Kodiak Gas Services, Inc. · NYSE:KGS
Kodiak Gas Services — Merger or Acquisition (December 2023)
8 slides from Kodiak Gas Services's merger presentation, Dec 19, 2023
Slide 1: Acquisition of CSI Compressco
CRITICAL. ENERGY. INFRASTRUCTURE. ACQUISITION OF CSI C OMPRESSCO D ECEMBER 19, 2023
Slide 2: Disclaimer
Disclaimer Forward-Looking Statements This presentation contains, and our officers and representatives may from time to time make, "forward-looking statements" within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. Forward-looking statements ar
Slide 3: Transaction Overview
Transaction Overview ❑ Kodiak to acquire CSI Compressco LP (“CSI”) in all-equity Largest Fleet in North America transaction valued at $854 million ▪ Fixed exchange ratio of 0.086 Kodiak shares per CSI unit ▪ Kodiak to assume $635 million in outstanding CSI debt ~4.3M Revenue- Generating HP2 ▪ To lau
Slide 4: 4.3 Million Revenue-Generating HP
4.3 Million Revenue-Generating HP CSI CSI 70k HP Northern Rockies Other2 71k HP Kodiak 332k HP 192k HP Kodiak 262k HP 121k HP CSI CSI 190k HP Mid-Continent 48k HP International Kodiak 304k HP 48k HP Kodiak 114k HP None CSI CSI Eagle Ford 157k HP 507k HP Permian 582k HP Kodiak Kodiak 2,801k HP Kodiak
Slide 5: Key Transaction Benefits
Key Transaction Benefits ❑ Immediately accretive to Discretionary Cash Flow and Free Cash Flow per share Attractive ❑ At least $20 million of high-confidence annual cost synergies Transaction ❑ Transaction value of ~5.4x 2024 consensus Adjusted EBITDA including synergies Economics ❑ Leverage-neutral
Slide 6: CSI Compressco Business Overview
CSI Compressco Business Overview ❑ Compression & Related Services (73% of LTM revenues): Fleet by HP Size (% of Total HP)1 contract compression, treating and gas cooling services ❑ Aftermarket Services (22% of LTM revenues): parts sales, equipment repair, and maintenance services 10% ❑ Equipment Sal
Slide 7: Best-in-Class Provider with Enhanced Scale
Best-in-Class Provider with Enhanced Scale Best-in-Class Provider1 Pro Forma Average Age of Fleet2 ~6 years ~11 years ~11 years Revenue-generating HP (000s) 4,259 3,396 3,608 HP Utilization % ~97% ~94% ~96% Financial Targets >8% $20MM+ 3.0x – 3.5x Est. Discretionary Cash Flow Run-Rate Cost Synergies
Slide 8: Thank You
GAS SERVICES. Kopin % THANK YOU! CONTACT: GRAHAM SONES | VP,IR IR@KODIAKGAS.cCOM
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