Foraco International SA · TSX:FAR
Foraco International SA — IPO Roadshow (June 2007)
25 slides from Foraco International SA's IPO roadshow presentation, June 2007
Slide 1: IPO Roadshow Presentation
LEADING PROVIDER OF DRILLING SERVICES IPO Roadshow Presentation June 2007 Daniel Simoncini, Chairman & CEO Jean-Pierre Charmensat, Vice CEO and CFO 1
Slide 2: Forward-Looking Statements
Forward-Looking Statements This presentation includes and is based, inter alia, on forward-looking information and statements that are subject to risks and uncertainties. All statements within, other than statements of historical fact, are to be considered forward looking. Such forward-looking infor
Slide 3: A Leading Provider of Drilling Services
A Leading Provider of Drilling Services 100 Drilling rigs 655 Employees €50.8 Million Pro-Forma TTM Revenues €10.1 Million Pro-Forma TTM EBITDA * Pro-Forma for the acquisition of Connors Drilling Ltd. EBITDA is Earnings Before Interest, Taxes, Depreciation and Amortization. EBITDA is not a defined t
Slide 4: Management and Board
Management and Board Daniel Simoncini Rick LaBelle Chairman & Director Chief Executive Officer President of 4i Consulting, Inc. Jean-Pierre Charmensat Bruno Chabas Vice-CEO & Chief Financial Officer Director Chief Operating Officer of Acergy SA Tim Bremner Jean-Paul Camus Senior Vice President, Dire
Slide 5: Mining Industry
Mining Industry $ 7.5billion Global nonferrous exploration $ 2.5 billion Estimated global expenditures budgets for mining companies on mining exploration drilling in 2006 services for 2006 $8 $7 $6 $5 $4 $3 $2 $1 90 91 92 93 94 95 96 97 98 99 00 01 02 03 04 05 06 5
Slide 6: Water Industry
Water Industry Global Water Stress Intensifying 6 People in water scarcity or stress (billions) 5 very stressed 1.1billion 4 3 Number of people globally lacking access to standard minimum 2 number of liters of freshwater stressed per person, per day 1 0 1990 2005 2015 2050 $ 100 billion Estimated co
Slide 7: Energy Industry
Energy Industry Uranium Geothermal Energy Natural Gas Storage $ 3billion Capital raised since January 24 Countries producing $ 2 billion Estimated value of North 2006 by uranium companies geothermal energy American storage globally requirements by 2020 13,500 Mw Capacity of installed geothermal powe
Slide 8: Company Overview
Company Overview Unique Drilling Expertise Diverse Markets Broad Customer Base 8
Slide 9: Full Spectrum of Drilling Expertise
Full Spectrum of Drilling Expertise Diamond core drilling Rotary drilling Down the hole hammer (DTH) Reverse circulation drilling Air core Rotary air blast 9
Slide 10: Diversification of Key Markets
Diversification of Key Markets Mining & Energy Drilling Water, Environmental & Infrastructure Drilling
Slide 11: Operations on 5 Continents
Geographical Diversification 16 countries Operations on 5 Continents NORTH Canada AMERICA United States EUROPE France Germany AFRICA Burkina Faso Chad Djibouti Ivory Coast Ghana Guinea Mali Niger Mauritania SOUTH Peru AMERICA Chile ASIA-PACIFIC New Caledonia 11
Slide 12: Specialty Drilling Services
Specialty Drilling Services • Engineering expertise allows for customized solutions • Fulfills specific client needs • Competitive advantage over larger drilling service providers High tech slide
Slide 13: World Class Client Base
World Class Client Base Mining & Energy Drilling Water, Environmental & Infrastructure Drilling 13
Slide 14: Successful Business Model
Successful Business Model Continued growth by developing and optimizing our Organic activities across: Expansion • Geographical Regions and Strategic • Industry Segments Acquisitions • Customers • Services 14
Slide 15: Strategy in Action: Growth in North America
Strategy in Action: Growth in North America Acquisition Organic Connors Drilling (Feb/07) Eastern Canada Operations A proven, trusted name Growth through organic expansion in mining drilling • Based in Kamloops, BC • Based in North Bay, Ontario • 69 employees • 66 employees • 25 drills (surface and
Slide 16: Company Financials
FORACO Company Financials
Slide 17: Revenues and Gross Profit
Revenues and Gross Profit 20% 23% Gross Margin Gross Margin 60,000 50,000 40,000 37,706 38,000 35,138 30,000 22,000 20,000 10,000 7,679 8,233 (In Euro FY2005 FY2006 thousands) Mining Revenue Water Revenue Gross Profit Backlog at Year End 17
Slide 18: Revenues and Gross Profit
Revenues and Gross Profit 20% 23% 23% 25% Gross Margin Gross Margin Gross Margin Gross Margin 60,000 50,842 50,000 44,789 40,000 37,706 35,138 30,000 20,000 12,600 10,320 10,000 7,679 8,233 Pro-Forma TTM* (In Euro FY2005 FY2006 Pro-Forma 2006* (March 31 2007) thousands) Mining Revenue Water Revenue
Slide 19: EBITDA and Net Income
EBITDA and Net Income 14% EBITDA 17% EBITDA 18% EBITDA 20% EBITDA Margin Margin Margin Margin 10,103 10,000 8,163 8,000 5,943 6,000 5,259 3,981 4,000 2,630 2,167 2,000 1,776 Pro-Forma TTM* (In Euro FY2005 FY2006 Pro-Forma 2006* thousands) (March 31 2007) EBITDA Net Income * Pro-Forma for the acquisi
Slide 20: Growth Strategy
Growth Strategy 1. Enhance presence in Americas 1 2. Continue to capitalize 3 3 1 on African opportunity 3 3. Establish preferred 3 2 3 2 driller status with 1 more majors
Slide 21: Summary
Summary • Rapidly Growing Industry & Market Opportunity • Uniquely Positioned • Diverse Markets • Innovative Drilling Solutions • Strong Track Record of Performance • Solid Growth Strategy 21
Slide 22: Details of the Offering
FORACO Details of the Offering
Slide 23: Summary of the Offering
Summary of the Offering Refer to the preliminary prospectus of Foraco International SA for additional information as regards the offering Issuer Foraco International SA (“Foraco” or the “Company”) Up to $25,000,000 CAD in common shares, of which approx. $1,000,000 CAD will be Offering the secondary
Slide 24: Comparable Companies
Comparable Companies (in reported currency) As at June 18, 2007 TTM Metrics Share Market Enterprise EV/ Company Name Price Cap (MM) Value (MM) EBITDA PE Boart Longyear (ASX:BLY) $2.28 $3,386 $4,229 11.5x 20.0x Layne Christensen Co. (NasdaqNM:LAYN) $42.85 $665 $804 8.1x 22.6x Major Drilling Group Int
Slide 25: IPO Roadshow Presentation
LEADING PROVIDER OF DRILLING SERVICES IPO Roadshow Presentation 25