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July 2014

Roadshow Presentation

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Disclaimer

This presentation has been prepared regarding the Company and its subsidiaries (collectively, the “Group”) solely for use at this meeting in connection with the proposed initial public offering of the Company (the

“Offering”) and not for any other purpose, commercial or otherwise. By attending this presentation or by reading the presentation slides, you (1) agree to be bound by these terms and (2) acknowledge that you will be

solely responsible for your own assessment of the market and the market position of the Company and that you will conduct your own analysis and be solely responsible for forming your own view of the potential future

performance of the business of the Company.

This presentation contains confidential and proprietary information. The content of this presentation has not been independently verified. Certain factual statements and forecasts in this presentation are derived from

external sources and have not been verified by the Company, Goldman Sachs (Asia) L.L.C. (“GS”) and Standard Chartered Securities (Hong Kong) Limited (“SCB” and, together with GS, the “Joint Bookrunners”), their

respective affiliates, or their respective directors, officers, employees, agents, affiliates, advisors or representatives (collectively, “Representatives”).

Any purchase of securities in the Offering should be made solely on the basis of information contained in the preliminary offering circular and any supplemental offering circular and pricing supplements to be published in

respect of the Offering. The information contained in this presentation has not been independently verified. No express or implied representation, warranty or undertaking is made by the Company, the Joint Bookrunners

or any of their respective affiliates, or any of their respective Representatives as to, and no reliance should be placed on, the fairness, accuracy, completeness or correctness of such information or opinions contained

herein. You acknowledge that the information contained in this presentation does not purport to be all inclusive and is provided to you for your information only. You acknowledge and agree that the information contained

herein is subject to change and that you will not rely on the information contained herein in determining whether to make an investment in any securities of the Company. No reliance may be placed for any purpose on the

information set forth herein or on its completeness. You acknowledge and represent to the Company, the Joint Bookrunners and their respective affiliates, and their respective Representatives that you are a “professional

investor” (as such term is defined in the Securities and Futures Ordinance (Cap. 571)), have the knowledge, experience and capability to conduct your own assessment of the Company and its securities and that you

have conducted and will conduct your own investigation with respect to the Company and its securities and have obtained or will obtain your own independent advice relating to the investment in the securities of the

Company. None of the Company and the Joint Bookrunners nor any of their respective affiliates, or any of their Representatives shall have any liability (due to negligence or any other reasons) for any loss howsoever

arising from any information contained or presented in this presentation or otherwise arising in connection with this presentation. The information contained herein, the accuracy of which is not guaranteed, is provided as

at the date of this presentation and is subject to change without notice, and will not be updated or otherwise revised to reflect any developments which may occur after the date of this presentation.

The information in this presentation includes historical information about and relevant to the Company that should not be regarded as an indication of future performance or results. This presentation contains forward-

looking statements that reflect the Company‟s current beliefs, plans and expectations about the future as of the respective dates indicated herein. These statements contain the words “anticipate”, “believe”, “estimate”,

“expect”, “intend” and words of similar meaning. All statements other than statements of historical facts included in this presentation, including without limitation, those regarding the Chinese economy, the government

policies and development trends of the water purification and air sanitization industries and the Company‟s future financial position, results of operations, business strategy, plans and objectives of management for future

operations (including development plans and objectives relating to the Company's products and services) are forward-looking statements. These forward-looking statements are based on a number of assumptions which

are subject to known and unknown risks, uncertainties and other factors that are beyond the Company‟s control, such as the political, social, legal and economic environment in which the Company will operate in the

future, which could cause the actual results and performance of the Company to differ materially from the results and performance expressed or implied in such forward-looking statements. Accordingly, no undue reliance

should be placed on these statements, which speak only as of the date contained in this presentation. None of the Company and the Joint Bookrunners nor any of their respective affiliates, or any of their Representatives

assumes any obligation to update or otherwise revise these forward-looking statements for new information, events or circumstances that occur subsequent to such dates or otherwise, and each of the Company and Joint

Bookrunners expressly disclaims any obligation or undertaking to disseminate any updates or revisions to any forward-looking statements contained herein.

