Almond Investors Limited

Industry Sector Agriculture – new private orchard development

Funding Sought $90M over 3 years - Per 1,000 acres (400 hectares) estimated capital requirement of $15M plus $15M for first four years of operations. - Minimum investment of 50 acres (20 hectares) allows the land to be registered in the investors entity.

Management Company Almond Investors Limited (AIL)

Almond Investors Limited is a specialist agribusiness manager. AIL is an unlisted public company formed to develop and operate managed investment scheme almond orchard projects. AIL manages several almond projects based on an 1,100 hectare property at Piangil near Swan Hill, Victoria. They are recognised as a leading almond orchard management company.

Board of Directors  Bruce Dungey, Chairman – a chartered accountant with over 40 years’ professional experience. Now a retired partner from a big 4 accounting firm, and has acted as CEO of Almond Orchards Australia limed.  Wayne Overall, Executive Director – previously General Manger of Permanent Trustee Company Limited, Wayne has been involved with successful almond projects since 2000.  Julie Bired, Director – has a management consultancy servicing the agribusiness sector, with over 20 years’ experience in Australian horticulture. She was the CEO of the Almond Board of Australia and Director of the Australian Nut Council.

Industry Environment Australia is the second largest producer of almonds in the world behind California. Almonds have been successfully grown over the past 30 years in Victoria and South Australia along the Murray river. Fifty counties now buy Australian almonds with India being Australia’s largest overseas market. Spain and the USA are large markets for Australian almonds and in 2014/15 sales to the United Arab Emirates increased substantially. Total export sales generated more than $422M and the combined value of domestic export sales from the 2015 crop is forecast to exceed $500M.

Health is a key driver for the global demand for almonds. In addition to being a good source of protein, almonds have also been marketed as a good source of vitamin E, dietary fibre and monounsaturated fat wish has been associated with decreased risk of heart disease.

Almonds are often associated with cultural celebrations throughout the world and have historically been treasured as s source of good fortune. The versatility, natural heal benefits and shelf ready nature of almonds have fuelled demand which will soon outpace supply. The Opportunity Almond Investors is looking to use its successful model to acquire additional land on which to plant almond trees. The opportunity is to become a Grower/Investor in the established Australian almond industry.

This requires upfront capital of $15M per 1,000 acres, plus a further $15M for operating expenses over the 4 years’ post planting. The assets relating to the project will be acquired at cost. The operation will have professional management who will report to investor on a quality basis.

The objectives is to acquire land every year for 3 years hence total capital requirement of $90M. AIL’s expansion plans will make it one of the top three producers of almonds in the world. All previous AIL Almond projects are now cashflow positive to Growers.

Investment Profile An ideal investor would have an understanding of the agriculture industry and be seeking a long-term investment to secure supply of almonds for wholesale distribution.

Investors will own their own land (subject to FIRB approval) and project assets. Per 50 acres (20 hectares) investors will have approx. 6,400 trees and irrigation and orchard infrastructure which will be jointly owned under an Infrastructure Sharing Agreement.

Tree Planting – June 2017 First Crop – Project Year 3 Tree Maturity – Project Year 7

The break-ever per project is 5 years’ post planning with a long term internal rate of return (IIR) estimated at around 10%. Almond trees can produce for 25-30 years.

Tax Implications Investors should obtain their own independent taxation advice as to any taxation deduction that may be applicable as a result of an investment in primary production and with respect to their own personal circumstances. Especially in relation to the irrigation infrastructure which is a significant proportion of the total capital cost.

Disclaimer This summary does not constitute financial product advice as defined in the Corporations Act. Those seeking to invest should refer to the Offer Document for a clear explanation of the risks of investing in the project.

Contact Details Wayne Overall, Almond Investors Limited Email: [email protected] Mobile: +61 412 698 253 Address: Level 11,470 Collins St VIC Melbourne 3000 Represented by Dearin & Associates – contact [email protected]