Transurban Group Ltd. · ASX:TCL
Transurban — Investor Presentation (February 2003)
19 slides from Transurban's investor presentation, February 2003
Slide 1: Transurban Group: Offer of Convertible Adjusting Rate Securities
Transurban Group Offer of Convertible Adjusting Rate Securities (“CARS”) Investor Presentation – February 2003
Slide 2: Disclaimer
Disclaimer On 25 February 2003, Transurban Group (Transurban ) lodged a prospectus and product disclosure statement with the Australian Securities & Investments Commission (the Prospectus) for an offer of 4.3 million CARS at an issue price of A$100 each. The information in this document is provided
Slide 3: Overview of Transurban
Overview of Transurban > “Developer, owner and operator of toll road infrastructure” > Enterprise value over $3.8 billion CityLink > 22 kilometre tollway concession until 2034 > Traffic Growth – 7.4% > Revenue up 12.2% > 100% electronically tolled - 800,000 Tags - 600,000 transactions > Distribution
Slide 4: Western Sydney Orbital
Western Sydney Orbital Existing Tollways Western Sydney Orbital 4
Slide 5: Western Sydney Orbital
Western Sydney Orbital > 100% electronically tolled by TIDL subsidiary > Travel times reduced by 67 minutes > Concession 34 years (including construction) > Tolls 25 c.p.km $5.00 cap (July 2000 $, inflation adjusted) > Leighton/Abigroup fixed price / time contract > Transurban 40% of equity - $392 m
Slide 6: Funding of WSO Project
Funding of WSO Project A$M Application of Funds > No recourse to Transurban for Construction cost 1,540 repayment of WSO project debt Interest during construction 259 Development/financing cost 126 > Other than certain representations Auxiliary roadwork 193 and warrantees given by TCT and Funding of
Slide 7: Transurban Structure post WSO
Transurban Structure post WSO Triple Stapled Security Transurban Transurban Transurban Infrastructure Holdings Limited Holding Trust Developments (“THL”) (“THT”) Limited (“TIDL”) 100% 100% 100% 100% 100% Transurban Infrastructure Transurban CityLink Management Transurban CityLink CARS Trust Melbourn
Slide 8: Funding of Transurban's Capital Contribution to WSO
Funding of Transurban’s Capital Contribution to WSO A$M Applications of Funds > Investment in WSO through Transurban Capital Contribution to the Construction Phase Loan Notes WestLink Motorway Partnership 392 (“CPLN”) by TWT Funding Reserve 26 Expenses of the Offer 12 > Transurban capital contributi
Slide 9: WSO Construction Phase Loan Notes
WSO Construction Phase Loan Notes CPLN are subordinated loan notes > Pay an interest rate to TWT of 6.27% p.a. during construction > Convert to equity upon completion of construction (3.5 years) > Overfunding at project level to pay interest on CPLN > Enables Transurban to use the interest to substa
Slide 10: CARS – Convertible Adjusting Rate Securities
“CARS” – Convertible Adjusting Rate Securities > 4 year reset > “Jumbo” entitlement– 1 CARS / 144 Transurban Securities > Rate set by Bookbuild – 5 and 6 March > Preliminary long term BBB credit rating from Standard & Poor's* > Participate in upside > Convertible at 2.5% discount > Distributions 90%
Slide 11: CARS Distributions
CARS Distributions > Margin to be set by bookbuild > Satisfied by CPLN distributions + Funding Reserve + Transurban Holding Trust Guarantee > THT guarantee > CityLink Cash Flows post debt servicing > Ability to pay Distributions in Transurban Securities > Cumulative Distributions with penalty of 2%
Slide 12: Impact on Guarantor Coverage Ratios
Impact on Guarantor Coverage Ratios Pro-forma THT 31 December 2002 excluding including CPLN interest CPLN interest income income6 CARS Distribution cover5 (EBITDA)7 2.6 times1 8.1 times2 CARS Distribution cover5 (cashflow)8 2.4 times3 10.1 times4 >EBITDA / (net interest expense + CARS Distribution)
Slide 13: CARS Key Terms
CARS Key Terms Issue Price Ÿ $100 per CARS Distribution Rate • Fixed following the close of the bookbuild at the four year swap rate plus the Final Margin (bookbuild) Distributions Ÿ Fixed, cumulative Distribution payable semi-annually in arrears at 31 July and 31 January Ÿ First Distribution Paymen
Slide 14: CARS Key Terms
CARS Key Terms Holder Exchange Rights Ÿ On each Reset Date Ÿ On a Trigger Event Ÿ At any time after 2 years from issue date (“Early Exchange”) at Minimum Conversion Number Transurban Options on Ÿ Exchange CARS for Transurban Securities at a 2.5% discount to VWAP during the 20 Exchange Request busine
Slide 15: Tax Deferred Distributions
Tax Deferred Distributions » Distributions made on CARS which are tax deferred should not be included in the Holder’s assessable income in the year that they are received. » tax payable on distribution is deferred until disposal » any tax for individuals and superannuation funds may be subject to co
Slide 16: Offer Structure
Offer Structure » $355 million non-renounceable approximately 1:144 Entitlement Offer and $75 million placement » Institutional Entitlement of approximately $300 million (holdings of at least 270,000 Transurban Securities) » Retail Entitlement of approximately $55 million » Institutional Entitlement
Slide 17: Timetable
Timetable Bookbuild Ex-Entitlement Date 28 Feb 2003 Record Date to Determine Entitlement under the Offer 5 Mar 2003 (7pm) Institutional Bookbuild Opens 5 Mar 2003 (9am) Institutional Bookbuild Closes 6 Mar 2003 (5 pm) Allocations Notified, Distribution Rate Fixed and Minimum Conversion Number Set 7
Slide 18: Contact Details
Contact Details Anthony Panaretto / Cameron Duncan Steve Anagnos Macquarie Hybrid Sales Team SSB Hybrid Sales Team Phone: (02) 8232 4500 / (02) 8232 7405 Phone: (02) 8225 6152 Jacqui Vanzella / John Knights Mark Bartels / Michael Richardson Macquarie Equity Capital Markets SSB Equity Capital Markets
Slide 19: transurbay
transurbay
Transurban Group — Investor Presentation (February 2003) on 6ix