Diodes Incorporated · NASDAQ:DIOD
Diodes — Diodes Inc /Del/ — Merger or Acquisition (April 2008)
16 slides from Diodes's merger presentation, Apr 4, 2008
Slide 1: Diodes to Acquire Zetex
Power Efficient Analog Solutions for the Digital Age Diodes to Acquire Zetex April 2008 Discrete Solutions for Advancing Technologies
Slide 2: Safe Harbor Statement
1 Any statements set forth herein that are not historical facts are forward-looking statements that involve risks and uncertainties that could cause actual results to differ materially from those in the forward-looking statements. Potential risks and uncertainties include, but are not limited to, su
Slide 3: A Winning Combination
2 2007 Revenue $401mm 2007 Gross Margin 32.5% 2007 Revenue $127mm 2007 Gross Margin 32.4% Over 45 Years of Semiconductor Expertise Discrete, power management, and ASSP products Proprietary technologies Solid application and design team Strong presence in Europe Industrial, communications and automot
Slide 4: Transaction Overview
3 Terms and Considerations Anticipated Close Conditions Diodes will pay 85.45 pence per share in cash Values fully diluted share capital at £89.1mm (USD $176.3mm1) Expected to close in June 2008 Diodes and Zetex Boards have approved the transaction Subject to approval by Zetex's shareholders, custom
Slide 5: Zetex Company Highlights
4 Zetex Company Highlights (1) Zetex financials converted using an exchange rate of 1.962USD:1.000GBP, exchange rate reported in Zetex press release on 2/21/2008 Business Overview Financial Overview Corporate Overview Manufacturing Overview Leading provider of discrete and analog semiconductor produ
Slide 6: Zetex Attributes
5 Zetex Attributes Application centric product portfolio Discrete products Power management ICs Application focused ICs Technology leadership in Bipolar transistors Early entrant with drivers for emerging LED lighting market Strong European sales channels Tier 1 customers including Emerson, Samsung,
Slide 7: Strategic rationale: product, footprint, technology and scale
6 Strengthen Product Offering Expand Geographical Footprint Leverage Technology and Process Capabilities Enhance Scale Increases the depth of discrete and power management offering Adds ASSP products for industrial, consumer, communications, automotive and computing markets Allows entry into new mar
Slide 8: Increase in Depth and Breadth of Products
7 Increase in Depth and Breadth of Products STOP DO NOT BREAK APART This is an embedded Word table. Right click to open and edit. STOP DO NOT BREAK APART This is an embedded Word table. Right click to open and edit. Diodes Product Portfolio Zetex Product Portfolio Overlapping Products
Slide 9: End Market Diversification
8 2007 Revenue $127mm 2007 Revenue $401mm Combined 2007 Revenue $528mm End Market Diversification + (1) Zetex financials converted using an exchange rate of 1.962USD:1.000GBP, exchange rate reported in Zetex press release on 2/21/2008
Slide 10: Improved Geographic Mix
9 Improved Geographic Mix + 2007 Revenue $127mm 2007 Revenue $401mm Combined 2007 Revenue $528mm (1) Zetex financials converted using an exchange rate of 1.962USD:1.000GBP, exchange rate reported in Zetex press release on 2/21/2008
Slide 11: Broad and Deep Customer Relationships
10 Broad and Deep Customer Relationships Quanta Hon Hai
Slide 12: Global Manufacturing Infrastructure
11 Global Manufacturing Infrastructure 1 1 2 2 1 Kansas City, MO Wafer Foundry Shanghai, China Packaging Neuhaus, Germany Packaging Oldham, UK Wafer Foundry 2 1 2 3 Chengdu, China JV: Packaging 3
Slide 13: Efficient Manufacturing + Superior Processes
12 Efficient Manufacturing + Superior Processes Synergies through Diodes' efficient manufacturing Shorter design times through Zetex's process expertise Expansion of market Acceleration of margin growth Shanghai-based packaging with a capacity in excess of 15 billion units Flexible and optimized man
Slide 14: Financial Overview Post Acquisition
13 Financial Overview Post Acquisition STOP DO NOT BREAK APART This is an embedded Word table. Right click to open and edit. STOP DO NOT BREAK APART This is an embedded Word table. Right click to open and edit. Large revenue base with $528mm combined 2007 revenue Significant cash flow generation wit
Slide 15: Combined Financials and Margins
14 Combined Financials and Margins (1) (1) Zetex financials converted using exchange rates as per company filings: 1.962USD:1.000GBP, 1.848USD:1.000GBP, 1.807USD:1.000GBP in 2007, 2006 and 2005 respectively Revenue Gross Profit EBIT Net Income
Slide 16: How Zetex Fits into Diodes' Growth Strategy
15 How Zetex Fits into Diodes' Growth Strategy Expand portfolio of standard function, application specific products Differentiate business with innovative and cost effective process and packaging technologies Leverage existing customer base to drive product sales Expand market share in high-growth e
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