Smartgroup Corporation Ltd · ASX:SIQ
Smartgroup — Merger or Acquisition (December 2015)
8 slides from Smartgroup's merger presentation, Dec 11, 2015
Slide 1: Trading update and acquisition of Advantage Salary Packaging
For personal use only Trading update and acquisition of Advantage Salary Packaging 11 December 2015 PAGE 0
Slide 2: Important notice and disclaimer
Important notice and disclaimer (“Important Notice”) For personal use only Disclaimer This presentation has been prepared by Smartgroup Corporation Ltd (ACN 126 266 831) (“Smartgroup”) and is general background information about Smartgroup’s activities current as at the date of this presentation. Th
Slide 3: Smartgroup trading update
Smartgroup trading update For personal use only • Smartgroup provides a trading update for the period ending 31 December 2015. The update is preliminary and subject to the year end audit and sign-off • Smartgroup currently expects to report • CY2015 Revenue of ~$90m (+24% increase on prior year) • C
Slide 4: Acquisition: About Advantage
Acquisition of Advantage Salary Packaging For personal use only About Advantage • Specialist salary packaging provider to PBI (Public Benevolent Institutions) employers • c.350 client employer organisations, many of whom are long standing clients • Administers the salary packages for about 50,000 em
Slide 5: Complementary to Smartgroup's existing business
Complementary to Smartgroup’s existing business For personal use only PAGE 4
Slide 6: Key acquisition terms
Key acquisition terms For personal use only • Agreement to acquire 100% of Advantage Salary Packaging for $60.8m • Revenues of $14.7m and EBITDA of $10.3m • Implied CY2015 EV/EBITDA of 5.9x • Transaction consideration comprised of: • $10.0m in SIQ shares issued to Anton Gaudry (Co-founder and Execut
Slide 7: Combined business overview
Combined business overview For personal use only • The acquisition of Advantage expands Smartgroup’s salary packaging footprint and novated leasing potential Smartsalary Advantage Salary Combined Packaging Smartgroup Packages c. 130,000 c. 50,000 c.180,000 Novated Lease car park c. 32,000 c. 1,500 c
Slide 8: Advantage is Smartgroup's eighth acquisition, and second since the IPO
Advantage is Smartgroup’s eighth acquisition, and second since the IPO For personal use only PAGE 7