Canatu (CANATU) Company Presentation summary

Transaction overview and structure

• Lifeline SPAC I will acquire 100% of Canatu via a share exchange, with Canatu receiving up to €105.6M in primary capital and a fixed enterprise value of €230M, plus earn-outs tied to share price milestones.

• Post-transaction, Canatu will be listed on the First North Growth Market, with existing shareholders, secondary tranche purchasers, and Lifeline SPAC I shareholders holding 53%, 16%, and 31% respectively.

• The transaction aims to support Canatu’s strategy, provide access to experienced leadership, and accelerate value creation through future investments in CNT technology.

• Key dates include transaction announcement (July 2024), Capital Markets Day (August 2024), EGM approval (September 2024), and listing.

Business model and technology

• Canatu specializes in advanced carbon nanotube (CNT) technology, with applications in semiconductor, automotive, and medical diagnostics.

• The company operates two main business models: recurring product sales (e.g., CNT membranes, sensors, film heaters) and equipment/licensing sales (e.g., CNT reactors, royalties).

• Canatu’s dry deposition CNT technology offers material advantages over wet dispersion, including lower manufacturing costs, higher quality CNTs, and easier customization.

• The company holds 130 patents with over 50 pending, supporting a strong competitive moat in a high-barrier-to-entry market.

Market focus and growth prospects

• Semiconductor is the current core focus, accounting for 80% of 2023 revenue, with CNTs used in EUV pellicles and inspection membranes essential for advanced lithography.

• Automotive applications (20% of 2023 revenue) include film heaters for LiDAR and cameras, supporting ADAS and autonomous driving.

• Medical diagnostics is an emerging focus, leveraging CNTs for highly sensitive, rapid point-of-care (POC) tests with mass production capacity for tens of millions of sensors.

• Addressable markets are projected to grow rapidly: semiconductor (up to €2B by 2030), automotive (up to €813M by 2030), and medical diagnostics (up to €1B by 2030).