Anheuser-busch Inbev Sa/nv · EURONEXT:ABI
Anheuser-busch Inbev Sa/nv — IPO Roadshow (November 2008)
30 slides from Anheuser-busch Inbev Sa/nv's IPO roadshow presentation, Nov 24, 2008
Slide 1: Rights Offering Presentation
Rights Offering Presentation 24 November 2008 NOT FOR DISTRIBUTION OR RELEASE, DIRECTLY OR INDIRECTLY, IN OR INTO THE UNITED STATES, CANADA, AUSTRALIA, AND JAPAN OR ANY OTHER JURISDICTION IN WHICH THE DISTRIBUTION OR RELEASE WOULD BE UNLAWFUL
Slide 2: Disclaimer
This document has been prepared by Anheuser-Bush InBev SA/NV (the “Company”) solely for use in the presentation being given in connection with the evaluation of an offering of new shares initially to shareholders who may lawfully subscribe for new shares of the Company and subsequently to institutio
Slide 3: Introduction to the Capital Increase
Introduction to the Capital Increase
Slide 4: Offering summary
Offering summary Company Anheuser-Busch InBev SA/NV (“Anheuser-Busch InBev”) Offering Rights offering Ratio 8 new shares for 5 rights (one right per share) Subscription price €6.45 Size Approx. €6.36bn(a) Use of proceeds Refinance part of the acquisition price of Anheuser-Busch Euronex
Slide 5: Offering timetable
Offering timetable Rights offering terms announced 24 November Prospectus published Record date (after market close) 25 November Start of rights subscription period 9 December End of rights subscription period 11 December Potential rump placing 12 December Announcement of results of ri
Slide 6: Successful completion of key transaction milestones
Successful completion of key transaction milestones InBev proposes combination with Anheuser-Busch 11 June Would create global leader in beer by volume InBev and Anheuser-Busch agree to combine 13 July Both companies' Boards of Directors unanimously approved the transaction 28 August InBev
Slide 7: Anheuser-Busch InBev — Key Investment Highlights
Anheuser-Busch InBev — Key Investment Highlights
Slide 8: Investment highlights
Investment highlights 1 Global platform with strong market positions 6 2 Experienced management team with a track record of delivering Balanced geographical synergies through business diversification combination 5 3 Strict financial discipline Strong brand portfolio with resulting in industry-leadin
Slide 9: The Combined Company is a top 5 consumer company and a global leader in beer
6 1 2 The Combined Company is a top 5 consumer company and 5 4 3 a global leader in the beer industry… Leading Consumer Companies Global Brewers (2007 EBITDA) 454 (2007 volumes) (in mhl) (d) (b) (e) Global Brewers €7.9bn Global Brewers €26.4bn (2007 revenues) (2007 EBITDA) (c) (d) (d) (a) Note: Data
Slide 10: A strong global platform affording access to key beer markets
6 5 1 2 3 …with a strong global platform affording access to key beer markets 4 Primarily InBev Primarily Anheuser-Busch InBev & Anheuser-Busch #2 Europe T #1 h e North #2 America Asia #1 Latin America Note: A-B’s footprint in Mexico is through a 50.2% economic interest in Diblo 10
Slide 11: Balanced geographical diversification
Balanced geographical diversification… 1 6 2 5 3 4 Anheuser-Busch 9M 2008 InBev 9M 2008 volumes beer volumes(b) (a) International 19% Total volumes: 199.3 mhl Total beer volumes: 118.7 mhl(c)/150.1 mhl(d) The operating profit for the Combined Company will be split approximately evenly between emergi
Slide 12: Complementary offerings in China
…with complementary offerings in China 1 6 2 5 3 4 Strong complementarity between Anheuser-Busch and InBev operations Significant further potential for Budweiser Hubei Primarily InBev presence InBev brewery InBev & Anheuser-Busch presence Primarily Anheuser-Busch presence Anheuser-Busch brewery
Slide 13: Strong brand portfolio with global, multi-country and local brands
6 5 1 2 3 Strong brand portfolio with global, multi- country and local brands… 4 Top 5 global beer markets by volume China US Russia Brazil Germany Global brands Multi-country brands Selected local brands (a) (b) Import brands (b) (a) Equity brand (b) Budweiser is locally produced in China and licen
Slide 14: Strategically managed through targeted brand investment
6 5 1 2 3 …strategically managed through targeted brand investment 4 Positioning matrix high Defend Grow and invest Today’s Tomorrow’s winners winners Profit and growth potential Maximise short-term cash Maintain profit Divest low low high Market share Out of over 200 brands we particularly focus on
Slide 15: Strong innovation and brand development capabilities
6 5 1 2 3 Strong innovation and brand development capabilities… 4 Strong competitive position built through innovation and understanding of consumer needs and consumption trends Successful examples of recently developed products by InBev include Beck’s Vier and Stella 4% in the UK, Hoegaarden Ro
