Pangaea Agrochemicals is seeking £1.1 million in funding to commercialize its patented crop protection technology. The technology uses a synergist and microencapsulated pesticide to disable pest resistance mechanisms, allowing existing pesticides to work again. Trials show the technology is effective against several major pests affecting key crops worldwide, including pollen beetles, brown planthoppers, bollworms, and blackgrass. The funding will support product launches, licensing agreements with major partners are already in place, and financial projections estimate £59 million in annual sales and 84% profit margins within five years.

1. INVESTMENT
PACK
October 2015
Strictly Confidential

2. 64-66 Westwick Street
Norwich, Norfolk
NR2 4SZ
£1.1million funding
required
Pangaea Agrochemicals Ltd
Overview Page 3
Executive Summary Page 4
Commercialisation Page 5
Market Overview Page 7
Licensing Strategy Page 9
Management Team Page 10
Resistance Examples Page 11
How the product works Page 17
Financial Overview Page 19
Equity Summary Page 20
Investment Overview Page 21
Exit & Investor Returns Page 22
Future Products Page 23
2

3. $69 billionCrop Protection Industry by 2018
$5 billionYear on Year Increase
10% - 16%Global crops lost each year to pests
>10x ReturnExpected return on investment in 5 years
£59m RevenueRealistic estimated turnover during year 5
4 Global PartnersAlready signed to sub-licence products
10% - 16% of all crops globally are lost each year to insects,
weeds and fungi. This is enough to feed nearly 10% of the world’s
population. Fighting these pests has created a global industry worth
$58 billion in 2015 rising to $69 billion by 2018.
In the same way that bacteria have built up resistance to antibiotics
over the years, so insects, weeds and fungi have built up resistance
to insecticides, herbicides and fungicides. Farmers are losing the
battle to control the damage to their crops as resistance increases
annually. New and more expensive chemicals are becoming
ineffective within 2 – 3 years of their release.
Pangaea have created, tested and proved the viability of a NEW form of innovative
crop protection. Worldwide patents are in place for their ‘Resistance Technology’, which
effectively targets the resistance mechanism directly allowing farmers to take back control.
The first of many new products are ready for commercial launch and the business now
needs £1.1 million funding to capitalise on this incredible opportunity to dominate the
world’s crop protection industry.
On seeing the test results, a leading global crop-protection company stated that the
Pangaea technology and formula will be...
That company has since signed an
MOU to sub-licence the products.
Without plant protection products. . .
the cost of food would rise by about
40% in the UK
[1] marketsandmarkets.com Global Crop Protection Report 2014
[1]
[1]
[1]
OVERVIEW
3

4. £60k GrantAgritech Strategy Fund
2x PatentsPatented technology overcomes resistance using a
primer and a time-delay utilising Microencapsulation
European patent number EP1499183; World patent number: WO03092378;
£350k GrantInnovate UK
£500k Soft LoanFrom the Founder
Part of €1mCollaborative European grant programme
Since 2012, Pangaea Agrochemicals have been designing and testing
globally, a NEW range of patented microencapsulated insecticide and
herbicide formulas that will revolutionise the crop protection industry.
Proven to
DISABLE THE RESISTANCE
acquired by pests, weeds and fungi, these
products effectively allow conventional
pesticides and herbicides to work again.
Pangaea’s aim was always to take the best academic research and develop it to the
point where it can be commercialised. Pangaea Agrochemicals owns an exclusive, global
licence to a revolutionary technology for pesticide formulations that has been developed
and patented by Rothamsted Research.
Funding for the trials has been through the draw down of grants and a soft loan provided
by AgchemAccess Ltd, founded by the majority shareholder. The initial research and
development has been completed and Pangaea are ready for market with the first of
many new products coming from this research.
The first formula to launch in 2016 is to combat resistant Pollen Beetle strains, which are
currently devastating crops across Europe.
EXECUTIVE SUMMARY
4

5. The first product has successfully undergone many trials and the
Pollen Beetle formula is now ready to go to market. Many more are in
trials at the moment and will reach completion in the next few years.
Agreements are in place to sub-licence the technology to leading
partners.
Pangaea is the link between the academic world and the global agrochemical industry.
Sitting firmly as a developer, Pangaea makes the theory work in practice, then licences
the formula for manufacture and distribution. Through Pangaea’s connections in the
industry, we are able to get to market very quickly and target those areas with the greatest
need simultaneously.
Our rollout plan coincides with the growing season and relies on the local knowledge of
our key partners. By licencing each product, overheads are kept to a minimum and only a
few sub-licensees are needed to penetrate the market and gain global reach.
This is a highly profitable business model averaging 84% profit margin over the 5 year
projections. The first product for launch is targeted at resistant Pollen Beetles that are
currently destroying Europe’s oil seed rape. Agreements for distribution are already in
place.
(£84k) (£763k)
£5.3m
£28.8m
£56.7m
2015/16 2016/17 2017/18 2018/19 2019/20
Operating Profit
5 years projections
15 Trials - 5 Continents
COMMERCIALISATION
5
See full list of ongoing trials on Page 24

