International shipping transports 90% of all goods, vital for world trade and the economy. Without it, the bulk transportation of raw materials and the import/export of food and goods would not be possible. The shipping industry has reached a substantial tipping point regarding energy consumption. Fuel costs consume a meaningful fraction of the industry’s revenue. And while the lifeblood of the global economy, shipping is a significant source of air pollution. So, there is an economic and environmental problem to be solved.
*Rendering of Magnuss VOSS. Images are computer-generated demo versions. The product is currently under development.
THE PROBLEM
With high fuel costs, and air pollution under ever-increasing scrutiny and regulation, the shipping industry faces economic and environmental challenges:
The recognized threat that these emissions have for the planet will thus increase an already significant fuel cost.
THE SOLUTION
At Magnuss, we have developed and patented a solution that increases fuel economy and reduces harmful emissions, by harnessing the wind. This addresses major problems facing the global shipping industry in terms of energy consumption and environmental impact. The idea is to augment ship propulsion with sails and supplement a ship’s installed engine power with a wind-based propulsion system, to deliver three benefits:
Our solution aims to dramatically reduce a ship’s fuel consumption and carbon footprint, predicated on a proven technology, re-engineered to fit today’s global shipping infrastructure.
*Rendering of Magnuss VOSS. Images are computer-generated demo versions. The product is currently under development.
WHAT WE DO
Inspired by past ingenuity, Magnuss re-imagined sail technology, called the Flettner rotor, first sea-trialed in the 1920’s by aviation engineer Anton Flettner. At Magnuss, we improved the Flettner rotor design by making it transformable. Introducing the Magnuss VOSS or Vertically-variable Ocean Sail System, a wind-based propulsion system embedded in a cargo ship as a retrofit.
The Magnuss VOSS, is the cutting-edge mechanical sail that can be installed in new and existing vessels with the potential to slash fuel consumption and emissions in half. The Magnuss VOSS augments a ship’s installed engine power with a propulsion system that converts wind into forward thrust. Its game-changing innovation is retractability—allowing the sail to be stowed below deck and free up port operations.
At scale, the VOSS design will be a 100-foot tall spinning, hollow, metal cylinder that propels a ship using the principle of physics called the Magnus effect, which is quite common. It’s the reason a spinning ball curves in mid-air. The Magnus effect is a force produced perpendicular to the wind direction when an axially-symmetric, rotating object is placed in a wind stream. It is worth noting that the VOSS does not create electricity (it is not a wind turbine). It creates thrust. Ideally, four to six VOSS units will be deployed aboard the biggest ships in the world to reduce a ship’s fuel consumption and carbon footprint.
*Rendering of Magnuss VOSS. Images are computer-generated demo versions. The product is currently under development.
HOW WE ARE DIFFERENT
The competitive landscape is lean. Several firms exploring soft sails, rigid sails and kites are inferior to the Flettner rotor-based systems, such as the VOSS, because they exhibit a lower lift coefficient and a higher cost per pound of thrust. A few competitive sail systems have emerged while falling short of delivering a robust high-quality product applicable for modern shipping.
The Magnuss VOSS stands above conventional vertically-fixed, Flettner-based systems in its innovative, patented design features. The key innovation and chief competitive advantage of the Magnuss VOSS is retractability. It can be fully retracted and stowed below deck, out of the way (different from all other current and past fixed Flettner rotor designs). This signature feature is important, especially for dry bulk carriers, when loading/unloading in port and for reducing drag in unsuitable conditions at sea.
*Rendering of Magnuss VOSS. Images are computer-generated demo versions. The product is currently under development.
THE MARKET
Global shipping has roughly 55,000 ships, which comprise today’s merchant world fleet. More than three-quarters of these ships are cargo ships, tankers, and dry bulk carriers - the total addressable market for Magnuss. Our initial target market is the dry bulk carrier sector comprising 12,258 ships, which are ideally suited for the Magnuss VOSS design. Of these ships, we are focused first on the largest, gearless bulk carriers which typically carry grain and iron ore. From this sector alone, the financial value created annually by reducing fuel consumption and harmful emissions is meaningful.
(Source) The above data is from varying sources including the UN Maritime Transport Review report, and Statista Research.
