Thermon Group Holdings, Inc. · NYSE:THR

Thermon — Merger or Acquisition (October 2017)

19 slides from Thermon's merger presentation, Oct 10, 2017

1. Slide 1: Thermon Announces Acquisition of CCI Thermal

   R 226 G 35 B 26 R 255 G 255 B 255 R 00 G 00 B 00 R 239 G 66 B 67 R 199 G 33 B 39 R 154 G 29 B 32 R 207 G 205 B 206 R 160 G 158 B 159 R 70 G 70 B 71 R 15 G 72 B 120 R 21 G 93 B 160 R 58 G 135 B 193 1 Thermon Announces Acquisition of CCI Thermal October 4th, 2017

2. Slide 2: Disclaimer

   R 226 G 35 B 26 R 255 G 255 B 255 R 00 G 00 B 00 R 239 G 66 B 67 R 199 G 33 B 39 R 154 G 29 B 32 R 207 G 205 B 206 R 160 G 158 B 159 R 70 G 70 B 71 R 15 G 72 B 120 R 21 G 93 B 160 R 58 G 135 B 193 2 Disclaimer Cautionary Note Regarding Forward-Looking Statements This presentation and related investo

3. Slide 3: Thermon Vision and Mission

   R 226 G 35 B 26 R 255 G 255 B 255 R 00 G 00 B 00 R 239 G 66 B 67 R 199 G 33 B 39 R 154 G 29 B 32 R 207 G 205 B 206 R 160 G 158 B 159 R 70 G 70 B 71 R 15 G 72 B 120 R 21 G 93 B 160 R 58 G 135 B 193 3 LEADERSHIP Continue providing global industry leadership in our core competency areas, and establish

4. Slide 4: Transaction Highlights

   R 226 G 35 B 26 R 255 G 255 B 255 R 00 G 00 B 00 R 239 G 66 B 67 R 199 G 33 B 39 R 154 G 29 B 32 R 207 G 205 B 206 R 160 G 158 B 159 R 70 G 70 B 71 R 15 G 72 B 120 R 21 G 93 B 160 R 58 G 135 B 193 4 Transaction Highlights TRANSACTION HIGHLIGHTS This acquisition creates the leading industrial process

5. Slide 5: Transaction Summary

   R 226 G 35 B 26 R 255 G 255 B 255 R 00 G 00 B 00 R 239 G 66 B 67 R 199 G 33 B 39 R 154 G 29 B 32 R 207 G 205 B 206 R 160 G 158 B 159 R 70 G 70 B 71 R 15 G 72 B 120 R 21 G 93 B 160 R 58 G 135 B 193 5 Transaction Summary  Thermon to acquire CCI Thermal for CAD$ 258 million in cash on a cash- free, de

6. Slide 6: Compelling Strategic and Financial Benefit

   R 226 G 35 B 26 R 255 G 255 B 255 R 00 G 00 B 00 R 239 G 66 B 67 R 199 G 33 B 39 R 154 G 29 B 32 R 207 G 205 B 206 R 160 G 158 B 159 R 70 G 70 B 71 R 15 G 72 B 120 R 21 G 93 B 160 R 58 G 135 B 193 6 Compelling Strategic and Financial Benefit Expands markets and solutions for customers  CCI Thermal

7. Slide 7: CCI Thermal – Company Overview

   R 226 G 35 B 26 R 255 G 255 B 255 R 00 G 00 B 00 R 239 G 66 B 67 R 199 G 33 B 39 R 154 G 29 B 32 R 207 G 205 B 206 R 160 G 158 B 159 R 70 G 70 B 71 R 15 G 72 B 120 R 21 G 93 B 160 R 58 G 135 B 193 7 CCI Thermal is a platform business well-positioned to consolidate a highly fragmented $800mm market H

8. Slide 8: Tier I Player in Highly Fragmented Heavy Industrial Heating Market

   R 226 G 35 B 26 R 255 G 255 B 255 R 00 G 00 B 00 R 239 G 66 B 67 R 199 G 33 B 39 R 154 G 29 B 32 R 207 G 205 B 206 R 160 G 158 B 159 R 70 G 70 B 71 R 15 G 72 B 120 R 21 G 93 B 160 R 58 G 135 B 193 8 Comp. A 11% CCI Thermal 11% Comp. B 10% Comp. C 9% Comp. D 8% Comp. E 8% Comp. F 7% Comp. G 7% Comp.