This presentation does not constitute or form part of, and should not be construed as, an offer to sell or issue or the solicitation of an offer to buy or acquire securities of the Company or any of its shareholders,

subsidiaries or affiliates in any jurisdiction or an inducement to enter into investment activity. No part of this document, nor the fact of its distribution, shall form the basis of or be relied upon in connection with any

contract, commitment or investment decision whatsoever. In Hong Kong, no shares of the Company may be offered to the public unless a prospectus in connection with the Offering for subscription of such shares has

been formally approved by The Stock Exchange of Hong Kong Limited in accordance with the Companies Ordinance (Cap. 32) and duly registered by the Registrar of Companies of Hong Kong. An unregistered

prospectus must not be distributed, issued or circulated in Hong Kong except for distribution to professional investors under Schedule 1 to the Securities and Futures Ordinance (Cap. 571) and the relevant provisions

therein. Any decision to purchase or subscribe for securities should be made solely on the basis of the information contained in the offering circular issued by the Company in connection with the Offering. No securities of

the Company have been or will be registered under the U.S. Securities Act 1933, as amended (“the Securities Act”), and securities of the Company may not be offered or sold in the U.S. except pursuant to an exemption

from, or in transactions not subject to, the registration requirements under the Securities Act. The information contained herein is not (a) an offering to you or the public of the shares or securities of the Company for

purchase for cash or other consideration; or (b) circulated to invite offers by you or the public to purchase for cash or other consideration any securities of the Company.

This presentation is not for distribution in, nor does it constitute an offer to sell or solicitation to purchase or subscribe for securities in the United States or to a “U.S. person” as defined in Regulation S under the Securities

Act. Neither the presentation nor any copy of it may be taken or transmitted into the United States, its territories or possessions, or distributed, directly or indirectly, in the United States, its territories or possessions or to

any U.S. person. Any failure to comply with this restriction may constitute a violation of United States securities laws. This presentation is not an offer of securities for sale in the United States. Securities may not be

offered or sold in the United States absent registration or an exemption from registration. There will be no public offering of the Company‟s shares in the United States.

The materials in this presentation are being communicated in the United Kingdom to (i) persons having professional experience in matters relating to investments falling within Article 19 of the Financial Services and

Markets Act 2000 (Financial Promotion) Order 2005, as amended (the “Order”); (ii) high net worth bodies corporate, unincorporated associations and partnerships and trustees of high value trusts as described in Article

49(2)(a) to (d) of the Order; or (iii) to persons to whom it may otherwise be lawfully communicated (all such persons described in (i) to (iii) together being referred to as “investment professionals”). This presentation is only

directed at qualified investors and investment professionals and any other persons should not rely on or act upon this presentation or any of its contents.

This presentation speaks as of April 2014. Neither the delivery of this presentation nor any further discussions of the Company with any of the recipients shall, under any circumstances, create any implication that there

has been no change in the affairs of the Company since such date.

1

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2

Today’s Presenters

Mr. XIAO Shu

Founder, Chairman & CEO

Mr. TAN Jibin

Executive Director

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Agenda

I

II

III

IV

V

Company Overview

Industry Overview

Investment Highlights

Financial Highlights

Company Strategy

Meeting Agenda

Closing Remarks and Q&A

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90% International Offering under Rule 144A within and Reg S outside US

10% Hong Kong Public Offering to Retail Investors in Hong Kong

Transaction Summary

Offering Size

Ozner Water International Holding Limited (Cayman) Issuer

The Main Board of the Stock Exchange of Hong Kong Listing Venue

54% for manufacturing of water purifying machines

20% for construction and other related expenses for the second phase of production facility in

Shaanxi province

c.11% (no more than 15%) for repayment of 50% of the Standard Chartered Loan balance

5% for sales and marketing activities

Remaining amount (no more than 10%) for working capital and general corporate purposes

Use of Proceeds

Offering Structure

Goldman Sachs (Asia) L.L.C. and Standard Chartered Securities (Hong Kong) Limited

Joint Sponsors, Joint

Global Coordinators, Joint

Bookrunners

25% primary shares of enlarged share capital, assuming no exercise of over-allotment option

Over-allotment option up to 15% of base offering size

4

HK$2.25－HK$2.70 per share Price Range

I. Company Overview

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6

Overview

Water Purification Business Air Sanitization Business

Source: Prospectus, Company Information 1 In terms of sales value to end users in 2012.

Design and oversee the installment of air sanitization

systems, as well as provide training and after-sales

services post-installation

Project arrangements set through engineering,

procurement and construction (“EPC”) contracts, where

principal contractors subcontract certain projects to us

Project focus on medical, food and electronics industries

Participated in 14 EPC contracts in 2013

Leading water purification services company, ranked No.1 in

commercial segment1 and No.3 in overall industry1

Lease water purifying machines and provide service to both

corporate and household end users (e.g. SF Express, Sinopec)

Service network covers 125 cities in China, with 850+ service

center staff and 100+ service vehicles

Leading domestic company that applies ozone technology for

water purification

Significant Revenue Growth Over Track Record Period

2011

RMB 102mm

43.9% 56.1%

2012

RMB 290mm

2013

RMB 402mm

Water Purfication Air Sanitization

31.9%

68.1%

22.0%

78.0%

Total

Revenue:

