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NJ COMMERCIAL ENERGY-EFFICIENT LIGHTING RETROFITTING COMPANY #63283 BUSINESS HIGHLIGHTS For over 25 years, this New Jersey based Na onal Energy Efficiency company has been specializing in providing ligh ng retrofits for large commercial facili es. Turnkey services range from survey, design and installa on, to facilita on of rebates and tax incen ves. Since incep on, the Company has engaged in over $200 million worth of ligh ng contracts and retrofi ng over 7,000 buildings na onwide. Customers include Energy Service Companies (ESCOs), schools, government and retail establishments. The Company takes pride in its well-earned brand recogni on and primarily markets itself via con nuous personal networking and rela onship-based marke ng. Staff consists of an in-house team of experienced cer fied surveyors, designers and installers whose complementary skills allow for reliable, expert, environmentally friendly, and cost-effec ve LED ligh ng solu ons. Cer fied ligh ng professionals and engineers manage the full sales cycle encompassing the introduc on, investment grade audit, proposal presenta on, project management, installa on, and guarantee. The Company's customized so ware provides customers with accurate projec ons of cost, savings, rebates, tax incen ves and provides the staff with a pla orm to cost the job, purchase the material and monitor the labor. Moses Shmueli Managing Director - M&A E. mshmueli@genera onal.com T. 214-717-7494 C. 917-568-5010 INVESTMENT BANK OF THE YEAR 2016 - 2017 - 2018 DISCLAIMER: All informa on contained in this document has been provided by the subject company to Genera onal Equity and while believed to be correct has not been verified. Accordingly, Genera onal Equity makes no representa ons or warran es as to the accuracy and truthfulness of such informa on. The recipient hereof acknowledges that Genera onal Equity shall not be liable for any loss or injury suffered by said recipient in any way connected to the delivery by Genera- onal Equity of this document. At all mes Genera onal Equity and its affiliate network members is an agent for the seller and not for the buyer. Genera onal Equity's fees are paid by the seller. REVENUE / EBITDA 2019 Revenue INVESTMENT APPEAL a. Broad licensure territories. The Company is licensed to perform work in eight states, including Alabama, California, Delaware, Maryland, New Jersey, Ohio, Tennessee, and Virginia. The Company plans to add an average of four states per year to its exis ng licensure over the next 3 years. The ability to manage a na onal workload and perform across markets na onally is a key factor for success. b. Superior name and reputa on. The Company has built substan al goodwill with its key accounts by providing quality products and services, fair pricing, and excellent customer service. Maintaining a reputa on for quality and meliness is essen al for operators to gain a reliable revenue pipeline through repeat business. c. Stellar historical financial performance and backlog. Sales have grown each year in the historical period, from $17.8MM in 2017 to $23MM in 2019, represen ng a compound annual growth rate of 13%, while EBITDA has increased from $1.7MM (9.4%) in 2017 to $2.9MM (12.7%) in 2019. Furthermore, the Company has a current backlog of over $13MM and a short-term sales forecast of $15MM, with most of this revenue expected to be recognized in 2020. d. Excep onal secular industry growth trends. The global LED ligh ng market is projected to expand at a CAGR of 11.8% through 2025. Increasing demand for power efficient illumina ng systems across residen al, commercial, and industrial sectors. Rising concern over reduc on of non-renewable sources of power and the decreasing price of LED lights are some of the key drivers behind this growth. Furthermore, u lity rebates and energy efficiency tax saving legisla on and Smart Ligh ng Solu ons / Smart Ci es, are expected to further propel demand. e. Recession-resistant business. Many of the Company's major customers are government organiza ons and schools. During economic downturns, government clients and educa onal ins tu ons will remain reliable revenue sources which helps shelter the Company from such downturns. Furthermore, the Company's products and services are appealing during difficult economic periods when businesses are seeking to reduce their expenses. Genera onal Equity 125 Park Avenue , 25th Floor New York, NY 10017 T. 212-381-7650 EXPERIENCED TEAM $2.9M $3.1M $22.7M $24.0M 2020 Revenue (PROJ) 2020 EBITDA (PROJ) 2019 EBITDA The Company has a mul -disciplined team including: SIGN NDA ► 2019 REVENUE MIX Installa on 95% Design 5% AUDITORS / ESTIMATORS PROJECT DEVELOPMENT MANAGER REGIONAL OPERATION MANAGERS SALES RATE OF REPEAT BUSINESS 2019 67% GEOGRAPHIC MARKET Northeast 52% West Coast 29% South 19% OPERATIONS CENTER New Jersey, USA 2019 MARKET BY REVENUE % PROJECT MANAGERS MATERIALS MANAGER ADMINISTRATIVE SUPPORT 2019 KEY ACCOUNT BY REV. Client A 28% Client B 23% Client C 13% Client D 13% Client E 3%