Zegona Communications Plc · LSE:ZEG
Zegona Communications — Investor Presentation (October 2019)
10 slides from Zegona Communications's investor presentation, October 2019
Slide 1: Zegona Investor update
Zegona Investor update October 2019
Slide 2: Important Information
Important Information This presentation is issued by Zegona Communications plc ("Zegona"), a company incorporated in England and Wales with registered number 09395163 and whose registered office is at 20 Buckingham Street, London WC2N 6EF. This presentation is not intended to be relied upon as the b
Slide 3: Key messages
Key messages A Euskaltel provides opportunity for significant value creation B Zegona continues to see many attractive investment opportunities C There are compelling reasons to invest in Zegona 1
Slide 4: Attractive Spanish market dynamics
A Attractive Spanish market dynamics 1 Strong Macro Environment 2 Industry Price Repair q Spain’s economy amongst the fastest growing in Europe q Multi-year trend of sustained price rises q Growth of 2.5% in 2018, and continuing at over 2% in 2019 q ‘More for more strategy’ across the market 2 q Une
Slide 5: Euskaltel is a leader in its markets
A Euskaltel is a leader in its markets Euskaltel – Northern Spanish Champion Strong Financial/Operating Profile 2 KPIs 2018 q Leading quad-play provider in North of Spain Homes Passed (k)3 2,357 q High quality local brands Residential customers (k) 658 q Advanced cable network covering 65% of househ
Slide 6: New roadmap enhances Euskaltel value creation opportunity
A New roadmap enhances Euskaltel value creation opportunity Key Components Key Enablers 1 Deliver Significant Productivity Improvements Ex-Jazztel Leadership Ø Simpler, more efficient structure Ø José Miguel García, ex Jazztel CEO Ø Integrated organisation for 3 regional brands Ø Other core members
Slide 7: Zegona has strengthened its position in Euskaltel
A Zegona has strengthened its position in Euskaltel Largest • Zegona the largest shareholder with more than 20% shareholder • Shareholder relationship agreement with Talomon • Eamonn O’Hare appointed to the board Board • Robert Samuelson appointed as second Zegona director representation • Zegona re
Slide 8: Positive change is now happening
A Positive change is now happening 1 Deliver Significant ü New rationalised management team in place with clear accountabilities Productivity ü Moving to single technical platform Improvements ü Integrated sales strategy 2 ü Focus on reducing churn and growing ARPU Drive Topline Growth ü Attractive
Slide 9: Zegona continues to see many attractive investment opportunities
B Zegona continues to see many attractive investment opportunities Underlying trends create attractive opportunities … and Zegona is well placed to capitalise q Demand for data and speed growing exponentially q Skilled management team with extensive real q Poor industry returns world senior operatio
Slide 10: Compelling reasons to invest in Zegona
C Compelling reasons to invest in Zegona 1 Access to the Euskaltel value creation opportunity q Euskaltel 2018 EBITDA-capex multiple pre expansion is only 13.5x1 q Euskaltel 2018 Equity FCF yield of 11.1%/8.6% pre/post expansion capex1 q New roadmap for growth being implemented 2 Zegona trades at a
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