We are one of the fastest-growing water purification services company in China,

addressing the country’s need for clean, safe drinking water

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Key Model

Types

Usage

Hub model1:

for corporate headquarters

and department stores

For

office use

For schools

and hospitals

For kitchen use,

countertop style

For kitchen use,

under-cabinet style

Water Purification Services

To remove Safecopy

Frame go to View >

Master > Slide Master

Diversified Portfolio of Water Purifying Machines

First Generation Second Generation

Service

Renewal Recharge on-site Remotely via wireless

Servicing

End users call for

on-site

troubleshooting

Machine automatically

reports to service center

Water

Recovery Ratio 20% to 50% ≥95%

Machine

Management Manual recording

Real-time tracking

via GPS

Corporate Models Household Models

Source: Prospectus, Company Information 1 One central processer with multiple water dispensers connected to it. 2 Of which 63,000 corporate models were from acquisition of Park Wealth in 2012.

Strong focus on advanced products and high-quality service drives significant growth

7

Advanced Features of Water Purifying Machines Fast Growth in Installed Base

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276 371

6

33

0

100

200

300

400

2011 2012 2013

Corporate Household

(„000 Units)

2 107

309

463

92

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Air Sanitization Services

Selected Air Sanitization Projects

EPC Arrangement Process

Contract Bidding

Preparation of

bids for principal

contractors

System Design

Detailed planning

for equipment

production

Design of system

installation

Component

Procurement

Procurement of

self-designed

equipment

components

Control on project

cost and quality

Installation &

Inspection

Oversee

installation

Perform quality

control checks

Post-installation

Support & Services

On-site training

for machine use

and maintenance

One-year

warranty period

Source: Prospectus, Company Information

8

Lab and Workshop of

Chang’e Lunar Satellite

Pharm

Production Workshop Medical

Operation Room

Food & Beverage

Canning Clean Workshop

Applying leading technologies for high-profile clients in the air sanitization business

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9

History and Development

2005 2011 2012 2010 2013

First round

investment

Drinking water

supplier for:

1) 26th World

University Games

2) Beijing

Aerospace

Control Center

Second round

investment

Deputy chief of

Industry Standard

Promulgation Panel

for water

purification industry

Started R&D on

water purification

technologies

Chairman XIAO

founded

Ozner Group

Acquisition of

Shanghai Comfort

Third round

investment

Chinese Enterprise

with Most Growth

Potential award

from Fudan

University and

Ernst & Young

Distribution

network reached

125 cities in China

History

Pre-IPO

Investment

Key

Milestones

Drinking water

supplier for

Shanghai Expo


II. Industry Overview

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Water Resource 33% of major rivers, 40% of major lakes and reservoirs, and 60% of

groundwater in China were contaminated and not drinkable¹

Water Treatment

Plants

90%+ of water treatment plants¹ were equipped with water treatment

technologies that cannot remove certain metal ions and chemicals

Water Delivery

Aged and eroded pipes cause water leakage and subsequent breeding of

pathogenic microorganisms in tap water

Toxic substances leak into tap water from inner lining of water pipes

Secondary Water

Supply

Water tanks on building roofs vulnerable to secondary pollution caused

by air pollution, container erosion and lack of maintenance

End Use as

Drinking Water

Tap water may be potable after boiling, though certain metal ions and

chemicals would remain

Increased Focus on Drinking Water Quality Due to

Worsening Water Contamination…

Source: Frost & Sullivan Report

¹ Data as of 2012.

Pollution from contaminated primary water sources and from secondary pollution

11

China Tap Water Supply Chain Situation

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…Generating Substantial Demand for Different

Point-of-Use Drinking Water Solutions

Point-of-Use Drinking Solution Advantages Disadvantages

Boiled Tap Water

Low cost

Widely accessible

Residual bacteria, metals and chemicals

Potential poor taste and odor

Potential turbidity

Barreled Water Effective in removing bacteria,

metals and chemicals

Widely accessible

Relatively convenient

Secondary pollution from contaminated

barrels, aging dispensers or long-term

storage

Unreliable water quality due to

irregular maintenance

Inconvenience from delivery and

barrel replacement

Relatively costly

Water Processed by Purifiers1

Effective in removing bacteria,

metals and chemicals, with no

secondary pollution

Real-time monitoring of

water quality

Convenient

Relatively low cost (vs. barreled

water services)

Better taste with no odor

Not widely available; consumer

awareness of the benefits of water

purifiers is increasing

Can be costly depending on

brand / model

Source: Frost & Sullivan Report 1 Advantages and disadvantages comparison is mainly based on advanced electronic purifying machines, and not on non-electronic devices (e.g., Brita filters).

