Harvia Oyj · OMXHEX:HARVIA

Harvia Oyj — Merger or Acquisition (May 2021)

17 slides from Harvia Oyj's merger presentation, May 28, 2021

  1. Slide 1: Harvia strengthens its position in the sauna and spa market by acquiring Kirami

    Harvia strengthens its position in the sauna and spa market by acquiring still water hot tub manufacturer Kirami 28 May 2021 | Tapio Pajuharju, CEO | Ari Vesterinen, CFO Copyright © 2021 Harvia Oyj

  2. Slide 2: Today's agenda

    Today’s agenda 1. Transaction overview 2. Kirami in brief 3. Transaction rationale 4. Financials Copyright © 2021 Harvia Oyj

  3. Slide 3: Transaction overview

    Transaction overview • Harvia acquires Kirami Oy, a leading Finnish still water hot tub manufacturer and pioneer in wood-heated hot tubs globally. • The acquisition complements Harvia’s sauna and spa offering well and strengthens Harvia’s leading position as a global sauna and spa experience brand.

  4. Slide 4: Transaction overview

    Transaction overview • The purchase price is EUR 7 million at closing and on top of this, a delayed purchase price of EUR 0–4 million after three years’ period based on Kirami’s EBITDA development. • Harvia will finance the acquisition with cash funds. • After the transaction, Harvia owns 100% of Ki

  5. Slide 5: Transaction supports well Harvia's mission

    Transaction supports well Harvia’s mission MISSION Healing with Heat. Copyright © 2021 Harvia Oyj

  6. Slide 6: Kirami in brief

    KIRAMI IN BRIEF Copyright © 2021 Harvia Oyj

  7. Slide 7: One of the largest manufacturers of still water hot tubs globally

    One of the largest manufacturers of still water hot tubs globally • Family business established in 2001 • Leading Finnish still water hot tub manufacturer and pioneer in wood-heated hot tubs globally • Revenue EUR 16 million in fiscal year ended September 2020 • 42% of revenue from export; Central E

  8. Slide 8: Family business Kirami established in Sastamala in 2001

    Family business Kirami established in Sastamala in 2001 Mika Rantanen Eero Rantanen CEO CFO Copyright © 2021 Harvia Oyj

  9. Slide 9: Versatile offering for modern backyard living

    Versatile offering for modern backyard living Main product wood-heated still-water hot tubs Offering complemented by hot tub accessories, outdoor saunas and other products for outdoor living Copyright © 2021 Harvia Oyj

  10. Slide 10: Transaction rationale

    TRANSACTION RATIONALE Copyright © 2021 Harvia Oyj

  11. Slide 11: Transaction rationale

    Transaction rationale Supports our aim of increasing the Supports our ‘Healing with Heat’ Complements our offering for value of average purchase, mission and enables new wellness modern backyard living with a new geographical expansion, and innovations in the future product category improving our pr

  12. Slide 12: Transaction objectives

    Transaction objectives Increasing sales and market share Developing and expanding offering • Growing Harvia’s market share especially in residential • Expanding the hot tub offering to electrically heated sauna and spa solutions or hybrid still water hot tubs • Cross-selling saunas and hot tubs, off

  13. Slide 13: Financials

    FINANCIALS Copyright © 2021 Harvia Oyj

  14. Slide 14: Key financials of Kirami

    Key financials of Kirami EUR million 10/2018–9/2019 10/2019–9/2020 Last 12 months (5/2020–4/2021*) Net sales 8.6 16.0 22.1 Net sales growth +4.6% +85.3% +38.4% Adjusted EBITDA 0.5 2.3 3.3 Adjusted EBITDA margin 5.7% 14.5% 15.0% Adjusted EBIT 0.2 2.1 3.1 Adjusted EBIT margin 2.9% 13.4% 14.1% * Indica

  15. Slide 15: Effect on Harvia's financials

    Effect on Harvia’s financials • Illustrative combined revenue of Harvia for the financial year 2020, after the Kirami acquisition, amounts to EUR 128.6 million and adjusted EBITDA to EUR 31.7 million. • Harvia’s net debt will increase to EUR 38.3 million and long-term liabilities to EUR 56.6 million

  16. Slide 16: Q&A

    Q&A Copyright © 2021 Harvia Oyj

  17. Slide 17: Copyright © 2021 Harvia Oyj

    Copyright © 2021 Harvia Oyj

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