Oppo Ice Cream

Idea

Introduction

Health and indulgence are usually opposites and are rarely in the same product. Everyone loves their favourite sweet treats but there is a downside - they’re bad for your health.

Oppo is not an ice cream company. We are a food-tech company. Our vision is for people everywhere to be able to indulge in to their favourite sweet treats without compromising their health.

We believe food doesn’t need loads of sugar or calories to taste great, and we have demonstrated this by winning a Great Taste Award. We use science to achieve the impossible – true healthy indulgence. We believe Oppo is Europe’s first, to our knowledge, dairy ice cream which can legally be called ‘healthy’.

You can now find Oppo in Waitrose, Ocado, Wholefoods Market, Co-Op, Holland & Barrett, Budgens, and out of home sites such as hotels, cinemas, theatres, offices, sports clubs, health shops and hospitals via three regional and two national distributors.

Convertible Terms

This investment round is being raised by way of a convertible instrument. They key terms that apply to the Oppo convertible are as follows:
► Discount – conversion at a 10% discount to the valuation set by a Trigger Event.
► This convertible does not have a valuation cap.
► Conversion is triggered by ("Trigger Events"):
◆ An Equity Fundraise – defined as the Company raising investment capital of at least £300,000 from one transaction or a series of transactions, in exchange for the issue of Ordinary Shares. The Seedrs fund raise does not count as a transaction;
◆ A Change of Control of the company (transfer of more than 50% of the share capital); or
◆An IPO – being a listing of the company’s shares on a recognised stock market or secondary market.
►Longstop Date is 24 months from the date of the convertible agreement.
If conversion has not been triggered by the longstop date shares will be issued on the longstop date at a valuation based on the lower of (i) a pre-money company valuation of £6,000,000; or (ii) the price for any share issued after the date of the convertible agreement. The convertible would also convert to equity at this price in the event of winding up or liquidation of the company.

Intended impact

The idea was born during an unofficial record breaking expedition brothers Harry and Charlie did in Brazil - travelling 1,000 km along the coast using kites.

They ran out of food, and turned to foods growing along the coastline. This sparked a revelation: natural ingredients can make indulgent food guilt-free. On their return, Charlie quit his job in sales at Diageo and started turning this philosophy into a product.

It took 25 months to create Oppo. 3 factories, 2 Government Innovation and Growth Grants, a Santander competition grant as well as York University ‘Proof of Concept’ grant. From conception to realisation, product was king. There is no compromise in flavour and texture in comparison to traditional ice cream.

We’re making regular ice cream and frozen yoghurt irrelevant. Indulgence is now guilt-free.

Substantial accomplishments to date

2016

• Beat total revenue for 2015 in first 4 months of year.*
• Raised £350,000 on Seedrs. Investors included Tennis World No.1 Andy Murray.
• Received coverage in The Times, The Telegraph, The Mail, The Sun, BBC World News, CNN News = exposure to an average of 2m+ people every month over the last 7 months.
• Launched into Amazon Fresh, Picturehouse Cinemas and Ambassador Theatre Group.
• Built social media followers to 35,000 and newsletter subscribers to 39,000.
• Won Great Taste Award for Salted Caramel with Lucuma.

*Unaudited management accounts.

2015

• Launched into 500 Co-Op, 100 Budgens stores and 220 Holland & Barrett stores.
• Launched into Bidvest: we now have 46 hospitals, 18 schools and 498 independent stores with them.
• Named the Guardian’s Start up of the Year 2015 and won the Healthy Food Guide Award.
• Became a core listing in Whole Foods Market.
• Raised £300,000: believed to be the world’s fastest food company to reach target using equity crowdfunding and the most over-subscribed Seedrs campaign at the time.
• Sold into England Cricket, GB Gymnastics, and Premier League Football.
• Accompanied PM David Cameron to Milan to showcase the best of British innovation and meet PM Renzi.
• Won Compass ‘Ideas Works’ competition.

2014 (Launched October 20th)

• October 20th – first listing was 117 Waitrose stores & Ocado.
• Interviewed live on Bloomberg TV.
• Won Gold Medal in the Lunch! Innovation Challenge Award.

Monetisation strategy

Charlie created the Oppo recipes so we own them in their entirety. We produce Oppo in an ice cream factory that we trust has the capacity to scale in line with demand.

We ship the finished product on pallets to a coldstore facility in Yorkshire, who then ship the stock directly to our supermarket and distributor customers at our request.

Oppo sells and markets the ice cream and Oppo brand nationwide.

This means there is no need for Oppo to invest in equipment or distribution capability. The business can easily scale with demand.

Use of proceeds

This convertible will help to finance the considerable growth we are seeing with Oppo prior to a larger raise in late 2017.

This is an exciting time to be involved with Oppo.

We have validated the product and the market, built a high performing team with good relationships with suppliers and customers, and have significant traction to accelerate progress.

In the next 12 months we are focusing on gaining more listings in retail and wholesale accounts, developing the brand and packaging, launching marketing campaigns to drive sales, creating new flavours and new products, and developing export opportunities in the UK and further afield.

Our vision is for people everywhere to be able to indulge in their favourite sweet treats without compromising health.

We would love you to join us.