12

Since Early

Years

1990s

Post 2000

Water purifiers as a superior point-of-use drinking water solution

Development of Point-of-Use Drinking Water Solutions in China

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Significant Penetration Potential in a Highly

Fragmented Market

13

Rapidly Shifting Mix Towards Water Purifiers

Industry Leaders Are Well-positioned to Capture Share in a Fragmented Industry in Infant Stages

Top 10 Players 14.6%

Other Players 85.4%

Top 10 Players

9.9%

Other Players 90.1%

Source: Frost & Sullivan Report 1 Commercial premises measured in terms of billion liters consumed; residential premises measured in terms of million households. 2 Others refer to well water, fresh water, spring water, etc. that are consumed in rural areas, where the coverage of tap water was about 70% in 2012. 3 Market size is calculated based on sales value to end users.

Water Consumption – Commercial Premises¹ Water Consumption – Residential Premises¹

Overall Water Purifier Market in China (2012)³ Commercial Water Purifier Market in China (2012)³

2

4.7%

12.2%

32.0%

67.6%

61.0%

44.8%

5.5%

13.5%

19.3%

22.2%

13.2%

3.9%

2008

2012

2017E

0% 20% 40% 60% 80% 100%

1.4%

6.8%

27.7%

83.9%

66.6%

41.2%

14.7%

26.6%

31.1%

2008

2012

2017E

0% 20% 40% 60% 80% 100%

Others Boiled Tap Water Water Processed by Purifiers Barreled Water

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13.7 18.2 23.7

29.4 35.1

44.1 55.4

67.6

80.7

94.5

1.7 2.6

4.0

5.5 7.4

10.3

14.1

18.8

24.3

30.6

15.4 20.8

27.7

34.9

42.5

54.4

69.5

86.4

105.0

125.1

2008 2009 2010 2011 2012 2013E 2014E 2015E 2016E 2017E

Residential Commercial

Large Addressable Market with Strong Growth Potential


¹ Market size is calculated based on sales value to end users.

Continuous double-digit growth in the drinking water purifier market in China

14

(RMB bn)

Market Size of Water Purifiers in China¹

III. Investment Highlights

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Investment Highlights

Extensive and Well-managed

Third Party Distribution Network

Superior Proprietary Technologies and

Strong R&D Capabilities

Innovative Lease and Service Business Model

with Distinctive Advantages Over

Conventional Drinking Water Business Models

Experienced Management Team that Helps Us

Achieve Our Strategic Goals

A Leading Water Purification Service Provider in a

Large Addressable Market with Strong Growth in China 1

2

3

4

5

16

Industry

Leader

Innovative

Business

Model

Distribution

Network

R&D

Capabilities

Management

Team

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6 33

92 101

276

371

0

100

200

300

400

2011 2012 2013

Household Corporate


Large Addressable Market with Strong Growth in China

Expanding Installed Base of End Users

Large Addressable Market with Strong Growth

Sales Growth Outperformance Over Industry

17

Leading Market Position1

Top 3 in Overall Market Top 3 in Commercial Segment

402

140

105

(RMB mm)

15.4 20.8 27.7 34.9 42.5

54.4 69.5 86.4

105.0

125.1

0

50

100

150

200

200

8

200

9

201

0

201

1

201

2

201

3E

201

4E

201

5E

201

6E

201

7E

Purifier Market Size in China¹

(RMB bn)

(„000 Units)

Source: Prospectus, Company Information 1 Market size is calculated based on sales value to end users. 2 Sales value for Ozner is calculated based on contract sales value.

Market

Share

5.4%

1.9%

1.4%

935

700

460

(RMB mm)

Market

Share

2.2%

1.6%

1.1%

Commercial Segment Residential Segment

231.8

22.5%

Industry

2011-2013 CAGR

48.8%

36.8%

Industry

2011-2013 CAGR

2 2

231.8%

#1

Total Installed 107 309 463

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Business

Model Drinking process

Benefits to End Users

Water

Quality Services Cost Convenience

Innovative Lease and Service Business Model with Distinctive Advantages Over Conventional Business Models


18

Ozner’s

Lease

and

Service

Model

Purifier

Sales

Model

vs.

vs.

Tap

Water

Water Purification Service Drinking

Water

Tap

Water

Water Purifier Drinking

Water

Buy water

purifiers

After-sales

Service

On-site Service

(in c.7-10 days)

Pay extra

service charges

Barreled

Water

Model Barreled

Water

Water Delivery Daily

Changing

of Barrels

Drinking

Water

Water

Storage

Delivery to

End Users’

Premises

Contact

service center

Pay annual service fee

and enjoy 24/7

after-sales service

Lease and service business model providing tangible benefits to end users

#2

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Business Model

Initial Cost1

(Household/Corporate)

Subsequent Cost2


Total Cost in 10 Years


Total Savings By

Using Ozner’s Machines


1,680 / 2,500 680 / 2,300 7,800 / 23,200 –

2,996 / 6,9883 1,000 / 2,7503 11,996 / 31,738

1,669 / 6,5504 1,369 / 6,2504 13,988 / 62,800

vs.

vs.

