Paramount Corp. Bhd. · MYX:PARAMON
Paramount Corp. Bhd — Merger or Acquisition (May 2024)
14 slides from Paramount Corp. Bhd's merger presentation, May 13, 2024
Slide 1: Investor Relations & Media Presentation
Investor Relations & Media Presentation Acquisition of 21.54% Equity Interests in Eco World International Berhad 13 May 2024 1
Slide 2: Overview of the Acquisition
Overview of the Acquisition Transaction date/ Direct business transaction entered on 10 May 2024/ Settlement to be on 14 May 2024 Estimated completion date Acquirer Flexsis Sdn Bhd, 100% owned by Paramount Corporation Berhad (PCB) Vendor GLL EWI (HK) Limited Equity interest acquired 21.54% (or 517 m
Slide 3: Benefits of the Acquisition
Benefits of the Acquisition 1 2 3 Faster crystallisation New layer of profits Potential of PCB’s overseas on top of the growth collaboration with expansion & generated from the Acquiree’s major diversification domestic property shareholder in the strategy development domestic property business in th
Slide 4: Strategic fit into PCB's overseas expansion plan
Strategic fit into PCB’s overseas expansion plan Strategic Plan (2020 – 2025) 2018 2019 2020 2022 2024 Disposal of Disposal of Partnered with Fully exited pre- The Acquisition controlling equity controlling equity Thai-based tertiary education allows PCB interests in tertiary interests in pre- devel
Slide 5: Prospects of the Acquiree
Prospects of the Acquiree RM8.64 billion Source: Sales performance report FY2024 downloaded from Acquiree’s website 5
Slide 6: Ratio of estimated GDV to cost of investment or land cost
Ratio of estimated GDV to cost of investment or land cost Estimated GDV/Cost of Investment or land cost 20.00 18.00 Estimated GDV/Cost of Investment or land cost 16.00 14.00 12.00 10.00 % 8.00 14.30 6.00 4.00 2.00 3.54 3.37 3.12 - Acqusition The Atrium & The Ashwood Sejati Lakeside 2 Bangkok Na Reva
Slide 7: Shareholders' funds & market capitalisation
Shareholders’ funds & market capitalisation Brexit 3,500.0 Covid Ukraine 3,000.0 SF_ Acquiree 2,500.0 2,000.0 RM mil SF_ PCB 1,500.0 1,000.0 MC_ Acquiree MC_ PCB 500.0 SF: Shareholders’ funds 0.0 MC: Market capitalisation 2017 2018 2019 2020 2021 2022 2023 2024 SF_Acquiree 2,575.4 2,475.0 2,684.6 2,
Slide 8: London Property Market
London Property Market 8 Source: https://www.savills.co.uk/insight-and-opinion/savills-news/359581/savills-upgrades-five-year-forecast-for-uk-house-price-growth
Slide 9: Distribution of dividends from the Acquiree
Distribution of dividends from the Acquiree -Proposed capital reduction exercise Extracted from Acquiree’s Circular dated 23 Feb 2024 on its Potential impact to PCB proposed capital reduction exercise duly approved by its shareholders on 25 March 2024 PCB will be On 14 May 2024, entitled to future P
Slide 10: Risks of the Acquisition
Risks of the Acquisition 1 2 3 4 Risks inherent Non- Acquisition Dilution risk if to property controlling risk (eg. PCB does not development stake of the anticipated participate in in the UK and business and benefits & Acquiree’s Australia operations of prospects of future equity the Acquiree the fu
Slide 11: Proforma effects of the Acquisition
: Proforma effects of the Acquisition Audited as at I II Proforma 31 December effects of 2023 After the payment of After (I) and the the interim dividend1 Acquisition 2 Acquisition Shareholders’ funds /net 1,430 1,405 1,405 - assets (NA) (RM’mil) NA per share3 (RM) 2.30 2.26 2.26 - Borrowings4 (RM’m
Slide 12: Key takeaways
Key takeaways Purchase consideration RM170.61m Potential Potential dividends collaborations to from Acquiree create synergies Up to RM108.57m1 Acquisition of 21.54% of Eco World International Berhad Strategic fit to Benefit from share PCB’s overseas of the Acquiree’s expansion plan remaining GDV One
Slide 13: Disclaimer
Disclaimer Cautionary Statement This presentation is to be read together with PCB’s announcement dated 10 May 2024 to Bursa Securities in relation to the Acquisition. This presentation may contain forward-looking statements that involve risks and uncertainties. Actual future performance, outcomes an
Slide 14: Thank You
Thank You
Paramount Corporation Berhad — Merger or Acquisition (May 2024) on 6ix