Slide 16: Cost-Connect-Win model and Values Based Brands approach
6 5 1 2 3 …facilitated by the “Cost-Connect-Win” model and a “Values Based Brands” approach 4 “Values Based Brands”—a key element in connecting with consumers Achieve sustainable, profitable Single, clear, compelling values based reason for consumer growth preference 37 different consumer values
Slide 17: Strict financial discipline resulting in industry-leading margins
6 5 1 2 3 Strict financial discipline resulting in industry-leading margins 4 InBev standalone margin evolution World class efficiency and financial discipline is a core component of +990 bps our culture The company has a number of group-wide cost efficiency programmes in place, most importantly
Slide 18: Significant synergies realisable as result of the transaction
6 5 1 2 3 Significant synergies realisable as result of the transaction 4 • Management fully confident in delivery of synergies under Blue Ocean plan • Further cost synergies foreseen as a consequence of the combination Comment • Revenue enhancement opportunity including Budweiser expansion, complem
Slide 19: Experienced management team with a track record of delivering synergies
6 1 2 Experienced management team with a track record of 5 3 4 delivering synergies through business combination… Key transactions Commitments Delivery Expand throughout Expansion to Central America, and InBev Latin America transaction AMBEV creation Targeted level of pre-tax EBITDA expansio
Slide 20: Best Beer Company in a Better World
6 5 1 2 3 …with a common shared dream:Being the “Best Beer Company in a Better World” 4 Producing high quality products Creating long term economic value Striving for sustainable operations that make a positive contribution to society Promote Manage our Invest in our Responsible environmental
Slide 21: A successful story built on a strong Corporate Culture
6 5 1 2 3 A successful story built on a strong Corporate Culture 4 Best Beer Company in a Better World Full involvement of top management and employees Dream Focus on economic benefit as well as environmental performance, people and community Promoting local responsible drinking campaigns Tale
Slide 22: Financing for the Anheuser-Busch acquisition and update on 9M 08 interim results
Financing for the Anheuser-Busch acquisition and update on 9M 08 interim results
Slide 23: Sources and Uses of funds
Sources and Uses of funds ($bn) Sources of funds Uses of funds Term A Bridge to DCM (12+12 mo.) $12.0bn Offer price for A-B Share $70.00 Term B 1 year Bridge on Disposals $7.0 Number of Shares (Fully Diluted) 750m Term C 3 year Bullet Bank Loan $13.0 Equity Value $52.5bn (a) Term D 5 year Bullet Ban
Slide 24: Committed to rapid de-leveraging
Committed to rapid de-leveraging Credit profile Committed to maintaining investment grade profile Debt and interest obligations benefit from natural currency hedge given the geographies in which cash flows are earned Cash flows Currency exposure further reduced through diligent hedging policy
Slide 25: 9M 08 performance — InBev standalone
9M 08 performance — InBev standalone (a) • Up 0.8% to 199.3 million • North America, Latin America North, Latin America South, and Hls Asia Pacific reported growth in total volumes Volumes • Western Europe, Central and Eastern Europe reported small declines in volumes • gained or maintained • Innova
Slide 26: Appendix
Appendix
Slide 27: Illustrative impact of merger and related financing
Illustrative impact of merger and related financing 2007 figures InBev Anheuser-Busch(a) Combined Company(a) Total volumes 271 mhl 189 mhl(b) 454 mhl(c) + Revenues €14.4bn €12.2bn €26.4bn(d) + Normalised €5.0bn €7.9bn(e) EBITDA Normalised 34.6% 30.1% EBITDA margin Profit attributable to €2.2bn €2.5b
Slide 28: Three year evolution in key financials — InBev standalone
Three year evolution in key financials — InBev standalone Revenue (€m) Normalised EBITDA (€m) 7.2% 7.9% 16.5% 16.8% Profit attributable to equity holders of InBev(a) (€m) Normalised EBITDA margin (%) 274bp 239bp Note: indicates organic year-on-year growth (a) Figures as reported—including non-recurr
Slide 29: Three year balance sheet evolution — InBev standalone
Three year balance sheet evolution — InBev standalone 2005 2006 2007 (€m) (€m) (€m) Total Assets 23,561 26,246 28,699 of which goodwill 11,108 12,305 13,834 Total Liabilities 11,711 13,104 13,789 Equity attributable to equity holders of InBev 11,471 12,262 13,625 Equity attributable to minority inte
Slide 30: Thank You
Thank You