19


Note: Both initial cost and subsequent cost were 2012 data 1 Initial cost for our services refers to annual service fee. Initial cost for purifier sales model refers to purchase prices for water purifying machines . Initial cost for barreled water refers to annual charge for water use. 2 Subsequent cost for our services refers to annual service fee . Subsequent cost for purifier sales model includes maintenance cost . Subsequent cost for barreled water refers to annual charges for water use. 3 Assuming both initial cost and subsequent cost for both household and corporate models are equal to median of the costs for selected comparable competitors.

4 For household model, we assume that the end user is a family of 3 members who drinks 1 bottle of water every 4 days, water costs of RMB 15 per bottle for 365 days. For corporate model, we assume that the end user has

30 staff who drink 2.5 bottles of water per day, water costs of RMB 10 per bottle for 250 working days. Initial cost for both household and corporate models include RMB 300 of water dispenser cost.

Ozner’s

Lease

and

Service

Model

Purifier

Sales

Model

Barreled

Water

Model


Competitive pricing schedule compared to other business models for end users

#2

4,196

(35.0%)

8,538

(26.9%)

6,188

(44.2%)

39,600

(63.1%)

(RMB)

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Highly visible recurring revenue and stable cash flow

1,145

450 450 450 450 450 450 450 450 450

(2,000)

(1,000)

0

1,000

2,000

3,000

4,000

5,000 (RMB)

Yr. 1 Yr. 2 Yr. 3 Yr. 4 Yr. 5 Yr. 6 Yr. 7 Yr. 8 Yr. 9 Yr. 10

Illustrative Cash Flow Structure (Household Model)

Accumulated cash

flow for Ozner


Initial investment2

Source: Prospectus, Company Information 1 Yr. 1 cash flow is assumed to be the mid-point of the range of first-year annual leasing fee (RMB 1,010-1,280); Yr. 2 to Yr. 10 cash flow is assumed to be the mid-point of the range of subsequent year annual

leasing fee (RMB 400-580), less the service fee of RMB 40, which is estimated by dividing warranty utilised in 2013 (RMB 12mm) by the number of machines installed at the end of 2012 (309K units). 2 Initial investment amount is estimated by dividing capex on revenue generating assets in 2013 by the number of new installed machines in 2013. 3 Renewal rate represents the percentage of our water purifying machines that remained installed and in service at the same end user’s premises after one-year service period.

Service resources in 125 cities for

sufficient end user coverage

Timely response (within 24 hours)

to on-site servicing requests

High Renewal Rates3

Machine Model 2012 2013

Corporate 98.6% 97.2%

Household 99.5% 99.4%

3,5351

20

Payback period of c.2 years

IRR of 37%

High End User Satisfaction

#2

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Strong economic incentives to

ensure distributors‟ loyalty

Minimum reliance on distributors

Manage our assets more

effectively

Faster penetration and better

access to potential end users

21

Sophisticated and Difficult-to-duplicate Distribution Network


Recurring revenue stream

No need to purchase or

maintain inventory

No need to provide post-

installation services

Benefits for Distributors Benefits for Us

Extensive and Well-managed Third Party

Distribution Network

Win-Win Management Philosophy

Strong control over its assets (machines) and quality of service

Only For Sourcing End Users

439 Principal Distributors

1,263 Sub-distributors

Commercial

End Users

Residential

End Users

#3

Inventory

Management

Machine

Installation

Post-installation

Service

End User Distributors

Long-term relationship with exclusive and loyal distributors create significant entry barrier

Co

mp

reh

en

siv

e IT

Su

pp

ort

Servicing Servicing

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Extensive Nationwide Distribution Network Growing Rapidly…

714 871

2011 2012 2013

Principal Distributors Sub-distributors

468

246

513

358 439

1,263

…And Diversified Across Different Regions1

11.2%

28.5%

34.4%

25.9%

2013 Rental Income Breakdown

Our headquarters

1,702 Total Distributors in 125 Cities Across 30 Provinces

Source: Prospectus, Company Information 1 South China includes Guangdong, Guangxi and Hainan.

East China includes Shanghai, Anhui, Fujian, Jiangsu, Shandong and Zhejiang.

North China includes Beijing, Tianjin, Hebei, Shanxi, Shaanxi and Inner Mongolia.