9. Slide 9: CCI Thermal engineering, IP and manufacturing capabilities

   R 226 G 35 B 26 R 255 G 255 B 255 R 00 G 00 B 00 R 239 G 66 B 67 R 199 G 33 B 39 R 154 G 29 B 32 R 207 G 205 B 206 R 160 G 158 B 159 R 70 G 70 B 71 R 15 G 72 B 120 R 21 G 93 B 160 R 58 G 135 B 193 9  Extensive IP portfolio with 25 patents + 10 pending  Extensive portfolio of proprietary designs an

10. Slide 10: Thermon's global footprint to increase CCI Thermal's international sales

    R 226 G 35 B 26 R 255 G 255 B 255 R 00 G 00 B 00 R 239 G 66 B 67 R 199 G 33 B 39 R 154 G 29 B 32 R 207 G 205 B 206 R 160 G 158 B 159 R 70 G 70 B 71 R 15 G 72 B 120 R 21 G 93 B 160 R 58 G 135 B 193 10 Thermon’s global footprint provides a platform to significantly increase CCI Thermal’s sales interna

11. Slide 11: Leading North American Brands

    R 226 G 35 B 26 R 255 G 255 B 255 R 00 G 00 B 00 R 239 G 66 B 67 R 199 G 33 B 39 R 154 G 29 B 32 R 207 G 205 B 206 R 160 G 158 B 159 R 70 G 70 B 71 R 15 G 72 B 120 R 21 G 93 B 160 R 58 G 135 B 193 11 Leading North American Brands CCI Thermal is known throughout the process heating industry for the f

12. Slide 12: Capabilities Complement Our Process Heating Portfolio

    R 226 G 35 B 26 R 255 G 255 B 255 R 00 G 00 B 00 R 239 G 66 B 67 R 199 G 33 B 39 R 154 G 29 B 32 R 207 G 205 B 206 R 160 G 158 B 159 R 70 G 70 B 71 R 15 G 72 B 120 R 21 G 93 B 160 R 58 G 135 B 193 12 Capabilities Complement Our Process Heating Portfolio Thermon’s increased capabilities and global fo

13. Slide 13: Combination Expands Market with Leading Platform

    R 226 G 35 B 26 R 255 G 255 B 255 R 00 G 00 B 00 R 239 G 66 B 67 R 199 G 33 B 39 R 154 G 29 B 32 R 207 G 205 B 206 R 160 G 158 B 159 R 70 G 70 B 71 R 15 G 72 B 120 R 21 G 93 B 160 R 58 G 135 B 193 13 20% 80% Combination Expands Market with Leading Platform Note: Represents Thermon internal estimates

14. Slide 14: Combination Creates a Stronger Thermon

    R 226 G 35 B 26 R 255 G 255 B 255 R 00 G 00 B 00 R 239 G 66 B 67 R 199 G 33 B 39 R 154 G 29 B 32 R 207 G 205 B 206 R 160 G 158 B 159 R 70 G 70 B 71 R 15 G 72 B 120 R 21 G 93 B 160 R 58 G 135 B 193 14 Americas (ex. CAN) 45% Canada 16% EMEA & Russia 27% Asia 12% Americas (ex. CAN) 45% Canada 23% EMEA

15. Slide 15: Transaction Valuation Multiples

    R 226 G 35 B 26 R 255 G 255 B 255 R 00 G 00 B 00 R 239 G 66 B 67 R 199 G 33 B 39 R 154 G 29 B 32 R 207 G 205 B 206 R 160 G 158 B 159 R 70 G 70 B 71 R 15 G 72 B 120 R 21 G 93 B 160 R 58 G 135 B 193 15 Transaction Valuation Multiples Key Valuation Metrics Merger Consideration (CAD$ in Millions) Transa

16. Slide 16: Key Financial Terms and Leverage At Close

    R 226 G 35 B 26 R 255 G 255 B 255 R 00 G 00 B 00 R 239 G 66 B 67 R 199 G 33 B 39 R 154 G 29 B 32 R 207 G 205 B 206 R 160 G 158 B 159 R 70 G 70 B 71 R 15 G 72 B 120 R 21 G 93 B 160 R 58 G 135 B 193 16 Key Financial Terms and Leverage At Close  CCI top line growth of 12% in FY’17 and 16% on TTM Basis

17. Slide 17: How CCI Helps Achieve Our Objectives

    R 226 G 35 B 26 R 255 G 255 B 255 R 00 G 00 B 00 R 239 G 66 B 67 R 199 G 33 B 39 R 154 G 29 B 32 R 207 G 205 B 206 R 160 G 158 B 159 R 70 G 70 B 71 R 15 G 72 B 120 R 21 G 93 B 160 R 58 G 135 B 193 17 How CCI Helps Achieve Our Objectives Customers Leadership Expansion Innovation People Improves Finan

18. Slide 18: Appendix

    R 226 G 35 B 26 R 255 G 255 B 255 R 00 G 00 B 00 R 239 G 66 B 67 R 199 G 33 B 39 R 154 G 29 B 32 R 207 G 205 B 206 R 160 G 158 B 159 R 70 G 70 B 71 R 15 G 72 B 120 R 21 G 93 B 160 R 58 G 135 B 193 18 18

19. Slide 19: CCI Thermal Adjusted EBITDA Reconciliation

    R 226 G 35 B 26 R 255 G 255 B 255 R 00 G 00 B 00 R 239 G 66 B 67 R 199 G 33 B 39 R 154 G 29 B 32 R 207 G 205 B 206 R 160 G 158 B 159 R 70 G 70 B 71 R 15 G 72 B 120 R 21 G 93 B 160 R 58 G 135 B 193 19 CCI Thermal Adjusted EBITDA Reconciliation Reconciliation of Reported Net Earnings to Adjusted EBITD

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