EFTA00292375.pdf

AAndra DRAPER ANDRA GLOBAL pre-IPO Silicon Valley companies EFTA00292375 Woomenergy VCS%tWk AAndra Capitol EXECUTIVE SUMMARY Draper Andra Global is a late-stage Silicon Valley technology growth allocation fund • 30%+ target IRR returns, comparable to top-tier VCs Democratizing venture capital by giving private investors access to the strongest portfolio companies of leading venture investors Co-invest alongside the largest Silicon Valley VC firms in growth-stage technology companies Liquidity Feature: Optional periodic redemptions of realized gains without the typical 7-10 year hold Illustrative Target Investment Positions 'wish g Palantir tyf SoFi airbnb )D)MAROETA dji magic leap )4 1 1 4" a"--446 pr9ARLIS Affirm CD Couchbase stripe GitHub coinbase 0 slack Zoc Doc DiDi COHEgITY Eventbeite Global Indices IRR (10-year average) -4% -2% 0% SSE Sums° HS! 4% U11341 6% FUND TAEGU, AR - 00X• 10% 1.141431 40% 20% loci To 5% Quactilt US VC US VC Average IRR for the indices represents years 2007 — 2016. Average IRR for the Median, Top Quartile, and Top 5% US VC's represents years 2007 — 2014 (Source: Cambridge Associates). 2 EFTA00292376 AAndra Capital THE OFFERING Inception Offering Investment Objective Target Return Investment Strategy Pro forma Allocation Minimum Investment Management Fee Management Incentive Fund Life Q3 2018 Up to US $1 Billion Long-term capital appreciation and optional periodic liquidity for investors 30%+ IRR Targeted Draper Andra Global allocates 80% of funds toward aggressive investments in leading private, late stage US technology companies. The aim is to distribute the balance of funds amongst active investments in earlier stage international companies where Andra Fund partners have domain experience. This portfolio approach is intended to produce a reduced-risk, high-reward model for investors. 80% Late-stage/Growth Investments / 20% Discretionary/Structured investments $5,000,000 3% 20% management carried interest to Advisor Perpetual 3 EFTA00292377 AAndra WINNING STRATEGY PRODUCES IPOs • Top 10% decile VCs of invested capital results in >60% of the exit distributions • Andra Fund will monitor investment activities of top VCs to identify fast growing, late-stage companies • Andra Fund will make direct investments in these companies via participation in primary VC-led rounds and secondary transactions • Andra Fund team and advisors have a history of direct access and relationships with these target companies • Founders or employees of target companies can achieve partial liquidity by selling their shares directly to the Andra Fund • Andra Fund will build a diversified portfolio of these companies Capital KPCB non SEQUOIA*CAPITAL' ACCEL 9 BESSEMER BV NEA. greylockpartners. BENCHMARK C•P I T A ANDREESSEN HOROWITZ a DRAPER ASSOCIATES 2,2 Dropbox G Spotify SPACE , ‘ Palantir Moomenergy airbnb Doceirk; wework *slack coinbase 19A rip Hotel Tonight Eventbrite Note: Indicative companies that meet (or met prior to IPO) Andra's screening criteria. 4 EFTA00292378 I INVESTMENT TEAM EFTA00292379 AAndra Capital TEAM Tim Draper Visionary Investor General Partner )- Founding partner of leading venture capital firms Draper Associates and DFJ )- Venture successes include Skype, DocuSign, Overture, Baidu, Tesla, SolarCity, Cruise, Parametric Technology, Hotmail, Digidesign, SpaceX, Robinhood, Twitch.tv, Coinbase and hundreds of others )- Ranked 52 on the list of the 100 most influential Harvard Alumni, and seven on the Forbes Midas List. Named Always-On #1 top venture capital deal maker > Awarded the Commonwealth Club's Distinguished Citizen Award for achievements in green