, as the context requires, the PricewaterhouseCoopers global network or other member firms of the network, each of which is a separate and independent legal entity.

40

w w w. w h o l e s a l e i n v e s t o r. c o m . a u


Issuu converts static files into: digital portfolios, online yearbooks, online catalogs, digital photo albums and more. Sign up and create your flipbook.