Regions covered by our distribution network

(No. of distributors)

No. of Distributors 2013 % Total

East China 539 31.7%

North China 499 29.3%

South China 458 26.9%

Other Regions 206 12.1%

Total 1,702 100.0%

22

East China North China South China Others

Beijing

Guangxi

Hunan

Hubei

Hainan

Xinjiang

Ningxia

Jiangsu

Shanghai

Hebei

Inner Mongolia

Shanxi

TTianjin

Shandong

Sichuan

Henan

Heilongjiang

Jilin

Anhui

Zhejiang

Fujian

Shaanxi

Guangdong

South China (centered in Guangzhou

and Shenzhen)

East China (centered in

Shanghai)

North China (centered in

Beijing)

Liaoning

Chongqing

Jiangxi

Yunnan

Qinghai

Guizhou

Gansu

Extensive and Well-managed Third Party

Distribution Network

Extensive coverage to increase market penetration and support Company’s fast growth

#3

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Multiple absorption filters

Remove harmful substances

in water

Reverse osmosis with 0.0001

micrometer pore filter

Improved by patented

technologies

Ozone sterilization to

kill germs and prevent

secondary pollution

Energy efficient and no

chemical contamination

Periodic water quality

testing and consumption

tracking

Alerting service center to

assign repair service

A

P

O

+

Innovative APO+ Technology

23

Source: Prospectus, Company Information 1 95%+ for second generation machines; water recovery ratio for first generation machines is c.20%-50%.

Absorption

Purification

Ozonation

Cloud Technology (+)



Our Second Generation Water Purifying Machines

Tab Water of 1.0L

Rejected

Water

Discharge

0.05L

Tap

Water

Rejected

Water

Purified

Water

Rejected

Water

Tank

Ozone

Filter

Drinking

Water

Tank

Ozone

Generator

Other

Filters

PPF

Filter

Ozone

Generator

Water

Tank

RO

Filter

Proprietary, patented design of the RO membrane which

significantly improves water recovery rate to over 95%

from industry levels of 20% to 50%¹

Purified

Water of

0.95L

Proprietary, patented technologies tailored specifically for water purification in China

#4

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To remove Safecopy

Frame go to View >

Master > Slide Master

24

Recognized By Domestic and Global Institutions

International SGS Test

ISO9001 & ISO14000

Certificate

Drinking Water Permit from

China’s Ministry of Health CB Certificate

CE Certificate

(European Union) RoHS Certificate

(European Union)

Patented Inventions and Designs Setting Water Purification Industry Standards

Help set national technical standards for water

purifying machines in China

Appointed in 2012 and 2013 as deputy chief of

“Industry Standard Promulgation Panel” under

the “National Household Electric Appliance

Technical Standardization Committee”

102 utilization and design

patents, including:

– 18 patents on ozone

technology

– 7 patents on reverse

osmosis technology




Strong R&D capabilities and achievements recognized globally

Set up own R&D center with accomplished

researchers, and supported by collaborations

with Hong Kong Polytechnic University and

Zhejiang University, to develop:

Water quality meets or surpasses many

domestic and global industry standards

Purifying machines pass numerous

product and process safety tests

conducted periodically

#4

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Entrepreneurial and Dedicated Management Team

Founder

and

Chairman

Mr. XIAO Shu

Over 15 years of industry and business experience; inventor of

several patented water and air purification technologies

Established Shanghai Comfort in 2005, formerly head of production

and R&D at several appliance companies

Oversees strategic development and execution of business plans

Production

Mr. XIAO Lilin

Over 10 years of experience in production and supply chain

management

Previously in the production department of numerous electronics

and appliance manufacturers

Oversees purifying machine production and construction of facilities

Technology

and

R&D

Mr. ZHU Mingwei

Nearly 20 years of industry and technical experience

Qualified engineer; member of technology certification committee

Oversees R&D and air sanitization business

Sales

and

Services

Mr. HE Jun

Over 12 years of industry and business experience

Accredited as senior quality and environment manager

Oversees service and sales of water purification business

Finance

Mr. TAN Jibin

10 years of experience in finance

Formerly senior auditor in Deloitte and associate finance manager

in Hong Kong-listed company

Oversees financial and administrative affairs


Sophisticated Financial

Sponsors with Long

Proven Track Records

25



#5

Work with management

to develop business

strategy and enhance

corporate governance

IV. Financial Highlights

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Overview of Financial Performance

0

100

200

300

400

2011 2012 2013

Water Purification Air Sanitization

(RMB mm)

58

187

273 56.7%

64.5% 67.8%

0%

20%

40%

60%

80%

0

100

200

300

400

2011 2012 2013

(RMB mm)

23

102

153 22.4%

35.0% 38.0%

0%

20%

40%

0

100

200

300

2011 2012 2013

(RMB mm)

Revenue Growth Gross Profit and Margin

Net Profit and Margin Return on Equity

27

102.3

290.4

402.3

43.9%

56.1%

31.9%

68.1%

22.0%

78.0%

7.4%

22.2% 22.7%

0%

10%

20%

30%

2011 2012 2013

Robust growth and profitability during track record period

Source: Prospectus, Company Information 1 Return on equity is calculated by dividing net profit by the average of the beginning and end balance of shareholders’ equity and due to Fresh Water Group.