and sustainable energy DRAPER ASSOCIATES ADFJ Haydar Haba Venture Capitalist & Serial Entrepreneur General Partner > 20+ years of building successful companies with disruptive technologies that have generated billions in revenue > Founded and built IntelePeer, raising millions of dollars in VC and growing revenue to over $150mm > Founded Telco214 from launch to revenue of over $100 million > Board member/advisor for several tech companies > With deep knowledge on global cloud-based platforms and technologies, he has been featured in print, broadcast, and online media across the globe 9 IntelePeer IneOcuclannsicatorsCentyy 1 6 EFTA00292380 AAndra Capital TEAM Paul Tuan Managing Director >- $10 billion of M, capital raises, bonds, and private placement transactions >- Over 10 years of investment banking and venture capital experience at BAML, Jefferies, US Bancorp, MVP Capital, and White Oak *WHITE. OAK la"ussea Jefferies Crabancorp Roman Glukhovsky General Partner 20 years in investment banking, venture capital and VC funded companies at Lehman Brothers, Banc of America Securities, Morgan Stanley, and Kernel Capital > 24+ direct and secondary technology investments with co-investors such as Founders Fund, 500 Startups, SGE, State of NY, Microsoft, and Motorola MorgaiiStanley Banc ()filmed= Securities LEHMAN BROTHERS Gabe Turner General Partner )- Executive Director of Draper Venture Network, a spin-out from VC firm DFJ which grew to 20+ top performing regional VC firms )- Former management consultant with Deloitte's Strategy & Operations practice. Served as an independent advisor to the Bill & Melinda Gates Foundation > Sits on Selection Committee of HBS Angels and Technology Advisory Board of Delta Air L A DELTA DRAPER BILL eatvAtita r st Deloitte -47 ASSOCIATES Nicole DeMeo 4 Chief Marketing Officer )- Silicon Valley veteran, 20+ years accomplished business launch, growth and turnaround expert C-level contributor and go-to-market strategist creating significantly increased valuations, acquisitions and IPOs >- Marketing strategist for Steve Jobs, Eric Schmidt and Carly Fiorina; Apple, HP and Accenture; Glispa; Earlybird Venture Capital, The September 11th Fund, New York Community Trust The September h Fund accenture glispa 7 EFTA00292381 AAn dra Capital TEAM HAS CLOSED 300+ VENTURE DEALS CALYPSO mongo I Linden Lab 9.1Desk facebook coverity® ;#O POSTMATES ZocDoc zuora cloudera Lwilter# IntelePeer SolarCity. VIRTUAL INSTRUMENTS Silverpfiorff zi ifzynga Dropbox conduit s nMarkLogic• ';;;? Lookout KXAPPIRIO MEMORY r SUGAR 0 PURESTORAGE Oda Linked MI mobitvinc. 0 FLURRY PROSPERP JAWBONE Jumptap Palantir e Harmony wish GILT hayneedle OLifeLock. Avvo. fAki2 -v" 13.99.! 8 EFTA00292382 AA'dra Capital WORLD-CLASS SERVICE PROVIDERS DLA PIPER Deloitte Legal Counsel Auditor DUFF&PHELPS Compliance & Valuation APEX Fund Adrnin s EFTA00292383 r INVESTMENT STRATEGY w We select among the leading companies from Tie, venture capital firms — to achieve high returns with a reduced risk profile EFTA00292384 AAndro Capitol INVESTMENT APPROACH nine General Startup Life Cycle EFTA00292385 AAndra Capitol INVESTMENT PROCESS ANDRA FUND'S PORTFOLIO 10 Selecting from over 400 pre-IPO companies relevant tech sectors Andra Fund will target 20-40 opportunities Portfolio of tier 1 VC Companies valued at Top 3 in industry investments over $500mm vertical Visionary management focused on growth EFTA00292386 AAndra Capital INVESTMENT APPROACH • Diversified exposure into promising high- IPO growth private companies Growth/Price • Investment anchored last institutional priced primary round Fund Investment • Co-invest alongside top-tier