Firstservice Corp · TSX:FSV
Firstservice — Merger or Acquisition (February 2015)
11 slides from Firstservice's merger presentation, Feb 10, 2015
Slide 1: FirstService to Separate into Two Independent Public Companies
FirstService to Separate into Two Independent Public Companies February 10, 2015
Slide 2: Forward-looking information
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Slide 3: Overview
—— Overview ing two sti ng imgustty pacers 2014 Financials - FirstService Corporati Rever . , commercial real estate services = Fi i i NA lead = Strong cash flow: + “Spinot = 8 confirmation of tax-free nature Colliers International « Completion targeted for Q2 2015 Revenue $1.68 EBITDA = Margin $145
Slide 4: Intensify focus on core businesses and customers
Intensify focus on core pusiherese and customers and have flexibility to pursue independent value creation gie: Implement distinct capital allocation ed and better alignment betwee! nagement aie ce Attract appropriate investors and offer better comparability with publicly traded peers Create two dif
Slide 5: Colliers International
Colliers International Top 3 global leader in commercial real estate.se. ighly global = 16,000 professionals, 502 offices, 67 countries, past 10 year (IAOP) consolidation on a global scale Strong cash flows, modest capex, variable costs 2014 Revenue by Geography” = Experienced management team Ea Gra
Slide 6: Colliers International historical financial performance
Colliers International finance’ ial performance Adjusted EBITDA and Ma (US$ in mitions) Revenue USS in mtionsy 1,582 91,604 $1,307 2014 2012-2013 1 2012 2013-2014 Pro forma 2014) Financial Results and 55.2% Margin up 600bps+ since 2010 (1), Agusted EBITDA 2s presented above is a non-GAAP measure. In
Slide 7: FirstService Corporation
FirstService Corporation Leader in residential real estate services = 1 + North manager Leading pro i 9! well-known franchise brands = 85% hiak = Strong cash flows, modest capex = Strong balance sheet Residential Services Brands enhancement potential 2014 Revenue by Geography to bring value to clien
Slide 8: FirstService Corporation historical financial performance
FirstService Corporation Historical financial performance (US$ in mitions) Revenue {USS in tions) CAGR: 11.0% CAGR: 7.8% $85 51038 81-132 St.144 on 78 $78 $74 esr 8940 $785 | 7 te ie 2010 2011-2012, 2013-2014 Proforma 2010 2011-2012, 2013-2014 Proforma 20148) 2014) Financial Results 11.0% and 7.8%,
Slide 9: Colliers International revenue growth
Colliers International revenue growth High single-digit percentage increase High single-digit percentage Low double-digit percentage increase Financial leverage Effective tax rate Colliers: 1.0-1.5x net debt to adj. EBITDA FS: 2.0-2.5x net debt to adj. EBITDA Colliers: high 20’s percentage FS: low 3
Slide 10: Capital Structure
Capital Structure Colliers International Guiding P\ unique industry dynamics, * Targeting 1.0-1.5x financial leverage flow characteristics FirstService Corporation * Targeting 2.0-2.5x financial leverage
Slide 11: Structure and Consideration
Structure and Consideration Colliers . International + _ Financial leverage of 1.0x-1. 5x; anticipated dividend of $0.08 per share per annum FirstService . Corporation . Financial leverage of 2.0-2.5x Continue existing FirstService dividend of $0.40 per share per annum = Jay Hennick, Leadership Team