6. We have been observing the development of this technology for several
years and are delighted that Pangaea has chosen to partner with us for the
final stages of commercialisation. This technology adds a significant tool to
Nufarm’s portfolio of products designed to overcome pesticide resistance,
which is an increasingly significant global issue.
Mike Pointon. General Manager for Innovation & Development
Revenue $2.28 billion
Employees 3,400
Operate 100 countries
OUR PARTNERS SAY...
6

7. Global agrochemical market
Currently resistance is found in:
Agrochemical sales in the UK
rose by 23% to £735.7 million
(UK Crop Protection Association 2014)
Insecticide sales increased from
$409m 2009 to $674m 2012
(www.phillipsmcdougall.com 2014)
Brazil has the largest
crop protection spend
(www.phillipsmcdougall.com 2015)
(Inc: Fertilisers & Pesticides - 2014)
(www.irac-online.org 2015)
$207
billion
$69
billion
Global pesticide
market by 2018
500Species of insects
and mites
270Weed species
150Plant pathogens
(Newly introduced products)
2-20No of years for
resistance to occur
$12
billion
23%Growth
65%Increase
7

8. Top 14 countries
affected by resistance
There have been no new herbicides brought to market for over 20 years
Farms affected by
Black grass in EU (NIAB 2014)
2011/12 Bollworm
cost Brazil substantial
economic losses of
$4.4 billion
(csironewsblog.com 2014)
Unique resistant weeds
(weedscience.org 2014)
(IRAC - 2015)
(Duke, S. O., 2012, Pest Management Science)
37%
40%... of the worlds food
would not exist without
crop protection
82mExtra people need
feeding each year
16%Crops lost due to
pests or disease
(UN estimates 2014)(10-16% average 2014)
70%More food
required by 2050
Rice yield loss
due to pests
(Leonard Gianessi 2014)
Population Growth
3
billion
1960
4.4
billion
1980
6
billion
2000
7.5
billion
2020
16000
153
16
34
45
76
41
$4.4
billion
8

9. The sub-licensing approach we will take includes a substantial
up-front licence fee, milestone payments as regulatory approval is
achieved within the country of sale, and royalty payments based
upon sales volumes. We believe this model will maximise the return
to our investors and ensure timely cash flow to develop further
products.
Several agreements with major crop protection companies
are already in place with other letters of intent currently being
considered.
The scope for Pangaea products is huge. Over 200 countries are able to benefit from
the range of resistant insecticides and herbicides.
On average it takes 7 years and $250m to bring new active ingredient to the market. The
Pangaea formula utilises existing tried and tested chemicals, there is no requirement for
such investment and the product is ready for market.
At the point the products are ready for market, licensees then take on the responsibility
for manufacture, marketing and distribution.
Rothamsted
Developed global patents
for pesticide formulations.
Exclusively licenced to
Pangaea
Manufacture
Sub-licensees manufacture
product in volume and gain
in country approval
Sales
Sub-licensees sell and
distribute products under
own brand, within all
territories under licence
Pangaea
Test and trial
formulations to create
market ready products
ready for up scaling
Marketing
Sub licencees begin in
country trade press and
promotion of products
and formulations
Sales Process
LICENSING
STRATEGY
9

10. Managing Director Panagea (5% Shareholding)
Michael Gifford, a graduate of Cambridge University, is an
experience business manager, having held positions as
senior engineer, business development manager, Director
and Chief Operating Officer.
Michael will take on the day to day operations of the
business.
»» 2013 Mountain Hare Consulting
»» 2012 Spin-out Strategy Ltd
Management Consultancy
»» 2012 Vardags: Law Firm Business Manager
»» 2003 Atkins - Associate Director
Security, Comms & Networks Consutlancy
CEO Panagea (95% Shareholding)
Nick Gooch is a successful entrepreneur with an
award winning portfolio of businesses across the
agrochemicals industries, property and hospitality.
Following degrees in both chemistry and agricultural
chemistry he went on to study at Cranfield School of
Business Management.
»» 2004 Founded AgChem Access £10m T/O
Generic agrochemicals operating in 75
countries through over 800 contacts
»» 1987 Rohm & Haas: Senior Manager
New product development - agrochemical
products
»» 1984 Dow: Sales Manager
Innovative chemicals,plastic & agricultural
Funding will go towards recruiting the above positions.
Nick Gooch.CEO
Technical Manager. Financial Controller.
Michael Gifford.Managing Director
THE TEAM & EXPERIENCE
10

