Crescendus™ | Biomass & Biorefinery Business Development

© Crescendus™ 2012-2014. All Rights Reserved.1

Crescendus™Biomass & BiorefineryBusiness Development


1. Monetization, Demand & Challenging P&L• Demand is being attacked as EPA and the rest of the industry (e.g. Oil & Natural Gas) pull back on RFS targets• Biofuels (Ethanol & related) are still a commodity and have their market price ceilings• Highly Capex intensive projects with poor operating efficiencies• Very difficult to justify profitable P&L in the absence of mandates• High costs and project delays coupled with lack of clear value proposition (since industry alternatives using fossil fuels andstatus quo technologies are readily available) make monetization very difficult for most players in this industry• Even large companies that advertised their interest in this sector are scaling back investments to justify their core P&L2. EPC & IP Revenue Sharing Dynamics• IP holders of key technologies really can’t monetize their investments unless they find a commercial manufacturing partner,and their current finances and lack of engineering scale-up expertise makes it difficult for them to go it alone. In addition,they need high royalties & milestone payments to justify their past investments and returns for their investors• EPC vendors know that the IP holders have no outlet and are pushing to maximize margins in a highly competitive EPC sector.Nevertheless, the finite pool of opportunities makes it extremely challenging during revenue sharing discussions, especiallyin an industry with no clear & sustainable commercial track record (e.g. biorefinery products, lignocellulosics etc.)3. Supply Chain• Costs remain high since the scalability of this industry opportunity is still slow and depends upon extensive regulatory,feedstock and process engineering challenges• Vendors also find it difficult to maintain their P&L expectations and justify the original assumptions of rapid growth withinthe biomass processing industry (e.g. biofuels, biorefinery products etc.)4. High Value Products, Innovation & Licensing• Challenging chemical and biochemical processes with low yields and high costs make it very difficult to justify large scaleinvestments within biorefinery projects (e.g. biopolymer feedstocks, intermediates etc.)• Innovations in Process Engineering, Enzyme Kinetics & Scale-up under rigorous commercial conditions and diversefeedstocks are still lagging the hype propagated by this industry sector• Identifying new technology developments and keeping track of R&D, Engineering & Process Intelligence is challenging

Crescendus™ Biomass/Biorefinery Key Challenges


Crescendus™ Business Development Services

Crescendus™ Expertise:Check the following link for the Renewables Expertise & Service Offerings that are offered by Crescendus™ & partners :http://www.crescendus.com/#!renewables/c18x0Business Development Offerings for the Biofuels, Biorefinery & Biomass Industry:

1. Licensing of new Technologies & IP (1st & 2nd Generation Biofuels, Biorefinery Products & Process Pathways)2. Monetization Strategy3. Supply Chain Business Development (offered to Vendors catering to this market)4. EPC Business Development5. R&D and Product Development Partnerships6. Commercial Feedstock Supply Business Development (with end users such as chemicals & consumer goods companies)7. Intelligence & Insights (R&D, IP, Industry, Regulatory, Investor, etc.)8. Taking on Executive Roles at Startups (early 1-2 yrs when the companies are being built and the founders are tackling with allthe above issues)9. Investor Go/No-Go Recommendations (Opportunity Evaluation) & Industry Intelligence for Venture Capital, Private Equity &Business Units of Large Companies10. Manufacturing Partnerships11. Representation at Industry Events & Local US Market Expansion (for non-US companies)12. Reality Check Analysis for Board of Directors & Executives of Companies (target audience are usually Startups and VC backedcompanies)13. Company Formation & running it during Stealth Mode14. B2B Business Development (between Supply Chain Vendors, EPC Suppliers, IP holders etc.)15. M&A (Target identification, Acquisition analysis, Valuation, Negotiations, Closing, Synergy Benefits etc.)


Telephone:1-(865)-332-0942

Email:[email protected]

Website:www.crescendus.com

Crescendus™ Contact

Contact us if you need help with any of the topics listed in this presentation.

Crescendus™ | Biomass & Biorefinery Business Development

Technology

Transcript of Crescendus™ | Biomass & Biorefinery Business Development