venture Point capital investors Time • Can provide higher success ratios than traditional early stage venture capital funds 13 EFTA00292387 AAndra TRIPLE APPEAL IN DEAL SELECTION Late-stage private tech companies ($500mm+) Capitol • The largest appreciation capture opportunity now comes prior to the initial public offering • Changes to VC ecosystem have fragmented an asset class traditionally only accessible via top tier VCs and unavailable to new LPs • The ability to access the best venture opportunities is now based largely upon strength of the local network in the entrepreneur ecosystem • Nontraditional funding sources have an opportunity to invest at an advantaged time in companies' life cycles 14 EFTA00292388 AAn INVESTMENT TIMING AND PRICING 12x 10x 8x dra Capital Andra Fund's Investment Point w 6x —6—Preferred cc —0—Common w cc 4x 2x YEARS 1 2 3 4 5 6 7 8 9 10 The differential in price between the value of common stock and preferred stock decreases over time as a potential company approaches an exit event. Andra Fund strategically selects the most attractive share class to take advantage of the price spreads. 15 EFTA00292389 dra Capital AAn PROPRIETARY DEAL FLOW ECOSYSTEM Founders and early Successful company employees Service Entrepreneur with substantial equity Providers positions Early Stage Venture Funds Key Angel Investors Private Wealth Management Clients I Looking to liquidate or pare down outsized appreciated positions Late-stage investments that mature outside their investment thesis Entrepreneurs who wish to diversify out of a concentrated position Corporate Retirement Plan Clients Advisory Board Members Private Secondary Brokers I and IPO attorneys, s, payroll, tax and benefits consultants Companies looking to fund share buyback to facilitate employee liquidity Key strategic partners with contacts within target companies Contacts that are active in trading or sourcing private stock 16 EFTA00292390 AAndra Capital INVESTMENT UNIVERSE 6 million Private companies in the US 100,000 With revenues of $20MM+ 20,000 In the relevant sectors 1,000 Companies valued $100MM +400 Backed by tier 1 VCs 20-40 companies in the Andra Capital portfolio EFTA00292391 Capital AAnd ra TRADITIONAL VC PORTFOLIO STRUCTURE Management GP COMPANY Series A I COMPANY 1 Series B COMPANY Series C COMPANY -1 Series D IPO: 10x return -E- COMPANY 2 Series A COMPANY 2 Series B COMPANY 3 Series B COMPANY 4 Series B COMPANY 5 Series B I COMPANY 2 Series C I Acquired: 3x return COMPANY 3 Series A I COMPANY 3 Series C VC Fund LLC COMPANY 4 Series A COMPANY 4 Series C COMPANY 5 Series A ■ Traditional firms suffer from extremely high Beta to generate returns ■ Every investment needs the potential to be a grand slam COMPANY 6 Series A COMPANY 6 Series B COMPANY 7-20 Series A ■ On average, a traditional early stage VC fund will make —20 investments ■ One investment will provide all the profits of the firm, one or two other investments may profit or break even, and the remainder will stagnate and/or lose all of the investment 18 EFTA00292392 AAndra Capital ANDRA FUND PORTFOLIO STRUCTURE Andra Capital GP Andr Denotes Andra's investment timing COMPANY 1 Series A COMPANY 1 Series B COMPANY 1 Series C COMPANY .1 Series D COMPANY 2 Series A COMPANY 2 Series B COMPANY 2 Series C COMPANY 2 Series D COMPANY 3 Series A COMPANY 4 Series A COMPANY 5 Series A COMPANY 6 Series A COMPANY 3 Series B COMPANY 4 Series B COMPANY 5 Series B COMPANY 6 Series B COMPANY 3 Series C COMPANY 4 Series C COMPANY 5 Series C COMPANY 6 Series C COMPANY 3 Series D COMPANY 4 Series D COMPANY 5 Series D IPO: 4x return COMPANY COMPANY 2 IPO: Acquired: