New Fortress Energy Inc. · NASDAQ:NFE
New Fortress Energy — Merger or Acquisition (January 2021)
22 slides from New Fortress Energy's merger presentation, January 2021
Slide 1: Investor Update
January 2021 Investor Update
Slide 2: Agenda
1. Executive Summary 2. Brazil Overview 3. Ship Portfolio 4. Floating LNG 5. Appendix 2
Slide 3: Announcing 3 separate transactions for $5.1bn equivalent enterprise value
Executive Summary Announcing 3 separate transactions for $5.1bn equivalent enterprise value(1) 1 Acquiring Hygo Energy Transition Ltd • Private LNG-to-power business Consideration • 3 terminals & power plants in Brazil • Including country’s largest thermal power plant Adds 4 $2.18bn for 100% of Hygo
Slide 4: Our business is simple
Executive Summary Our business is simple We sell power & natural gas in developing countries around the world by providing capital, infrastructure, assets & expertise Objective #1: Democratize access to power Objective #2: Provide cleaner, cheaper energy Objective #3: Reach zero emissions Natural ga
Slide 5: Growing from 5 to 9 terminals
Executive Summary Growing from 5 to 9 terminals(4) We reach new markets via terminals Our goal: 15-20 terminals globally by YE 2021, focused on largest & fastest-growing markets Montego Bay, Jamaica La Paz, Mexico San Juan, Puerto Rico Facility Old Harbour, Jamaica Puerto Sandino, Nicaragua Barcaren
Slide 6: NFE is the premier global gas-to-power company in the world
Executive Summary NFE is the premier global gas-to-power company in the world High-quality assets strategically located in target geographies Terminal Power plant FSRU FLNG + 4 x LNGC Key target markets terminals FLNG 9 operational & in development 3.5 GW 9 FSRUs 4 LNGCs 1 (50% interest in current o
Slide 7: New portfolio + pipeline targeted to generate $1.6bn+ Illustrative Op. Margin
Executive Summary New portfolio + pipeline targeted to generate $1.6bn+ Illustrative Op. Margin(7) Combined company has Illustrative Op. Margin of $895mm today, almost doubling once pipeline projects come online(fn) Hygo + Suape NFE GMLP Total $3.1bn $10bn $1.9bn enterprise value enterprise value en
Slide 8: Expanded footprint positions us to lead global carbon-free power transition
Executive Summary Expanded footprint positions us to lead global carbon-free power transition We aim to replace natural gas with emission-free hydrogen across our global portfolio We already to Opportunity serve the sectors most lead emission-free …and now we have footholds in in need hydrogen of tr
Slide 9: Agenda
1. Executive Summary 2. Brazil Overview 3. Ship Portfolio 4. Floating LNG 5. Appendix 9
Slide 10: Significant addressable market in Brazil
Brazil Overview Significant addressable market in Brazil Access to a fast-growing market in one of the world’s largest economies & gateway to rest of South America Barcarena Terminal 1300 km from TAG Urucu (TAG) Pipeline to Manaus TAG Our terminals are strategically located Suape Terminal 13 km from
Slide 11: Agenda
1. Executive Summary 2. Brazil Overview 3. Ship Portfolio 4. Floating LNG 5. Appendix 11
Slide 12: Acquisition satisfies current global shipping needs
Ship Portfolio Acquisition satisfies current global shipping needs Current need for 7 vessels significantly de-risks ship portfolio Acquiring Equipment Great strategic De-risking ship these 1 2 3 needs will be fit for current portfolio with our vessels largely satisfied portfolio business needs mean
Slide 13: Agenda
1. Executive Summary 2. Brazil Overview 3. Ship Portfolio 4. Floating LNG 5. Appendix 13
Slide 14: FLNG is the future of liquefaction
Floating LNG FLNG is the future of liquefaction FLNG is what FSRUs were 20 years ago…we are investing at the beginning of an industry-disruptive future (Operational) Allows access to stranded offshore fields Allows owners NFE gains Ability to to monetize access to a provide fixed- stranded stable so
Slide 15: Agenda
1. Executive Summary 2. Brazil Overview 3. Ship Portfolio 4. Floating LNG 5. Appendix 15
Slide 16: Hygo: Sources & Uses
Appendix Hygo: Sources & Uses $3.1bn Enterprise Value Hygo: Total acquisition cost of $2.18bn • NFE to issue $950mm stock and $50mm cash to GLNG for 50% stake in Hygo • Cash to Stonepeak for $180mm preferred equity + $350mm cash + rest in NFE stock (50% stake in Hygo ($1bn + $180mm = $1.18bn)) • Exp
Slide 17: GMLP: Sources & Uses
Appendix GMLP: Sources & Uses $1.9bn Enterprise Value GMLP: Total acquisition cost of $1.4bn • NFE to issue $1.4bn of corporate debt to pay for GMLP ($516mm ship facility + $380mm NOR bonds + $197mm Eskimo SLB + $59mm Nu. Regas Satu SLB + $251mm common) • Keep existing $389mm Hilli attributable debt
Slide 18: Post-Closing Asset overview
Appendix Post-Closing Asset overview 9 terminals 7 power plants Montego Bay, Jamaica La Paz, Mexico Jamalco, Jamaica Sergipe, Brazil Operational Under development 150MW 1.5GW Operational Operational Old Harbour, Jamaica Sergipe, Brazil Operational Operational Puerto Sandino, Nicaragua Barcarena, Bra
Slide 19: Disclaimers
Disclaimers – IN GENERAL. This disclaimer applies to this document and the verbal or written comments of any person presenting it. This document, taken together with any such verbal or written comments, is referred to herein as the “Presentation.” – FORWARD-LOOKING STATEMENTS. Certain statements reg
Slide 20: Endnotes
Endnotes Certain of the below Endnotes include forward-looking statements. Please see our note regarding “Forward-Looking Statements” on the slide titled “Disclaimers” of this Investor Update (the “Presentation”). Please evaluate this Presentation in connection with the risk factors in our public re
Slide 21: Endnotes
Endnotes – (7) We define “Operating Margin” as the sum of (i) Net income / (loss), (ii) Depreciation and amortization, (iii) Interest expense, (iv) Other (income) expense, net (v) Contract termination charges and Loss on Mitigation Sales, (vi ) Loss on extinguishment of debt, net, (vii) Tax expense
Slide 22: Endnotes
Endnotes – (8) “Project Costs” means management’s internal estimates of the costs of development and construction of projects from current state through commercial operations. These costs do not include all costs included in generally accepted accounting principles and should not be relied upon for
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