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53

124

185 72

120

157

0

100

200

300

400

2011 2012 2013Rental Income to be Recognized in Next Fiscal Year

Rental Income to be Recognized in Current Fiscal Year

Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep

Contract Sales

Revenue in Current Year

Revenue Deferred to Next Year

2013 2014

Water Purifying Service Provided Water Purifying Service Yet to be Provided

RMB 1,200

RMB 300

RMB 900

Water Purification Business – Revenue Recognition & Contract Sales

Financial Performance

Contract Sales

53

124 185

72

120

0

50

100

150

200

250

300

350

2011 2012 2013

Rental Income From Contract Sales of Previous Fiscal Year

Rental Income From Contract Sales of Current Fiscal Year

(RMB mm)

53

196

305

125

244

342 (RMB mm)

Recognized Revenue in Current Year (Rental Income)

28

Key Assumptions:

Water purifying machine installed

for end user in Oct 1, 2013

Annual leasing fee is RMB1,200

Illustrative Revenue Recognition

High visibility and stability of cash flows


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53

162 175

33

131

4

2

8

0

50

100

150

200

250

300

350

2011 2012 2013

Other Revenue

Rental Income From Existing Machines (Income From ServiceRenewal)

Rental Income From Newly Installed Machines (Income From FirstYear Service)

(16.9%)

Water Purification Business – Profitability

(RMB mm) (RMB mm)

33,832

64,403

46,969

10,467

38,601

43,781

0

20,000

40,000

60,000

80,000

100,000

120,000

2011 2012 [09-2013]

空气净化净水器

Revenue1 Gross Profit and Margin

Financial Performance (Cont’d)

29

57

198

314

47

159

247

81.8% 80.5% 78.7%

0.0%

30.0%

60.0%

90.0%

0

50

100

150

200

250

300

350

2011 2012 2013

(7.1%)

(41.4%)

Other revenue

Rental Income – Existing Machines (service renewal)

Rental Income – Newly Installed Machines (first year of service）

Rapid growth with stabilizing profitability

Source: Prospectus, Company Information 1 Revenue includes rental income, training fee and sales of machines.

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11

28 26

24.7%

30.5% 28.9%

0%

5%

10%

15%

20%

25%

30%

35%

0

20

40

2011 2012 2013

37 51

42

30

38 50

0

50

100

2011 2012 2013Contract Sales to be Recognized in Next Fiscal Year

Contract Sales to be Recognized in Current Fiscal Year

(RMB mm)

Air Sanitization Business – Profitability & Contract Sales

Revenue

Contract Sales

(RMB mm)

Financial Performance (Cont’d)

30

Gross Profit and Margin

Sales Revenue

(RMB mm)

37

81 80

8 6

8

4 2

0

50

100

2011 2012 2013Rendering of Services Sales of Equipment Consulting Fee

45

93 88

37 51 42

30 38

0

50

100

2011 2012 2013

Revenue From Contract Sales of Previous Fiscal Year

Revenue From Contract Sales of Current Fiscal Year

37

81 80

67

88 92 (RMB mm)

Stable air purification business to provide income diversification


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5 8 11 1 3

18

2 3

3

1

3

4

7

10

13%

7%

11%

0%

2%

4%

6%

8%

10%

12%

14%

0

20

40

60

80

100

2011 2012 2013

OthersDepreciation and AmortizationRental ExpensesProfessional ServiceSalary and Welfare% of Revenue

10 18 22 3

7

17

5

7

9

4

8

2

2

2

19%

13% 14%

0%

2%

4%

6%

8%

10%

12%

14%

16%

18%

20%

0

20

40

60

80

100

2011 2012 2013

Rental ExpensesDepreciation and AmortizationOthersAdvertising and Marketing ExpensesSalary and Welfare% of Revenue

57

(RMB mm) (RMB mm)

33,832

64,403

46,969

10,467

38,601

43,781

0

20,000

40,000

60,000

80,000

100,000

120,000

2011 2012 [09-2013]

空气净化净水器

Selling and Distribution Expenses Administrative Expenses

Selling, Distribution & Administrative Expenses

31

19

38

13

21

45

Effective operating cost control


c.8% ex.

