Slide 1: Pro-Pac Group Broker Presentation 25 July 2007
For personal use only Pro-Pac Group Broker Presentation 25 July 2007
Slide 2: Contents
For personal use only Contents PB Acquisition – Highlights Pro-Pac Packaging (Aust) Pty Ltd Plastic Bottles Pty Ltd Pro-Pac Group Business Streams Acquisition – Key Parameters Benefits of Acquisition Shareholder Base & Board Structure Strategic Outlook – Combined Group Financial Su
Slide 3: PB Acquisition – Highlights
For personal use only PB Acquisition – Highlights Pro-Pac have announced a company transforming acquisition of Plastic Bottles Pty Ltd for $21.2 million Group Revenue increase – circa $26.0 million (2007) to circa $73.4 million (2008) Group EBITDA increase – circa $2.4 million (2007) to circa
Slide 4: Pro-Pac Packaging (Aust) Pty Ltd
For personal use only Pro-Pac Packaging (Aust) Pty Ltd Established in 1987 with operations in Sydney, Melbourne and Brisbane Listed on ASX in April 2005 (PPG) A leader in the manufacture, import and distribution of environmentally friendly, cost effective, industrial packaging. Successfully
Slide 5: Plastic Bottles Pty Ltd
For personal use only Plastic Bottles Pty Ltd Established in 1990 with operations in Sydney, Melbourne, Brisbane and Adelaide (4 distribution centres and 5 manufacturing plants) Specialist general container and closure packaging manufacturer, importer and distributor Successfully completed 13
Slide 6: Pro-Pac Group Business Streams
For personal use only Pro-Pac Group Business Streams Leader in biodegradable flowable void fill Efficient, bulk feed, patented environmentally friendly packaging systems Major distributor of general industrial packaging products – including Bubble wrap, pallet stretch film, tapes, strapping,
Slide 7: Acquisition – Key Parameters
For personal use only Acquisition – Key Parameters Pro-Pac to acquire Plastic Bottles for $21.2 million $10.2 million cash plus $2 million if earnings targets met 29.7 million shares @ $0.37 ($11 million) The deal will be funded by: $15.2 million institutional/professional share placement
Slide 8: Benefits of Acquisition
For personal use only Benefits of Acquisition Pro-Pac to more than double in size to $73 million+ provides market traction Increased market penetration – cross selling and synergy benefits from a combined customer base of 9,500 companies Centralised procurement with increased overseas imports
Slide 9: Shareholder Base & Board Structure
For personal use only Shareholder Base & Board Structure There will be 3 significant shareholders CVC approx 25.4% PB Vendors (voluntary escrow) approx 25% Bennamon Pty Ltd (associate of Visy Industrial Packaging) approx 19% Post acquisition the PPG board will have John Read (chairman), Tr
Slide 10: Strategic Outlook – Combined Group
For personal use only Strategic Outlook – Combined Group Strategy Outcome Revenue Continue industry consolidation strategy in each business line Organic Growth Harness cross-selling opportunities of 9,000 customers Procurement Strategy Expand product range Utilise purchasing scale to enhance
Slide 11: Financial Summary
For personal use only Financial Summary PPG (unaudited) Forecast 2007 2008 Revenue $26.0m $73.4m EBITDA $2.4m $8.5m EBITDA cps 5.7 cents 7.2 cents Shareholders Funds $21.14m $48.49m Gearing (debt to equity) 14.5% 12.3% 11
Slide 12: Contact Details
For personal use only Contact Details Trevor Morrow Group CEO & Managing Director Address: Pro-Pac Packaging (Aust) Pty Ltd 6 Rich Street Marrickville NSW 2204 Phone: (02) 9560 7799 Facsimile: (02) 9560 4447 Email: trevor.morrow@pro-pac.com.au 12