Domino's Pizza Enterprises Limited · ASX:DMP

Domino's Pizza Enterprises — Merger or Acquisition (October 2017)

12 slides from Domino's Pizza Enterprises's merger presentation, Oct 19, 2017

  1. Slide 1: Acquisition of Hallo Pizza

    For personal use only ACQUISITION OF HALLO PIZZA 19 October 2017 AUSTRALIA • NEW ZEALAND • BELGIUM • FRANCE • THE NETHERLANDS • JAPAN • GERMANY

  2. Slide 2: Transaction Overview

    For personal use only TRANSACTION OVERVIEW

  3. Slide 3: Key Highlights

    For personal use only KEY HIGHLIGHTS  Acquisition of Hallo Pizza, the largest independent pizza chain operating in Germany Comprehensive national store footprint with 170 stores across Germany strengthens Domino’s Pizza Deutschland GmbH’s and Daytona Germany GmbH’s (together, ‘Domino’s Pizza  Deut

  4. Slide 4: Financial Summary

    For personal use only FINANCIAL SUMMARY • DPE majority-owned German joint venture to acquire Hallo Pizza for €32 million on a cash and debt free basis(1) • Additional €20 – 30 million of costs are estimated to be incurred by Domino’s Pizza Deutschland over the next c. 24 – 36 months to finance integ

  5. Slide 5: Overview

    For personal use only OVERVIEW OF HALLO PIZZA

  6. Slide 6: Overview

    For personal use only OVERVIEW OF HALLO PIZZA • Founded in 1989 by current owner, Mr Axel Fassbach and has grown to become the largest independent pizza chain in Germany (by store count) • Store network of 170 stores generating network sales of €80.2 million for FY16(1) • Network is predominantly fr

  7. Slide 7: Historical Performance

    HISTORICAL PERFORMANCE OF HALLO PIZZA Store count(1) Network sales and normalised EBITDA(1,2) (€m) For personal use only 80.2 169 169 75.5 167 72.7 3.5 3.1 2.4 FY14 FY15 FY16 FY14 FY15 FY16 EBITDA Sales (1) Hallo Pizza financials for the year ended 31 December and Chrisa financials for the year ende

  8. Slide 8: Expanded Store Network

    EXPANDED STORE NETWORK Store count DPE Hallo Pizza For personal use only in Germany 209 170 • Hallo Pizza is based in Düsseldorf and has built a strong store network throughout Germany Schleswig-Holstein 8 10 • The acquisition will strengthen Domino’s Pizza 16 25 Mecklenburg-Vorpommern Deutschland’s

  9. Slide 9: Summary Business Plan

    For personal use only SUMMARY OF HALLO PIZZA BUSINESS PLAN Conversion to • Domino’s to work with the vendor and Hallo Pizza management to convert franchise Domino’s contracts to Domino’s over the next c. 24 – 36 months • Former Hallo Pizza stores to benefit from the full suite of Domino’s IT innovat

  10. Slide 10: Impact on DPE

    For personal use only IMPACT ON DPE

  11. Slide 11: Transaction Funding

    For personal use only TRANSACTION FUNDING Uses by JV € million Sources by JV % € million Hallo Pizza purchase price 32 DPE funding 67% 35 – 42 Estimated integration, 20 – 30 DPG funding 33% 17 – 20 re-branding, store conversion and transaction costs Total 52 – 62 Total 52 – 62 • Hallo Pizza purchase

  12. Slide 12: JV Arrangements and Financial Impact on DPE

    For personal use only JV ARRANGEMENTS AND FINANCIAL IMPACT ON DPE Extension to Domino’s Pizza Deutschland joint venture agreement • DPE and DPG have agreed to extend the dates for the put option and call option exercise periods by one year to 31 December 2020 and 2022 respectively • This will likely

Domino's Pizza Enterprises — Merger or Acquisition (October 2017) on 6ix