Banijay Group N.v. Class A · EURONEXT:BNJ
Banijay Group N.v. Class A — Debt Investor Presentation (March 2023)
37 slides from Banijay Group N.v. Class A's debt investor presentation, March 2023
Slide 1: Lender Presentation
81nidZpGqzkSDMpD Lender Presentation March 2023
Slide 2: Disclaimer
81nidZpGqzkSDMpD Disclaimer THE COMPANY (AS DEFINED BELOW) HAS REPRESENTED THAT THE INFORMATION CONTAINED IN THIS PRESENTATION (AS DEFINED BELOW) DOES NOT CONSTITUTE OR CONTAIN ANY MATERIAL NON-PUBLIC INFORMATION WITH RESPECT TO THE COMPANY OR ANY MEMBER OF THE GROUP (AS DEFINED BELOW) OR ANY OF THE
Slide 3: Today's Presenters
81nidZpGqzkSDMpD Today’s Presenters Marco Bassetti Sophie Kurinckx Chief Executive Officer Chief Financial Officer Banijay FL Entertainment Lender Presentation – 2023 3
Slide 4: Agenda
81nidZpGqzkSDMpD Agenda 01 Executive Summary & Transaction Overview 02 Business Overview 03 Key Credit Highlights 04 Historical Financials 05 Appendix Lender Presentation – 2023 4
Slide 5: Executive Summary & Transaction Overview
81nidZpGqzkSDMpD Executive Summary & Transaction Overview Lender Presentation – 2023 5
Slide 6: Executive Summary
81nidZpGqzkSDMpD Executive Summary ❑ Banijay (the “Company”) is the clear #1 independent content production company in the world, owned by the listed company FL Entertainment (“FLE”) and led by industry veteran Stéphane Courbit ▪ Creates, develops, produces, sells, and distributes audio-visual conte
Slide 7: Sources, Uses and Pro-forma Capital Structure
81nidZpGqzkSDMpD Sources, Uses and Pro-forma Capital Structure Sources & Uses Sources €m Uses €m Amended €/US$ Term Loan Facilities 895 Repay Existing €/US$ Term Loan Facilities 880 Cash from Balance Sheet 9 Estimated Transaction Fees and Expenses 24 Total 904 Total 904 Pro Forma Capitalization Stru
Slide 8: Summary Key Terms
81nidZpGqzkSDMpD Summary Key Terms Type Amended Term Loan B Facilities ("Amended TL") Amended Revolving Credit Facility ("Amended RCF") Borrowers Banijay Entertainment SAS for EUR and Banijay Group US Holding, Inc. for USD (same as existing) Ranking Senior Secured (same as existing) Security Package
Slide 9: Simplified Legal Organization Chart as at December 31, 2022
81nidZpGqzkSDMpD Simplified Legal Organization Chart as at December 31, 2022 Financière LOV DEA Vivendi Content Monte-Carlo SBM Financière Marc de Minority SAS(1) Communications SA SAS International SARL Lacharrière SE shareholders 72.39% 2.56% 10.22% 5.34% 3.96% 46.64% 4.96% 19.76% 10.32% 7.65% 2.5
Slide 10: Transaction Timeline
81nidZpGqzkSDMpD Transaction Timeline March 2023 April 2023 Mo Tu We Th Fr Sa Su Mo Tu We Th Fr Sa Su 1 2 3 4 5 1 2 6 7 8 9 10 11 12 3 4 5 6 7 8 9 13 14 15 16 17 18 19 10 11 12 13 14 15 16 20 21 22 23 24 25 26 17 18 19 20 21 22 23 27 28 29 30 31 24 25 26 27 28 29 30 Key Date Milestone March 29th ▪ S
Slide 11: Business Overview
81nidZpGqzkSDMpD Business Overview Lender Presentation – 2023 11
Slide 12: The Banijay Group Overview
81nidZpGqzkSDMpD The Banijay Group Overview FY22 Snapshot #1 independent content production company in the world €3,212m €472m 14.7% ▪ ▪ Creates, develops, sells, produces and distributes content, through global portfolio Revenue Adj. EBITDA Adj. EBITDA of 130+ production companies across 21 countri
Slide 13: Business Model Overview
81nidZpGqzkSDMpD Business Model Overview Content Creation Content Monetization Production Banijay retains all or part of the IP rights to its formats and programs (% of 2022 Production Revenue) to create opportunity for future secondary licensing revenues ▪ Production of original formats in four gen
Slide 14: Banijay is well positioned in a largely fragmented content production landscape
81nidZpGqzkSDMpD Banijay is well positioned in a largely fragmented content production landscape Content producers are spread across four main, but overlapping categories In-house production departments of International Smaller independent Major U.S. Studios broadcasters / SVOD independent studios a
