Metro Performance Glass Ltd · NZX:MPG
Metro Performance Glass — Merger or Acquisition (August 2016)
11 slides from Metro Performance Glass's merger presentation, Aug 12, 2016
Slide 1: Acquisition of Australian Glass Group
For personal use only Metro Performance Glass Acquisition of Australian Glass Group, 12 August 2016 Strictly confidential and not for public release
Slide 2: Disclaimer
Disclaimer For personal use only This presentation (“Presentation”) has been prepared by Metro Performance Glass Limited (Company Number 5267882) (“Metro Performance Glass”). Please do not read this Presentation in isolation This presentation contains some forward looking statements about Metro Perf
Slide 3: Australian Glass Group acquisition overview
Australian Glass Group acquisition overview For personal use only Metro Performance Glass Limited (“Metro Glass”) has reached a conditional agreement to acquire 100% of the shares in Australian Glass Group (Holdings) Pty Ltd (“AGG”) for A$43.1 million The transaction remains subject to a number of c
Slide 4: Strategic Rationale
Strategic Rationale For personal use only Why Australia? Metro Glass now has a greater than 50% share of the glass processing market in New Zealand and over the medium to long term there may be a ceiling to its growth potential – Only willing to consider a geographical step out acquisition if comfor
Slide 5: Increasing adoption of double glazing presents a significant opportunity
Increasing adoption of double glazing presents a significant opportunity For personal use only Double glazing penetration is gathering significant momentum in cooler climates like Victoria and Tasmania, which we currently estimate to account for c. 30-50% of windows in new construction Metro Glass i
Slide 6: AGG: overview of the business being acquired
AGG: overview of the business being acquired For personal use only Australian Glass Group was created in 2008 with the combination of Moen Glass (VIC), Bevelite Glass (NSW) and CL Glass (QLD; now sold1), and today is the third largest glass processer in Victoria and New South Wales Victoria New Sout
Slide 7: Victoria & New South Wales offer sizeable markets with stable medium term growth outlook
Victoria & New South Wales offer sizeable markets with a relatively stable medium term growth outlook in new detached dwelling construction For personal use only Victoria Residential Approvals New South Wales Residential Approvals New Detached Housing New Multi Dwelling Units New Detached Housing Ne
Slide 8: AGG also services the alterations & additions market
AGG also services the alterations & additions market which have historically been relatively stable throughout the building cycle For personal use only Victoria Alterations & Additions Spend New South Wales Alterations & Additions Spend 3.0 3.0 2.5 2.5 (A$bn; last 12 months) (A$bn; last 12 months) T
Slide 9: AGG is a strong fit with Metro Glass, leveraging key competencies across both markets
AGG is a strong fit with Metro Glass, providing the ability to leverage key competencies across both markets For personal use only AGG and Metro Glass are culturally aligned on Metro delivering high quality and service Business comparison AGG Glass Metro Glass’ business model is driven by Glass proc
Slide 10: Consideration and Financing
Consideration and Financing For personal use only Acquisition Terms Negotiated purchase price for AGG of A$43.1 million, on a cash and debt free basis Implied transaction multiple of approximately 5.4x EBITDA The transaction remains subject to a number of customary conditions and adjustments. It is
Slide 11: Contact information
Contact information For personal use only Metro Performance Glass Limited Nigel Rigby – Chief Executive Officer nigel.rigby@metroglass.co.nz 5 Lady Fisher Place, East Tamaki (+64) 027 703 4184 Auckland 2013 New Zealand John Fraser-Mackenzie – Chief Financial Officer Ph: + 64 9 927 3000 john.fraser-m
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