IPO: Series E Series E 3x return 2x return 5x return IPO: 2x return Acquired: 3x return COMPANY 7 Series A COMPANY 7 Series B COMPANY 7 Series C COMPANY 8 Series A COMPANY 8 Series B Acquired: 1.5x return ■ Andra Fund invests in companies at a later stage; allowing for greater certainty for a return and a larger portion of the portfolio to monetize 19 EFTA00292393 AAndra Capital INVEST IN FASTEST GROWING COMPANIES lyA &airbnb Eventbrite 0 wework 0 Palantir UBER PA C DiDi rta TOUTIA0 Eitoomenergy coinbase CD/ unity 16gedzoonr stripe slack nCe anaplan Affirm TounAo -ea lir Nextdoor robinhood magic I leap oscar lisnux Z uora ..qualtrics 00 ANAT OTANIUM- trp SQUARESPACE gi Lookout crewoKarma Pracocer,,,,, carbon ito Kabbage ,c1ru,taccatt APT TUS 090 S. SoFi thurnbtaa 471 I 4111 CUMWMWM WM WI 3 "Illustrative potential investment opportunities progus• AAJISh HIGHTAIL /OVA NT ► houzz 7githpb sunrun actifio Radically Sim* EVEASJOTE inmosr infor 20 EFTA00292394 APPENDIX EFTA00292395 AAndra Capital TIM DRAPER • Tim Draper is founding partner of leading venture capital firms Draper Associates and DFJ • Tim's original suggestion to use viral marketing in web-based email to geometrically spread an Internet product to its market was instrumental to the successes of Hotmail, YahooMail, and Gmail and has been adopted as a standard marketing technique by thousands of businesses • Venture successes include Skype, DocuSign, Overture, Baidu, Tesla, SolarCity, Cruise, Parametric Technology, Hotmail, Digidesign, SpaceX, Robinhood, Twitch.tv, Coinbase and hundreds of others • As an advocate for entrepreneurs and free markets, Tim is regularly featured as a keynote speaker in entrepreneurial conferences throughout the world, has been recognized as a leader in his field through numerous awards and honors, and has frequent TV, radio, and headline appearances • He was ranked 52 on the list of the 100 most influential Harvard Alumni, and seven on the Forbes Midas List. He was named Always-On #1 top venture capital deal maker. He was awarded the Commonwealth Club's Distinguished Citizen Award for achievements in green and sustainable energy 22 EFTA00292396 AAndra Capital HAYDAR HABA • Recognized internationally for his technological vision, and is a respected thought leader throughout the Internet and Telecom industries for his accomplishments as business leader and innovator • Serial entrepreneur with over 20 years of experience building a string of successful companies with disruptive technologies that have generated billions of dollars in revenue • Founded and built IntelePeer, Telco 214 and others from inception to exit, raising millions of dollars in Venture Capital • Founder and CEO of IntelePeer, and led the company from inception to over $150 million a year in revenue • Previously, he was the Founder and CTO of Telco214 where he built the company from launch to over $100 million in revenue • With deep knowledge and opinions on global cloud-based platforms and technologies, he has been featured in print, broadcast, and online media across the globe • Significant experience on technology company boards as a member or advisor, as well as IPO experience • Completed course work in Electrical Engineering and holds Bachelor of Science and Master's degrees from Florida Institute of Technology. He has several patents to his name 23 EFTA00292397 AAndra Capital LEGAL DISCLAIMER THIS PRESENTATION HAS BEEN PREPARED SOLELY FOR USE BY PROSPECTIVE INVESTORS OF ANDRA FUND (THE 'FUND") AND SHALL BE MAINTAINED IN STRICT CCNFIDENCE. ANY REPRODUCTION OR DISTRIBUTION OF THIS PRESENTATION, IN WHOLE OR IN PART, OR THE DISCLOSURE OF ITS