Slide 15: Strong track record of successfully integrating value accretive acquisitions
81nidZpGqzkSDMpD Strong track record of successfully integrating value accretive acquisitions Successful integration of Endemol Shine Group and Zodiak into Banijay’s track record of value accretive bolt-ons Banijay ❑ On 2 July 2020, the Banijay Group acquired the Endemol Shine Group, creating the la
Slide 16: Demonstrated track record of creating and monetizing global superbrands
81nidZpGqzkSDMpD Demonstrated track record of creating and monetizing global superbrands Unscripted Scripted ▪ Kosovo marks Big Brother’s 65th territory ▪ Reaches 233 territories across traditional broadcast and OTT services ▪ With 32 series across 25 markets, 2022 is one of the strongest years ever
Slide 17: Under FLE's ownership, Banijay is supported by long-term and committed equity holders
81nidZpGqzkSDMpD Under FLE’s ownership, Banijay is supported by long-term and committed equity holders with in-depth knowledge of the company and the industry Financière LOV and Managers ▪ Founding shareholder of Banijay ▪ Global content, media and communications ▪ Founded by Marc Ladreit de Lacharr
Slide 18: Key Credit Highlights
81nidZpGqzkSDMpD Key Credit Highlights Lender Presentation – 2023 18
Slide 19: Key Credit Highlights
81nidZpGqzkSDMpD Key Credit Highlights 1 The #1 content powerhouse globally 2 Attractive market benefitting from surging demand for content 3 Platform agnostic and highly diversified revenue base across geographies, genres, customers and shows 4 Track record of creating high quality and global conte
Slide 20: Banijay is the leading content powerhouse globally
81nidZpGqzkSDMpD 1 Banijay is the leading content powerhouse globally Global turnover (€bn) (1) Content library hours (2) 3.2 160k Global content spend: c. $238bn (3) Top players mentioned below representing c. 7% 2.6 2.5 2.3 1.9 90k 1.0 1.0 1.0 48k 43k 0.6 25k 0.3 Banijay Lionsgate itv Fremantle BB
Slide 21: Operating in an attractive market with surging demand for content driven by SVODs
81nidZpGqzkSDMpD 2 Operating in an attractive market with surging demand for content driven by SVODs Global television market is growing… …while content spend has been resilient during economic downturns Global television market size by revenues ($bn) Global content spend ($bn) CAGR 20-26: +1.9% CAG
Slide 22: Being platform agnostic allows Banijay to serve the full range of traditional broadcasters and VODs
81nidZpGqzkSDMpD Being platform agnostic allows Banijay to serve the full range of traditional 3 broadcasters and VODs Producers Distributors Channels Platforms Networks Broadcaster in-house PSB Commercial Cable Satellite Small actors Pay (Thematic) DTT Scaled Studios including independents Pay (pre
Slide 23: Highly Diversified Revenue Base across Geographies, Genres, Customers and Shows
81nidZpGqzkSDMpD 3 Highly Diversified Revenue Base across Geographies, Genres, Customers and Shows Production revenues by geography Production revenue by types of genres Increasing share of revenues from OTT FY20 (1) C omedy O ther 2% O thers O TT T alkshow 18% U SA / L atam 5% 8% 4% 25% G ames how
Slide 24: Proven ability to develop long-lasting and travelling content
81nidZpGqzkSDMpD 4 Proven ability to develop long-lasting and travelling content Country of Total number of territories Genre No. of years since launch Selected customers origin since launch Deal or no deal Game show 23 (2000) +80 Big Brother Reality 24 (1999) +70 MasterChef Game show 33 (1990) +60
Slide 25: Demonstrated 360-degree monetization of its broad and premium content catalogue
81nidZpGqzkSDMpD 5 Demonstrated 360-degree monetization of its broad and premium content catalogue 360-degree business model leveraging on its owned IP… … delivering long-term revenue upside and higher profitability Secondary 5% Distribution 360° monetization 12% ❑ 51% of Banijay’s production revenu
