Westinghouse Air Brake Technologies Corporation · NYSE:WAB
Westinghouse Air Brake Technologies — Merger or Acquisition (January 2025)
11 slides from Westinghouse Air Brake Technologies's merger presentation, Jan 14, 2025
Slide 1: Wabtec to Acquire Evident's Inspection Technologies Division
1 WABTEC TO ACQUIRE EVIDENT’S INSPECTION TECHNOLOGIES DIVISION LEADING DIGITAL SOLUTIONS FOR MISSION CRITICAL EQUIPMENT & SERVICES
Slide 2: Forward-Looking Statements
2 This communication contains “forward-looking” statements within the meaning of the U.S. securities laws. All statements, other than historical facts, including statements regarding Wabtec’s proposed acquisition of Evident’s Inspection Technologies division, Inspection Technologies performance and
Slide 3: Today's Participants
Today’s Participants ERIC GEBHARDT Executive Vice President & Chief Technology Officer RAFAEL SANTANA President & Chief Executive Officer KYRA YATES Vice President, Investor Relations 3 JOHN OLIN Executive Vice President & Chief Financial Officer NALIN JAIN President, Digital Intelligence
Slide 4: Highly Attractive Acquisition Aligned With Wabtec's Strategic And Financial Objectives
Highly Attractive Acquisition Aligned With Wabtec’s Strategic And Financial Objectives 4 Attractive upfront purchase multiple of approximately 12.0x1 2025 projected adjusted EBITDA, supported by a high single- digit revenue growth outlook, accretive adjusted EBIT margins and accretive ROIC Accelerat
Slide 5: Introduction To Inspection Technologies
5 Introduction To Inspection Technologies Leading digital solutions for mission critical equipment & services COMPANY OVERVIEW Revenue by Segment Evident’s Inspection Technologies Division (Inspection Technologies), formerly part of the Scientific Solutions Division of Olympus Corporation, has the l
Slide 6: Inspection Technologies Offers Attractive Complementary Technology To Wabtec's Digital Intelligence Business
Inspection Technologies Offers Attractive Complementary Technology To Wabtec’s Digital Intelligence Business 6 ADVANCED TECHNOLOGY ENABLING PRODUCTIVITY, RELIABILITY AND SAFET Y FOR OUR CUSTOMER’ S MISSION - CRITICAL ASSETS & INFRASTRUCTURE Wabtec’s Digital Intelligence S I G N A L I N G S O L U T I
Slide 7: Inspection Technologies Expands Digital's Technology Capabilities, Growth Profile And Recurring Revenues
Inspection Technologies Expands Digital’s Technology Capabilities, Growth Profile And Recurring Revenues 7 (1) Inspection Technologies financials annualized to December year-end, (2) Wabtec internal estimate, (3) Based on third-party consulting analysis for year ending 2023, (4) Based on Inspection
Slide 8: Inspection Technologies Expands Wabtec's Offering In Rail And Mining Segments
Inspection Technologies Expands Wabtec’s Offering In Rail And Mining Segments 8 Rail Track Inspection Mining Equipment Inspection Wheel Set Inspection Ultrasonic inspection solutions in both manual and semi-automated use cases to prevent derailments and improve rail safety Ultrasonic, Eddy Current a
Slide 9: Wabtec Executing On Its Value Creation Framework
Wabtec Executing On It’s Value Creation Framework 9 INSPECTION TECHNOLOGIES ACQUISITION INVESTMENT FOCUS ON DIGITAL INTELLIGENCE WABTEC’S DRIVERS OF PORTFOLIO GROWTH 1 Accelerate innovation of scalable technologies 2 Grow and refresh expansive global installed base 3 Drive innovative fuel efficienci
Slide 10: Transaction Highlights
10 Transaction Highlights $1.78 billion purchase price in cash, subject to customary adjustments Represents 12.0x projected 2025 EBITDA multiple when adjusting for estimated transaction & separation costs, estimated tax benefits of ~$95 million and expected run-rate cost synergies of $25 million Fin
Slide 11: Concluding Thoughts
Concluding Thoughts 11 Attractive upfront purchase multiple of approximately 12.0x1 2025 projected adjusted EBITDA, supported by a high single- digit revenue growth outlook, accretive adjusted EBIT margins and accretive ROIC 1 2 3 4 Accelerates the growth of Digital Intelligence into adjacent busine
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