CONTENTS, WITHOUT THE PRIOR WRITTEN CONSENT OF TI-E FUND'S GENERAL PARTNER OR MANAGEMENT COMPANY, IS PROHIBITED. THIS PRESENTATION WILL BE RETURNED TO TI-E GENERAL PARTNER OR MANAGEMENT COMPANY UPON REQUEST. THE EXISTENCE AND NATURE OF ALL CONVERSATIONS REGARDING TI-E FUND MJST BE KEPT CONFIDENTIAL. THIS PRESENTATION HAS BEEN PREPARED IN CONNECTION WITH A PRIVATE OFFERING TO ACCREDITED INVESTORS CF LIMITED PARTNERSHIP INTERESTS IN TI-E FUND (TI-E INTERESTS"). EACH INVESTOR WILL BE REQUIRED TO EXECUTE A LIMITED PARTNERSHIP AGREEMENT (OR SIMILAR OPERATING AGREEMENT), AND A SI FICCRIPTICN AGREEMENT TO EFFECT AN INVESTMENT. IF ANY OF THE TERMS, CONDITIONS OR OTFER PROVISIONS OF SUCH AGREEMENTS ARE INCONSISTENT WITH OR CONTRARY TO THE DESCRIPTIONS OR TERMS IN TI-IS PRESENTATION, SUCH AGREEMENTS SHALL CONTROL. THIS PRESENTATION DOES NOT CONSTITUTE AN OFFER TO SELL, OR A SOLICITATION OF AN OFFER TO BUY, AN INTEREST IN ANY JURISDICTION IN WHICH IT IS UNLAWFU_ TO MAKE SUCH AN OFFER OR SOLICITATION. NEITHER THE U.S. SECURITIES AND EXCHANGE COMMISSION NOR ANY OTHER FEDERAL, STATE CR FOREIGN AGENCY HAS APPROVED AN INVESTMENT IN THE FUND. FURTHERMORE, TI-E FOREGOING AUTHORITIES HAVE NOT CONFIRMED THE ACCURACY OR DETERMINED THE ADEQUACY OF THIS PRESENTATION. IT IS THE RESPONSIBILITY CF ANY PERSON OR ENTITY WISHING TO PURCHASE AN INTEREST TO SATISFY HIMSELF, FERSELF CR ITSELF AS TO THE FULL OBSERVANCE OF THE LAWS OF ANY RELEVANT TERRITORY IN CONINECTICN WITH ANY SUCH PURCHASE, INCLUDING CBTAINING ANY REQUIRED GOVERNMENTAL OR OTHER CONSENTS OR OBSERVING ANY OTFER APPLICABLE FORMALITIES. THE INTERESTS HAVE NOT BEEN REGISTERED UNDER THE U.S. SECURITIES ACT OF 1933, AS AMENDED, OR ANY STATE SECURITIES LAWS OR THE LAWS OF ANY FOREIGN JURISDICTICN. TFE FUND WILL NOT BE REGISTERED AS AN INVESTMENT COMPANY UNDER THE U.S. INVESTMENT COMPANY ACT OF 1940, AS AMENDED (THE "COMPANY ACT"). CONSEQUENTLY, INVESTORS WILL NOT BE AFFORDED THE PROTECTIONS OF THE COMPANY ACT. THE FUND'S INVESTMENTS WILL BE CHARACTERIZED BY A HIGH DEGREE OF RISK, VOLATILITY AND ILLIQUIDITY. CERTAIN INFORMATION CONTAINED FEREIN HAS BEEN OBTAINED FROM OTFER PARTIES. WHILE SUCH SOURCES ARE BELIEVED TO BE RELIAFLI F, NEITHER THE FUND, THE GENERAL PARTNER, THE MANAGEMENT COMPANY, NOR THEIR RESPECTIVE AFFILIATES ASSUME ANY RESPONSIBILITY FOR THE ACCURACY OR COMPLETENESS OF SUCH INFORMATION. THE INFORMATION SET FORTH IN THIS PRESENTATION DOES NOT PURPORT TO BE COMPLETE AND NO OBLIGATION TO UPDATE OR OTHERWISE REVISE SUCH 'INFORMATION IS BEING ASSUMED. A PROSPECTIVE INVESTOR MJST RELY SOLELY ON THE TERMS OF, AND DISCLOSURE OF INFORMATION IN THE FUND'S GOVERNING DOCUMENTS; THE ONLY BASIS ON WHICH SUBSCRIPTIONS MAY BE MADE. IN CONSIDERING THE PRIOR PERFORMANCE INFORMATION OF THE INDIVIDUAL INVESTMENTS CONTAINED HEREIN, PROSPECTIVE INVESTORS SHOT I I) BEAR IN MIND THAT PAST PERFORMANCE IS NOT NECESSARILY INDICATIVE OF FUTURE RESULTS, AND THERE CAN BE NO ASSURANCE THAT TFE FUND WILL ACHIEVE COMPARABLE RESULTS. CERTAIN STATEMENTS IN THIS PRESENTATION CONSTITUTE FORWARD-LOCKING STATEMENTS. SUCH FORWARD-LOOKING STATEMENTS, INCLUDING THE INTENDED ACTIONS AND PERFORMANCE OBJECTIVES CF THE GENERAL PARTNER, THE MANAGEMENT COMPANY OR THE FUND REFERENCED FEREIN, INVOLVE KNOWN AND UNKNOWN RISKS, UNCERTAINTIES, AND OTHER IMPORTANT FACTORS THAT COULD CAUSE THE ACTUAL RESULTS, PERFORMANCE, CR ACHIEVEMENTS OF THE GENERAL PARTNER, THE MANAGEMENT COMPANY OR THE FUND TO DIFFER MATERIALLY FROM ANY FUTURE RESULTS, PERFORMANCE, OR ACHIEVEMENTS EXPRESSED OR IMPLIED BY SUCH FORWARD-LOOKING STATEMENTS. 24 EFTA00292398 750 Battery Street, 7th Floor San Francisco, CA 94111 EFTA00292399