OUR TRACTION
After nearly a decade of extensive investment in design, certification, patents, and customer validation, and drawing on shipping operational and technical expertise and support, Magnuss is ready to expand! Patented across 16 countries, the Magnuss VOSS is approved by Lloyd’s Register, the UK classification society, meaning the design meets the highest standard for quality in global shipping. We have a full- scale ship deployment plan in place, through our joint industry work with ship owners, charterers and shipyards. And our savings and performance analytics have been verified by Lloyd’s Register in its newly released 2021 Report. Today, Magnuss is seeking capital as it continues in collaboration with industry partners, spanning the next 12-18 months to develop one of the largest ever, wind-based propulsion projects and unlock customer demand for more fuel-efficient dry bulk shipping.
THE BUSINESS MODEL
Our business model is direct sales to customers and employs several distribution channels. Revenues are generated from selling / financing VOSS units and driven by ship deployments. The Magnuss VOSS units are sold directly to shipowners or may be deployed with 3rd party financing. We provide our customers with value by reducing the need for fuel to propel the vessel and helping them meet the demands of increasing environmental legislation. And our contract manufacturing approach affords capital efficiency, high free cash flow, low-cost production, low overhead and limited inventory.
A unique element of the Magnuss go-to-market strategy is its Save As You Sail project finance model. To scale the business, Magnuss can leverage project finance, fully supported by a share of the savings to accelerate deployment at no cost to the ship owner.
a global impact
Measures that make shipping economically efficient and environmentally friendly are attracting a lot of attention. Leading industrials and global shipping firms need not be convinced that managing fuel requirements directly result in improved financial performance and reduced regulatory risk. The Sustainable Shipping Initiative (SSI) is a multi-stakeholder collective working to accelerate sustainable development in the shipping industry through cross-sectoral collaboration. SSI members selected Magnuss for a case study resulting in a favorable review.
The past two years have marked a turning point, where an increasing emphasis on combating climate change led to an elevated focus on sustainable solutions among the players in commercial maritime shipping. At a macro level, the industry and the regulators committed to more sustainable practices. Meanwhile, at a micro level, individual organizations answered the bell to curb harmful greenhouse gas emissions. Specifically, ship owners and charterers moved aggressively to prepare for future regulations, support sustainable operations, and manage the environmental impact of their fleets. The main driver continues to be evolving regulation.
The Global Maritime Forum unveiled in 2020 a set of working principles on behalf of charterers that reflect a bias to ships actively reducing their carbon footprint. Coupled with the Poseidon Principles, a self-governing climate alignment agreement amongst financial institutions, the Sea Cargo Charter demonstrates charterers’ commitment, alongside the banks' commitment, to reducing the shipping industry's carbon footprint.
In June, the International Maritime Organization adopted technical and operational measures to reduce the carbon intensity of international shipping, taking effect January 2023. With new regulations and customer driven carbon requirements on the horizon, the sector is set to become increasingly more sustainable. This is good news for emissions reduction technologies such as the Magnuss VOSS.
THE VISION
Magnuss was established to address the major problems facing the global shipping industry, with a focus on energy consumption and environmental impact. Our goal at Magnuss is to transform the world’s cargo fleet into a more efficient, low cost, low polluting, means of ocean transport. We aim to lead the shipping industry in a more cost effective and sustainable direction, capturing a significant market share of today’s commercial fleet.
*Rendering of Magnuss VOSS. Images are computer-generated demo versions. The product is currently under development.
OUR LEADERSHIP
Bound by history and a singular vision, our senior team has worked together for decades, drawing on deep, hands-on expertise in maritime shipping, clean tech, renewable energy project development, finance, software development, and data analytics. CEO, co-founder and veteran executive, James Rhodes, holds an MBA from Columbia University, a BS in Electrical Engineering from Brown University and has 30+ years of experience in maritime shipping, renewable energy development, project finance, investment banking and management consulting. COO, co-founder and tech entrepreneur, Ted Shergalis, holds a BA from Harvard University and leverages expertise in shipping and early-stage, high-growth business development, software, analytics and operations.
