Gentrack Group Ltd · NZX:GTK
Gentrack — Investor Presentation (July 2018)
21 slides from Gentrack's investor presentation, Jul 4, 2018
Slide 1: Gentrack Group Ltd $90M Accelerated Entitlement Offer
For personal use only GENTRACK GROUP LTD (GTK) $90M ACCELERATED ENTITLEMENT OFFER 4 July 2018
Slide 2: Important Information
IMPORTANT INFORMATION This presentation has been prepared by Gentrack Group Limited (Gentrack) in connection with a proposed entitlement offer (the Offer) of fully paid ordinary shares in Gentrack (the New Shares). The Offer is made to Eligible Shareholders pursuant to the exclusion For personal use
Slide 3: Offer Summary
OFFER SUMMARY For personal use only • Gentrack is undertaking a fully underwritten entitlement offer to raise approximately NZ$90m ('the Offer') • Gentrack announced the acquisition of Evolve for £23.0 million (NZ$44.2m) on 21 June 2018 – Evolve has further strengthened Gentrack's position as a cham
Slide 4: Gentrack Overview
For personal use only Section 1 GENTRACK OVERVIEW
Slide 5: Gentrack provides world-class solutions for utilities and airports
GENTRACK PROVIDES WORLD-CLASS SOLUTIONS FOR UTILITIES AND AIRPORTS For personal use only 84% Revenue* 16% *for Financial Year 2017. Our vision is to be the leading specialist provider of business applications to energy and water utilities and airports globally and we now proudly support over 200 cus
Slide 6: Addressable market in core growth regions
ADDRESSABLE MARKET IN CORE GROWTH REGIONS For personal use only UNITED KINGDOM & SINGAPORE NEW ZEALAND AUSTRALIA AIRPORTS IRELAND GLOBALLY SKYTRAX ‘TOP 100’# 100+ ENERGY + 27 ENERGY 42 ENERGY 53 ENERGY + 47 WATER AIRPORTS 2017 40 WATER BRANDS BRANDS BRANDS BRANDS ~10,000 airports globally GENTRACK P
Slide 7: Gentrack core competencies for utilities
GENTRACK CORE COMPETENCIES FOR UTILITIES For personal use only BILLING MARKET INTERACTIONS We have a deep understanding of We excel at meeting complex Billing complex market interactions and enable needs, at scale across Domestic, SME utilities to stay compliant and connected. and Commercial/Industr
Slide 8: Scalability and sustainable growth
SCALABILITY AND SUSTAINABLE GROWTH For personal use only LEVERAGING CLOUD CORE R&D PRODUCT DELIVERY CHANGING UTILITIES CONSISTENT EFFICIENCIES INVESTMENT INNOVATION MARKETS SHAREHOLDER VALUE - Expanding Gentrack’s - Pre-packaged / market - Subscription based - New regions - Reliable revenue and mana
Slide 9: Transformation and growth
TRANSFORMATION AND GROWTH For personal use only • Solid track record of c.15% CAGR EBITDA growth over the last 7 years DELIVERING CONSISTENT RESULTS • Approximately 60% recurring revenue with >90% of revenue from existing customers • 32%+ EBITDA margin reflects deep IP and competitive advantage • St
Slide 10: Revenue model and sources
REVENUE MODEL AND SOURCES For personal use only REVENUE BY TYPE REVENUE BY GEOGRAPHY NZ$M % 57% RECURRING REVENUES 84% REVENUES OUTSIDE NZ 10
Slide 11: Use of Proceeds
For personal use only Section 2 USE OF PROCEEDS
Slide 12: Use of Proceeds
USE OF PROCEEDS For personal use only • Proceeds raised through the Offer will be used to pay down bank debt, providing funding capacity to support future acquisition and growth opportunities • Following the equity raising Gentrack expects to have almost no drawn debt, which is consistent with its h
Slide 13: Recent Acquisitions
RECENT ACQUISITIONS For personal use only Rationale Date Price • A champion SaaS based customer information and billing system provider to new entrants and rapidly growing utilities in the UK April 2017 ~NZ$75m • Expanded Gentrack's addressable market and growth potential • Combines with Airport 20/
Slide 14: Evolve Acquisition Overview
EVOLVE ACQUISITION OVERVIEW For personal use only • Gentrack completed the acquisition of Evolve Analytics for an Enterprise Value of £23.0m (NZ$44.2m) on 29 June 2018 – The Enterprise Value represents a multiple of 12.8x forecast EBITDA to 30 April 2019 • Evolve is a specialist provider of software
Slide 15: Offer Terms and Timetable
For personal use only Section 3 OFFER TERMS AND TIMETABLE
Slide 16: Offer Terms
OFFER TERMS For personal use only Entitlement ratio • 1 for 5.77 • NZ$6.19 (or the A$ Price1 per new share), which represents a: – 11.6% discount to last close price on the NZX of NZ$7.00 on 3 July 2018 Offer Price – 10.0% discount to the Theoretical Ex-Rights Price of NZ$6.88 as at 3 July 2018 – 13
Slide 17: Offer Timetable
OFFER TIMETABLE For personal use only RECORD DATE FOR THE ENTITLEMENT INSTITUTIONAL AND RETAIL OFFERS 9.00PM (NZT) ON Friday, 6 JULY 2018 Institutional Entitlement Offer and Institutional Bookbuild Announcement and trading halt Wednesday, 4 July 2018 Institutional Entitlement Offer opens (10.00am NZ
Slide 18: International Offer Restrictions
For personal use only Appendix INTERNATIONAL OFFER RESTRICTIONS
Slide 19: International Offer Restrictions (1 of 2)
INTERNATIONAL OFFER RESTRICTIONS (1 OF 2) For personal use only This presentation does not constitute an offer of Entitlements or New Shares in any jurisdiction in which it would be unlawful. In particular, this presentation may not be distributed to any person, and the Entitlements and New Shares m
Slide 20: International Offer Restrictions (2 of 2)
INTERNATIONAL OFFER RESTRICTIONS (2 OF 2) For personal use only Malta This Presentation is not, and under no circumstances is to be construed as, an investment advertisement or an offer of securities to the public (as defined in the Companies Act, Chapter 386 of the Laws of Malta) in Malta. Accordin
Slide 21: End
For personal use only END