Entain PLC · LSE:ENT

Entain — GVC Holdings — Merger or Acquisition (December 2017)

17 slides from Entain's merger presentation, December 2017

  1. Slide 1: Proposed Acquisition of Ladbrokes Coral Group plc

    Click to edit Proposed Acquisition of Ladbrokes Coral Group plc Creating a leading global gaming company December 2017

  2. Slide 2: Disclaimer

    Disclaimer Click to edit IMPORTANT INFORMATION This presentation document, any related materials which are distributed alongside this presentation document, each of their respective contents, and any oral presentation made by or on behalf of GVC Holdings PLC (the “Company”) in relation to the subjec

  3. Slide 3: Agenda

    Agenda Click to edit Summary  Possible offer summary  Highly compelling strategic rationale  Acquiring complementary market leader  Diversified international group Rationale  Leading online and retail group  Exposure to largest global markets  Proposed mechanics  Refinanced debt facilities O

  4. Slide 4: Possible offer summary

    Possible offer summary Click to edit  0.141 New GVC Shares plus 32.7 pence in cash for each Ladbrokes Coral share, plus  up to a further 42.8 pence by way of a Contingent Value Right ("CVR") linked to the outcome of the current Triennial Review - preserving value for Ladbrokes Coral shareholders a

  5. Slide 5: Acquiring a complementary market leader

    Click to edit Acquiring a complementary market leader

  6. Slide 6: Highly compelling strategic rationale

    Highly Click tocompelling edit strategic rationale  Enlarged group will be a fast-growing, diversified, highly profitable, international online and retail sports betting led gaming company with >90% of NGR coming from locally regulated/ taxed markets  Revenue and profit growth - Portfolio of stron

  7. Slide 7: Acquiring a complementary market leader

    Click to edit Acquiring a complementary market leader GVC Ladbrokes Coral  Scalable and proven proprietary technology platform  Strong progress post the bwin.party combination  Leading UK bookmaker, with a strong online and  Third largest online gaming operator in Europe retail presence  Divers

  8. Slide 8: A diversified international group, across Online and Retail

    A diversified international group, across Online Click to and Retail edit GVC split of NGR by geography Ladbrokes Coral revenue split by channel Enlarged Group Total interactive (excluding lottery)  #2 online operator  FY16 NGR generated across over 30 countries  >3,500 UK shops gross gaming reve

  9. Slide 9: Leading online and retail group

    Leading online and retail group Click to edit GVC NGR H1 17 €472.8m LCL NGR FY16 £2,352m Peer group NGR (£m) c.75% regulated/ 99.8% regulated NGR £3,500 regulating NGR1 £3,001 £3,000 28% 100% 72% £2,500 £2,352 Net Gaming Revenue £2,154 Regulated/ regulating Online £2,000 Unregulated Retail £1,604 £1

  10. Slide 10: Exposure to the largest online markets globally

    Click to to Exposure edit the largest online markets globally Enlarged Group exposure to online markets accounting for over €19bn of interactive global gross GVC gaming revenue (>50% total worldwide) LCL €6 €6.18 Total interactive (excluding lottery) gross gaming revenue (€bn) €5 GVC €4 LCL LCL €3 G

  11. Slide 11: Proposed acquisition mechanics

    Click to edit Proposed acquisition mechanics

  12. Slide 12: Proposed mechanics

    Proposed mechanics Click to edit Cash offer  32.7 pence in cash £632m + + Share offer  0.141 new GVC shares £2,477m1 + +  Value linked to the outcome of the Triennial Review  Ladbrokes Coral Group Shareholders will receive one CVR for each Ladbrokes Coral Group Share that they hold, and each CVR

  13. Slide 13: Summary

    Click to edit Summary

  14. Slide 14: Refinanced debt facilities

    Refinanced Click to editdebt facilities • On the back of solid H1 and Q3 2017 performance, attractive market conditions and Turkey disposal, GVC was able to reduce the margin on its Term Loan facility, raise an additional €50m and amend documentation to allow considerable additional operational and

  15. Slide 15: Proven track record of shareholder returns

    Click totrack Proven edit record of shareholder returns 3500 November 2017: Disposal of Turkish facing operations  Sportingbet total shareholder return of 392% since acquisition  bwin.party total shareholder return of 105% since acquisition 3000 February 2017: Refinancing July 2016: Notification o

  16. Slide 16: Summary

    Summary Click to edit Consistent with strategy to diversify and scale in regulated markets Creating a leading global gaming and betting company Diversified and complementary international revenue base Leveraging market leading and scalable technology Leading brands in core markets Clear focus on spo

  17. Slide 17: Q&A

    Click to edit Q&A

GVC Holdings — Merger or Acquisition (December 2017) on 6ix