11. Crop pests and disease are a major constraint to higher agricultural
productivity, accounting for close to 50% of total crop losses. The
only economic solution to control pests and disease is the use of
pesticides. Resistance has developed to 22 of the 25 chemical families
used as herbicides and ALL of the chemicals used as insecticides.
CABI (Centre for Agriculture and Biosciences International)
THE SCALE OF THE PROBLEM
11

12. Brown Planthopper
Area Affected: All major rice producing areas including Australia, China,
South-East Asia and the Indian sub-continent
37% of all rice crops are lost annually due to the
Brown Planthopper & other pests. Damages rice
plants by feeding on it and transmitting grassy
stunt disease.
Blackgrass
Area Affected: UK and Northern Europe
Over 2,000 farms in the UK are now reporting
resistance issues. Can cause up to 70%
reduction in yield by out-competing crops.
Pollen Beetle
Area Affected: Europe
Resistance is endemic throughout Northern &
Central Europe. Can cause total loss of crops.
Affects 7 million hectares of oilseed rape in
Europe every year.
Bollworm
Area Affected: Brazil Australia, Asia, Africa and Europe
Australia, Asia, Africa and Europe, damage is
estimated at $2 billion each year. 2012/13
infestations of Bollworm larvae resulted in
economic losses of up to $4.4 billion
Bollworm: one of the most destructive pests known to agriculture
Arable crops
Oilseed Rape
Rice
Corn & Cotton

13. A pest management strategy that is compatible with
modern rice technology is urgently needed to solve this
serious pest problem.
V.A. Dyck and B. Thomas / Plantwise 2014
Brown Planthopper
[nilaparvata lugens]
“Nogodinidae by kadavoor” © 2011 Jeevan Jose, Kerala, India is
used here under a Creative Commons Attribution-ShareAlike 4.0
International License 13

14. Up to 60% of pollen beetles are resistant to
insecticides and only 11% were susceptible to
modern day crop protection.
Insecticide Resistance Action Committee 2014
Pollen Beetle
[ meligethes aeneus]
©entomart 14

15. Bollworm
[helicoverpa armigera]
Texas A&M AgriLife Extension Service photo by Dr. Pat Porter
In Australia, Asia, Africa and Europe, where cotton
bollworm is considered native, the damage it causes
is estimated to cost $2 billion each year. In the last two
growing seasons, high infestations of Bollworm species
larvae were found in different regions of Brazil, resulting
in substantial economic losses.
PLOS ONE Research paper 2015
15

16. First found in 1982, now some 16,000
farms in 34 counties are affected, with
crop losses up to 70%. Black-grass is
now the most prevalent arable weed
in England and is causing significant
problems to growers due to
resistance to herbicides
NIAB National Institute of Agricultural Botany
Black Grass
[alopecurus myosuroides]
(England & Wales research. Hull et al. 2014)
Black-grass resistance
to herbicides
2013 1994
16

17. A method for preventing or reducing resistance to a
pesticide of a substrate pest, which method comprises
the administration to the substrate or the pest of a
composition comprising:
a. a rapid-release formulation of an inhibitor
of a factor causing or contributing to the
resistance of the pest to the pesticide; and,
substantially simultaneously,
b. a non-rapid release formulation of the
pesticide.
15x PatentsWe expect to create a further 15 patents exclusively
owned by Pangaea, as a restult of new formulations.
HOW IT WORKS...
17

18. FORMULA
SPRAY ATTACK WAIT RELEASE DESPATCH
SYNERGIST
A synergist is a chemical that while having no effect on its own, enhances the properties of
substances it is mixed with.
MICROENCAPSULATION
Microencapsulation is the process of creating a 10 – 30 micron diameter capsule to contain
an active ingredient. This technology is commonly used for the controlled release of drugs,
flavours, detergents and pesticides.
The crop is sprayed in
the usual way using a
microencapsulated Pangaea
formula with the synergist
outside the capsule. At this
stage there is nothing unusual
and the farmer requires no
new equipment.
The synergist gets to work
immediately, disabling the
resistance mechanism of the
insect, weed or fungus. It takes
a number of hours to have its
full effect. There is a specific
formula and time delay for each
target pest..
Different resistance, insects,
weeds and fungi will require
more or less time to be
rendered defenceless. The
trials determine the optimum
time delay.
Once the insect, weed or
fungus is defenceless, a
conventional pesticide is
released from inside the
microcapsule.
The technology revives
established chemistry to
combat the resistance. A single
spray of a crop is all that is
required, rather than repeated
applications.
The only effective solution to reduced excessive chemical use and to
overcome resistance in insects, weeds and fungi

