First presentation for investors
-1
Table of contents
SuperSteel nano-technology product, and process know-how
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Problem
Resolve the problem
SuperSteel = key technology
Business model
Marketing & Sales
Risk
Management
Financing plan & the key questions
Status & Plan (chart)
Contact
© Игорь Пивоваров, 2010
© Российская Ассоциация Венчурного Инвестирования, 2010, 2011
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Problem
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Global focusing: Steel mills & Steel users & Machine operation sectors
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Environment - CO2 emission
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Cost effectiveness
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Too many steel types ----- needs reduction
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Fatigue life limit
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Operation security of the steel made products
© Игорь Пивоваров, 2010
© Российская Ассоциация Венчурного Инвестирования, 2010, 2011
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Resolve the problem
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…With the SuperSteel nano-technology: Owned by two Hungarian
high expertise metallurgists (father and son)
New metall-physical frame structure, with new strenghtening system
Reduced CO2, dust emission with min.60% (in the steel mills & steel
users, & machine operation sectors together)
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Less used steel with min.30% in the concrete application
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0-15% less steel producing cost (EUR/ton) depending to the steel type
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Less specific cost with min.60% (EUR/1MPa usability strength)
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Double fatugue life limit of the steel made products
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Much better welding parameters
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Stainless steel producing, with extra high strength level
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Aircorrosion resistent steel at lower cost
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Reduced expensive alloys content
SuperSteel: High strength & double fatigue life limit & cheap price
© Игорь Пивоваров, 2010
together . These parameters are unique together
© Российская Ассоциация Венчурного Инвестирования, 2010, 2011
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SuperSteel=key technology
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Brand new strengthening mechanism system
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Brand new paradigm : less alloys, simplified process, reduced cost
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This is a nano-technology
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Needs no technological equipment developing in the steel mill
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Reduced hot treatment needed in the steel mill.
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Less waste in the steel mill
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Products made from SuperSteel will be invincible due to the extreme
better parameters, and the lower specific production cost
Much higher security of the products made from SuperSteel
Key issues: Using different chemical composition and different
manufacturing parameters in the steel mill, on the same equipment
Short returning investment
© Игорь Пивоваров, 2010
© Российская Ассоциация Венчурного Инвестирования, 2010, 2011
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Business model
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Looking for buyers/users (investors)
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The object of the sales: Giving user right for different
buyers/users
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Buyers/users: Financials, and professionals as well
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Target : financing sector, steel user, and steel maker industry
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Payment system: selling against one payment, or licensing against
first payment and yearly royalty fee
Cost of the sales process: travel & lawyer & manufacturing & test
costs & managing cost
Timing: The SuperSteel is a ready technology.
„Spot business” is possible.
Investment returning period: some months since
using the technology (volume:1-2millionTons/year)
Exit: Anytime, after returning the investment
© Игорь Пивоваров, 2010
© Российская Ассоциация Венчурного Инвестирования, 2010, 2011
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Marketing & sales
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Evaluation of the market
USA’s production is more than 100million tons/year
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The SuperSteel is an effective tool against the dumping of China
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The growing speed depends to the buyers/users economy
potential. Companies, governments, and funds, are welcome!
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SuperSteel: The right tool to reach the world leadership position,
mostly in the heavy industry , and in all other industries as well.
Competitors:
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The HSLA (high strenght low alloys steel), alloys technology
..more expensive, and limited technical potential)
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The aluminium in the car industry
limit, and very limited technical potential)
© Игорь Пивоваров, 2010
© Российская Ассоциация Венчурного Инвестирования, 2010, 2011
(BUT!
(BUT..more expensive, less fatigue life
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Risk, and negatives
Risks:
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Conservativism
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Not enough money for the commercial job
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No direct contact to the big players (investors, steel users, and makers)
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Conflict of interest due to the less volume of material flow
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Jealousy, mostly from the developers/engineers side
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Disbelief against the dedicated results (There are a lot of laboratory results.)
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Disbelief that it can be discovered by Hungarians (look at the past! How
many genious born in Hungary)
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Bureaucracy
Negatives:
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The SuperSteel mechanical parameters are available before the
contract. BUT! The secrets of the know-how can be given only after
the „User-right transfer contract” signature.
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The first meeting, must be in Hungary due to the older inventor’s/
owner’s age (82 y.old).
