Vodafone Group Public Limited Company · LSE:VOD
Vodafone Group Public — Debt Investor Presentation (September 2013)
16 slides from Vodafone Group Public's debt investor presentation, Sep 9, 2013
Slide 1: Acquisition of Vodafone's 45% Interest in Verizon Wireless
ACQUISITION OF VODAFONE’S 45% INTEREST IN VERIZON WIRELESS Fixed Income Investor Presentation September 2013 Filed by Verizon Communications Inc. pursuant to Rule 425 and Rule 433 under the Securities Act of 1933 and deemed filed pursuant to Rule 14a-12 under the Securities Exchange Act of 1934 Subj
Slide 2: Safe Harbor Statement and Legends
2 “SAFE HARBOR” STATEMENT AND LEGENDS ADVERTISEMENT This communication is deemed an advertisement for the purposes of the U.K. prospectus rules and is not a prospectus or a prospectus equivalent document. Any decision to subscribe for, purchase, otherwise acquire, sell or otherwise dispose of any Ve
Slide 3: No Offer or Solicitation; Important Additional Information
3 As required by SEC rules, Verizon has provided a reconciliation of the non-GAAP financial measures included in this presentation to the most directly comparable GAAP measures in materials on our website at www.verizon.com/investor. NO OFFER OR SOLICITATION This communication does not constitute an
Slide 4: Transaction is a natural strategic benefit
Transaction is a “natural” 4 STRATEGIC BENEFITS • Sole ownership drives strategic and financial benefits across entire business • Accretive to earnings per share at close of transaction • Access to all of wireless cash flows – Special distributions of $8.3B in 2012 and $3.15B YTD in 2013 • Favorable
Slide 5: Balanced mix of cash and stock
Balanced mix of cash and stock 5 KEY TRANSACTION TERMS • Aggregate value of $130 billion, primarily in cash and stock • Consideration structure – $58.9 billion of cash – $60.2 billion of common stock issued directly to Vodafone shareholders – $5.0 billion of notes with Vodafone – Sale of minority st
Slide 6: Slide 6
Slide 7: Capacity to support debt financing needs
Capacity to support debt financing needs 7 FINANCING AND LIQUIDITY Fully underwritten Financing Package • • Significant liquidity post transaction • • • • Fully executed Bridge Facility in place Target taking out majority of Bridge Facility before deal closes $1.8B cash on hand as of June 30, 2013 $
Slide 8: Expect transaction to close in 1Q 2014
Expect transaction to close in 1Q 2014 8 ROADMAP TO COMPLETION • Access global capital markets • Reduce bridge financing as quickly as possible • Receive regulatory approvals • Receive shareholder approvals • Issue new shares and close transaction
Slide 9: Key Credit Highlights
9 KEY CREDIT HIGHLIGHTS • world’s leading providers of communications, information and entertainment products and services – LTM revenue of $118B and adjusted EBITDA of $39B ending June 30, 2013 – Over 100M wireless retail connections – 5.0M FiOS subscribers – 4.8% growth in Enterprise strategic ser
Slide 10: The largest 4G LTE network in the country
The largest 4G LTE network in the country 10 TRANSACTION FOR THE BEST WIRELESS ASSET IN NORTH AMERICA 500+ LTE Markets POPs 95% of the US Population 300M
Slide 11: Positioned for innovation and growth: One Verizon
Positioned for innovation and growth 11 ONE VERIZON TRANSACTION SUPPORTS GROWTH STRATEGY WIRELESS • Execute on fundamentals • Transform & scale • Invest in future WIRELINE Consumer & Mass Markets • • • Verizon Enterprise Solutions • • • FiOS penetration Product differentiation Operating efficiency S
Slide 12: Value-creating transaction
Value-creating transaction 12 ONE VERIZON AND FUTURE GROWTH • Full ownership of wireless enables advancement of One Verizon • Unique asset portfolio drives continued growth and value • Powerful growth opportunities with mobile • Ability to develop more integrated and valuable services for customers
Slide 13: Appendix
13 APPENDIX
Slide 14: Commitment to maintain strong investment grade ratings
14 Status quo Pro forma Amount LTM EBITDA multiple Amount LTM EBITDA multiple Pro forma capitalization ($B) COMMITMENT TO MAINTAIN STRONG INVESTMENT GRADE RATINGS Source: FactSet, company financials Note: Existing equity valued at Verizon share price of $47.38 as of 08/30/13; cash and cash equivalen
Slide 15: Current maturity profile
15 Existing maturity profile ($M) CURRENT MATURITY PROFILE
Slide 16: Verizon
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Vodafone Group Public — Debt Investor Presentation (September 2013) on 6ix