Slide 26: Recurring revenue base with flexible cost structure resulting in high cash flow visibility
81nidZpGqzkSDMpD 6 Recurring revenue base with flexible cost structure resulting in high cash flow visibility High revenue visibility Flexible cost structure Strong cash flow generation Revenues by vintage (1) Cost structure (1) Adj. FCF (€m) (2) / Cash flow conversion (%) (4) 103% 81% 74% Fixed cos
Slide 27: Highly experienced and financially disciplined management team with long-term supportive shareholder base
81nidZpGqzkSDMpD 7 Highly experienced and financially disciplined management team with long- term supportive shareholder base Highly experienced management team Stéphane Courbit François Riahi Sophie Kurinckx Cédric Brignon Marco Bassetti Chairman of LOV Group, FL CEO of FL Entertainment CFO of FL E
Slide 28: Historical Financials
81nidZpGqzkSDMpD Historical Financials Lender Presentation – 2023
Slide 29: Strong Track-Record of Sustainable Growth and Profitability
81nidZpGqzkSDMpD Strong Track-Record of Sustainable Growth and Profitability Historical PF Revenues Historical PF Adjusted EBITDA Generation In €m In €m 15.7% 3 267 14.6% 55 14.2% 2 768 435 478 12 6 2 342 2 334 746 3 212 81 2 756 472 433 1 596 253 12.2020 PF 12.2021 PF 12.2022 PF 12.2020 PF 12.2021
Slide 30: Demonstrated Cash Flow Generation Capacity
81nidZpGqzkSDMpD Demonstrated Cash Flow Generation Capacity Structurally Low Level of Capex Requirement Robust Cash Conversion(1) Capacity In €m 2.0% 2.0% 1.9% In €m 103% 81% 74% 60 70% 56 36 32 39 344 351 350 18 23 13 17 12.2020 A 12.2021 A 12.2022 A 12.2020 A PF (2) 12.2021 A 12.2022 A Capex IP Ri
Slide 31: Resilient Historical Cashflow Generation
81nidZpGqzkSDMpD Resilient Historical Cashflow Generation Bridge – Banijay Group Cash position 12.2020 A – 12.2021 A Key Highlights In €m 81% ❑ Sound cash position - recorded as of December (56) (26) 2022 of €396m supported (29) by: 433 ▪ Strong EBITDA (120) (11) (6) generation in 2022 (20) (55) dri
Slide 32: Significant Deleveraging since ESG Acquisition
81nidZpGqzkSDMpD Significant Deleveraging since ESG Acquisition Historical Leverage Evolution Key Highlights In €m At inception 6 0 00 5.7x 6.0 x 5.5x ❑ Since half year 2021, Banijay has fully recovered from the 5.1x adverse economic environment and is now well on track 5 0 00 5.2x 5.3x 4.7x 5.0 x t
Slide 33: Banijay Group Financial policy
81nidZpGqzkSDMpD Banijay Group Financial policy A more then ever ❑ Limited dividend payments were made since creation of Banijay despite important cash flows , which illustrates the willingness of supportive Shareholding the shareholders to keep investing in the development of the Group structure th
Slide 34: Appendix
81nidZpGqzkSDMpD Appendix Table of contents Lender Presentation – 2023 34
Slide 35: Value chain overview - Creation, production and global monetization of content and IP
81nidZpGqzkSDMpD Value chain overview - Creation, production and global monetization of content and IP Creating and distributing notable content across the world 1 Development of formats 2 Sale / commissioning 3 Production 4 Distribution ❑ Conceptualize new scripted and ❑ Pitch content and format to
Slide 36: Banijay EBITDA Bridge
81nidZpGqzkSDMpD Banijay EBITDA Bridge €m 2021A 2022A Reported EBITDA 340 369 Non-current operating income (expenses) (1) 26 30 IFRS 2 expenses (2) 60 81 D&A of intangible assets included in EBITDA (3) (1) (8) Other 7 1 Adjusted EBITDA 433 472 Full year impact of Acquisitions (4) 2 6 PF adjusted EBI
Slide 37: Glossary
81nidZpGqzkSDMpD Glossary Customers Broadcasters and digital platforms Format Creative concept generated by the Combined Group that can be adapted into multiple programs In-house studios Production arm of a platform (e.g. BBC studios, ITV studios, etc.) which serves the platform and can also sell it
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