© Игорь Пивоваров, 2010
© Российская Ассоциация Венчурного Инвестирования, 2010, 2011
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Management
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Business management: East American Advisor (EAA)
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Metallurgic professional, and technical management:
Mr. Henrik Giflo senior, and Mr. Henrik Giflo junior (inventors/owner)
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Project manager: Péter Vattay (EAA) previous projects: screw, marble,
building industry, financing sectors
Two inventors/scientists: Mr. Henrik Giflo senior, and Mr. Henrik Giflo
junior
© Игорь Пивоваров, 2010
© Российская Ассоциация Венчурного Инвестирования, 2010, 2011
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Investment plan
Motto: Mr. Ronald Reagan told „1 page is enough”
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The object of the business: Giving user right for buyer/user
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Possible to pay one amount, or
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Possible to pay first payment, and yearly royalty payment
Please look at the attached excel table
© Игорь Пивоваров, 2010
© Российская Ассоциация Венчурного Инвестирования, 2010, 2011
Parameters:
Saving
Steel mills:
(EUR/Ton)
Estimated present prod. vol. (millionTon/year)
Estimated production savings in steel mill
(average %)
5
5%
Average steel price (EUR/Tonn):
500
25
30%
150
Savings due to the min. double life limit (min.%):
30%
150
Energy cost saving due to the less weight (min.%):
10%
670
Total
savings:
845
Steel manufacturer and enduser:
Specific steel volume saving (Minimum%):
Product operators:
© Игорь Пивоваров, 2010
© Российская Ассоциация Венчурного Инвестирования, 2010, 2011
Production, cost saving, and licensing plan
SuperSteel production
Volume (millionTon):
Total 7
1. year 2.year 3.year 4.year 5. year 6.year 7. year years
0,1
0,3
0,5
1
1
1,5
2
6,4
Tons
Steel mill savings:
Steel manufacturer and
enduser:
3
8
13
25
25
37,5
50
160
MillionEUR
15
45
75
150
150
225
300
960
MillionEUR
Product operators:
82
246
410
820
820
5 248
MillionEUR
Double lifetime:
15
45
75
150
150
225
960
MillionEUR
Energy cost savings:
67
201
335
670
670
1005 1340
4 288
MillionEUR
Total:
100
299
498
995
1 008 1 493 1 990
6 381
MillionEUR
15
15
15
1 230 1 640
300
Know-how price versions:
1.Fix price:
50
2.First payment & royalty
20
15
15
20
Royalty: yearly payment:
0-1million Ton/year:
15EUR/Ton/year (min.1 million ton/year)
1-2 million Ton/year:
10EUR/Ton/year (min.1 million ton/year)
2-unlimited Ton/year:
7,5EUR/Ton/year (min.2 million ton/year)
© Игорь Пивоваров, 2010
© Российская Ассоциация Венчурного Инвестирования, 2010, 2011
115
Extra profit MillionER/year
1,800
1,600
1,400
1,200
1,000
Product opreator
Steel manufacturer
Steel mill extra profit
800
Inventor's royalty fee
600
400
200
0
1. year
2.year
3.year
4.year
© Игорь Пивоваров, 2010
© Российская Ассоциация Венчурного Инвестирования, 2010, 2011
5. year
6.year
7. year
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Actual status
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The SuperSteel is a result of a permanent development work.
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The first step was done several decades before
Тhe SuperSteel is ready for industrial use,
Every existing steel mill is able to use the technology
Target: to sell user right
The value of the project equal with the value of the know-how,
There is no loan behind the project, it is free from this kind of
obligation. The owners are absolute owners.
Investment before:
The inventors invest during several decades years some ten million
EUR
EAA marketing investment in 3 years 1 million EUR
© Игорь Пивоваров, 2010
© Российская Ассоциация Венчурного Инвестирования, 2010, 2011
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Thank you for your attention
Contact:
East American Advisor Llc. (EAA)
Péter Vattay
Representing: owners/inventors & EAA
e-mail:vattayp@arugarancia.hu
Tel.:+36-30-200-7099
Fax:+36-1-246-7033
1121 Budapest Futrinka u.5.
Hungary
© Игорь Пивоваров, 2010
© Российская Ассоциация Венчурного Инвестирования, 2010, 2011