Archrock, Inc. · NYSE:AROC
Archrock — Merger or Acquisition (July 2024)
10 slides from Archrock's merger presentation, Jul 22, 2024
Slide 1: Acquisition of Total Operations and Production Services, LLC
ARCHROCK, INC. (NYSE:AROC) JULY 22, 2024 ARCHROCK, INC. Acquisition of Total Operations and Production Services, LLC
Slide 2: Forward Looking Statements
ARCHROCK, INC. (NYSE:AROC) 2 Forward Looking Statements All statements in this presentation (and oral statements made regarding the subjects of this presentation) other than historical facts are forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as a
Slide 3: Non-GAAP Measures
ARCHROCK, INC. (NYSE:AROC) 3 Non-GAAP Measures Adjusted EBITDA, a non-GAAP measure, is defined as net income (loss) excluding interest expense, income taxes, depreciation and amortization, long-lived and other asset impairment, unrealized change in fair value of investment in unconsolidated affiliat
Slide 4: Transaction Overview
ARCHROCK, INC. (NYSE:AROC) 4 Transaction Overview Acquisition Highlights ▪ Archrock to acquire Total Operations and Production Services, LLC (TOPS), including approximately 580,000 of compression horsepower1 , for $983 million2 , funded with: ▪ $826 million cash ▪ 6.87 million AROC common shares iss
Slide 5: Strategic Rationale and Value Creation
ARCHROCK, INC. (NYSE:AROC) 5 Strategic Rationale and Value Creation Key Transaction Benefits Enhanced Scale & Complementary Footprint • Expands size and scale of fleet • Complements operational footprint in the Permian, the key basin driving contract compression growth • Enhances current gas lift op
Slide 6: Blue-Chip Customer Portfolio
ARCHROCK, INC. (NYSE:AROC) A, 20% B, 16% C, 10% E, 6% D, 6% F, 5% G, 5% H, 3% I, 2% J, 2% All Other, 25% 6 Blue-Chip Customer Portfolio Enhanced TOPS High Quality Customer Base ▪ TOPS has an attractive base of blue-chip customers providing opportunities to enhance relationships on a combined basis ▪
Slide 7: Acquired Assets Focused on Permian Gas Lift
ARCHROCK, INC. (NYSE:AROC) 7 Acquired Assets Focused on Permian Gas Lift - 1,000,000 2,000,000 3,000,000 4,000,000 5,000,000 6,000,000 7,000,000 8,000,000 9,000,000 Permian Oil Production (Bbl/d)1 Strong Gas Lift Demand Driven by Robust Oil Production Growth (1) Enverus, June 2024. (2) As of July 1,
Slide 8: Young & Electrified Fleet
ARCHROCK, INC. (NYSE:AROC) 8 Young & Electrified Fleet Young and Primarily Electric Driven TOPS’ Fleet AROC1 TOPS1 Pro Forma1 Available HP 3.8 million 522k 4.3 million Operating HP 3.6 million 495k 4.1 million Permian HP 1.6 million 522k 2.2 million % Permian HP 46% 100% 52% % Operating Electric HP
Slide 9: Attractive Valuation
ARCHROCK, INC. (NYSE:AROC) Attractive Valuation 9 Attractive Transaction Economics Financial Position Improved, Targets Maintained (1) See slide 3 for important information regarding Adjusted EBITDA, cash available for dividend and other non-GAAP financial measures. (2) Stock consideration valued ut
Slide 10: Contact Us
ARCHROCK, INC. (NYSE:AROC) CONTACT US Investor Relations Megan Repine, VP of Investor Relations (281) 836-8360 investor.relations@archrock.com www.archrock.com/aroc Corporate Headquarters 9807 Katy Freeway Suite 100 Houston, TX 77024