Jack In The Box Inc. · NASDAQ:JACK
Jack In The Box — Merger or Acquisition (December 2021)
10 slides from Jack In The Box's merger presentation, Dec 6, 2021
Slide 1: Del Taco Acquisition Summary
DEL TACO ACQUISITION SUMMARY December 6, 2021
Slide 2: Safe Harbor Statements
SAFE HARBOR STATEMENTS Forward-looking Statements This presentation contains forward-looking statements within the meaning of the federal securities laws. Forward-looking statements may be identified by words such as “anticipate,” “believe,” “estimate,” “expect,” “forecast,” “goals,” “guidance,” “in
Slide 3: Transaction Summary
TRANSACTION SUMMARY FINANCIAL CONSIDERATION • Jack in the Box to acquire Del Taco Restaurants for $12.51 per share in cash • Total transaction value: $575 million including existing debt • Values Del Taco at a synergy-adjusted multiple of ~7.6x LTM Adjusted EBITDA(1) • Expect to maintain investment
Slide 4: Del Taco: Consistent Execution, Strong Track-Record of Steady Growth
DEL TACO: CONSISTENT EXECUTION • 2ND LARGEST player in growing Mexican QSR space Serving delicious tacos for 57 YEARS STRONG TRACK-RECORD OF STEADY GROWTH • • ~600 UNITS, with a strong presence in California $918 $851 $857 • 99% RESTAURANTS feature $818 drive-thru with strong off-premise $784 $751 $
Slide 5: The Right Strategic Fit for Jack: Creating and Combining Strength, Scale and Expertise
THE RIGHT STRATEGIC FIT FOR JACK • “Scrappy, challenger brands” mindsets and similar business models result in significant synergy potential • True QSR in the attractive and growing Mexican category • Enhanced scale and financial flexibility CREATING AND - Reinforces unit development strategy for bo
Slide 6: Transaction Furthers Progress on Jack in the Box's Blueprint for Our Future
ADVANCING STRATEGIC OBJECTIVES TRANSACTION FURTHERS Immediately accretive transaction will INCREASE EBITDA GENERATION and provide ramp for continued improvements as expected PROGRESS ON JACK IN THE BOX’S synergies are realized BLUEPRINT FOR OUR FUTURE Expect to IMPROVE UNIT ECONOMICS through economi
Slide 7: Creates 2800+ Unit QSR Spanning States with Runway for Growth
CREATES 2800+ UNIT QSR SPANNING 25 STATES WITH RUNWAY FOR GROWTH TEAM UP TO BETTER COMPETE JACK IN THE BOX & DEL TACO COMBINED FOOTPRINT • One word, SYNERGY!: Value creation across procurement, development, construction, digital and technology TWO QSR’S ARE STRONGER THAN ONE • Franchisee’s have an o
Slide 8: Significant Financial Benefits
SIGNIFICANT FINANCIAL BENEFITS STRENGTHENS FINANCIAL PROFILE IDENTIFIED ACHIEVABLE SYNERGIES • Transaction expected to be mid-single-digit accretive to Jack in • Run-rate strategic and cost synergies expected at ~$15 million the Box’s EPS (excluding transaction expenses) in year one and by end of FY
Slide 9: Expected Timeline to Close
EXPECTED TIMELINE TO CLOSE + DECEMBER 6, 2021 Feb/Mar 2022 Q1 OF CALENDAR 2022 Transaction Del Taco Anticipated Announcement Shareholder Vote Transaction Close • Subject to customary closing conditions, including: • Forming integration planning team comprising members of both companies - Receipt of
Slide 10: Thank You
THANK YOU.
Jack in the Box — Merger or Acquisition (December 2021) on 6ix