19. Oct-15 Year 1 Year 2 Year 3 Year 4
Actuals Forecast Forecast Forecast Forecast
Sales - 150,000 6,665,000 30,000,000 58,956,000
Wages and salaries - 209,300 376,050 583,050 845,250
Property costs 4,400 52,800 65,400 101,400 147,000
Markting & Travelling 10,000 130,000 275,000 300,000 300,000
Professional costs 50,000 340,750 270,000 200,000 260,000
Trials costs 20,000 180,000 380,000 - 730,000
Total costs 84,400 912,850 1,366,450 1,184,450 2,282,250
Operating profit (84,400) (762,850) 5,298,550 28,815,550 56,673,750
Pre tax net margin -440% 83% 97% 96%
Headcount 3 6 10 14 20
FINANCIAL OVERVIEW
19
Five year financial snapshot of sales and operating profits.
For the detailed spreadsheet and complex overview please request our 5 year forecast.
£58.9
millionT/O Year 5
2016
revenuegenerating

20. Ongoing trials 15
Continents 5
£1.1million funding
required
We are ready to commercialise our first product. This has undergone
successful field trials and will be on the market in Spring 2016. Funding
is required to complete trials on a further 13 products that are currently in
development. These target some of the most highly resistant and commercially
significant weeds and insects. These trials programmes are at various stages
of completion with the longest expected to conclude in Q4 2017.
Michael Gifford. Managing Director Pangaea
EQUITY SUMMARY
20

21. Use of funds: This first funding round is £1.1 million as per the financial plan. The funds will
be used as working capital to support partnership conversion (B2B), develop the
product offering, finalise trials and develop further trials to increase the product
range and bolster the management and technical teams.
Costs & profit: Year 4 EBITDA 96% as initial partnerships will allow rapid rollout
of future products with minimal increases in overheads.
Investments: No equity finance has been required to date as a total of £910,000 has been invested
across grants and a loan by the founder. This is our first round of commercialisation
funding. A soft loan of £500,000 is repayable once the business reaches a turnover
of £5 million which is currently forecast to be in year 2.
EIS: EIS Advance Assurance has been confirmed by HMRC.
Cash: Cash flow turns positive in the first quarter of year 2.
INVESTMENT OVERVIEW
21

22. The founders of Pangaea are committed to an exit and this is planned to be within 5 years. This
industry has seen numerous trade sales and IPOs. The preferred route will be the one which
maximises investors returns.
We aim to build the business through a plan, which primarily provides a long term license to our
partners to sell the patented formulation. This in turn guarantees revenue from both licenses and
royalties over the period of the contract.
An equity stakeholding of 6.8%is offered for £1,100,000 investment, which is a pre-money
valuation of £15.1 million and post money valuation of £16.2 million. We anticpate investors will
receive in excess of 10x earnings if our objectives and plans are achieved.
EXIT & INVESTOR RETURNS
22

23. 2015
Trials (Pyrethroids)
(Indicates type of chemical trials)
Trials (Neonicotinoids) Trials (Fops and Dims - Gen 1 & 2) Trials (Glyphosate - Gen 2) Product Registration Income
Pollen Beetle £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £
Brown Planthopper
White Fly (Glasshouse)
Cotton Bollworm
White Fly (Field)
Diamondback Moth
Codling Moth
Western Thrips
Armyworm
2016 2017 2018 2019 2020
Pea/Bean Weevil
Brown Planthopper
Grass Weeds (Gen 1)
Grass Weeds (Gen 2)
All Weeds Glyphosate (Gen 2)
£ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £
£ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £
£ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £
£ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £
£ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £
£ £ £ £ £ £ £ £ £ £ £ £ £ £ £
£ £ £ £ £ £ £ £ £ £ £ £
£ £ £ £ £ £ £ £ £ £ £
£ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £
£ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £
£ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £ £
£ £ £ £ £ £ £ £ £ £ £ £ £ £ £
£ £ £ £ £ £ £ £ £ £ £ £
FUTURE PRODUCTS
23

24. Research Partners: Conducting trials on behalf of PANGAEA.
Product Trials
£1.1million funding
required
Brown Planthopper
Ryegrass
Palmer Amaranth
(Starting 2016)
Plantago lanceolate
24
Diamondback
Moth
Cotton Bollworm
Codling Moth
Western Flower Thrips
Armyworm
Pollen Beetle
Blackgrass
Anopheles Mosquito
Spider Mite
White Fly
Liverseed Grass
Barnyard Grass
Brome

25. If you have any questions or would like to
find out more, then please get in touch using
the email address below.
What to do next?
investor@pangag.co.uk