IPO

expenses

V. Company Strategy

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33

Company Strategy

Water Purification Services

Acquiring and retaining end users are our top priorities

Intensify Sales and Marketing Efforts

Increase Production Capacity

Expand Distribution Network

Traditional sales and marketing initiatives such as subway /

bus ads, online ads and social media to increase publicity

New media platforms such as gift card promotions through

QQ, Weibo and Wechat to promote word-of-mouth advertising

Further enhance image and market reputation to boost brand

awareness particularly in the residential segment

Increase production capacity in anticipation of

increased market demand

Expand production facility in Shaanxi province

Further expand distribution network and increase

market share

1 2

4 3


Ac

qu

irin

g E

nd

Us

ers

R

eta

inin

g E

nd

Us

ers

Shanghai

Guangzhou

Beijing

Shenzhen

Ac

qu

iring

En

d U

sers

Enhance Service Quality & Shorten Response Time

Expand regional sales offices and local service teams to

ensure timely response

Using technology to provide early feedback on end user

usage habits and shorten service response time

Ozner “Cloud”

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Company Strategy (Cont'd)

Air Sanitization Services

Marketing Focus On Key Strategic Industries

Food & Beverage Electronics

Medical Healthcare

Industries of focus for further expansion / development

34

Further Expand Air

Sanitization Business

Leverage existing

technologies and operational

experience to grow and

diversify client base

Focus on clients in medical

and healthcare industries

Apply air sanitization

technologies in residential

segment


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Conclusion

35

“Must-Have”

Opportunity

1

2

3

4

5

Extensive and Well-managed

Third Party Distribution Network



Innovative Lease and Service Business Model

with Distinctive Advantages Over

Conventional Drinking Water Business Models




Large Addressable Market with Strong Growth in China

Industry

Leader

Innovative

Business

Model

Distribution

Network

R&D

Capabilities

Management

Team

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36

Thank You!

Q&A

Appendix

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（RMB） Initial Year Subsequent Year Initial Year Subsequent Year

Corporate Model1 1,010 to 2,380 400 to 1,090 2,500 2,300

Household Model 1,010 to 1,280 400 to 580 1,680 680

Indicative Distributor Leasing Fees & End User

Service Fees

Paid By Principal Distributor to Company

Source: Prospectus, Company Information. Leasing fees and service fees reflect 2012 figures. 1 Excluding hub model. 2 Assuming the principal distributor pays initial year leasing fee of RMB 1,695 to the Company (average of 1,010 and 2,380) and subsequent year leasing fee of RMB 745 to the Company (average of 400 and 1,090). 3 Assuming the principal distributor pays initial year leasing fee of RMB 1,145 to the Company (average of 1,010 and 1,280) and subsequent year leasing fee of RMB 490 to the Company (average of 400 and 580).

38

Paid By End User to Principal Distributor

Illustrative Profitability Analysis for Principal Distributor (Corporate Model)2

805

1,555 1,555 1,555 1,555 1,555 1,555 1,555 1,555 1,555

0

1,000

2,000

3,000

Yr 1 Yr 2 Yr 3 Yr 4 Yr 5 Yr 6 Yr 7 Yr 8 Yr 9 Yr 10

（RMB）

Illustrative Profitability Analysis for Principal Distributor (Household Model)3

535

190 190 190 190 190 190 190 190 190

0

300

600

900

Yr 1 Yr 2 Yr 3 Yr 4 Yr 5 Yr 6 Yr 7 Yr 8 Yr 9 Yr 10

（RMB）

Accumulated Gross Profit: RMB 14,800

Accumulated Gross Profit: RMB 2,245

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Use of Proceeds

Use of Proceeds and Capital Expenditure

39

Manufacturing purifying machines

54% Manufacturing

facilities 20%

Loan repayment 11%

Sales & Marketing

5%

Working capital & general purposes

10%

Historical Capital Expenditures

154 206

256

26

70

162

1

1

32

0

100

200

300

400

500

2011 2012 2013

Revenue Generating Assets Property, Plant and Equipment

Other Capex

450

277

180

(RMB mm)


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Post-IPO Shareholding Structure

After Exercise of Over-allotment Option

Ozner Water International Holding Ltd.

(SEHK: 2014)

Mr. XIAO Shu

Mr. WANG

Xiaogang

(angel investor)

SAIF Partners Ares Goldman Sachs Other public

shareholders

19.12% 6.38% 25.50% 21.15% 7.94% 13.36%

Ozner Water Group Ltd.

(BVI)

HK Fresh Water Park Wealth

100% 100%

Shaanxi Haoze Shanghai Haoze Shanghai Comfort

100% 100% 100%

…

Other Onshore Subsidiaries

…

Other Onshore Subsidiaries

100%

Offshore

Onshore

40

Note: The above structure includes 63,300,000 shares of over-allotment option executed but does not account for the exercise of the Pre-IPO share option scheme (10% of the enlarged issued

share capital).

Och-Ziff Capital

Management

6.56%

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