Hp Inc. · NYSE:HPQ
Hp — Merger or Acquisition (March 2022)
12 slides from Hp's merger presentation, Mar 28, 2022
Slide 1: HP to acquire Poly
HP to acquire Poly March 28, 2022
Slide 2: Disclaimer
Disclaimer Cautionary Statement Regarding Forward-Looking Statements This document contains statements, estimates, projections or guidance that constitute forward-looking statements as defined under the U.S. federal securities laws about the proposed transaction based on current expectations and ass
Slide 3: Use of non-GAAP financial information
Use of non-GAAP financial information HP has included certain financial measures in this presentation determined on a basis other than on a generally accepted accounting principles (“GAAP”) basis. HP’s management uses net revenue on a constant currency basis, non-GAAP total operating expense, non-GA
Slide 4: Combination to strengthen HP momentum in hybrid work solutions
Combination to strengthen HP momentum in hybrid work solutions HP believes that one thoughtful idea has Poly connects people, technology, and the power to change the world. Its product spaces to transform hybrid interactions and service portfolio helps bring this idea into beautifully connected and
Slide 5: Compelling strategic rationale
Creates a leading position in hybrid work Compelling Accelerates growth and scale in strategic peripherals and workforce solutions rationale Drives long-term profitable growth and shareholder value creation 5
Slide 6: Hybrid is here
Hybrid is here Office by default Hybrid by design Workplace centric Workplace Work Remote by exception More collaboration From anywhere 81% 68% ITDMs upgrading Expect to work from home conference rooms1 at least 3 days per week2 1 HP Proprietary Study, 100 ITDMs, 50 HRDMs in the US, July 2021 2 HP P
Slide 7: Combination accelerates HP's peripherals and workforce solutions businesses
Combination accelerates HP’s peripherals and workforce solutions businesses CY24 Hybrid requires great audio and video solutions Market TAM¹ to be seen and heard wherever you work Work in Work at Workforce solutions +8% CY21-’24 CAGR¹ Office Home ~$120B Combination of Poly Lens, HP Presence, and Ter
Slide 8: Poly is a leader in audio and video conferencing
Poly is a leader in audio and video conferencing About Poly1 Poly offers a broad range of audio and video solutions designed for hybrid $1.7B LTM revenue Enterprise headsets Room solutions and services 46% LTM gross margin IP >1,100 worldwide patent assets Access 30M connected endpoints Talent 6,585
Slide 9: Powerful portfolio and GTM combination
Powerful portfolio and GTM combination Unified platform to lead hybrid work Combined GTM and scale Poly leadership in A/V Complementary channel and specialized GTM sales and support teams complement HP’s IT GTM Empowering end users Enabling IT to manage and to be seen and heard secure in a hybrid wo
Slide 10: Transaction supports strategy to drive long-term profitable growth and shareholder value
Transaction supports strategy to drive long-term profitable growth and shareholder value Growth opportunities Synergies1 Capitalize on growing hybrid Cross-selling of peripherals workplace TAM and consumer channel uplift ~$500M Enhancement of meeting room by FY25 End-to-end solution selling solution
Slide 11: Transaction summary
$40.00 per share in cash ● Transaction ● Implied enterprise value of approximately $3.3B consideration ● Financed through balance sheet cash and new debt Transaction ● Over the next 3 years, we expect to accelerate Poly’s revenue growth (15% CAGR by FY25), and summary expand operating margins by +6p
Slide 12: Thank you
Thank you