Magnuss is supported by a broad network - - experts from academia and industry. The board of directors and commercial advisors bring extensive experience to drive growth. Magnuss collaborates with industry participants such as ship owners, charterers, shipbuilders and financial institutions. Magnuss continues to forge ties with the strongest, most influential shipping organizations to ensure commercial success at scale.
WHY INVEST
Ship owner/operators are laser-focused on eco efficiency ahead of tighter regulations. Magnuss is set to deliver a reliable, best-in-class technology and an investment opportunity with global impact. Our scalable business model is ready to meet immediate customer demand, delivering customers significant and quantifiable fuel savings affording a short payback period. Bottom line savings are meaningful, especially on a line item that represents a large fraction of a ship’s annual operating expense. In an industry facing increasing regulatory pressure, an important benefit of the VOSS is the degree to which it creates not only economic value, but also large-scale carbon emission reductions.
Magnuss is providing the means for 100% renewable energy-based ocean transportation and charting a course to make global maritime shipping economically efficient and environmentally sustainable. Join us on this journey to bring wind power to the worlds shipping fleet. Invest in Magnuss today.
*Rendering of Magnuss VOSS. Images are computer-generated demo versions. The product is currently under development.
Company | : | Magnuss Corp. |
Corporate Address | : | 580 Riverside Ave., #104, Westport, CT 06880 |
Offering Minimum | : | $10,000.00 |
Offering Maximum | : | $1,070,000.00 |
Minimum Investment Amount(per investor) | : | $240.00 |
Offering Type | : | Equity |
Security Name | : | Common Stock |
Minimum Number of Shares Offered | : | 500 |
Maximum Number of Shares Offered | : | 53,500 |
Price per Share | : | $20.00 |
Pre-Money Valuation | : | $27,116,460.00 |
Voting Rights of Securities Sold in this Offering
Voting Proxy.
Each Subscriber shall appoint the Chief Executive Officer of the Company (the “CEO”), or his successor, as the Subscriber’s true and lawful proxy and attorney, with the power to act alone and with full power of substitution, to, consistent with this instrument and on behalf of the Subscriber, (i) vote all Securities, (ii) give and receive notices and communications, (iii) execute any instrument or document that the CEO determines is necessary or appropriate in the exercise of his authority under this instrument, and (iv) take all actions necessary or appropriate in the judgment of the CEO for the accomplishment of the foregoing. The proxy and power granted by the Subscriber pursuant to this Section are coupled with an interest. Such proxy and power will be irrevocable. The proxy and power, so long as the Subscriber is an individual, will survive the death, incompetency and disability of the Subscriber and, so long as the Subscriber is an entity, will survive the merger or reorganization of the Subscriber or any other entity holding the Securities. However, the Proxy will terminate upon the closing of a firm-commitment underwritten public offering pursuant to an effective registration statement under the Securities Act of 1933 covering the offer and sale of Common Stock or the effectiveness of a registration statement under the Securities Exchange Act of 1934 covering the Common Stock.
*Maximum Number of Shares Offered subject to adjustment for bonus shares. See Bonus info below.
Investment Incentives and Bonuses*
Time-Based Perks
Friends and Family
Invest in the first 72 hours and receive 15% Bonus Shares.
Super Early Bird
Invest within the first week and receive 10% Bonus Shares.
Early Bird Bonus
Invest within the first two weeks and receive 5% Bonus Shares.
Amount-Based Perks
Tier 1 | $5,000+
Invest $5,000+ and receive 5% Bonus Shares.
Tier 2 | $10,000+
Invest $10,000+ and receive 10% Bonus Shares.
Tier 3 | $20,000+
Invest $20,000+ and receive 20% Bonus Shares.
*All perks occur when the offering is completed.
The 10% StartEngine Owners' Bonus
Magnuss Corp. will offer 10% additional bonus shares for all investments that are committed by investors that are eligible for the StartEngine Crowdfunding Inc. OWNer's bonus.
This means eligible StartEngine shareholders will receive a 10% bonus for any shares they purchase in this offering. For example, if you buy 100 shares of Common Stock at $20.00 / share, you will receive and own 110 shares for $2,000.00. Fractional shares will not be distributed and share bonuses will be determined by rounding down to the nearest whole share.
