Northland Power Inc. · TSX:NPI
Northland Power — Merger or Acquisition (September 2019)
17 slides from Northland Power's merger presentation, Sep 9, 2019
Slide 1: Northland Power Expands Latin American Platform with Acquisition of EBSA
Northland Power Expands Latin American Platform with Acquisition of Colombian Regulated Utility Empresa de Energía de Boyacá TSX: NPI (“EBSA”) September 9, 2019 A final base shelf prospectus containing important information relating to the securities described in this document has been filed with th
Slide 2: Forward-Looking Statements Disclaimer
Forward-Looking Statements Disclaimer This written and accompanying oral presentation contains certain forward-looking statements which are provided for the purpose of presenting information about management’s current expectations and plans. Readers are cautioned that such statements may not be appr
Slide 3: Agenda
Agenda Northland Power to Acquire Empresa de Energía de Boyacá (“EBSA”) Expansion of Latin American Platform and Entry to Colombia 1 Acquisition Highlights Mike Crawley President & Chief Executive Officer 2 Colombia and EBSA Overview 3 Paul Bradley Financing Strategy and Concluding Remarks Chief Fin
Slide 4: Acquisition Highlights
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Slide 5: Acquisition Highlights: EBSA Investment Thesis
Acquisition Highlights EBSA Investment Thesis • 3rd largest population in the region with a growing middle class and attractive GDP growth profile with real GDP growth averaging 3.5% over the past 10 years Expands Northland’s • Member of the OECD and a creditworthy jurisdiction that has maintained a
Slide 6: Acquisition Highlights: Transaction Summary
Acquisition Highlights Transaction Summary • Acquisition Purchase Price of COP 2,665 billion ($1.05 billion1), including existing debt and Purchase Price & subject to certain price adjustments following receipt of final approval of EBSA’s tariff by 1 Multiples the regulator (see below) • Represents
Slide 7: Colombia & EBSA Overview
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Slide 8: Northland Market Overview
Northland Market Overview Execution of our Global Growth Strategy Expansion in Latin America adds to Northland’s global footprint and further diversifies the business by technology and geography Colombia Northland Offices Northland owns over $10 billion of energy infrastructure and power assets glob
Slide 9: Colombian Market Overview
Colombian Market Overview Strong Macroeconomic and Political Fundamentals Investment 1 Creditworthy jurisdiction with established legal and regulatory frameworks • Colombia is a member of the OECD Grade: • Colombia is among the top 3 economies to do business in Latin America2 Baa2 / BBB- / BBB1 sinc
Slide 10: EBSA Overview: Premier Regulated Utility
EBSA Overview Premier Regulated Utility Asset Highlights Geographic Location • Sole distribution company in Boyacá, operating in 123 Business municipalities with 1.3 million residents Boyacá Overview • Currently serving electricity needs for approximately 480,000 customers Duitama • Distribution Tun
Slide 11: EBSA Overview: Stable Regulatory Framework with Inflation Protection
EBSA Overview Stable Regulatory Framework with Inflation Protection Key Features of Regulatory Framework 1 Allowed Regulatory WACC of ~11.5% RAB Inflation Indexation to Colombia 2 Producer Price Index1 New Investments Recognized at Beginning of 3 Investment Year2 Five Year Regulatory Term provides C
Slide 12: EBSA Overview: Platform for Growth in Latin America
EBSA Overview Platform for Growth in Latin America EBSA is one of a few energy companies in Colombia with grandfathered rights which allow for vertical integration and participation in all segments of the electricity supply chain Distribution • In addition to the growth in the distribution segment a
Slide 13: Financing Strategy and Concluding Remarks
Financing Strategy and Concluding Remarks
Slide 14: Prudent Financing Plan
Prudent Financing Plan EBSA Acquisition and Long-term Financing Northland’s financing plan for the Acquisition is consistent with its current credit profile and investment grade credit rating Permanent Financing Plan ($M) Corporate Resources Interim Financing Plan (includes Corporate Debt ($250- and
Slide 15: Concluding Remarks
Concluding Remarks EBSA Acquisition • 3rd largest population in the region with a growing middle class and attractive GDP growth profile with real GDP growth averaging 3.5% over the past 10 years Expands Northland’s • Member of the OECD and a creditworthy jurisdiction that has maintained an investme
Slide 16: Non-IFRS Measures Disclaimer
Non-IFRS Measures Disclaimer This written and accompanying oral presentation references to Northland’s adjusted earnings before interest, income taxes, depreciation and amortization (“Adjusted EBITDA”) and free cash flow and applicable payout ratio and per share amounts, which are not measures presc
Slide 17: Northland Power Investor Relations Contact
Northland Power Wassem Khalil Email: 30 St. Clair Avenue West, Senior Director, Investor investorrelations@northlandpower.com 12th Floor Relations & Strategy Website: 4 Toronto, ON Canada M4V 3A1 647.288.1019 northlandpower.com Northland Power Inc. – EBSA Acquisition Presentation 16
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