Spectrum Brands Holdings, Inc. · NYSE:SPB
Spectrum Brands — Merger or Acquisition (September 2021)
11 slides from Spectrum Brands's merger presentation, Sep 8, 2021
Slide 1: Spectrum Brands Investor Presentation: HHI Transaction
S p e c t r u m B r a n d s I n v e s t o r P r e s e n t a t i o n H H I T r a n s a c t i o n September 2021 E x h i b i t 9 9 . 2
Slide 2: Forward-looking statements
2 Forward-looking statements Certain matters discussed in this presentation may be forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. We have tried, whenever possible, to identify these statements by using words like “future,” “anticipate”, “intend
Slide 3: Reconciliation of Non-GAAP Financial Measurements
3 Reconciliation of Non-GAAP Financial Measurements Management believes that certain non-GAAP financial measures may be useful in certain instances to provide additional meaningful comparisons between current results and results in prior operating periods. Excluding the impact of current exchange ra
Slide 4: Executive Summary
4 Executive Summary (1) Net proceeds based on current tax law, which is subject to change. The Company anticipates that it will utilize all of its utilizable US federal net operating losses and credit carryforwards to offset the gain on sale. A US tax law change could have a material effect on the c
Slide 5: Transaction Thesis
5 Transaction Thesis Proceeds Will Drive Significant Deleveraging and Additional Capital Deployment Opportunities (~ $2.0b) Transaction Unlocks Significant Shareholder Value Results in a More Focused Leading Consumer Staples Company in Attractive Growth Categories Allows for Prioritization of Innova
Slide 6: Simplified Business That Will Now Be Focused on Three Growing Segments
6 Simplified Business That Will Now Be Focused on Three Growing Segments (1) LTM Q3’21 Adjusted EBITDA split based on total segment EBITDA and does not include corporate expenses. (2) Represents LTM Q3’21 Adjusted EBITDA for Spectrum Brands less LTM Q3’21 Adjusted EBITDA for HHI. LTM Q3’21 Sales $4,
Slide 7: The New Spectrum Brands Following the Closing
7 Global Pet Care Home & Garden Home & Personal Care The New Spectrum Brands Following the Closing Note: Pie chart represents LTM Q3’21 pro forma Adjusted EBITDA and does not include corporate expenses. Three focused business units with leading market share, strong growth opportunities and consisten
Slide 8: A Simplified Business Will Allow Us to Focus Investments to Grow with Leading Brands
8 A Simplified Business Will Allow Us to Focus Investments to Grow with Leading Brands (1) Represents percentage of LTM Q3’21 Pro Forma Adjusted EBITDA excluding corporate costs. HPC 25% of Pro Forma Adj. EBITDA(1) GPC 46% of Pro Forma Adj. EBITDA(1) H&G 29% of Pro Forma Adj. EBITDA(1) Top 15 Brands
Slide 9: Capital Strategy
9 Capital Strategy We intend to allocate capital internally to our highest return opportunities: R&D, Innovation, new products and advertising / marketing. Drive vitality and profitable organic growth. We intend to return cash to shareholders via dividends and opportunistic share repurchases. We int
Slide 10: Appendix
Spectrum Brands WE MAKE LIVING BETTER AT HOME™ — a APPENDIX
Slide 11: Reconciliation of Non-GAAP Financial Measures
11 Reconciliation of Non-GAAP Financial Measures For the Last Twelve Month ("LTM") period ended July 4, 2021 (in millions) HHI HPC GPC H&G Corporate Consolidated Proforma Consolidated (excl. HHI)(1) Net income from continuing operations 305.5$ 57.8$ 135.1$ 97.4$ (406.2)$ 189.6$ (115.9)$ Income tax e
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