This 10% Bonus is only valid during the investor's eligibility period. Investors eligible for this bonus will also have priority if they are on a waitlist to invest and the company surpasses its maximum funding goal. They will have the first opportunity to invest should room in the offering become available if prior investments are canceled or fail.
Investors will only receive a single bonus, which will be the highest bonus rate they are eligible for.
Insider Investment Notice
Officers, directors, executives, and existing owners with a controlling stake in the company (or their immediate family members) may make investments in this offering. Any such investments will be included in the raised amount reflected on the campaign page.
A crowdfunding investment involves risk. You should not invest any funds in this offering unless you can afford to lose your entire investment. In making an investment decision, investors must rely on their own examination of the issuer and the terms of the offering, including the merits and risks involved. These securities have not been recommended or approved by any federal or state securities commission or regulatory authority. Furthermore, these authorities have not passed upon the accuracy or adequacy of this document. The U.S. Securities and Exchange Commission does not pass upon the merits of any securities offered or the terms of the offering, nor does it pass upon the accuracy or completeness of any offering document or literature. These securities are offered under an exemption from registration; however, the U.S. Securities and Exchange Commission has not made an independent determination that these securities are exempt from registration.
Thank you to all who invested in Magnuss. We’re grateful for your support. And to our followers along with our StartEngine partners, we appreciate your engagement during the crowdfunding campaign. Keep in touch as we bring wind power to the world’s shipping fleet.
Invest in the company that’s geared to transform global shipping as we know it. Invest with Magnuss today! (www.startengine.com/magnuss).
There is no better time to invest in Magnuss, the company that aims to slash harmful greenhouse gas emissions with its patented, innovative sail technology. Join us and other investors on this journey to bring wind power to the world’s shipping fleet. If you have not yet finished your investment, make sure to do so while there is still time. Invest with Magnuss today! (www.startengine.com/magnuss).
Invest in Magnuss today and support the rollout of the Magnuss VOSS (Vertically-variable Ocean Sail System), an example of a modern technology that offers remarkable fuel savings at a time when minimizing costs, reducing fossil fuel use and complying with regulations are crucial. Only 6 days left to cash in on rewards. Join us.
Thank you to all who have invested in our company so far! Welcome. We’re excited to grow the investor community. With hard work, determination and persistence, Magnuss has achieved a great many milestones and we are excited about the future ahead. Today, we see the upside of past efforts buoyed by strong customer demand, carbon price signals and supportive regulations. With just 8 days remaining, let’s make that final push together. Please share our campaign with your friends and family (www.startengine.com/magnuss).
EU Parliament wants to include shipping emissions in the EU ETS. “To incentivise industries to further reduce their emissions and invest in low-carbon technologies, the Emissions Trading System (EU ETS) should be reformed and its scope enlarged,” Members of the European Parliament said. Learn more: https://www.offshore-energy.biz/eu-parliament-wants-to-include-shipping-emissions-in-the-eu-ets/. This is good news for Magnuss and its Vertically-variable Ocean Sail System (VOSS) technology. Only 10 days left! Invest in Magnuss today.
The shipping sector is increasingly more sustainable, with regulations and customer driven carbon requirements, This is great news for Magnuss. The IMO adopted measures to reduce the carbon intensity of international shipping, taking effect January 2023. The Global Maritime Forum unveiled a set of working principles on behalf of charterers that reflect a bias to ships actively reducing their carbon footprint. Coupled with the Poseidon Principles, a self-governing climate alignment agreement amongst financial institutions, the Sea Cargo Charter demonstrates charterers’ commitment, alongside the banks' commitment, to reducing the shipping industry's carbon footprint. And Magnuss is well positioned meet customer demand. Invest now and join us! Only 12 days remain! Click to learn more: https://www.youtube.com/watch?v=DA85oHJqXzg
Global shipping emits a billion tons of CO2 per year—more than is produced by all the cars in the US annually. We can solve this problem today by harnessing the power of wind. Wind-based propulsion systems are currently available. And proven to work. The Magnuss VOSS is the cutting-edge hi-tech sail that augments engine power to cut fuel consumption and emissions up to 50%. Click to invest in the company that’s positioned to deliver a greener tomorrow. Don’t miss out. Only 13 days left. Invest in Magnuss today!
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