Olam Group Limited · SGX:VC2
Olam — Merger or Acquisition (February 2025)
21 slides from Olam's merger presentation, Feb 24, 2025
Slide 1: Proposed sale of remaining 64.57% in Olam Agri to SALIC
Olam Group Limited Proposed sale of remaining 64.57% Subtitle in Olam Agri to and Date SALIC Media and Analysts Briefing | Singapore February 24, 2025
Slide 2: Cautionary note on forward-looking statements
Cautionary note on forward-looking statements This presentation should be read in conjunction with Olam Group Limited’s announcement and press release on the same subject lodged on SGXNET on February 24, 2025. Shareholders are advised to exercise caution in trading their Shares as there is no certai
Slide 3: Presenters
Presenters Sunny Verghese N. Muthukumar Co-Founder and Group CEO Group CFO Olam Group Limited Olam Group Limited Olam OlamGroup GroupLimited LimitedMedia Mediaand andAnalysts AnalystsBriefing Briefing||December February 24, XX,2025 2024
Slide 4: Agenda
Agenda 1 2 3 4 5 Background Transaction Strategic rationale Completion and Key takeaways overview next steps Olam Group Limited Media and Analysts Briefing | February 24, 2025 4
Slide 5: Background: how we arrived at today's announcement
Background: how we arrived at today’s announcement This transaction is the culmination of our transformational Re-organisation journey launched in 2020 Acquisition of strategic SALIC’s acquisition Where it started Re-organisation minority stake in Olam Agri by SALIC of Olam Agri January 2020 January
Slide 6: Transaction overview
Transaction overview • SALIC to acquire 44.58% stake in Olam Agri for US$1.78 billion (S$2.35 billion) 1 (“Tranche 1”) at implied 100% equity valuation of US$4.00 billion (S$5.28 billion). Upon completion of Tranche 1, SALIC will own a controlling 80.01% stake in Olam Agri. • Olam Group will, upon t
Slide 7: Strategic rationale (1/3)
Strategic rationale (1/3) Illuminates and unlocks value for Olam Group’s shareholders • The Transaction values Olam Agri at US$4.00 billion1 on a 100% basis and unlocks significant value for OGL shareholders: US$ Billion – 23% higher than the US$3.25 billion (S$4.30 billion)² market capitalisation o
Slide 8: Strategic rationale (2/3)
Strategic rationale (2/3) Sale of Olam Agri to SALIC a key and important step forward in the Group’s Re-organisation Plan, achieving another milestone to unlock value for OGL shareholders • Proposed sale of Tranche 1 and 2 will raise significant gross proceeds of US$2.58 billion (S$3.41 billion)1 •
Slide 9: Strategic rationale (3/3)
Strategic rationale (3/3) SALIC as a strategic, long-term investor to drive Olam Agri’s growth • First-mover in some of the highest-growth markets in Strengthen Olam Agri’s position Africa and Asia as a differentiated global • Well positioned to meet rising demand for food, feed & agribusiness fibre
Slide 10: Completion and next steps
Completion and next steps • Completion of the sale of Tranche 1 is conditional upon, inter alia, approval by OGL shareholders and other customary closing conditions, including regulatory approvals. • Subject to these conditions being fulfilled, the sale of Tranche 1 is expected to be completed in Q4
Slide 11: Key takeaways
Key takeaways • Sale of Olam Agri to SALIC completes one of the key milestones of the Re-organisation Plan – SALIC as a strategic, long-term investor can strengthen Olam Agri’s position as a differentiated major global agribusiness and offers potential synergies and opportunities to drive growth • T
Slide 12: Appendix
Appendix Olam Group Limited Media and Analysts Briefing | December XX, 2024
Slide 13: Tranche 1 and 2 valuation table
Tranche 1 and 2 valuation table Tranche 1 Tranche 2 100% Equity Valuation US$4,000,000,000 US$4,000,000,000 % Acquired 44.58% 19.99% A) Base Valuation US$1,783,200,000 US$799,600,000 Daily Amount US$439,693 US$197,162 Base Valuation + Daily Amount Base Valuation + Daily Amount B) Closing Valuation f
Slide 14: Total Gross Consideration illustrative example
Illustrative example: Total Gross Consideration assuming completion of Tranche 1 on December 31, 2025 and exercise of put option on January 1, 2029¹ Tranche 1 A• Received on date of Equity Value (100% basis) US$4.00bn completion of Tranche 1 Tranche 1 stake sold 44.58% Tranche 1 Base Valuation US$1.
Slide 15: About SALIC: Vision, Mission and Values
About SALIC: Vision, Mission and Values Our Vision Our Values 01 02 03 04 To be a leading global food security company focused on sustainable agribusiness investment We go We see We make We further the things own our together. bigger better. actions. We believe in the power of picture. We are commit
Slide 16: About SALIC: Strategic Goals
About SALIC: Strategic Goals 01 02 03 Contribution to the National Empowering Local Agri-Food Achieving Global Leadership in Food Security Targets Sector Grains and Diversified Products Contributing to achieving national food security Empowering the local agri-food sector through Achieving global le
Slide 17: About SALIC: Targeted Strategic Commodities
About SALIC: Targeted Strategic Commodities International Wheat Barley Corn Soybean Rice Green Fodder Milk Powder Local + International Edible Oil Sugar Red Meat Poultry Aquaculture Local Dairy by Products Fruits Vegetables Table Eggs 17 Olam Group Limited Media and Analysts Briefing | February 24,
Slide 18: Olam Group Limited Media and Analysts Briefing | February 24, 2025
18 Olam Group Limited Media and Analysts Briefing | February 24, 2025
Slide 19: Olam Group Limited Media and Analysts Briefing | February 24, 2025
19 Olam Group Limited Media and Analysts Briefing | February 24, 2025
Slide 20: EBIT CAGR, EBITDA CAGR, EBIT / IC
13.4% 11.9% 17% EBIT CAGR (1) EBITDA CAGR (2) EBIT / IC (3) 20 Olam Group Limited Media and Analysts Briefing | February 24, 2025
Slide 21: Investor relations contact
Olam Group Limited Media and Analysts Briefing | February 24, 2025 olamgroup.com/investors.html ir@olamnet.com